Marketing communication: principles and practice


R E L A T I O N S H I P M A R K E T I N G



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73 Marketing communication principles and practice Richard J Varey

R E L A T I O N S H I P M A R K E T I N G
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profiles. Customers can self-select assistance through the provider’s website,
and gather information about products, billing, order progress, and so on.
This development should challenge the marketing communications
manager because it includes knowledge management, marketing automation,
customer care, call centres, and sales force automation. This is obviously
much more than promotional advertising design. 
AFFINITY MARKETING
For the provider, customer loyalty means that customers continue to repeat
their purchases over an extended period of time. This means that at some
point in time they are not switching their purchases to brands that offer more
benefits and/or lower prices. This continuity in purchase behaviour may be
due to lethargy or a fear of the risk of changing product and/or supplier.
Looked at from the marketing communication manager’s perspective, loyalty
to another brand can be broken by sales promotion and created by advertising
(NB: if it works for you, it may work for competing providers too!).
Loyalty schemes provide rewards to customers in return for their continued
patronage. The value provider is able to gather personal information that is
much more valuable for customized product offerings than is any of the
aggregate data about the ‘average’ customer or market segment typically used
in traditional marketing practices. Thus, data can be gathered from enquiries,
purchases at store checkouts, and so on. However, because the enabling
technologies are being heavily promoted by their vendors, such schemes
may not provide competitive differentiation for long. Arguably, it is the
relationship that matters, rather than rewards that can be copied and bettered
by other providers.

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