Value-based CRM

Since the establishment and maintenance of long-term customer relationships is central to many corporate activities, the importance of CRM and the need for appropriate CRM systems rises. The successful implementation of CRM requires a close cooperation of marketing and IT. Consequently, CRM has become an important research field at the interface of marketing and Business & Information Systems Engineering (BISE). Furthermore, value-based management asks for the development and enhancement of the ability to account for the contribution of marketing efforts to a company's performance. That is, all activities and decisions regarding a company's marketing efforts need to be based on financial measures to incorporate their influence on shareholder value. Therefore, it is not surprising that for many years the internationally renowned Marketing Science Institute (MSI) has listed “marketing productivity” and “marketing metrics” as most relevant challenges for research and practice.

Against this background, the research group value-based CRM intends to foster the interdisciplinary discourse between value-based management and CRM. Thereby, we link concepts and methods from marketing, financial management, and information management. In this context, the research group value-based CRM intends to contribute to this field amongst others by…

• … valuating customer portfolios and CRM investments,

• … merging concepts from CRM and revenue management considering long- and short-term effects,

• … bringing together CRM and process management for instance in the field of customer integration, as well as

• … developing innovative pricing algorithms. 

Heidemann, J.; Landherr, A.; Klier, M.; Zimmermann, S. (2012) The Optimal Level of CRM IT Investments - An Economic Model and its Application at a Financial Services Provider. In: Electronic Markets, 1, 23, pp. 73-84.

Heidemann, J.; Kaiser, M.; Klier, M.; Probst, F. (2012) Customer Lifetime Value-Based Sales Force Control in the Financial Services Industry – An Incentive-Compatible Remuneration Model. In: Journal of Management Control, 23, 1, pp. 27-51.

Heidemann, J.; Kamprath, N.; Müller, A.-L. (2011) Die Integration des Kunden in Geschäftsprozesse – ein ökonomisches Modell und dessen Anwendung am Beispiel eines Versicherungsunternehmens. In: A. Bernstein, G. Schwabe, eds., Proceedings of the 10th International Conference on Wirtschaftsinformatik, Zurich, Switzerland, February 2011, pp. 119-128.

Buhl, H. U.; Klein, R.; Kolb, J.; Landherr, A. (2011) CR^2M – An Approach for Capacity Control Considering Longterm Effects on the Value of a Customer for the Company. In: Journal of Management Control, 22, 2, pp. 187-204.

Gneiser, M. (2010) Value-Based CRM - The Interaction of the Triad of Marketing, Financial Management, and IT. In: Business & Information Systems Engineering, 2, 2, pp. 95-103.

Heidemann, J.; Kamprath, N.; Görz, Q. (2009) Customer Lifetime Value - Entwicklungspfade, Einsatzpotenziale und Herausforderungen. In: Journal für Betriebswirtschaft, 59, 4, pp. 183-199.

Buhl, H. U.; Heinrich, B. (2008) Valuing Customer Portfolios under Risk-Return-Aspects: A Model-based Approach and its Application in the Financial Services Industry. In: Academy of Marketing Science Review, 12, 5, pp. 1-32.