Question

In: Psychology

Define the items below and explain how the strategy functions towards effective customer relationship management (CRM)....

Define the items below and explain how the strategy functions towards effective

customer relationship management (CRM).

a. Loyalty programs

b. Premium and Gifts

c. Social media.

Solutions

Expert Solution

a- Loyalty programs- The specially designed facets that provide unique advantages to loyal customers to generate a sense of being treated as a distinguished person/ customer by organisation is called as loyalty programs.

Such programs strengthens bonds with customers because customers feel that the fact that we are old customers is not overlooked by the marketers, rather they are concentrating on keeping us with them for a longer time to come, maybe forever.

b- Premiums and gifts- Objects/ products/ brands/ offerings and services that are given to some chosen customers for a certain specific period of time are called premiums and gifts.

These tend to be promotional entities basically. Giving customers something more and thereby getting competitive advantage is a crucial outcome in this scenario. This cultivates good relationship between the customer and the marketer.

C- Social media (Facebook, What's app, Instagram, blogs etc) are the efforts that concentrate on more involvement, engagement and interactivity with customers.

This is a contemporary way of creating an impact on customers through provision of information, entertainment and come up with good answers that satisfy queries by customers. This results into more blossomed relationship.


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