Analyzing Data Quality Investments in CRM - A Model-based Approach

Abstract

Known as Customer Relationship Management (CRM) in recent years a concept for business that focuses customers is often discussed in research and practice. After initially extraordinary expectations, numerous CRM projects fail. Thereby as one of the major reasons an overestimated and poor data quality is very frequently mentioned. Many authors assume a positive correlation between data quality and CRM, but nevertheless this can often not be (obviously) justified. This article aims to contribute to this research and analyses data quality investments in customer relationship management. By providing an explanation model we analyze the interdependences. With this model, it can be shown that data quality investments do not necessarily result in lasting or intensive customer relationships. In addition to the scientific contribution provided by the model, it builds the basis for derive recommendations for practice.