Table of Contents

INTRODUCTION
Background
Aim and Objectives
Rationale of the study
Significance of the study
Research plan
LITERATURE OF REVIEW
Introduction
Concept of CRM vs e-CRM
Customer facing CRM practices
Perception of customers regarding TV’s CRM practices
TV selection patterns of customers
Effectiveness of CRM practices in TVs
RESEARCH METHODOLOGY
Introduction
Research Philosophy
Research design
Research approach
Data Collection
Sampling
Data Analysis
Ethical consideration
DATA ANALYSIS
Introduction
Discussion
CONCLUSION AND RECOMMENDATION
REFERENCES

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Background of the study:

Customer relationship management (CRM) is a process in which a business or other

organization administers its interactions with customers, typically using data analysis to study
large amounts of information. CRM systems compile data from a range of different
communication channels, including a company's website, telephone, email, live chat, marketing
materials and more. They allow businesses to learn more about their target audiences and how to
best cater for their needs, thus retaining customers and driving sales growth.
CRM may be used with past, present or potential customers. The concepts, procedures, and rules
that a corporation follows when communicating with its consumers are referred to as customer
relationship management (CRM). This complete connection covers direct contact with
customers, such as sales and service-related operations, forecasting, and the analysis of consumer
patterns and behaviors, from the perspective of the company.
It is a technology for managing all your company’s relationships and interactions with customers
and potential customers. The goal is simple: Improve business relationships to grow your
business. A CRM system helps companies stay connected to customers, streamline processes,
and improve profitability.
When people talk about CRM, they are usually referring to a CRM system, a tool that helps with
contact management, sales management, agent productivity, and more. CRM tools can now be
used to manage customer relationships across the entire customer lifecycle,
spanning marketing, sales, digital commerce, and customer service interactions.A CRM solution
helps to focus on organization’s relationships with individual people — including customers,
service users, colleagues, or suppliers — throughout your lifecycle with them, including finding
new customers, winning their business, and providing support and additional services throughout
the relationship.
The television industry in Nepal has seen a dramatic change during the past one decade as
liberalization and globalization showed its original face in full swing , making its market highly
competitive and customer driven. A good number of TV customers today face a lot of dilemma
at the time of taking a purchase decision to choose the brand because a number of substitutes are
available in the market. As a result of this, the manufacturers are now forced to behave like price
takers rather than price makers. Under the circumstances, it is quite obvious that the companies
will have to do more homework to respond to the needs and tastes of the customers in order to

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survive in this competitive market. When it comes to the purchase decision of the TV customers,
it depends on various product differentiation attributes such as price and goodwill of the
company, design and appearance, digital function, after sales service, durability and warranty,
power efficiency, financial incentives (free gifts, discounts and installments etc.), easy
availability and smooth functioning.

Introduction To Samsung Electronics

Samsung is the first company to include product registrations at the manufacturer websites, and
provides valuable insights that allow brands to better support existing customers and inform
product road map plans. The core strengths of Samsung are innovation offering reliable products
and services; talented people; a responsible approach to business and global citizenship; and
collaboration with our partners and customers, Samsung is taking the world in imaginative new
directions. The major objective of Samsung is to sustain Customer Relationship management
through effective and efficient market relationships.

History of Samsung Electronics

Samsung Electric Industries was established as an industrial part of Samsung Group on 19

January 1969 in Suwon, South Korea. At the time, Samsung Group was known to the South
Korean public as a trading company specialized in fertilizers and sweeteners. Despite the lack of
technology and resources, falling shorter even than the domestic competitors, Samsung Group
improved its footing in the manufacturing industry by cooperating with the Japanese companies,
a decision that instigated a significant amount of anti-Japanese public outcry and huge
backlashes from the competitors fearing the outright subordination of the industry by the
Japanese. The strategy was able to take off only after the government and Samsung declared that
the company would exclusively focus on exports. Toshio Iue, the founder of Sanyo, played a role
as an advisor to Lee Byung-Chul, Samsung's founder, who was a novice in the electronics
business. December the same year, Samsung Electric established a joint venture named
Samsung-Sanyo Electric with Sanyo and Sumitomo Corporation. This is the direct predecessor
of today's Samsung Electronics.
The joint venture's early products were electronic and electrical appliances including

