Is CRM a software, a strategy or plain sensibility?

This morning, I read a very good article on CRM that was published in the HBR when I entered the insurance industry (2002).... Surprisingly, this one is relevant even today, and I said to myself that I should add peril#5 to this article (written by Darrell Rigby) based on my own experiences as a customer of insurance companies- I am saving stories about banks for another day..

Peril #5- No clue about one's own products or services or even loyal customers but tout wastage as an investment or even an improved NPS with no improvement in other parameters which impact lives and financial outcomes of all stakeholders..

Lemme illustrate with the following experiences of my own...

1. Company A: For over 8 years now, I have been their customer, and on 8th anniversary,I received an email which read that we have managed the 7-year itch, and therefore will have a longer relationship... Seriously??

2.Company B: This company is even funnier, I have been a customer for over 10 years, and so far all I received from this company was an annual reminder for premium payment, and when I decided to surrender the policy, their broken process made it almost impossible ( was it part of their retention strategy??)...worst is their claim that their chatbot is capable of addressing customer issues.The bot was on its own with none to take over when it fails, just like their erstwhile front-end -lack of skill at front-end? or even those who designed the process??

3.Company C: This one could have benefited the most by exhibiting some sensibility, I have been a customer for over 10 years, and have three policies bought at different stages over these 10+ years, they even classified me as 'premium'(does that mean ignore this customer in their categorization)- guess what they never even managed to notice that I have maintained my vitals over 10 years at same levels, and not on an single occasion this company spoke regarding my health... even worse, they did not even contact to ask me as to why I have not used their routine health check feature over 10 years?? I always received annual reminder for premium but never for services...Luckily for me, I never was in a situation to claim health insurance benefits over these ten years. In this ten years, I developed great interest in running, and have energized many others including my spouse (who is also a customer of this comoany) to take-up running... You see what did they miss by not knowing what their customer has become now? And, possibly missed an advocate for themselves...

All these companies continue investing in CRMs, Chatbots and even measure NPS without knowing that they are making less or no impact on lives of their customers- makes one think is there a clarity regarding CRM? Is CRM a software, a strategy or plain sensibility?

Do customers care what we invest and what we measure when all they care is 'CARE'...

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