Customer relationship management

A.    Situational Analysis – Customer relationship management

Customers are considered as very imperative and cornerstone of any business. Thus, businesses must come up with ways of attracting and retaining their customers. Customers are usually attracted and retained in an organization by good relationships with the organization. The experience customers have with an organization determines their loyalty. In this case, managing customer experiences requires understanding these experiences. Zineldin Mosad defines customer relationship management as the process of utilizing customer information to build customer relationships (617).

When managers and organization leaders collect information from customers concerning their experiences, desires, preferences, buying behaviors and attitudes, they are able to utilize the information in building strong relationships with them. The concept of CRM has been adopted by many multinational corporations in increasing their customer base and profits and revenues (Stefanou, Sarmaniotis, & Stafyla 617). Starbucks is one of these companies that have benefited a lot from the improved management of the customer relationship management.

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E.     Recommendations

  1. Starbucks must ensure that it relates directly with their customers in order to gather information from them. This can be done through allowing customers make suggestions and asking for their comments, ideas, and suggestions concerning their products and services.
  2. The company should satisfy and motivate their employees. Employee motivation is directly related to customer satisfaction. When employees are adequately motivated that serve customers wholeheartedly thus meeting their desires and needs adequately and effectively. Customer relationship management.
  3. The company should use loyalty cards. The loyal customers must be recognized and appreciated for devoting themselves to the company. Loyal customers are those customers that are always satisfied with the products and services offered by the company and thus are more likely. Customer relationship management

Works Cited

Henning, Gebert., Malte, Geib., Lutz, Kolbe., and Walter, Brenner. Knowledge-enabled customer relationship management: integrating customer relationship management and knowledge management concepts.  Journal of Knowledge Management, 7(5), 2003, 107 – 123

Holmes, Stanley. “Starbucks: Keeping the Brew Hot.” Business Week. 6 Aug. 2001. 7 Mar. 2008 <>. Customer relationship management.

Lacy, Kyle., Diamond, Stephanie., & Ferrara, Jon. Social CRM for Dommies. London: Wiley, 2013

Mangold, Christian. Starbucks: Success Strategy and Expansion Problems. New York: Sage, 2010

Pahl, Nadine. The Idea Behind the Starbucks Experience. London: Prentice Hall, 2009

Parnell, John. Strategic Management. 2nd ed. Cincinnati: Atomic Dog, 2006. Customer relationship management.

Stair, Ralph & Reynolds, George. Fundamentals of Information systems. New Jersey: Wiley, 2011

Starbucks Corporation. Annual Report Fiscal 2008. Starbucks website. [2008] Available at: [Accessed on September 24, 2013

Stefanou, Constantinos., Sarmaniotis, Christos., and Stafyla, Amalia. CRM and customer-centric knowledge management: an empirical research. Business Process Management Journal, 9(5), 2003, 617-634

Zineldin, Mosad. The Royalty of Loyalty: CRM, Quality and Retention. Journal of Consumer Marketing, 23(7), 2006, 430-437. Customer relationship management.