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televisions, calculators, refrigerators, air conditioners, and washing machines.
One of the brand of Samsung Electronics is Television(TV). TV is the core product of Consumer
Electronics(CE). Samsung has been the world's largest television manufacturer since 2006, The
Company has maintained its position as the market leader for 14 consecutive years by leveraging
competitive advantages in hardware such as LCD/LED TVs as well as software driven product
features within our Smart TV product portfolio.
Television, sometimes shortened to TV or telly, is a telecommunication medium used for
transmitting moving images in black-and-white or in color, and in two or three
dimensions and sound. The term can refer to a television set, a television show, or the medium
of television transmission. Television is a mass medium for advertising, entertainment, news,
and sports.

CRM in Samsung TV

When we hear about Customer Relationship Management, it refers to CRM software. A CRM
software is a tool or service that lets small or large scale businesses single-handedly bring sales,
regulate customer support activities, uplift the marketing strategies, conducts policy, and bring
out people in one platform.
In the context of Surkhet Market, Samsung Tv is one of the ongoing business effectively and
generate lead to finding the customers. This product has been the international standards which
attracts the customers more. Customers have the faith on this product which leads to the good
relationship between them.
But after the COVID 19, the industry of Nepal hit a significant turmoil. While many left the
business world, the majority of people conducted their own business.

CRM objectives of Samsung TV

 Build relationships directly with their customers by gathering profile data and insights to
improve customer intelligence
 Improve the account creation process to allow people to quickly engage
 Increase participation in the site

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Rationale of the study

The study aims to identify the customer relationship management ,a case study of Samsung
TV,Surkhet. The main thing is for Samsung Tv which is enter into the Nepalese market with new
technology and new strategy to captured the market and beat the competitors. Samsung need to
more focus on lack of segmentations, and differentiation of products. Nokia, LG, Sony and Vizio
are the main competitors of the company in the Television segments. In addition, other
companies leading in the patent of new technology and innovation in software or hardware is
impacting on its position in the global market. Therefore, Samsung TV need to more focused in
these current scenarios which is alarming condition to Samsung.
 Contact Management teaches the tools that allows the employees to take contacts & turn them
into sales & profits.
 Customer's expectations are not now only limited to get best products & services , they
also need a face-to-face business in which they want to receive exactly what they
demand & in a quick time.

Significance of the study

Nepal is developing country. The proper market of the Customer Relationship Management has
to be developed yet. By the means of CRM tools in Business sector like Samsung Tv, people can
get know about of business service easily staying any part of global.This could be viable solution
in one way for developing the customer relationship management in business sector in
Surkhet.The choice of this subject for research is due to the fact that , the many companies in
Surkhet are using promotional strategy for their newly launched product as well as existing
product but nobody has tried to do research and find out its effectiveness in Nepalese Business
service.

Challenges faced Samsung in CRM perspective

Lack of customer profiling
Less scope of engagement with the end user
No active participation in the site
No demographic targeting

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Research Plan

This study is based on customer relationship management in Samsung brand. And for this
research, Qualitative research methodology has been selected. This study is beneficial in
order to examine the customer relationship management in Samsung Television.

This study was conducted to understand the CRM system in Nepalese enterprises and the
perception before buying an electronic item. The study also examines customer service
planning and preferences in terms of brands, price bands, features, and more. We find that
that consumers are loyal with the Samsung brand. As eight out of ten users of Samsung
indicated that their next device will be from the same brand.

However, looking at the Surkhet market, Samsung is the clear leader in terms of being the
preferred choice brand for the next purchase. Our study reveals that the future spending
intention of consumers is one of the key reasons behind Samsung’s popularity.

Maintaining its lead will be difficult for Samsung. Rapid democratization of new technology
has helped reduce the cost of a feature-packed television.

