"Our Take" - CRM For ChargeBacks

(Past Editions by: Date, Title, Topic)

 
About "Our Take" 
"Our Take" is a collection of daily vignettes covering a wide range of CRM topics. It's an attempt to add our own spin to the world of CRM. We will use the column to share our perspectives, opinions, epiphanies, web nuggets, or quite frankly anything that moves us. Get ready to expect the unexpected. And, don't be shy about sharing your thoughts.
 
 
12/5/05 - CRM For ChargeBacks
A few issues ago, I asked you if there were any topics you would like to see addressed in this column.. Today, I thought I would try something new and ask you a question asked by one reader. I hope over time to cover many of the topics but it may take a while. So bear with me.
 
He asks, "I have a rather unique question: cost allocation. The primary goal of our new CRM system is to generate reports through which we will allocate our costs back to the business units. Does anyone else out there use CRM to reward business units that minimize the need for their customers to contact the organization and subsequently punish (charge) those who purposely or inadvertently increase customers’ contacts?"
 
I don't have a specific example to share with this reader so I thought I would ask you. Does your organization use CRM for chargebacks? If so, please let me know. I imagine other readers would appreciate best practice information as well.
 
Gary Lemke, Publisher
(Share your thoughts)
 
12/14/05 - CRM For Chargebacks
I recently asked if anyone uses CRM for chargebacks to reward business units that minimize the need for their customers to contact the organization and subsequently punish (charge) those who purposely or inadvertently increase customers’ contacts. Let me share how one reader responded.
 
"Companies either do this based on a yearly internal service contract, linking the expected number of calls to the budget available to the call center (penalties for overloading their part of call center resources) or based on penalties for deviations to the forecasted calls per marketing campaign (x% over or under-forecasted costs the company extra money in customer services)."
 
The writer goes one to say, "There are two problems however - first you need to have an accurate calculation of the total cost per call (which most companies don't have) and second of all, most internal financing and budgeting organization don't allow internal charging. The financial settlement takes place during the yearly budgeting rounds." Is that how things work in your organization?
 
Gary Lemke, Publisher
(Share your thoughts)
 
12/15/05 - CRM For Chargebacks - II
Another reader wrote about his experience using CRM for chargebacks saying, "As a contact center leader at two Fortune 500 companies, I had internal consultants meet with key stakeholders in the enterprise and identify their business objectives, needs and hot buttons."
 
He goes on to say, "These consultants would identify how to leverage information from our CRM to help these key stakeholders. Once we had several successful engagements under our belts and added value, we were able to do more proactive engagements and chargeback for marketing campaigns, surveying customers on new product concepts, etc."
 
The result: "One, it raised the perception of the value of the contact center and two, it enabled us to become part of the planning process to eliminate poorly constructed and executed marketing programs." Now that is value add!
 
Gary Lemke, Publisher
(Share your thoughts)