Introduction to Relationship Marketing

Introduction to Relationship Marketing

The concept of customer relationship marketing raises many questions, though it is regarded as the bridge between marketing and IT. In other words, you could say that CRM is IT-based sales and services system. In a more advanced level CRM answers questions such as “who should be served” what should they be served with?” and “what should the organization serve them with?” the model does not only revolve around marketing but instead can be applied in other vital areas of an organization. This include; sales. Customer service, HR and RD just but to mention a few (Francis, 2000). CRM is among the essential part of marketing; this is more specifically, online marketing. This is as the primary purpose of any business is to sell its product or service to a customer to generate income or revenue. The aims of CRM are derived from this need of the companies to have strategically significant customers. CRM aims to understand the customer, retain them by providing a satisfying customer experience. It also aims at attracting new customers, converts inquiries into business opportunities, increases profitability, and reduce the cost of managing customers (Thakur and Chetty, 2019). CRM is the tool through which a business can build up a mutually beneficial relationship with its strategically significant customers

Customer Relationship Value Chain

The CRM model chain is a business model that helps the organization to integrate both internal and external process to create value to the customer at the same time generate profits for the organization (Francis, 2000). The model includes two critical stages, which are the primary stage and the secondary stage. In the initial phase, the following vital aspects are looked at in the design. In the primary step, the following are examined at the customer portfolio analysis, customer intimacy, network development, value proposition development, and managing customer lifecycle. The secondary stage is what is meant to help the primary steps to stand. They include the leadership and culture, data and information technology, people, and processes.

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Customer Relationship Value Chain

Primary stage

Customer portfolio Analysis

Business goals are always to generate profits; a business can only make profits through the identification of customers who are resultant sales. In this model, the first thing for a company to do is to identify the target market; this is only achieved through market research and determining the customer needs and wants to be based on the demand. Once that has been discovered, the organization then has to make sure that customer is desirable and worth taking. This, therefore, mains that the organization should not only be interested in getting new customers but should also aim at retaining the loyal customer. For the case of Morrison, it is essential that the organization determines customer nature. This what leads to the identification of the customers? The critical areas for the organization to look at will include factors such as the purchasing power and the buying behaviors of the customers.

Customer Intimacy

Once the customer has been identified, it then becomes vital for the organization to develop a relationship that will keep the customer and make sure that the organization does not lose this customer. This involves knowing the most valuable members and enhancing a good relationship between the customers and the members of the organization.  The information about what the consumers need to have a good relationship with the organization is obtained through data mining and all given to the organization for analysis. Once the information is got, then the company can decide on what are the best emotional connectors between the organization and the company.  In the case of Morrison, once the company creates the right consumer’s relationship with the organization by offering better customer services for the customers. In return, the customers will stick to the organization.

Network Development.

The term network development here means all the interactions that the company has with all the other stakeholders (customers) in ensuring that the company offers better products and services. The network will include then individuals such as the suppliers, strategic partners, and the organization employee. The principal aim for this stage is to ensure that the relationship between the organization and the consumers is good through the provision of better products and services. In the case of Morrison, it becomes crucial that with the trust that all the clients have the organization it aims at strengthening them. Once the relationship for the organization and its members is okay, it then follows that the provision of the services will be on top. This will then mean that all the products and services will be handed to the organization members.

Value Proposition Development

Once the organization has learned about their consumer and their preference, it now becomes the role of the organization in ensuring that the consumers feel the consumer preference. In line with this, the consumers are given the best that will make them happy and ensure that they have the best of the services and products. The aim is to ensure that the company reduce the cost of production and concentrates on offering quality products and services to their segmented groups. Morrison Company can apply this approach that once the organization has acquired enough information in the other stages, it will know aim at making sure that it retains the consumers. Morrison can achieve this by enhancing their products and venturing into to new product design that the customers demand most. This approach will help the company more to retain consumers while at the same time, satisfying their needs and wants.

