Relationship Marketing as an Ideal Model for Modern Marketing - Literature review Example

However, many marketers in today’s perspective have come to realize that though attracting customers remains to be a fundamental aspect; this is actually an intermediate step in the whole process of marketing. Efforts of marketing are focused on creating, and maintaining a relationship that is mutually beneficial with the extant customers. Such efforts must expand to include employees, and suppliers (Bengtsson, 2010, 2009, 35).Relationship marketing has developed as a rival to traditional marketing concepts since the early 1990s.

Advocates of relationship marketing as a paradigm shift to conventional theories of marketing have based their criticisms on the transactional nature of these traditional marketing theories. Their arguments are that the positive nature in conceptualizing marketing based on microeconomic models did not consider the aspect of the relationship in the process of marketing, and its strategic impact on human interactions in the process of exchange (Berry, 2010, 27).The concept of relationship marketing includes the development, maintenance, and growth of a cost-effective, long term relationship with individual clients, suppliers, employees, and other partners for mutual benefits.

Relationship marketing broadens the scope of external marketing relationship to include not only customers, but also suppliers, and referral sources. In relationship marketing, the term “customer” takes on a new meaning. Workers serve clients not only within the organization but also outside as well. Additionally, an individual worker and their departments are clients and suppliers to one another (Smith, 2010, 56). They are expected to apply a high degree of standards in customer satisfaction to interdepartmental relationships the same way in external relationships.

Relationship marketing identifies the critical significance of internal marketing to the success of external marketing plans. Programs that enhance customer service within a company also raised the morale of the staff, and the general company productivity, which subsequently results in an enhanced customer relationship outside the company.