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BK007A1 Customer Relationship Management in Marketing

BK007A1 Customer Relationship Management in Marketing


Assessment # 1


Assessment Code: BK007A1
Assessment Name: Individual Assignment
Assessment Type: Individual Essay
Subject Code: BK007
Subject Name: Customer Relationship Management in Marketing
Briefing Date: Week 1
Submission Date: To be confirmed on Turnitin submission page in Moodlerooms.
Weighting: 30%
Aims: Demonstrate  a  critical  understanding  and  application  of  key  principles  of
Customer Relationship Management.
Brief: Identify and review the CRM at C. Fun Parks (CFP). Principles, CRM as a business
strategy, elements of CRM and influences on the success of CRM
Submission The essay MUST be typed in 12pt font Times Roman or Arial, 1.5 line spacing and
Format: properly referenced using APA 6th edition. The length of the essay must be at least
2000  words  and  not  exceeded  2,500  words  excluding  reference  list  and
NO handwritten assignments will be accepted.
A final soft copy of all assignments MUST be submitted via “Turnitin on NZSE-
Moodle” online.
Information: You are required to keep a soft copy of this particular assignment.
Required Permitted
If yes, extent of collaboration:
If yes, sample of referencing:
Peelen, E., & Beltman, R. (2013). Customer relationship management. (2nd ed.).
Harlow, UK: Pearson Education Limited.
Alternative No alternative


Grading Bands:

Percentage Mark
100 – 85 High Distinction
84 – 75 Distinction
74 – 65 Credit
64 – 50 Pass
< 50 Fail


NZSE Policy:

  1. All work submitted must be accompanied by an Assessment Submission Form (attached). The lower part of this form is to be signed by the lecturer/staff and kept by the student as proof of submission.
  2. All work submitted after the submission deadline will be limited to a maximum of 50% and will not be accepted after the end of the study period unless special circumstances apply.
  3. Students only receive grade bands, not raw marks, for individual assessments.

Learning Outcomes:

The learning outcomes associated with this assessment brief are:

  1. LO1 Identify key principles of Customer Relations Management (CRM) and its importance in terms of competitive strategy for today’s business.
  2. LO2 Identify the range of stakeholders affected by CRM including current customers, potential customers, company strategists, managers and marketing specialists.
  3. LO3 Appreciate the importance of information technology in CRM: students will understand the importance of creating effective processes for reaching customers and accessing their input, and the increasing role of IT in these processes.
  4. LO4 Understand the value creation through CRM and the development of customer relationship based marketing strategies in specific businesses. Students are expected to develop strategies incorporating CRM into the marketing for a range of companies including both service and product-based companies


Individual ASSIGNMENT:

Topic: Customer relationship management in marketing

Assignment instructions:

  1. This essay is to be completed individually.
  2. Assignment instructions and length: 

The front page of the essay must be the assessment cover page, signed and dated.

Use 12 point Times Roman or Arial font in your essay. The length of the essay (excluding cover page, and references) should be limited to 2,500 words. 

You are required to attend a workshop on assignment 1 topics during the class sessions.

  1. Presentation and Referencing: 

The assignment is to be presented to a professional standard, typed and with appropriate citation and referencing. Marks will be awarded for presentation, correct spelling and overall structure. 

All references must be cited using APA (6th ed.) format. (Refer to Writing guidelines for business students Emerson). Failure to reference correctly in up to 10% of total marks being deducted).

Plagiarism (passing off someone else’s work as your own) is to be strictly avoided; if this is found, the assignment will receive zero marks and the student(s) will be liable for disciplinary action.

