The priority factor model for customer relationship management system success

Abstract

As the market competition becomes keen, constructing a customer relationship management system is coming to the front for winning over new customers, developing service and products for customer satisfaction and retaining existing customers. However, decisions for CRM implementation have been hampered by inconsistency between information technology and marketing strategies, and the lack of conceptual bases necessary to develop the success measures. Using a structural equation analysis, this study explores the CRM system success model that consists of CRM initiatives: process fit, customer information quality, and system support; intrinsic success: efficiency and customer satisfaction; and extrinsic success: profitability. These constructs underlie much of the existing literature on information system success and customer satisfaction perspectives. We found the empirical support for CRM implementation decision-making from 253 respondents of 14 companies which have implemented the CRM system. These findings should be of great interest to both researchers and practitioners. (c) 2005 Elsevier Ltd. All rights reserved.