1. Summarizing the main thesis (argument) of the article – Olasz, C. (2006), Marketing??™s Role in a relationship age, Baylor Business Review; Vol. 24 Issue 2, p2-7:
The Olasz??™s article reviews the business today and more correctly how to build a brand and its name today, the marketing strategies and management consultants. It explains how the internet is becoming one of the extremely fast going marketing channels. The other marketing direction that it reviews is the role of the relationship in marketing and the relationship between one brand and its customers.
2. Write one sentence definitions for the following terms:
1. 360 – degree view of the customer
– it is extremely important for the company in strategic view because it helps the agent to increase the customer satisfaction and shows to the customer the price and quality you are offering and aloud the customer to research by himself, in the end if he/she come back to your product it is said that you have 360 ??“ degree view of the customer
2. CRM (customer relationship marketing) as sales force automation tools
– It is when the customer and the business information is put at sales-representatives top
3. Relationship marketing
– it shows the company customer needs and also what is the reason for the customer??™s loyalty, also have to maintain the relationship ??“ it is the deepest relationship
4. One – to one personalized marketing
– It represents the face-to-face communication with the customer; the marketing representative should communicate only with the customer for example TV, e-mail or phone
– It is when the customer is satisfied by the company??™s product and will use it/buy it again in the future, it is also important to know that the company offers money back guarantee
6. Brand equity
– This is the power of the brand which is made by the willingness and the name recognition earned over the time
7. Internal and external stakeholders
– Internal is a person who is working for a company and managing the money
– External is a person who also managing the money but is not directly involved with the company
8. Cross ??“ selling
– To encourage the customer who buys one product to buy another one which is related with the other
– It is studying the pass and research potential trends so the company can analyze and predict the results of some decisions and to value the performance of some product
10. Cross ??“ functional teams
– Group of people who execute not only one function but different functions in the company and are responsible for a program from its beginning to its end.
3. CRM (customer relationship management) is largely about using software to help companies monitor, evaluate and measure the value of customers.
A. Explain in your own words what the author means by this
My opinion is that the author wants to introduce to us the bottoms of the CRM (Customer Relationship Marketing) and how easier for one company will be when it is using software ??“ easy to find customers and easy to manage them which is really important. The author is also trying to explain that using the CRM tools like internet, laptops and networking it will be extremely easy for the company to satisfy customer needs and to answer to their requirements.
B. How is the concept of CRM different to the wider concept of relationship marketing
Customer relationship marketing is different to the wider concept of relationship marketing because it can give you absolutely full and detailed profile of your customer ??“ every change in his/her needs or taste. This gives to the company the opportunity to react fast to these changes and to satisfy the customer needs in every moment.
4. Identify and explain three key factors which have contributed to the growth of relationship marketing activity. Use the evidence presented in the article to illustrate your answer
1) Reaching out to customers who have shown an interest
– It would be easier for one company if it have to gain a customer who is really interested in the brand than to gain someone who is not. It would be even easier if the customer who have shown an interest is someone who has used the products of the company because ???it is generally accepted that it costs a business anywhere from five to ten times as much to acquire a new customer as it costs to retain an existing one.???
2) Building unbeatable customer relationship and loyalty
– According to Olasz (2006) ???Collaboration and building relationships with other stakeholders are critical to successful marketing and profitability. Without relationships, internal departments and functions, and external stakeholders such as partners and investors act to serve their own power interests.??? And also ???Marketing pools resources and collaborates with other stakeholders to understand customers, develop market positions, implement go-to-market strategies and drive long-term relations???
3) Creating value by increasing customer lifetime value
– Nowadays it is really important to assure the customer that his health and his satisfaction of one product is on first place for the company. That producing something the first thought you have is how to make the product safe for the customer. According to states CSO Insights ???Relevant personalization and recognition of an existing relationship makes the customer feel valued, increases loyalty and generates additional purchase???
5. Explain what the author means by:
???CRM implementation must start at the top of the company and be closely tied to the company strategy with processes, processes and relation ??“ focused culture in place. For optimum success, CRM has to be the very fabric of a company??™s culture???
Develop your answer by referring to other parts of the article
???CRM dawned as sales force automation tools when the Advent of mobile laptops,
email and networking put customer and business information at a sales persons
fingertips. As businesses realized the value of networked and centralized databases
of customer information from sales, to service and support, to marketing, CRM sprang forth???
Should know detailed information about the company, to be concentrate in place and really to know every strategy, relationship and processes of the company.
6. What weaknesses might an ???academic scholar??? find in the content and the methodology of this article Explain your answer
The article is nice for reading and interesting too but in fact there are a lot of mistakes which the author have done. In first place I think that it is really poor structured with no clear definitions and terms. Actually the fact that the article is interesting doesn??™t make it useful and helpful ??“ the other disadvantage. I can also state that the methodology of this article is not good.
7. Bibliography of articles on the topic of relationship marketing:
1. Stavros, K., Pope N., Winzar, H (2008) ???Relationship Marketing in Australian Professional Sport: An Extension of the Shani Framework???, Sport Marketing Quarterly, Vol. 17, No 3, pp. 135-145
2. Meredith, Brian H (2008) ???The key to relationship marketing???, NZ Business, Vol.22, No 6, July 2008, pp 78-78
3. Jham, V., Khan Kaleem, M. (2008) ???Determinants of Performance in Retail Banking: Perspectives of Customer Satisfaction and Relationship Marketing???, Singapore Management Review, Vol.30, No 2, pp. 35-45
4. Luk, Sherriff T. K., Yip, Leslie S. C., (2008) ???The moderator effect of monetary sales promotion on the relationship between brand trust and purchase behavior???, Journal of Brand Management, Vol.15, No 6, June 2008, pp. 452-464
5. Xevelonakis, E (2008) ???Managing event-driven customer relationships in telecommunications???, Journal of database Marketing & Customer Strategy Management, Vol. 15, No 3, June 2008, pp. 146-152