Assignment Tasks:

You are required to read the attached case study and Chapter 1 notes posted on Moodle and write an essay addressing the following questions: Question 1: (Maximum 500 words)

  1. Evaluate the different perspectives on CRM in your own words, by examining the different definitions of CRM discussed in class (Chapter 1 notes posted on Moodle) LO1 (5 marks)


  1. Critically examine in the context of the case study, ‘Organisational CRM’ as a business strategy LO1


(10 marks)


Question 2: (Maximum 2000 words)


  1. Identify the range of stakeholders affected by CRM, and analyse the impact of CRM on these stakeholders, in the context of the case study organisation (LO2) (Maximum 200 words) (10 marks)
  1. Evaluate the importance of information technology in CRM, using examples from the case study organisation (LO3) (Maximum 300 words) (10 marks) 
  1. Critically examine the elements of CRM, based on the building blocks of CRM that would be relevant to the case study organisation (LO1) (Maximum 500 words) (20 marks)
  1. As a CRM consultant, discuss the factors you think would influence the success of CRM on the case study organisation, and include recommendations (LO4) (Maximum 1,000 words) (15 +15 marks) (Class participation in assignment 1 workshop? (5 marks)


  • Formatting-Clear, concise style of written expression ensuring complete coverage of all concepts.
  • Neat and tidy presentation and formatting.
  • APA 6th edition referencing-accurate) (10 marks)


Assessment Criteria:


Structure of the Essay Weight %
1 Background/Introduction (Task 1 a & b) 15%
2 Knowledge of subject; Understanding of concepts/theory (Task 2 a & b) 20%
3 Application of theoretical concepts  (Task 2 c) 20% 35%
3 Information analysis/synthesis (Task 2 d- success factors ) 15%
4 Presentation  (written  expression,  formatting,  referencing  (APA  6th 10%
edition) etc.
5 Lessons learned/Conclusion (Task 2 d- recommendations) 15%
6 Class participation in assignment workshop 5%
Total 100%


Case Study:

CRM at C. Fun Parks (CFP)


  1. Fun Parks (CFP) is a concept that was developed by Theodore Brook (TB) in 1985. The aim was to give people a short break, to take away their worries and give them a safe place to visit, where everything is provided for their comfort and entertainment, and also their family and/or friends, and all close to home!

From 1985 onwards Brook experienced a great demand for his service proposition. In only a few years he was able to open more than thirty of these resorts in the Netherlands, Belgium, Germany and France.

The first resorts were company owned, managed and operated. But soon Brook found that his resources were limited and this hindered a rapid expansion; the launch of a franchising concept provided a solution. At present, 85 percent of resorts are owned and managed by franchisees. Twice a year there is a meeting between the franchisees and the franchise organisation. During the last franchisee meeting, Brook was asked to develop and present a CRM plan. The franchise organisation was, in the franchisees’ opinion, lacking a clear CRM vision and strategy, and invested in a rather ad hoc way in CRM systems.

The franchising concept

Characteristic of CFP is the resort’s main building that houses the reception, a restaurant, a (tropical) swimming pool, a bar, a terrace, a game hall and a convenience store. Apart from the central building, the resorts contain several bungalows, with accommodation available for four to sixteen people.

Guests can choose between several service packages. The budget pack does not include bed sheets, towels, cleaning, welcome food and beverage package, etc., whereas the premium pack will provide these services.

Also, in the park, several activities are organised for guests, ranging from horse riding, bingo and soccer games to nature walks. Outside the park, there are ample opportunities for enjoying a short holiday. The park provides guests with information so that they can enjoy and explore the local environment.

Franchisees have little decision-making freedom over the park. The park’s general manager also has to follow and pass a professional hospitality management programme and a special quality management system has to be implemented in his/her organisation. Furthermore, s/he will have to participate in the joint marketing programme.


Franchisee performance

About 70 percent of the franchisees have been able to increase customer satisfaction rates over the past five years. However, the improvements in profitability and sales show a less satisfying trend over the past three years. Of course the market has changed, but even if the franchisees take account of external events, they state they ‘need more’. Occupancy rates have dropped to 85 per cent; this, although still acceptable, has been higher in the past. Furthermore, guests often delay their choice of a short break, leaving the decision as to whether to book a holiday until the last minute. French guests are known for their impulsive behaviour; a substantial percentage does not reserve a bungalow, and arrive at reception asking for a place to sleep. During guests’ stay, the pattern has also shown a negative trend: they spend less during their stay in the restaurant, in the convenience store, on organised activities, on services, etc. Not all the facilities are particularly profitable either. Although it might not be desirable to hold each facility accountable, there is a need to exploit the tropical swimming pool, for instance, in a more economical way.

