Research And Development Of A Customer Relationship Management System Based On Data Mining Technology

Customer Relationship Management (CRM) system is an important tool for enterprises to understand customers and seize the market, and data mining can reveal the unknown knowledge and hidden rules from the large amount of customer data, thus applying data mining method into CRM system will bring more valuable data to enterprises. The present method of data mining in CRM is usually using external data mining tools, such as Clementine software of SPSS Company, but as factors such as price, they are not suitable for use by small and medium-sized enterprises. To solve this problem, taking a medium-sized enterprise in Chongqing as the actual background, a Customer Relationship Management system called e-CRM is developed combining data mining method. Meanwhile, the following work is done:1) The structure, component of CRM system, the application of data mining and data warehouse technology in CRM system are researched.2) A customer value analysis method based on k-means and ID3 decision making tree algorithm is proposed and realized.3) The customer churn analysis method and cross-selling method are realized respectively based on ID3 decision making tree algorithm and Apriori algorithm.4) The function, structure, database and data warehouse structures of e-CRM system are analyzed, and the data extraction and transformation function is achieved using Data Transformation Services (DTS) tool of MS SQLServer 2000.Based on data warehouse and data mining technology, e-CRM is a kind of system-system CRM system between the operational CRM and analytical CRM system, which not only contains the basic functions of operational CRM but also supports customer value analysis, customer churn analysis and cross-selling analysis. Compared with large data mining software, the operation of data mining process in e-CRM is simpler and the mining results is more intuitive, which can play a supporting role in decision making.