In the present digital business era, the customer relationship management system is the only way to run a business smoother. The majority of companies using this CRM system build a strong relationship with the customers and provide you essential data related to customers.
The data you collect includes information about the consumer's purchasing habits, interests, and services. So, businesses can access the data and reap the benefits. Unfortunately, even though the system is great for collecting the information, few CRM projects failed to clutter the results.
In this article, we will show you the worst eCommerce CRM failures and how they can be prevented by using CRM tools.
1.CIGNA Healthcare
CIGNA Healthcare implemented the CRM to claim the process where the customers get one bill, and they get a faster medical claiming process. Pharma CRM was also implemented to unify the view of the healthcare members. But this experiment of implementing the CRM failed, and employees lost coverage. This can be prevented by implementing the right CRM tools and features.
2.Hershey’s CRM Failure
Hershey is the biggest chocolate manufacturing company in America which also implemented the CRM system to automate the system and business workflow. But this experiment became a disaster for the company because it was too cumbersome and complex to handle for the production line.
This failure can also be prevented by following an incremental approach that makes managing easier and applying CRM in the right direction to run the production line with ease
3.Blackberry
CIGNA Healthcare implemented the CRM to claim the process where the customers get one bill, and they get a faster medical claiming process. CRM was also implemented to unify the view of the healthcare members. But this experiment of implementing the CRM failed, and employees lost coverage. This can be prevented by implementing the right CRM tools and features.
BMC
Hershey is the biggest chocolate manufacturing company in America which also implemented the CRM to automate the system and business workflow. But this experiment became a disaster for the company because it was too cumbersome and complex to handle for the production line.
This failure can also be prevented by following an incremental approach that makes managing easier and applying CRM in the right direction to run the production line with ease.
General Motors Acceptance Corps Commercial Mortgage
The company also implemented the CRM to automate voice response technology to contact the consumers regarding loan inquiries. However, upon activation of the CRM software, the company noticed that 99% of the loan holders were zeroing out to the customer service operator.
Eventually, the company faced tremendous losses. This CRM failure could be prevented if they realize that their consumers don't like to kill their time in punching the numbers, and the system should be focused on the customers' priorities
British Airways
This company also suffered CRM failures, and a lot of consumers complained that they have poor customer service. British Airways adopted the customer relationship management system known as Ocean wave, which failed to work. It took two years to fix the problem, and the data structure to be cleared
Dow Chemicals
Dow Chemicals also failed to implement the CRM as the tools of the CRM didn't support remote users, and the business model was not so clear. However, later, the company implemented the right CRM tools and specified the needs of the CRM, which further helped to maintain the control and proved to be fruitful.
Owens Corning
Owens Corning in 1992 also failed in implementing the CRM as it was merely focused on the internal priorities of the company rather than gaining the customer's views. Moreover, the CRM team also faced the downside of integrating the new system and automating the process.
As a result, the CRM system failed to collect consumer interaction. But to prevent the failure further, Owens Corning admitted new strategies and used CRM with a customer-centric approach to prevent further failure.
Vodafone
Vodafone was also failing during the implementation of the CRM and paid the penalty of paying a $4.6million fine to breach the rules of customer protection. However, after the failure, they again implemented the CRM to integrate the consumer-centric approach and start training the employees to run the system smoothly.
Cardirect.com
The company also suffered an operational loss of around $50 million due to the wrong implementation of the CRM. They implemented CRM tracking tools that were unable to meet the demand of the customers. However, to prevent the failure further, they opted for the CRM scalable tools to head the business in the right direction.
Bottom Line
Customer relationship management is the most powerful concept that helps businesses boost sales and create a strong relationship with the audience. But it is also essential to implement the CRM with a strategic approach and with the right resources to improve the performance.