How do fashion retail customers search on the Internet?: Exploring the use of data mining tools to enhance CRM.

Abstract

This paper seeks to determine the usefulness of data mining tools to SMEs in developing customer relationship management (CRM) in the fashion retail sector. Kalakota & Robinson’s (1999, p.114) model of ‘The Three Phases of CRM’ acts as a basis to explore the use of data mining software. This paper reviews the nature and type of data that is available for collection and its relevance to CRM; providing an advisory framework for practitioners for them to examine the scope and limitations of using data analysis to improve CRM. The data mining tool examined was Google Analytics (GA); an online freeware tool that enables businesses to understand how people find their site, how they navigate through it, and, ultimately, how they do or don’t become customers of it (Google Analytics, 2009). Establishing these relationships should lead to retailer development of enhanced web site aesthetics and functionality to coincide with consumer expectations. The paper finds that the competitive nature and homogeneity of the fashion retail sector requires retailers to improve the ‘reach, richness and affiliation’ (Hackney et al) of their sites by using technology to explore CRM.