Skip to Content Skip to Footer
A Strategic Framework for CRM

A Strategic Framework for CRM

A.F.T Payne and P.E. Frow

JM Insights in the Classroom

Teaching Insight:

Insight Slide 1: CRM is commonly described from a narrow technological perspective. CRM needs to be defined more broadly as a strategic approach that uses customer insight to create customer value and shareholder value.

Insight Slide 2: The CRM Strategy Framework identifies five cross functional processes that can be used to assess key tasks in using CRM effectively.

Insight Slide 3: For each of the five CRM cross functional processes there are two key questions that need to be addressed for CRM strategy to achieve its potential. The article provides an overview of the five processes. A later book (Payne and Frow 2013) provides an more extensive discussion of the five processes together with a detailed discussion relating to CRM implementation.


Access Classroom Lecture Slides

Related Marketing Courses: ​
Principles of Marketing, Core Marketing, Introduction to Marketing Management and Marketing Strategy

Full Citation: ​
Payne, A.F.T. and Frow, P.E. (2005), “A Strategic Framework for CRM”, Journal of Marketing, 69 (4), 167-176.

Article Abstract
In this article, the authors develop a conceptual framework for customer relationship management (CRM) that helps broaden the understanding of CRM and its role in enhancing customer value and, as a result, shareholder value. The authors explore definitional aspects of CRM, and they identify three alternative perspectives of CRM. The authors emphasize the need for a cross-functional, process-oriented approach that positions CRM at a strategic level. They identify five key cross-functional CRM processes: a strategy development process, a value creation process, a multichannel integration process, an information management process, and a performance assessment process. They develop a new conceptual framework based on these processes and explore the role and function of each element in the framework. The synthesis of the diverse concepts within the literature on CRM and relationship marketing into a single, process-based framework should provide deeper insight into achieving success with CRM strategy and implementation.  ​

Special thanks to Kelley Gullo, a Ph.D. candidate at Duke University, for her support in working with authors on submissions to this program. 

Search other Insights in the Classroom​

More from the Journal of Marketing​​​​​​​