LITERATURE OF REVIEW

Customer Relationship Management (CRM) has become one of the most dynamic technology
topics of the millennium. According to Chen and Popovich (2003), CRM is not a concept that is
really new but rather due to current development and advances in information and enterprise
software technology, it has assumed practical importance.The root of CRM is relationship
marketing, which has the objective of improving the long-term profitability of customers by
moving away from product-centric marketing. Bose (2002) noted that CRM was invented
because the customers differ in their preferences and purchasing habits . If all customers were
alike, there will be little need for CRM. As a result, understanding customer drivers and
customer profitability, firms can better tailor their offerings to maximize the overall value of
their customer portfolio (Chen and Popovich) . The attention CRM is currently receiving across
businesses is due to the fact that the marketing environment of today is highly saturated and
more competitive (Chou et al, 2002) . According to Greenberg (2004), CRM generally is an
enterprise-focused endeavor encompassing all departments in a business . He further explains
that, in addition to customer service, CRM would also include, manufacturing, product testing,

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assembling as well as purchasing, and billing, and human resource, marketing, sales and
engineering. Chen and Popovich (2003) argued that CRM is a complicated application which
mines customer data, which has been retrieved from all the touch points of the customer, which
then creates and enable the organization to have complete view of the customers. The result is
that firms are able to uncover and determine the right type of customers and predicting trend of
their future purchases. CRM is also defined as an all embracing approach that seamlessly
integrates sales, customer service, marketing, field support and other functions that touch
customers (Chou et al, 2002) . They further stated that CRM is a notion regarding how an
organization can keep their most profitable customers and at the same time reduce cost, increase
in values of interaction which then leads to high profits. The modern customer relationship
management concept was shaped and influenced by the theories of total quality management
(Gummesson) and by new technological paradigms (Zineldin, 2000). There is however, a
perceived lack of clarity in the definition of customer relationship management, although all
accepted definitions are sharing approximately the same basic concepts: customer relationships,
customer management, marketing strategy, customer retention, personalization (Zineldin 2000).
However, while academics debate the subtitles of various definitions, the practitioners have
developed a wealth of applicative papers analyzing the concrete challenges and opportunities of
implementing the systems (Bacuvier et al. 2001). CRM in some firms is considered as a
technology solution, considering of individual databases and sales force automation tools and
sales and marketing functions so as to improve targeting effort. Peppers and Rogers (1999)
argued that other organizations view CRM as a tool, which has been particularly designed for
one-to-one customer communications, which is the function of sales, call centres or the
marketing departments. Accordingly Frow and Payne (2004) added that CRM stresses two-way
communication from the customer to the supplier to build the customer over time. The two-way
communication has been enhanced greatly by advances in technology particularly the Internet. In
term of information technology (IT), CRM means an enterprise –wide integration of
technologies working together such as data warehouse, web site, and intranet/extranet, phone
support system, accounting, sales, marketing and production. Kotler (2000) assured that CRM
uses IT to gather data, which can then be used to develop information acquired to create a more
personal interaction with the customer. In the long-term, it produces a method of continuous
analysis and reinforcement in order to enhance customer’s lifetime value with firms. Goldenberg

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(2000) believes that CRM is not merely technology applications for marketing, sales and services
but rather when it is successfully implemented ; it enables firms to have crossfunctional ,
customer-driven , technology-integrated business process management strategy that maximses
relationships. Chin et al (2003) stated that that due to many technological solutions available for
CRM automation, it is often misconstrued as a piece of technology. But they maintained that in
recent times many companies have realized the strategic importance of CRM, and as a result, it is
becoming a business value-effort rather than technology- centric effort. Using information
technology as an enabler, CRM strategy leverages key functional areas to maximize profitability
of customer interactions (Chen and Popovich, 2003). It has been recognized that technological
advancements and innovations , keen competitive marketing environment , coupled with the
internet are main drivers of present and future customer profitability which makes it possible to
appropriately and proportionately allocate firm’s resources to all functional areas that affect
customer relationship ( Chou et al , 2003). For customers, CRM offers customization, simplicity
and convenience for completing transactions irrespective of the kind of channel of interaction
used (Gulati and Garino, 2000). Many businesses today realize the importance of CRM and its
potential to help them achieve and sustain a competitive edge (Peppard, 2000). This view was
further boosted by Bose (2002) that as a result of changing nature of the global environment and
competition, firms cannot compete favorably with minor advantages and tricks that can easily be
copied by competing firms .The implementation of CRM is an enabled opportunity to rise above
minor advantages with real focus on developing actual relationships with customers. Firms those
are most successful at delivering what customers want are the more likely to be leaders of the
future.

