Which of the following refer s to when users or customers need a system or service

Customer service is the direct one-on-one interaction between a consumer making a purchase and a representative of the company that is selling it. Most retailers see this direct interaction as a critical factor in ensuring buyer satisfaction and encouraging repeat business.

Even today, when much of customer care is handled by automated self-service systems, the option to speak to a human being is seen as necessary to most businesses. It is a key aspect of servant-leadership.

• Customer service is the interaction between the buyer of a product and the company that sells it.
• Good customer service is critical to business success, ensuring brand loyalty one customer at a time.
• Recent innovations have focused on automating customer service systems but the human element is, in some cases, indispensable.

Behind the scenes at most companies are people who never meet or greet the people who buy their products. The customer service representatives are the ones who have direct contact with the buyers. The buyers' perceptions of the company and the product are shaped in part by their experience in dealing with that person.

For this reason, many companies work hard to increase their customer satisfaction levels.

For decades, businesses in many industries have sought to reduce personnel costs by automating their processes to the greatest extent possible.

In customer service, that has led many companies to implement systems online and by phone that answer as many questions or resolve as many problems as they can without a human presence.

But in the end, there are customer service issues for which human interaction is indispensable, creating a competitive advantage.

Amazon is an example of a company that is doing all it can to automate a vast and complex operation. It has to, given that it delivered 4.2 billion packages to customers' doors in 2020.

Nevertheless, Amazon still offers 24-hour customer service by phone, in addition to email and live chat services.

Most successful businesses recognize the importance of providing outstanding customer service. Courteous and empathetic interaction with a trained customer service representative can mean the difference between losing or retaining a customer.

Customer service should be a one-stop process for the consumer whenever possible.

Successful small business owners understand the need for good customer service instinctively. Larger businesses study the subject in-depth, and they have some basic conclusions about the key components:

• Timely attention to issues raised by customers is critical. Requiring a customer to wait in line or sit on hold sours an interaction before it begins.
• Customer service should be a single-step process for the consumer. If a customer calls a helpline, the representative should whenever possible follow the problem through to its resolution.
• If a customer must be transferred to another department, the original representative should follow up with the customer to ensure that the problem was solved.

The average annual salary for a customer service representative in 2021, according to the Bureau of Labor Statistics.

Much is expected of customer service representatives. Yet the pay for the job is low. The average salary in 2021 was about $36,920, according to the Bureau of Labor Statistics.

Some of the job expectations:

• Customer service representatives must be accessible, knowledgeable, and courteous. They require excellent listening skills and a willingness to talk through a resolution. Training in conflict resolution can be beneficial.
• Strong speaking skills are important. For phone staff, this means speaking clearly and slowly while maintaining a calm demeanor even if the customer doesn't.

The Bureau of Labor Statistics projected customer service representative job growth to show little or no change from 2020 to 2030.

Poor management can doom any customer service operation. A couple of important tips for managers:

• Make sure your customer service representatives are fully informed and have the latest information and the company's products and policies.
• Periodically assess the customer service experience you are providing to ensure that it's an asset to the company.
• Consider conducting regular surveys to give customers the chance to provide feedback about the service they receive and suggest areas for improvement.

In recent years, studies of customer service have centered on creating the perfect online experience.

The first and most difficult factor is the multiplicity of channels. Today's customers expect to get service through whatever app or device they happen to be using at the moment. That may be a mobile device or a laptop, a social media site, text app, or live chat.

Once again, the focus has been on packaging how-to content and related resources that are designed for self-service. Increasingly sophisticated data analytics also are being used to identify dissatisfied or low-engagement customers.

But, as always, the most effective customer service apps need to incorporate human contact, if only as a last resort.

Customer relationship management (CRM) is the combination of practices, strategies and technologies that companies use to manage and analyze customer interactions and data throughout the customer lifecycle. The goal is to improve customer service relationships and assist in customer retention and drive sales growth. CRM systems compile customer data across different channels, or points of contact, between the customer and the company, which could include the company's website, telephone, live chat, direct mail, marketing materials and social networks. CRM systems can also give customer-facing staff members detailed information on customers' personal information, purchase history, buying preferences and concerns.

