NZ lags in CRM technology

Kiwi consumers are missing out on best service because firms and government are slacking in customer relationship management (CRM).

Kiwi consumers are missing out on best service because firms and government are slacking in customer relationship management (CRM).

It also means New Zealand businesses are missing out on the savings new technology brings, reveal two new surveys.

Cap Gemini Ernst & Young (CGEY) says its survey of more than 600 Kiwi companies, universities and government departments, presents "challenging findings”.

Key findings include:

  • 30% organisations (40% of central and local governments) have no designated individual or department responsible for handling customer contacts, enquiries, or complaints.
  • Email is not yet proving to be a popular customer-care mechanism for customers, nor does it yield efficiency and effectiveness for organisations.
  • Budgets allocated to customer service and CRM are showing a drop next year, while customer's expectations of service continues to grow.
CGEY vice-president Alan Sinclair says it is surprisingly difficult for customers to find out who to complain to.

Senior manager Paul Linnell, who conducted the survey, says while New Zealand compares equally or favourably with other countries, "there are definite areas for improvement”.

In its survey, Lampen recruitment shows that while New Zealand is making progress in adapting the Internet for CRM, the technology is not being applied properly.

Three-quarters of companies use their Web sites to simply display their products and few have huge supplier network Web sites like those common overseas.

Meanwhile, the New Zealand Government has just announced a $28 million budget for allocation to e-business initiatives over the next four years.

But Lampen says this "pales with competitor spending on such initiatives”.

For example, Singapore has allocated $S1.5 billion to e-commerce and online administration over the next three years.

"New Zealand's success in the global market place is dependent on reduced implementation costs and readily available knowledge that will allow the use of superior CRM systems to monopolise the opportunities provided by the Internet," Lampen says.

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