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“Relationship marketing has experienced colossal growth—both in academia and business practice (Srinivasan & Moorman, 2005)—and the existence, benefit, and management of customer-marketer relationships have received increasing academic attention over the last decade (Price & Arnold, 1999; Swan et al., 2001; Heide & Wathne, 2006; Grayson, 2007).
Studying characteristics based on demographic attributes, psycho-graphical traits and behavior is a key to success. Today in experience economy- Conventional marketing is being audaciously replaced by Relationship marketing. It has pragmatic contribution into the overall regime of Industry through customer participation at all levels of business. A convergence of different micro-macro forces in customer centric orientation has strengthened theoretical foundation chasing cross functional boundaries and retention based emphasis. RM is an innate part of Holistic Marketing. Now, It is attaining a central unwavering position through gradually evolving itself as a discipline, Theory and applicability.
In recent scenario as sales and revenues continue to shrink, companies reportedly are focusing on ways to retain their current pool of customers rather than capturing new ones. Lemon, White, and Winer (2002) state, “The trend in marketing toward building relationships with customers continues to grow, and marketers have become increasingly interested in retaining customers over the long run.” Companies in many industries are moving toward relationship-based marketing. Every company is contending for major pie and entry of new big player is forewarning for existing businesses.
In an era of the accelerating change- the importance of ongoing relationship of Networks is becoming challenging, perplexing and intricate. For leading brands, through long lasting relationship and trust built with immediate and end Customer is a key for success. Huge amount of budget is sanctioned by the big business magnates to grab maximum market share. To notch up high sales regularly is turned out to be an onerous & arduous task for business executives. Overall nature of business is varying day by day and companies need to run faster to remain on the same place. Though the customer was important in view point of marketers still some link was missing and that was transforming transactional exchange into relational exchange.
There is a transformation happening through transition of product-based economy to service-based economy. Next, from service based economy into an experience economy. It is necessary to consider other aspects like communication, networking ,supply chain management, software with technological competencies. Vying locally, nationally, globally and trans-nationally as survival, growth & thriving maneuver has become indispensable. There is a faster competitive arena in which there is conversion of premium product towards worthless obsolete commodity.
The old Products would be replaced with more utility oriented effective new products. The pre-sales & after sales services are being distinctly enhanced. Some of these trends are simultaneously increasing customers’ penchant for the unique distinctiveness found in relationship-based exchanges (e.g., reduced perceived risk, highly gained trust, better cooperation, and greater flexibility). Thus, in many situations, both sellers and customers are becoming more inclined in conducting business transactions embedded within relationships.
Summary:
Relationship marketing has become the buzzword. You create that “WOW” effect that gets your customer’s attention.word of mouth referrals are highly effective. When you build your relationship marketing skills, you also open the door to more business opportunities because a personal connection experience leaves a a long-lasting impression. Business has grown much since social media has arrived on the business backdrop. Businesses have to change their focus and concentrate on building relationships with people in order to empower their brand and build lasting relationships that will result in long term profits.
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