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    This paper addresses this literature gap by: (1) investigating how web 2.0 applications are advancing the concept and implementation of eCRM and (2) examining Greek tourism firms’ usage and readiness to embark in this field. To achieve these, first, a literature review analyses how web 2.0 capabilities and tools are challenging the aims and implementation of eCRM and then, a framework illustrating usage of web 2.0 for building and maintaining customer relations is developed and used for exploring the usage and readiness of Greek tourism firms for implementing eCRM 2.0 strategies. Primary findings are gathered through an e-mail survey and focused group discussions with tourism professionals. Findings and their implications are discussed.

    2. Theoretical background

    2.1. eCRM: Definition, aims, customer value and implementation

    Despite the plethora of (e)CRM definitions, there is a general consensus on (e)CRM’s aim and focus on developing and retaining relations with profitable customers through value creation processes (Sigala, 2006a). For example, CRM is defined as a process of understanding and managing profitable customer relationships by delivering superior customer value, service and satisfaction (Chen and Popovich, 2003,Christopher et al., 1991, Morgan and Hunt, 1994 and Webster, 1992). CRM is also defined as the approach that involves identifying, attracting, developing, and maintaining successful customer relationships over time for increasing retention of profitable customers (Bradshaw and Brash, 2001 and Massey et al., 2001). When these activities and techniques are delivered via Internet based media (e.g. e-mail, forums) then, eCRM is applied (Lee-Kelley, David, & Robin, 2003). Forrester (2001) also recognised eCRM as a process of transferring CRM on Internet and as a way for synchronizing customer relations across channels, functions and audiences. Sigala (2006b) also demonstrated that the integration of the offline CRM with the eCRM practices is required in order to enhance customer service quality standards and perceptions. Yet, eCRM must not be viewed as an IT application, but rather as a combination of hardware, software, humanware, processes, applications and management commitment aiming at attracting and keeping economically valuable clients (Fjermestad & Romano, 2003) and at enhancing marketing effectiveness through creating and delivering maximum value to customers (Scullin, Fjermestad, & Romano, 2004). eCRM is mainly about aligning business processes with strategies aiming to create customer value and that are supported with ICT (Rigby, Reichheld, & Schefter, 2002). Indeed, previous studies have used the ways for creating customer value as a criterion for identifying (e.g. 43 items by Fjermestad & Romano, 2003) or classifying (Sigala, 2006a) the numerous websites features providing eCRM functionality as follows: website interactivity; shopping convenience, care and service; relationship cultivation; website character; community building; collaboration and personalisation.

    In developing successful relationships with profitable clients, firms need to understand and manage all phases through which relations are evolved, as each phase is characterised by differences in behaviours and orientations and so, it requires different CRM approaches (Dwyer, Schurr, & Oh, 1987). Theory and practical evidence has shown that customer relations evolve over three major distinct phases related to the customer lifecycle (Dwyer et al., 1987, Greve and Albers, 2006 and Reinartz et al., 2004): initiation, maintenance and retention or termination. Hence, all CRM implementation models (e.g. Christopher et al., 1991) are based on identifying CRM practices for managing each relational phase. These models were enriched by Park and Kim’s (2003) dynamic CRM implementation model that identifies the required and appropriate customer information management (CIM) strategies for managing each phase of the customer relationship lifecycle. As the web 2.0 is mushrooming the volume and the types of user-generated content, this study used the latter’s model for developing a framework that can demonstrate how firms can exploit the social intelligence of Web 2.0 for supporting and augmenting eCRM strategies (Table 3). Park & Kim (2003) identified the following three types of information that are required for managing the phases of the customer relationship lifecycle. “Of-the-customer” information includes customers’ personal and transaction data for understanding and measuring their profile, e.g. sales, profitability, purchasing patterns, preferences. “For-the-customer” information refers to product, service and firm information perceived as useful by clients for making more informed decisions. “By-the-customer” information reflects customer feedback (e.g. customer complaints, suggestions, reviews) that can be used for new product development and/or business improvement. Currently, various Web 2.0 applications enable the collection, dissemination and update of all these three types of customer information directly from the customers-users in a reliable, timely and cost effective way.

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