AN IN-DEPTH STUDY ON THE EFFECT OF CUSTOMER RELATIONSHIP MANAGEMENT (CRM) ON CUSTOMER SATISFACTION IN DANGOTE INDUSTRIES LIMITED IN CAMEROON

CHAPTER ONE

INTRODUCTION

Background of the study 

Customers hold significant value and ought to motivate a business to achieve success. Furthermore, the interests of the customer are considered in a multitude of ways (Aganga, 2020). In light of this, customer satisfaction is an extremely critical concern that must be attended to. The estimation of average customer value and satisfaction can be obtained by sampling the interests of various customers rather than basing customer satisfaction estimates on individual customer interests. Subsequently, ideas developed into comprehensive work systems, such as a customer relationship management (CRM) system, which comprises liaison officers and managers, business marketers, account managers, processes, and technologies all operating in unison to achieve a common objective. However, it is worth noting that a number of organisations fail to prioritise customer relationship management (Mabey & Mayon-2020).

Customer Relationship Management (CRM) is characterised as a strategic methodology employed by organisations to oversee their interactions with both existing and prospective clients by establishing a reliable alliance. It emphasises data analysis and a review of its past in order to strengthen customer relationships, with a particular emphasis on customer retention and, ultimately, revenue growth. CRM is primarily concerned with organisations that are customer-centric and actively involved in establishing enduring relationships that are mutually advantageous. Certain companies wish to individualise each client. The client serves as the primary catalyst for the success of the organisation and plays a pivotal role in shaping its goals and business framework (Ndikumana & Verick, 2021).

In the current highly competitive business environment, the maintenance of robust customer relationships is critical for ensuring long-term growth, cultivating customer loyalty, and optimising financial gains. CRM comprises a range of approaches, procedures, and technologies that are designed to effectively oversee engagements with clients over the course of their entire lifecycle, including acquisition, retention, service, and support. Through the implementation of CRM, businesses are able to customise interactions, predict the requirements of customers, and provide exceptional experiences, which ultimately results in increased customer loyalty and satisfaction (Aganga, 2020).

1.2 Statement of the problem

Cameroon, situated in Central Africa, presents both opportunities and challenges for businesses operating within its borders. The country's economy is characterised by its diversity, with key sectors including agriculture, manufacturing, energy, and services. Although Cameroon does indeed have a relatively stable political environment and abundant natural resources, it is important for businesses to be aware of and navigate the challenges posed by infrastructure deficits, regulatory complexities, and socio-economic disparities in order to achieve success in the market (Mabey & Mayon-2020).

Despite the recognised importance of Customer Relationship Management (CRM) in driving customer satisfaction and organisational performance, limited research has been conducted on the specific application and effectiveness of CRM in Cameroon. This study aims to address this gap by conducting a comprehensive analysis of the impact of CRM practices on customer satisfaction in Cameroon using Dangote Industries Limited as a case study. By comprehending the distinctive challenges and opportunities encountered by Dangote Industries Limited in the Cameroonian market, this study endeavours to furnish actionable insights and recommendations for augmenting CRM strategies and ameliorating customer satisfaction outcomes.

1.3 Objectives of the Study 

The primary objective of this study is to carry out an in-depth study on the effect of customer relationship management (crm) on customer satisfaction in dangote industries limited in Cameroon. Specifically the study seeks:

To find out whether CRM practices are employed by Dangote Industries Limited in Cameroon.

To analyze the impact of CRM on customer satisfaction in Dangote Industries Limited in Cameroon.

To Identify the challenges to effective CRM implementation in Dangote Industries Limited in Cameroon.

To proffer solutions for enhancing CRM strategies in Dangote Industries Limited in Cameroon.

1.4 Research Questions

The following research questions will be answered in this study:

Are CRM practices employed by Dangote Industries Limited in Cameroon?

What are the impact of CRM on customer satisfaction in Dangote Industries Limited in Cameroon?

What are the challenges to effective CRM implementation in Dangote Industries Limited in Cameroon?

What are the solutions for enhancing CRM strategies in Dangote Industries Limited in Cameroon?

1.5 Research Hypothesis

The following null hypothesis will validate this study:

Ho1: There are no impact of CRM on customer satisfaction in Dangote Industries Limited in Cameroon.

1.6 Significance of the study

The findings of this study are anticipated to make a valuable contribution to the current body of knowledge on Customer Relationship Management (CRM) and customer satisfaction, specifically within the African business environment, with a focus on the manufacturing and industrial sectors. 

Furthermore, the research holds practical significance for Dangote Industries Limited and other corporations functioning in Cameroon, providing valuable insights into the utilisation of CRM to improve customer relationships, stimulate business expansion, and achieve a competitive advantage in the marketplace.

1.7 Scope of the study

The study aims to carry out an in-depth study on the effect of customer relationship management (crm) on customer satisfaction in dangote industries limited in Cameroon. Empirically, this study will assess whether CRM practices are employed by businesses, the impact of CRM on customer satisfaction, the challenges to effective CRM implementation and proffer solutions for enhancing CRM strategies in business organizations.

This study will be carried out in Cameroon.

1.8 Limitation of the study

The researchers encountered slight constraints while carrying out the study. The significant constraint was the scanty literature on the subject owing that the effect of organizational culture on effect of customer relationship management (crm) on customer satisfaction in Cameroon discourse is vast thus the researcher incurred more financial expenses and much time was required in sourcing for the relevant materials, literature, or information and in the process of data collection, which is why the researcher resorted to a limited choice of sample size covering only residents of Cameroon. Thus findings of this study cannot be used for generalization for other regions within Cameroon. Additionally, the researcher will simultaneously engage in this study with other academic work will impede maximum devotion to the research. Howbeit, despite the constraint encountered during the research, all factors were downplayed in other to give the best and make the research successful.

1.9 Definition of terms

Customer: A customer is any entity, organisation, or individual that, in exchange for payment or another consideration, acquires products or services from a third party, typically a business. Customers are vital to businesses because their consumption of the products or services offered by the company generates revenue and maintains operations. Customer retention and contentment are critical for organisations seeking to sustain a devoted clientele and attain enduring prosperity.

Customer Relationship Management (CRM): Customer Relationship Management (CRM) is a strategy and technology utilised by businesses to effectively manage and analyse interactions with their existing and prospective customers. The goal of CRM, is to enhance relationships with customers, ultimately driving sales growth and improving customer satisfaction and loyalty.

Customer satisfaction: Customer satisfaction is a metric that evaluates the extent to which a product or service fulfils or surpasses the expectations of a customer. The concept of customer satisfaction refers to the extent to which the needs and desires of a customer are met by the product or service they have acquired.