PMKTG: Customer Relationships: Customer Service

Relationship Marketing

A strategy designed to foster customer loyalty, interaction, and long-term engagement.

Relationship Marketing

Create activities that aim to develop and manage the customer’s trust.

Long-term over short-term, customer retention & growth, Listening & learning than talking, customer-centric over product-centric, excellent customer service, continuous communication with customers

6 Characteristics of Relationship Marketing

Understanding customer characteristics, delivery and meeting expectations, repeat purchases, word-of-mouth marketing, increase customer base, reduced marketing costs, minimizes the customer’s price sensitivity, gain brand loyalty

8 Benefits of Relationship Marketing

Coca-cola, ikea, Lucky Me!

Companies/Brand that uses relationship marketing

Benefits - Cost

__________- ________ = Customer Value__

Customer Value

The worth of its product/service offered from the customer’s perspective

Service, Image, Quality, Price

4 Value-Points

Service

The intangible value offered to customers

Image

customers’ perception of the company or business they interact with

Quality

customers’ perception of how well a company’s products and services meet expectations.

Price

can command for its product and services if the customers are willing & able to pay.

Provide the consumer with the best cost, best product, and best service

Delivering customer value (3)

Provide the consumer with the best cost

Companies can choose to focus their efforts on providing a reliable product at a reasonable price.

Provide the consumer with the best product

companies that offer top-quality products increase the customer value of their offerings to their consumers by providing a high benefit that exceeds the high cost.

Provide the consumer with the best service

companies that provide a high level of service to their consumers increase the customer value of their services by providing a high benefit which exceeds the cost for many consumers.

Customer Relationships

A marketing approach that focuses on creating an ongoing & long-term relationship with customers.

Consistent customer experience, customer feedback, customer profitability, customer advocates, innovation

5 benefits of customer relationships

Make every customer interaction count, offer benefits & product value that responds to customer’s desires, followthrough on commitments & claims about the product/service, Treat them with value & respect, Reward Loyal customers

5 Strategies of customer relationships