Relationship marketing is the key for the organization reputation, risk reduction and profit maximization, Now a day's Customers have maximum substitutes to switch because the bond between the brand and the customer is very less and customer now a day's really want a cent percentages of loyalty, value addition, satisfaction and exact information's for the WIN WIN relationship with Organization
What exactly the customer need
Traditional Relational marketing states
1. Financial Bonding-Provide some extra premium, Sales offers, Free Gifts, Life time membership Cards which enhance the customer to stay loyal.
2. Social Bonding-Friendly Behaviuour, Birth Day Card, Marriage and anniversary wishes and celebration cards.
3. Partnership and In-Basket Customer Services-Provide some separate pricing structure to the loyal customers and make them a share holder in the organization which enhance the value of the customer.
Modern Marketing and New customers life style is changing in a rapid manner simply Loyalty and switching are to big challenges for the marketing organization to provide them the exact services and make them loyal by extra value addition than competitors
Why and what are the forces for change
1. The In-basket Customer - Means the Loyal Customer but the above figure states that the forces which tends to change the perception, motivation and behavioral aspects of the customers.
2. Less Value against Price -If the Customer will found that his cost against satisfaction is below the tolerance then he will be switch to another brand.
3. Bored with Old Loyalty Program- The Price off, Coupons, Premiums and other financial and social programs are now days old pattern so change the pattern of loyalty program and make them sense.
4. Defective Services- The customers are in a bond with the organization due to his ethical quality and services if it is not constantly performing and customer found that defective services by the organization regarding his expectation and his delivery. The customer will switch to other brand due to bad experiences.
5. Suitable Substitute Available-When a customer is loyal that means they have not in a search for a new brand and product. But if they have some bad experiences from the existing company they will search for another suitable substitute.
6. Lack of Information- Information must be shared to customers by Mail, SMS and any other easily accessible medium to the customers regarding up gradation in price, product and services
Challenges due to Bad forces
* Negative word mouth which again maximize the Promotion Cost-When a loyal customer left, the negative word mouth which he/she spread cause a danger for the organization's product lines and Organization has to prepare a weapon of promotion to recover from those negative word mouth which is maximize the operational and Promotional cost of the organization.
* Products are in Risk- When a Loyal Customer spread that the product is bad and quality and value is negative, Then and there the Organization is in cipher to change or redesign the product which is again a big challenge.
* Competitors are taking the advantages-During this time the competitors are taking the advantages of these challenges.
Opportunity and Changes
1. Providing Trust and Quality- Provide the exact quality of product against their price and expectation, Provide them trust on ethical behaviour and following the rules and regulations of law and duplicacy to maximize the satisfaction level with a great deal of belief.
2. New Relational Tools-Besides Financial, Social Tools provide them some excited tools and make them being loyal that means upgrade some new loyalty program and enhance the Value.
3. Effective Feedback and Complaint Handling System- Provide Customers to share their knowledge and innovation for new product development and effectively handle the complaint without any disturbance and losses to the customer.
4. Treat customer as the Aim of the Business -It's all about the behavioral aspects of business that means behave them as they are the center of the business and track for success.
5. Fulfilled the Promise- Whatever you promised before the product lunched just fulfill those to maximize the loyalty and trust
Relationship Marketing is the key to open the opportunities for future marketing strategy, simply Relationship marketing is a commitment, an ethical bond, a Pyramid of trust which make customer loyal by enhancing their value through satisfaction.