Customer Relationship Management Matrix

The Customer Relationship Management (CRM) Matrix is a 2x2 matrix used to evaluate customer relationships. It helps businesses prioritize customer relationships based on their potential value and how much effort is required to maintain them.

At a very high level, the Customer Relationship Management Matrix is used in the context of business, marketing, crm.

Customer Relationship Management Matrix quadrant descriptions, including examples
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What is the Customer Relationship Management Matrix?

A visual explanation is shown in the image above. The Customer Relationship Management Matrix can be described as a matrix with the following quadrants:

  1. High Value, Low Effort: Customers who have the potential to generate a lot of revenue for the business, but require little effort to maintain.
  2. High Value, High Effort: Customers who have the potential to generate a lot of revenue for the business, but require a lot of effort to maintain.
  3. Low Value, Low Effort: Customers who have the potential to generate little revenue for the business, but require little effort to maintain.
  4. Low Value, High Effort: Customers who have the potential to generate little revenue for the business, but require a lot of effort to maintain.

What is the purpose of the Customer Relationship Management Matrix?

The Customer Relationship Management (CRM) Matrix is a 2x2 matrix used to evaluate customer relationships. It helps businesses prioritize customer relationships based on their potential value and how much effort is required to maintain them. The matrix is divided into four quadrants, each with its own criteria for evaluating customer relationships.

The top-left quadrant is labeled 'High Value, Low Effort'. This quadrant is for customers who have the potential to generate a lot of revenue for the business, but require little effort to maintain. These customers are the most valuable and should be given priority. An example of a customer in this quadrant would be a large company that regularly orders large quantities of products.

The top-right quadrant is labeled 'High Value, High Effort'. This quadrant is for customers who have the potential to generate a lot of revenue for the business, but require a lot of effort to maintain. These customers should be given priority, but the business should also be aware of the amount of effort required to keep them satisfied. An example of a customer in this quadrant would be a small business that orders a lot of products, but is very demanding in terms of customer service.

The bottom-left quadrant is labeled 'Low Value, Low Effort'. This quadrant is for customers who have the potential to generate little revenue for the business, but require little effort to maintain. These customers should be given the least priority. An example of a customer in this quadrant would be a customer who orders small quantities of products on a regular basis.

The bottom-right quadrant is labeled 'Low Value, High Effort'. This quadrant is for customers who have the potential to generate little revenue for the business, but require a lot of effort to maintain. These customers should be given the least priority. An example of a customer in this quadrant would be a customer who orders small quantities of products, but is very demanding in terms of customer service.


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What templates are related to Customer Relationship Management Matrix?

The following templates can also be categorized as business, marketing, crm and are therefore related to Customer Relationship Management Matrix: Effort Impact Matrix, Gap Analysis Matrix, Growth Share Matrix, Kraljic Matrix, Outsourcing Matrix, Quadrant Analysis, Risk Analysis Matrix, Risk Value Matrix. You can browse them using the menu above.

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