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Analytical CRM: Developing and Maintaining Profitable Customer Relationships in NonContractual Settings (Applied Marketing Scie,Used
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The everincreasing amount of individuallevel customer data generated by loyalty programs opens new perspectives for customer relationship management (CRM). Yet, recent analyses have shown that a huge fraction of CRM projects fail to deliver the good at the bottom line. One of the main reasons for this dilemma is that these data require advanced analytical processing to fully leverage their potential (analytical CRM). Research and practice are still in its early stages with respect to analytical CRM.Markus Wbben focuses on analytical CRM for developing and maintaining buyerseller relationships in noncontractual settings, i.e. settings, in which buyerseller relationships are not governed by a contract that predetermines the monetary value and/or length of the relationship. This is a common scenario for many businesses such as retailers, hotels, and airlines. Using empirical analyses on the basis of sound theoretical foundations, the author shows how customer relationships can be broadened, meaning how customers crossbuying behavior can be stimulated and how customers relationship length and depth, i.e. customers activity and purchaselevels, can be predicted. Finally, he derives implications for research and practice.
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