Importance Of Relationship Marketing

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Through 3 years of studying in the Antonin University the phrase customer relationship management has passed in several courses I've taken as an effective plan a firm can take to be successful. CRM is a system that tries to gather information about customers and help managers to make a good relation that will lead to a feeling of interest to the customer and loyalty to the firm. Firms today realized that being unique or competitive in an innovative product or service is short lived, that what made the relation with customers a strategy of being competitive. CRM is an important step any company can take to be effective and efficient in managing their business. The purpose of this project is to study the challenges of CRM in the Lebanese market and why most of the companies are not applying this process that will lead to their growth. This project will take into consideration the case of Hotel La Memoire that succeeded in investing in

Relationship marketing is very important concept to attract and keep the customers in organizations. In modern business world, marketing focus reflect the move away from transactional marketing to relationship marketing. Establishing, maintaining and enhancing customer relationships have always been an important aspect of business. However, over the last few years there has been a significant increase in customer relationship marketing (CRM). The concept of customer relationship marketing (CRM) is widely understood, both academically and professionally. Its goal is to bolster strong relationships and convert indifferent customers into loyal ones. Customer relationship marketing is determined by trust, commitment, empathy, power, cooperation, financial

Marketing today is very different to how it used to be. Effective marketing is all about understanding the external market and identifying that the customers are looking for something unique rather than what is already available. There are two approaches that an organisation can take when marketing a product to the consumer. These are transactional marketing and entrepreneurial or relationship marketing. Relationship marketing is a more modern approach to marketing today, as it is a way of gaining repeat sales and a close relationship to the customer. Relationship marketing is defined as an “attempts to involve an integrate customers, suppliers and other infrastructural partners into a firm’s developmental and marketing activities.” (Sehr 1994). When the producers communicate directly with their consumer individually they are more likely to develop a close relationship, which will hopefully result in frequent sales. (Sehr 1994) The producer’s main priority is on the needs and wants of the consumer and ensuring that they are given the most efficient service. There opinion is what matters to them creating a two-way system for a long-term sustainable performance. Transactional marketing, adopted by sim venture, is the other marketing strategy that can be taken by an organisation. This is a more old fashioned view of marketing and considered to be a one-way system. Limited contact is made between the

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Organizations can build strong customer relationships and value through marketing, and the success of marketing relies on satisfying the customers’ wants and needs by providing them with the best price, product, or service. The American Marketing Association defines marketing as, “The activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.” This exchange between customers and a business forms a relationship; a healthy consumer/marketer relationship improves value for both the marketer and consumer (Babin, pg 322). So what exactly is the definition of value? “Value is the relationship of a firm’s market offering and price weighed by the consumer against its competitor’s market offering and price” (Kothandaraman, 2001). Value is in the eye of the customer, which ultimately makes them the value source. Customers ' wants and needs determines the features and characteristics of products and their value. With business markets, the interdependent relationship between the buyer and the seller can be seen as the source of value creation (Ehret, 2004). Value Creation is “The evolution of cooperative buyer– seller relationships in the realm of business-to-business markets, In business markets, it became apparent early on that cooperative buyer – seller relationships can be the source of value creation” (Ehret, 2004) Value Creation is based off of customer

Al-Khouri, A.M. 2012. Customer Relationship Management: Proposed Framework from a Government Perspective. Journal of Management and Strategy, 3 (4), pp. 34-54.

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Retailers face a dynamic and competitive retail environment. With increased globalization, market saturation and increased competitiveness through mergers and acquisitions, retailers are seeking competitive advantages by better managing customer relations. In today’s high tech age, where the marketing concepts and tools have undergone major changes with the introduction of e-commerce, online selling, network marketing, direct marketing, relationship marketing has become the base on which the business strategies as well as marketing strategies are built. Business organizations today have begun to recognize and consider the

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customer Better, buy in of customer attention, protect emotional well being, understand consumer psyche, build trust with customer Relationship marketing is emerging as the core marketing activity for businesses operating in fiercely competitive environments. On average, businesses spend six times more to acquire customers than they do to keep them (Gruen, 1997). Therefore, many firms are now paying more attention to their relationships with existing customers to retain them and increase their share of customer’s purchases. Telecom service operators provide customized services to their heavy users.

In the partial fulfillment of the requirement of Master of Business Administration (M.B.A.) Program (2002-2004) Hemchandracharya North Gujarat University, Patan.

SUBMITTED TO:Prof. Shweta JainSUBMITTED BY:Prabhakar Rahul Enroll (2009PGDM031)Puneet Arora Enroll (2009PGDM033)Amit Bharti Enroll (2009PGDM004)PGDM (MARKETING AND HR)

Dr. Kanhaiya Singh, Professor, Fore School of Management, New Delhi,India Dr. U. S. Pandey, Associate Professor University of Delhi, New Delhi, India Priya Gupta, Asst. Professor, SSCBS, University of Delhi, Research Scholar, BIT(Mesra) Ranchi