The Effects of Customer Relationship Management on New Product Design

Customer Relationship Management is widely used as an effective strategy for obtaining, analyzing, and mining valuable customer data for marketing management. However, the role of CRM has been limited for existing product. Most managers have neglected its important function of designing new product. In this study, we propose one theoretical framework in which three aspects of CRM are integrated into the process of new product design. We also test the model using a sample consisting of 100 firms. The results show the positive evidence that CRM has a significant effect on performance of new product design and indirect positive effect of firm performance. These findings have important implications for practice references to managers who especially are in charge of marketing management.