However at the same time that the new technologies create relationship building

However at the same time that the new technologies

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However, at the same time that the new technologies create relationship-building opportunities for marketers, they also create challenges. hey give consumers greater power and control. Today’s consumers have more information about brands than ever before, and they have a wealth of platforms for airing and sharing their brand views with other consumers. Thus, the marketing world is now embracing not only customer relationship management, but also customer-managed relationships. Customer-managed relationships Marketing relationships in which customers, empowered by today’s new digital technologies, interact with companies and with each other to shape their relationships with brands. Greater consumer control means that, in building customer relationships, companies can no longer rely on marketing by intrusion . Instead, marketers must practise marketing by attraction —creating market offerings and messages that involve consumers rather than interrupt them. Consumer-Generated Marketing Consumer-generated marketing Brand exchanges created by consumers themselves—both invited and uninvited— through which consumers are playing an increasing role in shaping their own brand experiences and those of other consumers. Partner Relationship Management In addition to being good at customer relationship management , marketers must also be good at partner relationship management. Partner relationship management Working closely with partners in other company departments and outside the company to jointly bring more value to customers. Partners Inside the Company The new thinking is that—no matter what your job is in a company—you must understand marketing and be customer focused. Marketing Partners Outside the Firm Changes are also occurring in how marketers connect with their suppliers, channel partners, and even competitors.
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The supply chain describes a longer channel, stretching from raw materials to components to final products that are carried to final buyers. CAPTURING VALUE FROM CUSTOMERS The first four steps in the marketing process outlined in Figure 1.1 involve building customer relationships by creating and delivering superior customer value. The final step involves capturing value in return in the form of current and future sales, market share, and profits. By creating superior customer value, the firm creates highly satisfied customers who stay loyal and buy more. Creating Customer Loyalty and Retention Even a slight drop from complete satisfaction can create an enormous drop in loyalty Thus, the aim of customer relationship management is to create not only customer satisfaction but also customer delight. Losing a customer means losing more than a single sale. It means losing the entire stream of purchases that the customer would make over a lifetime of patronage Customer lifetime value The value of the entire stream of purchases that the customer would make over a lifetime of patronage.
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