CRM on the agenda

Although relations with headquarters and TB are quite good, during the last meeting franchisees expressed concerns. They particularly expressed concerns about the effective use of CRM. Brook has been investing rather large amounts of money in CRM projects that have been delayed or even cancelled. Franchisees wanted him to hire an external expert to make an independent analysis and to provide recommendations for CRM. Also they want this expert to consider, as part of CRM, the feasibility and functionality of a loyalty programme to improve customer retention rates and spending.

Brook wants to follow up this request. Imagine he has selected you and invites you to present your ideas on this project. What is your initial analysis of the situation? How should they approach the project and seek to improve CRM at CFP?

As input for your preparations, CFP has provided the following information on the CRM projects.

CRM Project 1

Let’s say Brook has hired Siebel to implement a CRM system for the internet (web) channel and the call centre. Siebel (Oracle) is a well-known CRM system; by selecting this service provider, Brook sought to reduce the risk.

At the core of this project were several processes (lead generation, converting leads into sales, information provision, market research, after sales service).

The real-time registration and accessibility of the communication history for different channels made it possible to serve prospects and customers any place and anytime.

Problems have arisen with the integration of this front office application with back office systems for administration, billing, invoicing and reservations. Up until now the systems have operated separately.

CRM Project 2

The success of CRM depends to a large extent on the quality of the data and the customer profile. To date, several parks have been recording the identity of the guests in their own way; they did not want to rely on head quarter’s data bases. However, the local databases don’t only differ in structure, but also in the quality of the registered data. The result is that many (e-) mailings are returned, wasted and result in time-consuming phone calls to call centre agents.


Profiling attempts to seek to know more about each individual customer have been initiated, but have not yet resulted in an increase in sales, spending, and retention or satisfaction rates.


(Source: Adapted from Peelen, & Beltman, 2013)

Marking Criteria: BK007 Customer Relations Management in Marketing
Assessment #1: Individual Assignment Weighting: 30%
Student/s ID: ____________
Excellent Good Satisfactory Poor Very poor and /or
1 A satisfactory A poor basic
description of
description of the
definitions of CRM and
A good description of the definitions of CRM and
business strategy
An excellent evaluation of the definitions of CRM and business strategy
context. >5 but <7.5 An unacceptable description of
definitions of CRM and business business strategy context. context>7.5 but <10
(One perspective of definitions of CRM and business
strategy context. >13 >10 but <13 (Less than two
CRM evaluated but strategy context <5
(over a range of three different (Between two to three different perspectives
lacks depth; (Included but lacks depth and is
perspectives of CRM evaluated; different perspectives of of CRM evaluated;
CRM as an integral incorrect;
CRM as an integral part of CRM evaluated; CRM as an integral
part of business CRM as an integral part of
Background/ business strategy examined CRM as an integral part of part of business
strategy examined business strategy examined
Introduction (15%) critically within the case study business strategy strategy examined
critically within the critically within the case study
context the discussion brings in examined critically within critically within the
case study context the context the discussion makes a
all the value disciplines the case study context the case study context the
discussion makes a mention of value disciplines
(strategies) according to Treacy discussion brings in at discussion brings in at
mention of value (strategies) according to Treacy
and Wiersama; product least two of the value least one of the value
disciplines (strategies) and Wiersama included incorrect;
leadership; cost leadership; disciplines (strategies) disciplines (strategies)
according to Treacy not included and or incorrect;)
individualised CRM;) according to Treacy and according to Treacy
and Wiersama
Wiersama; includes only ) and Wiersama; CRM
included but not
included but lacks
elaborated; and or
lacks depth 😉
2 A satisfactory essay A poor basic
A good essay that clearly that elaborates at least identification of
An excellent essay that clearly elaborates the range of three stakeholders stakeholders and the An unacceptable identification of
elaborates the range of stakeholders and the and the importance of importance of
stakeholders and the importance
stakeholders and analyse the importance of information information information
of information technology,
impact of CRM; evaluates the technology, building technology, building technology, building
Knowledge of subject; building blocks of CRM – <3
importance of information blocks of CRM >10 but blocks of CRM >5 but blocks of CRM >3 but <
Understanding of (Discussion includes
technology. ->15 <15 <10 5
concepts/ Theory stakeholders- incorrect and lacks
(discussion includes over 5 (discussion includes (discussion includes (Discussion includes
(20%) depth and detail; includes
stakeholders; more than three between three to 5 between 2-3 stakeholder’s lacks
perspectives on the role of
perspectives on the role of stakeholders; between 2-3 stakeholders; at least depth and detail;
technology but errors and lacks
technology included with in- perspectives on the role of one perspective on the includes perspectives
depth and detail.)
depth discussion) technology included with role of technology on the role of
in-depth discussion) included with in-depth technology but lacks
discussion) depth and detail.)
Assessment1 Brief Page 7 of 8