Manage customer lifecycle

The lifecycle of a consumer will be at the point of the customers being the prospect to the point where they now become customers and end when they become advocates of the company. The organizations attain this through the organization process and the organization structure. The organization process will involve attending to acquisition, retention, and finally, the development of the customer. In the other case of the fabric, it will include a focus on the way to manage customer relationships. In this stage, the company should instead turn its attention to make sure that they have all the key strategies in position to make sure that they retain and manage their customers’ needs and demand. This being a challenging course of action, it becomes crucial for the company to make sure that all the strategies being put in place for an alternative approach that will back up any failed plans.

Secondary Stage of the Value Chain

This is a supportive stage that provides a structure and helps the organization to run its primary aim, which is profit making. The various aspects of this stage are:

Leadership and culture

The top organization management is what determines the activities that go around the organization; all this is backed up by the organization culture. The learning will be what the organization believes in ensuring that they attain their set goals and objective. If the organization is getting the top right leadership, then it means that customer relationship management will be of vital interest and will be managed to the latter. The company Morrison, through their leadership structure, can amend changes base on the marketer reports, and this will help improve the customer relationships.

Data and Information Technology

The CRM model is more of IT-based today, the organization collects information about the consumer and needs to store it for its use in the report. This data can well be kept in the new technology data storage as its more convenient. Still, the data is collected needs to be analyzed for the organization to make a decision. This kind of information is vast, and the organization needs to find a more natural way of explaining it; this is where the IT part comes in to help do that.


These are the most crucial part of the organization structure. The employee is the ones that interact with the consumer’s day in day out. If they are going to have better interaction, it then means that the organization is going to have a good customer relationship with consumers. In the case of Morrison, the organization can focus on managing the employees who in return, will focus on ensuring that they have maintained a good customer relationship.


This is a set of activities that work together in ensuring that the organization produces goods and services. The products may either be generic or centric, which will mean that the consumers are all into it or is for a preference of some consumers. In the case of Morrison, the organization will put more emphasis and focus on the consumer research and being able to identify the kind of needs and wants that the customer wants hence satisfying them through the production and development of products.

Marketing Automation

Introduction to Marketing Automation

This is a process of taking the buyers centric views of individuals that interact with the business. In light of marketing automation, the marketing team now learns on the language of digital marketing. In this, they learn to about the consumers’ behavior, understand their needs and the stages in the buying cycle, this is when they then automatically tailor their interaction accordingly. With this, all knowledge about the consumers the organization will be in the position to address the needs of a specific buyer all through to the sales force. The organization can then customize quickly and effectively leads prospects through the process and at the end, convert the number of browsers to the organization buyers. This is attained based on the profile of the prospects and the activities that they engage in; this is because marketing automation platforms will allow the organization to understand where the prospects are in the buying process. The organization will, therefore, get the resources and utilize them when they need this kind of prospects. This technology aims to reduce the action by the marketing department while at the same time generating revenue for the organization. This is achieved by the high number of sales that results from the increased number of the customer. Also, the organization can retain its customers, thereby making them the advocates for the organization.

How Marketing Automation Helps the Organization.

Marketing automation is an online system itself; it will deliver importance to the organization that can’t be ignored. The benefit that the organization will get will entirely depend on the type of systems and tools that the organization implements in their automation. The benefits will include the following:

Improving sales productivity, without marketing automation it will mean that marketers have to look for consumer data physically. In looking for consumer data, they have to analyze it for an extended period for the data to be useful. In the more advanced system of marketing automation, the marketer will quickly explain the consumers’ behaviors and be able to come up with information about their buying pattern and behavior. As a result, they will be able to understand what consumers do. In the sense of Morrison company through the match and more card, it will be easy to identify the goods that the consumers go for to earn the point. The organization will then determine what best they can do on the pricing to increase the number of sales from the other products. This, as a result, will improve sales productivity.

