Just when the relationship managers were trying to get comfortable with the idea of Customer Relationship Management (CRM), a new concept Customer Experience Management (CEM) emerged. Now the question that arises is: Are we again falling prey to "old wine in new bottle" syndrome? Actually no, though there is no doubt that CRM sounds like CEM and both are similar in number of ways, the grounds on which CRM and CEM are based are quite different. CRM sees the customer's value for the enterprise as against CEM which measures enterprise's value to the customer. More and more companies are realizing the power of CEM. It is the one true differentiator that provides a competitive edge to the firm. A pleasing and a memorable experience at all touch points goes a long way in garnering a greater market share and customer loyalty. This article highlights the various dimensions of CEM and how different it is from its big brother CRM.

The value of a product is no longer created in the factories, but at the point of interaction with the consumer. So, we need to have a clear understanding of consumer values.

We are gradually moving from a service economy to an experience economy. As a result today's consumers are more sophisticated as they not only demand services and products that are of the highest quality, they also want positive, emotionally sensitive, and memorable experiences. The organizations that learn how to add emotional value to their customers' experiences will have an uncontested market space. There are two key components in every transaction that a customer enters into a company with. While one component reflects the business side of the interaction and the other one, the human side. In today's competitive world where a customer has a plethora of choices, it is difficult to woo the customer by merely focusing on the business aspect of the transaction. Companies need to acknowledge the human side of the transaction more seriously to earn customer loyalty. This emotional aspect of the transaction that takes place between the marketer and consumer helps give products meaning and increases product use satisfaction while potentially enhancing product perceptions.

Advertising Express Magazine, Customer Experience Management, CEM, Customer Relationship Management, CRM, Kingfisher Airlines, Customer-centric Services, Customer Profitability, Strategic Management, Service Economy, Peppers & Rogers Group, Consumer Behavior.