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Marketing 11Marketing 11

Chapter 1 Chapter 1

Lesson 3: Lesson 3: Relationship MarketingRelationship Marketingp. 23-26p. 23-26

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Relationship Marketing Relationship Marketing ModelModel

Suppliers Producer Wholesaler Retailer Consumer

Common needs and joint objectives are established

Each stakeholder is a partner in a long-term relationship

Teamwork and cooperation replace conflict and competition

Investment in technology required

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CRMCRM Customer Relationship Customer Relationship

ManagementManagement– Entire channel of distribution works Entire channel of distribution works

together to the benefit of everyonetogether to the benefit of everyone– Each member along the chain must Each member along the chain must

maintain a relationship with the maintain a relationship with the othersothers

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Corporate CultureCorporate Culture

““The values, norms, and practices The values, norms, and practices shared by all the employees of an shared by all the employees of an

organization.”organization.”

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Attracting vs. Attracting vs. Maintaining CustomersMaintaining Customers Traditionally, marketers have focused Traditionally, marketers have focused

on attracting new customers through on attracting new customers through the use of mass media.the use of mass media.– very expensivevery expensive

Relationship Marketing emphasizes a Relationship Marketing emphasizes a balance between attracting and balance between attracting and maintaining customers.maintaining customers.– Loyalty programsLoyalty programs– Customer satisfactionCustomer satisfaction

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Strategic AllianceStrategic Alliance

““A partnering process whereby two A partnering process whereby two firms combine their resources in a firms combine their resources in a marketing venture for the purpose marketing venture for the purpose of satisfying the customers they of satisfying the customers they

share.”share.”

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Strategic AllianceStrategic AllianceExamplesExamples Nissan + Toyota: Hybrid VehiclesNissan + Toyota: Hybrid Vehicles

– Same market, same customersSame market, same customers Laura Secord + Hallmark CardsLaura Secord + Hallmark Cards

– Different markets, same customersDifferent markets, same customers

AssignmentAssignment Read p. 23-26Read p. 23-26 Complete WSH 1.3Complete WSH 1.3 Study for the test tomorrowStudy for the test tomorrow

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