In many cases of marketing people has been asking me, “Do we really need to build a relationship in marketing?” My answer constantly says YES. In modern marketing, relationship has been demonstrated as a crucial factor and it has been elaborated in detail by Philip Kotler in his books such as Marketing Management and also Marketing Principles.
The transactional marketing is obsolete despite it is still being practice in Malaysia. Most probably for a Hypermarket they might still practice transactional marketing especially to consumable section. But then most modern hypermarket now is not practicing transactional marketing, yet moving to relationship marketing. They started with membership cards, sending invitation to members for any sales or special offers and gift for any festive. These are all ways to build relationship marketing.
Managers has been interviewed that, by having relationship marketing the profit of the company could be improved tremendously since the cost of acquiring customers has been cut except only for maintaining the relationship. Scholars say that the company profit could increase from 5% to even 125% depending on the types of business or industry. They says that, relationship marketing would lead to Customer Loyalty.
The transactional marketing is obsolete despite it is still being practice in Malaysia. Most probably for a Hypermarket they might still practice transactional marketing especially to consumable section. But then most modern hypermarket now is not practicing transactional marketing, yet moving to relationship marketing. They started with membership cards, sending invitation to members for any sales or special offers and gift for any festive. These are all ways to build relationship marketing.
Managers has been interviewed that, by having relationship marketing the profit of the company could be improved tremendously since the cost of acquiring customers has been cut except only for maintaining the relationship. Scholars say that the company profit could increase from 5% to even 125% depending on the types of business or industry. They says that, relationship marketing would lead to Customer Loyalty.
Week 4 slides:
