CRM is the broad category of concepts, tools, and processes that allows an organization to understand and serve everyone with whom it comes into contact. CRM is about gathering information that is used to serve customers—basic information, such as name, address, meeting and purchase history, and service and support contacts. In a supplier relationship it might be procurement history, terms and conditions, or contact information. This information is then used to better serve the clients

Using the Internet and e-business to provide products and services and information to customers require that you really know and understand your customers’ needs. When customers contact your traditional business by visiting the store or office or contacting someone personally by phone, you have the opportunity to hear their questions and offer solutions based on personal communication. If they have a misunderstanding about your product or a sales objection you can deal with it immediately. When people visit your online business at your website, you will not even know they are there. You do not have the opportunity to ask or answer questions. It is therefore vitally important that you anticipate their questions and concerns and provide the needed information in a way that makes it easy for them to fully understand your offering. Customer Relationship Management (CRM) is a way to get the maximum value from your e-business investment.