The aim of marketing is to create value for customers and to capture value in return. Building profitable customer relationship is so important that most marketers give it a broader meaning. They focus on building and maintaining customer relationships by achieving superior customer value and satisfaction. They also deal with all aspects of acquiring, keeping, and growing customers. Satisfied customers become loyal customers. A smart company will always promise only what it can deliver, and will always try to deliver more than promised. This way, the customer is satisfied as his expectations are at least met if not exceeded. Happy customers not only make repeat purchases but also spread good word to other potential customers. In today’s hyper-connected world, a customer’s review about any particular product or service is immediately spread across his friends and relatives. It is not only important to build customers; it is more important and even more difficult to retain them. This is a continuous process of serving the customers and meeting their expectations. Due to the high level of competition amongst companies, it is not affordable to lose customers due to poor customer relationships. By focusing on a few tactics, a company can build strong relationship with the customer which is highly profitable for the company itself.
The online shopping websites like Amazon have a feedback survey after every interaction with customer care. This ensures that the customer are paid attention by the company. This way, the customer can trust the company more, because it is openly accepting any complaints or problems faced by a customer which could not be resolved by the customer care representative. This gives each customer a sense of satisfaction and value. This enriches their whole experience with the website and hence profits the company’s customer relationship.
This enlarges the marketing concept to a whole new level, where it is the organization’s task to meet or enhance the customer’s need while caring for the society’s well-being. This also makes them consider facts ethically and socially. It is about creating the delicate balance between company profits, consumer want satisfaction, and public interest. The biggest factor for the success of this philosophy is that it enhances the company’s corporate reputation, raises brand awareness, increases customer loyalty, builds sales, and increases press coverage. It is possible to achieve sales and profit gains by adopting and practicing the societal marketing concept because it creates a sense of responsibility amongst customers. This also builds up for adding the extra dollars to the pricing of the products. People are willing to spend more if a social cause is put up. However, compromising it may sound, it actually adds brand image and trustworthiness to the whole organization.
A lot of cosmetics and toiletries brands like The Body Shop are using only plant based materials for its products. They claim to be cruelty free and are against animal testing. They even have charity foundations. They even associate themselves with any ongoing issue related to the protection of the nature, and human rights, etc. This builds the company image in the eyes of the customers and also increases the sense of trust. The social marketing philosophy is a win-win situation for all. The company works for the social welfare, the customers trust the companies and buy their products, and the company gains popularity and earns profit. The concept of social marketing makes a company give in a proactive effort to give back to the society.
Question 2: Creating customer satisfaction and loyalty is very important. Discuss.
In order to run a business for a long time profitably, it is very important to create customer satisfaction and loyalty. It is not just important to attract new customers, it is more important to keep the old ones while doing so.
Customer satisfaction plays a very crucial role in making any business a successful one. It helps in measuring customer loyalty. This also helps in identifying unhappy customers and trying to satisfy them. It is a very useful tool in managing and monitoring one’s business. This not only reduces negative publicity, but also brings new customers due to the previously satisfied ones. A study suggests that unhappy customers tell 9-15 people about their bad experience, but only about 13% of the unhappy customers tell over 20 people about their good experience. By measuring and tracking customer satisfaction, new processes can be put in place to increase the overall quality of customer service.