Marketing Question a) Difference between traditional and relationship marketing Traditional marketing entails taking the company’s message to the people in the market. To increase the chances of having an item bought would depend on the number of individuals that come across the message. The whole technique is about numbers. The method is not economical since the firm will continue to spend money to attract customers. Once the company serves a customer, it does not follow up and ensure that the customer remains loyal to the firm. It would be difficult for a firm to maintain paying advertisement costs and remain in good shape economically.
The advantage of using this method is that it would attract many customers since it covers a vast area each time (Baker, 2012). Relationship marketing on the other hand, deals with building a strong relationship between the customer and the company. This would encourage the customer to increase his purchase rate feel a greater satisfaction in the service and quality offered. The whole idea behind relationship marketing is the need for the company to make a long-term relationship with the customer.
This method minimizes cost as it seeks to retain the customers that have experience with the company. This will assist in maintaining the success of the company by retaining the customers. The disadvantage of using this method is that it does not attract new customers. (b) How to build a win-win relationship with customers Creating a win-win situation is good for the prosperity of business. There should be a solid relationship that exists between companies and customers. This would be essential in keeping customers in track for a while.
the first step is the company producing goods that are in line with the wants of the customer. this would be providing responsible products to the clients. Responsible goods would create interest and demand of the processed products. The customer should feel that he made the right decision to do business with the company. In that, the customer should feel appreciated in every way that he interacts with the company. I addition, he should notice the competition difference when dealing with the company. He needs to know that there are some companies making the same product, but this company would give him the best deal for the same product in the market. The customer needs to understand that the company offers the best rates in the market.
In addition, there should be room for the customer to raise a comment on the nature of services that he underwent. This would assist the customer to point out issues that would assist the company in improving services to achieve a win-win situation in the future (Weinstein, 2012). Question #2 An example of a B2B relationship is one between a tire manufacture and a car owner.
A car owner could describe to the tire manufacturer the best experience that he needs to have with his car parts. The manufacturer in return would strive to make the best models for his customers. In the first stage the manufacturer would recognize the customers problem. He would then inform him of the best remedy for the problem. The third stage is evaluating other alternatives that would be available to solve the problem. Post-purchase behavior is critical for the company. It would determine if the customer would return for the same services in future.
The customer needs to feel that he got a good and trustworthy deal. References Baker, M. (2012). The Marketing Book. New York: Routledge. Weinstein, A. (2012). Superior Customer Value: Strategies for Winning and Retaining Customers, Third Edition. Chicago: CRC Press.