The Importance of Customer Relationship Management Systems to Business Management and Marketing Strategies

Abstract

The versatility of customer relationship management (CRM) systems has kept these technologies popular over the years. These solutions have been integrated into organizations of all sizes, from large corporations to small- and medium-sized enterprises. Similarly, CRM systems have also found applications in all types of industries and business sectors. All this has been the driving force behind the proliferation of CRM solutions around the world. In this chapter, the author not only reflects on the impact and democratization of CRM systems on business management and marketing strategies but also explores how these technologies can determine the company's income. In particular, the author presents an experiment that analyzes the extent to which the volume of annual investment in CRM solutions can be used to predict annual net income in a sample of companies. Using time series analysis and applying the autoregressive integrated moving average modeling technique, the researcher examines a sample of 10 companies from different industries, and countries, over a 20-year period. The results show the efficiency of the predictive models developed in nine of the 10 companies analyzed. The findings of this study allow us to conclude that there seems to be an association between the investments made in CRM solutions and the income of the companies that invest in these technologies.

Citation

Matosas-López, L. (2024), "The Importance of Customer Relationship Management Systems to Business Management and Marketing Strategies", Matosas-López, L. (Ed.) The Impact of Digitalization on Current Marketing Strategies (Marketing & Technology: New Horizons and Challenges), Emerald Publishing Limited, Leeds, pp. 131-145. https://doi.org/10.1108/978-1-83753-686-320241008