Why CRM benefits businesses

The use of CRM systems can benefit organizations ranging from small businesses to large corporations, through:

• Having customer information such as past purchases and interaction history easily accessible can help customer support representatives provide better and faster customer service.
• Collection of and access to customer data can help businesses identify trends and insights about their customers through reporting and visualization features.
• Automation of menial, but necessary, sales funnel and customer support tasks.

Components of CRM

At the most basic level, CRM software consolidates customer information and documents it into a single CRM database so business users can more easily access and manage it.

Over time, many additional functions have been added to CRM systems to make them more useful. Some of these functions include recording various customer interactions over email, phone, social media or other channels; depending on system capabilities, automating various workflow automation processes, such as tasks, calendars and alerts; and giving managers the ability to track performance and productivity based on information logged within the system.

• Marketing automation. CRM tools with marketing automation capabilities can automate repetitive tasks to enhance marketing efforts at different points in the lifecycle for lead generation. For example, as sales prospects come into the system, it might automatically send email marketing content, with the goal of turning a sales lead into a full-fledged customer.
• Sales force automation. Sales force automation tools track customer interactions and automate certain business functions of the sales cycle that are necessary to follow leads, obtain new customers and build customer loyalty.
• Contact center automation. Designed to reduce tedious aspects of a contact center agent's job, contact center automation might include prerecorded audio that assists in customer problem-solving and information dissemination. Various software tools that integrate with the agent's desktop tools can handle customer requests in order to cut down on the length of calls and to simplify customer service processes. Automated contact center tools, such as chatbots, can improve customer user experiences.
• Geolocation technology, or location-based services. Some CRM systems include technology that can create geographic marketing campaigns based on customers' physical locations, sometimes integrating with popular location-based GPS (global positioning system) apps. Geolocation technology can also be used as a networking or contact management tool in order to find sales prospects based on a location.

• Workflow automation. CRM systems help businesses optimize processes by streamlining mundane workloads, enabling employees to focus on creative and more high-level tasks.
• Lead management. Sales leads can be tracked through CRM, enabling sales teams to input, track and analyze data for leads in one place.
• Human resource management (HRM). CRM systems help track employee information, such as contact information, performance reviews and benefits within a company. This enables the HR department to more effectively manage the internal workforce.
• Analytics. Analytics in CRM help create better customer satisfaction rates by analyzing user data and helping create targeted marketing campaigns.
• Artificial intelligence. AI technologies, such as Salesforce Einstein, have been built into CRM platforms to automate repetitive tasks, identify customer-buying patterns to predict future customer behaviors and more.
• Project management. Some CRM systems include features to help users keep track of client project details such as objectives, strategic alignment, processes, risk management and progress.
• Integration with other software. Many CRM systems can integrate with other software, such as call center and enterprise resource planning (ERP) systems.

Types of CRM technology

The four main vendors of CRM systems are Salesforce, Microsoft, SAP and Oracle. Other providers are popular among small to midsize businesses, but these four tend to be the choice for large corporations. The types of CRM technology offered are as follows:

Cloud-based CRM

With CRM that uses cloud computing, also known as SaaS (software as a service) or on-demand CRM, data is stored on an external, remote network that employees can access anytime, anywhere there is an internet connection, sometimes with a third-party service provider overseeing installation and maintenance. The cloud's quick, relatively easy deployment capabilities appeal to companies with limited technological expertise or resources.

Data security is a primary concern for companies using cloud-based systems, as the company doesn't physically control the storage and maintenance of its data. If the cloud provider goes out of business or is acquired by another company, an enterprise's data can be compromised or lost. Compatibility issues can also arise when data is initially migrated from a company's internal system to the cloud.

