Explain the various steps in developing the CRM strategy.

Identify your customers by individual or household name and address and/or address.

Differentiate them according to their needs and their actual or potential value Interact with customers based on their own needs. From the organization's perspective, the interactions should become more cost effective. Each interaction should be used as an opportunity to increase the store of data about the individual or household.

Customize at least some aspects of the organization's dealings with the customer. This could be things like tailored communications and specialized offers that allow the enterprise to recognize the customer as a valued supporter and that present opportunities for growing the value of the individual customer.