The Missing Link between Virtual CRM and e‑business Performance

Purpose of this paper - Customer relationship management is becoming increasingly relevant in corporate agendas and has been broadly studied by academic researchers. In the last few years with the development of the digital economy, a new paradigm has emerged: virtual customer relationship management (virtual CRM). Our aims are to determine whether the implementation of virtual CRM is linked to e‑business performance and to identify the nature of the relationship that exists in the different initiatives of CRM. Design/methodology/approach - This paper establishes a new model of the practices and results of the virtual CRM which has been tested in European companies. For that purpose, we used a structural equation modelling analysis. Findings - The results show that all the initiatives considered have a positive impact on the maximisation of e‑CRM competencies and that e‑CRM also has a positive impact on e‑business performance. Research limitations/implications - As limitations of the study we consider the need for more research into the e‑CRM field and the inclusion of new elements such as technological readiness and management support. This paper contributes to the research on this topic with new evidence in a broad sample. Practical implications - The results point to e‑CRM's usefulness in improving everyday e‑business processes. Therefore managers should be aware of these benefits. Originality/value - The present study advances knowledge on the nature of the relative importance of different components of internet-based CRM as drivers of e‑business performance and reinforces its importance as an integrated e‑business tool.