The Commitment-Trust Theory In Relationship Marketing?

In this study, the author tried to explain the main differences between companies, the main aspect considers customer relationship management (CRM) how customer’s relationship affects to market.

Relationship Marketing – According to Abeysekera and Kumaradeepan’s study in the year 2012, relationship marketing can be used as a strategy to race in the market. Relationship marketing has been operationalized using the model of trust and commitment. The findings suggest a significant difference in "relationship marketing orientation" in state bank and private bank. Private Banks can be viewed as concerned with more relationship marketing than state banks.

Development of good customer relations is vital for the survival of any given company. Marketing research serves as an indicator of the level of current costumer relation,

3.) Transactional marketing, in the perspective of luring the customer for a one off purchase, focuses strongly on price and short term benefits and product performance, with limited service. Relationship marketing is all about generating repeated sales and customer interactions, thus focusing on bringing value to the customer, and assuring long term performance and service, all aspects of quality become major concerns. Relationship marketing brings customer centricity to the spotlight. This vision has

So in order to maintain the consumer loyalty with the brand it is necessary to make a good relationship with the consumer as it is the first key of building good image of brand in the mind of the

As today we live in a competitive world, high competition exists in every industry. The companies must have their competitive advantages so that they can gain more shares, profits and a strong market position among the consumers. The brand trust might be a competitive advantage for the company. A recent research of brand trust by LinkedIn (2009) found that, when the consumers start to trust a brand and become to loyalty customers, 83% of them will highly recommend the brand to their family members and friend, 78% of them will try the brand’s new product or service and 50% of them will more for the brand’s product or service even there are some more cheaper products by other brands in the market. From the research we can see that the trust to a brand will highly influence the company’s operation and product development. The company who want to success

Most customers preferred to deal with companies that offers much of attention for them. According to Kleindl (2002) businesses should learn to gain customers trust. Companies can build effective relationship with their customers by using internet.

Trust can income unlike forms in different relations. Interpersonal trust derives from repeated connections over time among trustor and trustee. Information accessible to the trustor from within the relationship forms the basis of relational trust. Recognized trust derives from the recognized factors which can act as wide supports for the critical figure of trust that tolerates further risk taking and trusting conduct (e.g. Sitkin, 1995).

The relationship marketing has the opportunity to satisfy the buyer as the seller which is the long-term relationship with the customers. This relationship help company to develop more interesting products to attract more attention and more revenue increasing economic opportunities to grow up to another area. For example, give discount coupon for employees of different companies could bring new clients and at the same time every new client could bring their relatives creating a big relationship

“Marketing strategies can have a broad impact on the business in terms of instilling a marketing orientation among all those in the firm: the way of thinking or philosophy of the whole organization. However, marketing strategies can alternatively be seen as dealing only with the development of competitive advantages directly associated with the marketing function such as customer loyalty and distribution channel control. In the latter case, the domain is sometimes even further restricted by sole attention to the various element of the marketing mix rather than the more general issues of customer and channel relationships. There are two key

‘Customer Relationship Management is the ultimate challenge for marketing experts in any business. A successful company will use customer information wisely to build relationships with their customers, on the level that together they will work together towards a long-term relationship.’ (Xu et al. 2002)

Rousseau et al. (1998) and Bhattacharya et al. (1998) have categorized definitions of trust by grouping them into fields of psychology, sociology/socio- psychology, organizational behavior and marketing and shown that not many differences exist between them. Mayer et al. (1995) defines trust as "the willingness of a party to be vulnerable to the actions of another party based on the expectation that the other will perform a particular action important to the trustor, irrespective of the ability to monitor or control that other party". Since it has been used and accepted by close to 700 authors, it is considered the most suitable description for trust in this paper.

People rely on large and small businesses for their goods and services every day. After years of loyalty, trust is created between the two: people and business. Certain expectations and a desire for consistency will appear. If the consistency is broken it is the responsibility of a business to “stabilize” a person’s life. If a company refuses this, then the company’s reputation becomes compromised. When a company creates a bond of trust, it is essential for the company to protect the bond that they have created.

5. RELATIONSHIP MARKETING: In this competitive era, companies are always looking for ways to develop and maintain a long lasting relationship with customers, employees and even suppliers. Relationship marketing is two way traffic; it goes beyond just making ‘sales’ and companies are beginning to realize. Good relationship with customers is a strategic weapon for any company, this is because long term customers buy more, do referrals and give back valuable and truthful feedback. Keeping a customer requires an extra effort. According to the founder of Walmart: “There is only one boss, the customer, and he can fire

Relationship marketing is instigated through customer relationship management. Relationship management depends on various concepts such as knowledge of the market and the customer, integrating data from many sources into one set of shared data, using information technology and creating customers profiles to improve marketing decisions. The strong relationship between marketing research and marketing decision making is evident in the marketing planning process, the success of