3 At least three The implications of
A good range of implications of building blocks of CRM
implications of  building building blocks of CRM and influencing factors
blocks of CRM and for success of CRM- The  implications  of  building
An excellent range of implications influencing factors for and influencing factors poor coverage > 10 blocks of CRM and influencing
of building blocks of CRM and success of CRM are clearly for success of CRM are but <15 factors  for  success  of  CRM-
Application of influencing factors for success of outlined >20 but <30 outlined >15 but <20 A  relevant building unacceptable coverage – <10
theoretical concepts CRM are clearly outlined. >30 Between 2 to 3 relevant At least one relevant block is included but Building blocks are discussed lack
and Information More than 3 relevant building building blocks are
analysis and synthesis blocks are discussed in depth; building blocks are discussed in depth; At lacks depth; a valid relevance and  depth; 3 reasons
(35%) more than 3 reasons for success discussed in depth; least 1 reason for reason for success is for  success  are  discussed  or
are discussed or alternatively 3 between 2 to 3 reasons for success are discussed included however alternatively 3 reasons for failure
reasons for failure are analysed success are discussed or in depth or lacks depth discussed are analysed but lack depth and
alternatively between 2 to or alternatively relevance
3 reasons for failure are alternatively at least 1 1reason for failure are
analysed reason for failure are analysed but lacks
analysed in depth depth
4 A satisfactory written
expression ensuring
A good clear, concise style complete coverage of
An excellent clear, concise style of of written expression all concepts. A poor coverage. Tidy
written expression ensuring ensuring complete Punctuation and
presentation. Major An unacceptable coverage. Tidy
Presentation (Written complete coverage of all concepts. coverage of all concepts. grammar could be
errors in punctuation presentation. Punctuation and
expression, formatting, Free of punctuation and Minor punctuation and improved. Average
and grammar. Major grammar – very poor. Poor
referencing- (APA 6th grammatical errors. Neat and tidy grammatical errors. Neat effort on presentation
gaps in APA 6th attempt or not included -APA 6th
edition) etc. (10%) presentation and formatting. APA and tidy presentation and and formatting. APA
edition referencing- edition referencing <3
6th edition referencing-accurate. formatting. APA 6th 6th edition
>3 but <5
>8.5 edition referencing- referencing included
accurate >7.5 but <8.5 but needs
improvement – >5 but
5 A satisfactory
Excellent recommendations and A good recommendations recommendations – >8 A poor
but <10 recommendations – >5 An unacceptable
conclusion->12 >10 but <12
Lessons learnt / & Between 1 to 2 but <8 recommendations – but <5
More than five relevant Between 3 to 5 relevant
Conclusion – 15% relevant 1 relevant Missing and /or Irrelevant
recommendations and a relevant recommendations and a
recommendations and recommendation and recommendations and conclusion
conclusion included good conclusion included
a good conclusion a conclusion included
6 Class participation in Mostly participated->3 Fair participation – >2 Poor participation->1
assignment 1 workshop Fully participated – >4 Not participated – <1
but <4 but <3 but <2


Mark: _________ Grade: _______
Lecturer: _______________________ Date: __________ Comments:



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