In using the most convenient automation tools such as marketing using the social media platforms will help the organization to determine how best the number of consumers that they have. The resultant effect will be that the organization will have to capitalize on leads, therefore, improving the number of sales or rather we can say boosting the number of sales. In the use of the platform, the organization can go through the conversion of its customers on the platforms. As a result, they can be able to see the arguments. The organization can then be able to respond to the arguments, in the process, once the arguments are being shared or like the organization will gain popularity. In a sense, it will mean that the organization can now convert the traffics to the resultant number of sales. In the case of Morrison, the organization can popularize the card using this platform which at the end of the day will generate conversion that will simplify the card at the end the popularization will increase and boost the organization number of sales.

Mode of Communication

The organization is an international company that means that the consumers are aware of the brand, but what happens to the newly invented loyalty card. With the target being clients who can fill the form online, then it will mean that making the card known will, therefore, be through online platforms. This is still yet another way of market automation. They are many tools that are used in the market automation among them being email marketing, social media marketing, SMS, and SEO just but to mention a few. The company Morrison should take advantage of the below listed and discussed to ensure that loyalty card gets to the clients and the purpose id felt by the consumers.

The company can have more option, which is another form of ensuring that their consumer is in for the project and ready to participate. This will mean that the organization enhances the way it carries and puts forward the loyalty card. The company yes has made sure that their card is different from their competitors, but their betterment will be more in the way that they will carry out their marketing automation. The lead automation and the move to gunner more trafficking by the company will be through the following.

Search Engine Optimization

There is a close relationship between SEO and market automation; both can popularize the organization. However, SEO is critical in enhancing any existing or new move by the organization in the betterment of customer relationship and the organization. SEO drives individuals into the top of the marketing funnel through awareness, effectively creating new leads. Lead generation, however, is where many businesses struggle as there are a variety of solutions (email, content, PPC ads) and brands often spread themselves too thin and obtain few qualified leads in return. To leverage both tactics effectively, marketers need to understand how to two modalities support one another. Morrison will score in their number of sales of both the products and services plus the loyalty card if they implement this tool in their program. Once the organization increases the card awareness through the SEO, it will then follow that the users can use the links in signing up for the card. The organization will, in turn, increase the number of sales. This is one tactic that Morrison cannot want to miss out in.

Email Marketing

The core here is to make sure that the individual get the content right, when talking of both the prospects and the consumer email marketing becomes key in ensuring that this is achieved. This is because email marketing is one tool that is used all over the communication platforms. Single-use email more frequently, and using it as a tool to get to them will be convenient. Sending messages once you use email for communication purposes it becomes straightforward to get to the target market. The organization will take advantage of the email marketing strategies in making sure that they reach their clients and communicate to them about the loyalty card. Once the card has been created, and the clients have filled the online form, they will leave the organization with their contacts. If the organization has this contact, it will be able to keep track of the winning and also be able to understand the consumer’s behaviors.

Social media marketing

When talking about market automation, this is one area that cannot be assumed in line with this; the organization will be able to design a network with their clients and customers at large. The platforms allow for both the organization and their consumers to air the views. Once the views have been gotten, it now becomes possible for the organization to determine how to handle the consumers. In the case of Morrison, the organization can handle consumer ideas by going through what they post and getting to know what they want. This will be an opportunity for the organization to either lower or increase the price of the commodities to increase the number of sales and the use of the loyalty card.

Market Segmentation

The concept of segmenting the market can be vital in ensuring that the organization attains its set goals and objective. Once the loyalty card has been put in place, it also becomes of benefit to be able to identify the markets that result from this card. In doing so, the organization will be in the position of deciding on how to handle their different customer. The consumer behavior being studied here is the customer purchasing power. Once the customer with the ability to purchase more can be identified it then becomes an opportunity for Morrison to segment their loyalty card. This will equally increase the number of sales of the organization at the same time helping the organization to take care of the needs of the consumers.



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