Benefits of CRM

According to Chen and Popovich (2003), CRM applications have the ability to deliver
repositories of customer data at a much smaller cost than old network technologies. Throughout
an organization, CRM systems can accumulate, store, maintain, and distribute customer
knowledge. Peppard (2000) noted that effective management of information has a very important
role to play in CRM because it can be used to for product tailoring, service innovation;
consolidate views of customers, and for calculating customer lifetime value.

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CRM systems assists companies evaluate customer loyalty and profitability based on repeat
purchases, the amount spent, and longevity. Bull (2003) added CRM makes it practicable for
companies to find unprofitable customers that other companies have abandoned. This position is
supported by Galbreth and Rogers (1999) that CRM helps a business organization to fully
understand which customers are worthwhile to acquire , which to keep, which have untapped
potential, which are strategic, which are important , profitable and which should be abandoned.
Greenberg emphasized that CRM can increase the true economic worth of business by improving
the total lifetime value of the customer , adding that successful CRM strategies encourage
customers to buy more products, stay loyal for longer periods and communicate effectively with
a company. CRM can also ensure customer satisfaction through allocation, scheduling and
dispatching the right people, with the right parts, at the right time (Chou et al., 2002).

According to Swift (2001), companies can gain many benefits from CRM implementation. He
states that the benefits are commonly found in one of these areas:
i) Lower cost of recruiting Customers
ii) No need to acquire so many customers to preserve a steady volume of business
iii) Reduced cost of sales
iv) Higher Customer Profitability
v) Increased Customer retention & Loyalty
vi) Evaluation of customers Profitability

Curry and Kkolou (2004) refer to the major benefits and reasons for adoption of CRM which
include: customers from the competition will come prefer the organization; a simplified,
customer – focused internal organization will simplify the infrastructure, shrinking the work flow
and eliminating non-productive information flow; and profits will increase from satisfied
customers which will lead to more compact & focused company.

There are some companies that adopt CRM systems just because it is the most advanced
technology and they think they should have it since their competitors have it (Chou et al, 2002),
Some statistics that motivate this behavior are resumed as follows:

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a) By Pareto’s principle, it is assumed that 20% of a company’s customers generate 80% of its
profits.

b) In industrial sales , it takes an average of 8 to 10 physical calls in person to sell to a new

customer , 2 to 3 calls to an existing customer.

c) It is 5 to 10 times more expensive to acquire a new customer than obtain repeat business from
existing customer.

d) A typical dissatisfied customer tells 8 to 10 people about his or her experience source. Getting
to “know” each customer through data mining techniques and a customer-centric business
strategy helps the organization to proactively and consistently offer and sell more products and
services for improved customer retention and loyalty over long periods of time. Peppers and
Rogers (1999) refer to this as maximizing “lifetime customer share”, resulting in customer
retention and customer Profitability.

Like any other new function, CRM too has its own drawbacks and challenges. Any organization
that seeks to implement CRM may focus on value creation and on a continuous stream of profits.
They will give up their myopic fix that CRM is the fixed responsibility of marketing or IT
department. The firms will realize that in order for CRM to contribute to corporate renaissance,
the CRM responsibility must rise to the level of CEO. CRM will be more strategy driven, and
thus be able to concentrate on what customer expects from relationships. The ‘final take’ for the
CEOs will be that CRM is and can be a vehicle for cultural integration in the organization. In
short, a true CRM encourages a relationship view of the world that goes beyond the customers,
includes multi –members and facilitates corporate renaissance.

Two trends have brought CRM to the forefront, explains Boston University professor Tom
Davenport, who directs Andersen consulting’s Institute for Strategic Change. First, as global
competition has increased and products have become harder to differentiate, “companies have
begun moving from a product-centric view of the world to a customer-centric one,” says
Davenport. Second, technology has ripened to the point where it is possible to put customer

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information from all over the enterprise into a single system. “Until recently, we didn’t have the
ability to manage the complex information about customers, because information was stored in
20 different systems,” says Davenport. But as network and Internet technology has matured,
CRM software has found its place in the world. Many companies are turning to
customerrelationship management systems to better understand customer wants and needs. CRM
applications, often used in combination with data warehousing, E-commerce applications, and
call centers, allow companies to gather and access information about customers’ buying
histories, preferences, complaints, and other data so they can better anticipate what customers
will want. The goal is to instill greater customer loyalty.

