MKT 300 Lecture Notes - Lecture 8: Customer Retention, Employee Retention, Relationship Marketing

• School: Ryerson University
• Department: Marketing
• Course: MKT 300
• Professor: Martin Pyle

Document Summary

Relationship marketing is a philosophy of doing business, a strategic orientation, that focuses on try to keep them happy/retain them keeping current customers and improving relationships with them. It is not a sales approach, and it involves all sorts of different levels from the company. Does not necessarily emphasize acquiring new customers: is usually cheaper (for the firm); keeping a current customer tends to cost less than attracting new ones. Thus, the focus is less on attraction, and more on retention and enhancement of customer relationships. Many businesses focus on acquisition while ignoring or not understanding retention and defection. More focus should be on attracting and retaining the best customers. Targeting -> the right customers should be targeted. This is especially important to service providers. Customer hunting -> market research, data collection, lead generation, traffic generation, appointment making, telesales. Customer caring -> customer service desk, info line, helpdesk, debt collection, satisfaction surveys.