Building Long-Term Relationship with the Customers - Dissertation Example

Download file to see previous pages In the present age of globalization and information superhighway, marketing relationship is experiencing rapid evolution as witnessed by Kotler et al (1999). It is shown to be utilizing technology in opening more and more collaborative and social communication channels that create a more collaborative atmosphere. The current trend leans towards the use of Information and Communications Technology (ICT) tools in developing, maintaining, and managing customer relationships beyond demographic and customer service databases (Kotler et al, 1999). Moreover, marketing relationship is currently using a combination of Search Engine Optimization (SEO) techniques as well as Strategic Content (SC) analysis, Public Relations (PR) models, Social Media (SM) practices in addition to Software Application Development and web services according to observations by (Gordon, 1999).

This chapter presents background information to the area of study and its significance as well as outlining the research problem and questions that abide in this exploration. The chapter culminates in a short description of the research design used in this study and a chapter summary.

1.2. Background
Like customer relationship management (CRM), relationship marketing is well recognized and widely accepted in managing and nurturing an organization’s interactions with its clients and surrounding environment as well as in increasing sales prospects. Relationship marketing is currently utilizing technology to organize and synchronize sales, marketing activities, and other business processes according to views by Carrol & Reichheld (1992). Most importantly, relationship marketing is now automating marketing and communication activities on important marketing sequences that could run on their own.

It is interesting to note that the overall goals in marketing relationships have been to find, attract and win new clients while nurturing and retaining the already existing customer base (Gordon, 1999). He further indicates that an organization has the obligation to entice prodigal clients back into the fold while at the same time aiming at reducing the costs of marketing and client service. In the views of Kotler et al (1999) “every customer is impatient and constantly compares the services of different companies based on speed and value”. This observation has led to the evolution of a company-wide strategy embracing all client-oriented departments and in the process shifting away from the category of software tool. When relationship marketing is effectively implemented, clients, workers, processes, and technology work in tandem to increase profitability and reduce operational costs (Kotler et al, 1999).

1.3. Significance of the Study
The results of this research are deemed critical in helping organizations, particularly those involved in profit-making to increase their productivity as well as their customer base. Since the paper is concerned with the question of “what influences the effective implementation of relationship marketing in building long-term relationships of an organization with the customers”, then the expected results will be fundamental in assisting marketing entrepreneurs and customers alike in carrying out their mandate.

1.4. Problem Statement and Research questions
The purpose of this research is to provide a better understanding of the influence of marketing relationship implementation in building a long-term relationship with customers. Players in this area have grappled for long with the quest of understanding how successful organizations have managed in building strong customer relationships. To reach an understanding of this insight, this research aims to answer the following research questions:

1. How do organizations determine mutually satisfying goals with customers
2. How do organizations establish and maintain customer rapport, and
3. How do organizations produce positive feelings in the organization and the customers? ...Download file to see next pages Read More