Types/Variations of CRM:

Types of CRM can be broadly understood by looking at the two different ways of categorization.
These two types of categorization are as follows:
1. Proactive versus Reactive CRM
2. Operational, Collaborative and Analytical CRM

Proactive versus Reactive CRM:

When company responds to the recommendations/suggestions/complaints/requests of the
customers, it is called reactive CRM. Contrary to this, it is called Proactive CRM when a
company anticipates and responds to customers’ need of itself. In constant changing market
situations, proactive companies take stock of their customers’ future needs and provide value to
customers through their offerings.
Such Proactive CRM practicing companies are generally those which increase the level of
personalization and practice one to one marketing as shown below:

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Operational, Collaborative and Analytical CRM:

Operational CRM:

There are various ways through which a customer can approach the business. This interaction is
direct with company and its employees. The junction where this interaction happens is called
touch point. Usually transactions like sale, payment, information seeking, queries, suggestions,
and complaints happen at these operational touch points. That is why it is also called front office
CRM.
The customer can approach / be approached through the following ways:
 Face to face: Interacting while selling, serving customers by way of organizing events,
promotions etc.
 Database driven: In this interaction contacting customers is through

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 Telephone/Email/Mail/Fax/Loyalty programs/Cards/ATMs/SMS.
 Mass Media: when the contact is through public broadcasting. The contact is public in
nature and people at large are contacted. For example public advertising and public
relations campaigns.

Collaborative CRM:

Jill Dyche defines Collaborative CRM as a specific functionality that enables a two way
communication between a company and its customers through a variety of channels to facilitate
and improve the quality of customer interaction.( Dyche 2002).
The essence of collaborative CRM is to manage partners of the firm. These could be channels,
agents and other business stakeholders but not direct customers. The focus is on maintaining
relations with partners to facilitate coordination in business.

Analytical CRM:
Also known as back office or strategic CRM. This type of CRM is characterized by presence of
designations like business analysts. The objective of analytical CRM is to find out various taste,
preferences, and activities of the customers so as to customize solutions for them. The basis of
this data is captured customer interactions at various touch points. Extensive use of MIS and
technology is done in Analytical CRM

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CRM & eCRM:

The ability of the customers to take care of themselves through online or the firms being able to
take care of its customers through internet outlines the basic difference between CRM & e CRM.
As far as concept, methodology and process are concerned there is hardly any difference
between CRM & e CRM. But there is lot of difference when it comes to execution as the
communication media is different.

eCRM is the customer facing internet portion of the CRM. It contains capabilities like self
service knowledge bases, automated email response system, personalization of web contents and
online pricing. Though eCRM increases efficiency by way of reducing cost, an increased
dependence only on e CRM can backfire.A dissatisfied customer wanting to meet an employee
of the company, might get frustrated in an e CRM setup. Therefore, it is prudent to have a mix of
web and traditional channels in CRM.

Ever changing customer interaction channel that constantly keep companies on its toes. Various
web applications havre to keep itself abreast with the changing needs of the customers. This
drives eCRM .

The declining cost of internet has increased affordibility and accessibility. The speed and
convenience of internet has further added to growth of eCRM .

Research Design

One of the success factors of Samsung televisions is their innovative designs and functionality.
The company developed unique but user-friendly designs that were closely integrated with
innovative product concepts, allowing it to launch many first-in-the-world televisions .The
importance of design had risen to the fore with the release of the “Fukuda Report.”Then, in 1996,
the CEO reemphasized the design issue and declared the year to be the “Year of Design

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Revolution.” The objective of the declaration was to reposition design, which had been regarded
as a support function into the core of the firm’s product/market strategies. Design was to be
cohesively aligned to the Samsung’s brand strategy and managed so as to build up the corporate
identity. In 2001, this newfound focus on design was built into the organizational structure. The
design organization in the company has been upgraded, becoming the Design Management
Center, which is under direct control of the CEO. And a new executive position, the CDO (Chief
Design Officer), was created to manage the firm’s overall design strategy. From then on,
designers became directly involved in the entire product development process, from the
very beginning, just as were R&D engineers.
Samsung also built a worldwide design network, establishing four overseas design centers, in
San Francisco, Los Angeles, London, and Tokyo. The overseas centers are responsible for
developing customized designs for international markets while maintaining a consistent Samsung
brand identity.

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