1 / 15

MARKET RELATING

MARKET RELATING. CUSTOMER RELATIONSHIP MANAGEMENT. Satisfaction Theory. Satisfaction is determined by comparing expectations to performance When P > E, there is positive disconfirmation, or satisfaction When E > P, there is negative disconfirmation, or dissatisfaction Managerial implication?

moe
Download Presentation

MARKET RELATING

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. MARKET RELATING CUSTOMER RELATIONSHIP MANAGEMENT

  2. Satisfaction Theory • Satisfaction is determined by comparing expectations to performance • When P > E, there is positive disconfirmation, or satisfaction • When E > P, there is negative disconfirmation, or dissatisfaction • Managerial implication? • Satisfaction-dissatisfaction continuum

  3. What else do we knowabout satisfaction?

  4. What’s the answer?

  5. Lifetime Customer Value • Multiply a customer’s expected # of visits times the average amount of money spent per visit. • Deduct costs of acquiring and servicing. • Add in value of accounts the customer refers to you. • Discount the sum appropriately for the time period being analyzed.

  6. How LT Relationships Pay Off Price Premium Referrals Cost Savings Revenue Growth Base Profit Acquisition Cost 0 1 2 3 4 5 6 7

  7. Building Relationships • What are successful relationships built on? • What kind of relationship will be most beneficial to firms?

  8. Relationship Spectrum Transactional exchanges Value-adding exchanges Collaborative exchanges

  9. Levels on Which Relationships are Formed Consumer-Product Bonds Consumer-Brand Bonds Consumer-Consumer Bonds Consumer-Firm Bonds

  10. Who Needs CRM? III IV Airlines Packaged Goods Mfrs Pharmacies Computer Systems Cos. Uniform Highly differentiated CUSTOMER VALUATIONS II I Bookstores Gas Stations CUSTOMER NEED Highly differentiated Uniform

  11. Devising a Relationship Strategy Create a database of customer knowledge

  12. Create a database of customer knowledge Analyze reasons for loyalty and defection

  13. Create a database of customer knowledge Analyze reasons for loyalty and defection Select customers to attract and retain

  14. Create a database of customer knowledge Analyze reasons for defection and loyalty Select customers to target and retain Design and implement programs focused on customer retention

  15. Create a database of customer knowledge Analyze reasons for loyalty and defection Select customers to target and retain Design and implement program focused on customer retention Monitor performance for continuous improvement

More Related