Companies might consider cloud CRM as a more cost-effective option. Vendors typically charge the user on a subscription basis and offer the option of monthly or yearly payments. However, cost may still be a concern, because paying subscription fees for software can be more costly over time than with on-premises models.

Popular cloud-based CRM providers include Salesforce, HubSpot and Zendesk.

On-premises CRM

This system puts the onus of administration, control, security and maintenance of the database and information on the company using the CRM software. With this approach, the company purchases licenses upfront, instead of buying yearly subscriptions from a cloud CRM provider. The software resides on the company's own servers and the user assumes the cost of any upgrades. It also usually requires a prolonged installation process to fully integrate a company's data. Companies with complex CRM needs might benefit from an on-premises deployment.

Many cloud-based providers, such as Salesforce and WorkWise, also offer on-premises versions of their CRM software.

Open source CRM

An open source CRM system makes source code available to the public, enabling companies to make alterations at no cost to the company employing the system. Open source CRM systems also enable the addition and customization of data links on social media channels, assisting companies looking to improve social CRM practices.

Open Source CRM platforms such as OroCRM, Bitrix24, SuiteCRM and SugarCRM offer alternatives to the proprietary platforms from Salesforce, Microsoft and other vendors.

Adoption of any of these CRM deployment methods depends on a company's business needs, resources and goals, as each has different costs associated with it.

CRM examples in practice

Examples of CRM usage vary by the type and purpose of the specific CRM system.

Contact center

Traditionally, data intake practices for CRM systems have been the responsibility of sales and marketing departments, as well as contact center agents. Sales and marketing teams procure leads and update the system with information throughout the customer lifecycle, and contact centers gather data and revise customer history records through service calls and technical support interactions.

Social CRM

Social media in CRM involves businesses engaging with customers directly through social media platforms, such as Facebook, Twitter and LinkedIn. Social media presents an open forum for customers to share experiences with a brand, whether they are airing grievances or promoting products.

To add value to customer interactions on social media, businesses use various social CRM tools that monitor social media conversations -- from specific mentions of a brand to the frequency of keywords used -- to determine their target audience and which platforms they use. Other tools are designed to analyze social media feedback and address customer queries and issues.

Companies are interested in capturing customer sentiments, such as the likelihood they will recommend products and their overall customer satisfaction, to develop marketing and service strategies. Companies try to integrate social CRM data with other customer data obtained from sales or marketing departments to get a single view of the customer.

Another way in which social CRM adds value for companies and customers is through customer communities, where customers post reviews of products and can engage with other customers to troubleshoot issues or research products in real time. Customer communities can provide low-level customer service for certain kinds of problems and reduce the number of contact center calls. Customer communities can also provide new product ideas or feedback that companies can use in lieu of feedback groups.

Mobile CRM

CRM applications built for smartphones and tablets have become a must-have for sales representatives and marketing professionals who want to access customer information and perform tasks when they are not physically in their offices. Mobile CRM apps take advantage of features that are unique to mobile devices, such as GPS and voice recognition capabilities, to give sales and marketing employees access to customer information from anywhere.

Business-to-business (B2B) practices

A CRM system in a B2B environment helps monitor sales as they move through the sales funnel, enabling a business to address any issues that might come up during the process. CRM systems in the B2B market help create more visibility into leads and, therefore, increase efficiency throughout the sales process.

CRM challenges

For all of the advancements in CRM technology, without the proper management, a CRM system can become little more than a glorified database in which customer information is stored. Data sets need to be connected, distributed and organized so that users can easily access the information they need.

Companies may struggle to achieve a single view of the customer if their data sets are not connected and organized in a single dashboard or interface. Challenges also arise when systems contain duplicate customer data or outdated information. These problems can lead to a decline in customer experience due to long wait times during phone calls, improper handling of technical support cases and other issues.

CRM systems work best when companies spend time cleaning up their existing customer data to eliminate duplicate and incomplete records before they supplement CRM data with external sources of information.