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TABLE OF CONTENTS

EXECUTIVE SUMMARY 3

1. THE RELATIONSHIP FUNCTION 4

1.1 Introduction 4

1.2 The Eight Concepts of Relationship Marketing 4

1.3 Market Strategies 5

1.4 Customer Bonding & Positioning 6

1.5 Quality Management and Benchmarking 7

1.6 Communication and Promotion 9

2. THE RELATIONSHIPS COMPANY OF THE FUTURE 11

3. A RELATIONSHIP MARKETING PLAN 13

REFERENCES AND BIBLIOGRAPHY 27

16

BIBLIOGRAPHY: 16

ANNEXURES: 17

APPENDICES

Appendix A (Intersite's Current Organisational Structure)

Appendix B (Reporting Structure)

Appendix C (Intersite's Previous Organisational Structure)

Appendix D (The most important labour statutes)

Appendix E (Steps in Selection Process)

Appendix F (Recruitment Process)

Appendix G (Types and Structure of Rewards)

Appendix H (Training Needs Analysis)

Appendix I (Communication areas and Objectives)

Appendix J (Motivation)

Appendix K (Workforce Planning and Programming Process)

Appendix L (Succession Plan)

Appendix M (Harvard Model)

Appendix N (Strategic Directions)

Appendix O (Learning Organisation)

EXECUTIVE SUMMARY

Relationship marketing is a business philosophy, which aims to develop strong relationships with a range of stakeholders, such as suppliers, media, intermediaries and public organisations, as well as with customers.

The goal of relationship marketing is to align all of the aspects of a company within its chosen customers and stakeholders. This can only be achieved by applying the Eight Concepts of Relationship Marketing on an ongoing basis. The company must ensure it has Market Strategies in place to help it achieve its objectives. Customer Bonding & Positioning allows a company to provide what the customer wants; thereby ensuring they have a better position in the market place than their competitors. By introducing the concept of Total Quality Management into the company, the benefit thereof will be a better commitment by the organisation to manage quality, thereby improving customer satisfaction.

Benchmarking will encourages management to focus externally on the customer and the competition, as it highlights the gap between where the company is and where it wants to be. Relationship Marketing ensures that technology is used to facilitate a relevant, timely, personalised and customised communication process and identifies individual preferences. Communication with individual customers via the media each prefers will ensure customer value. Promotion is done in order to influence the behaviour and attitude of the customer and incorporates various methods of communication with the customer, ensuring they receive the information via their preferred media.

Fully automated production and knowledge placed in useful databases will allow relationships that create value to be developed. The relationships company of the future will need to use technology to shape value for each customer by building capabilities needed to enhance those relationships. The company that embraces relationship marketing, its strategies and processes will have a competitive advantage as they will be organised around all their stakeholders, who seek to create the value that each wants, and integrate it into the business process. This will lead to a series of trust-based relationships, as the company will understand the importance of specific capabilities in advancing relationships.

1. THE RELATIONSHIP FUNCTION

1.1 Introduction

Relationship marketing emphasises building longer-term relationships with customers, rather than on individual transactions. Traditionally marketing, through the 4 P's of the marketing mix (Product, Place, Price, Promotion) focuses on a specific market segment. However, relationship marketing focuses on a single person or company with the object of creating mutual & shared value with the customer over a lifetime of purchasing. It involves understanding the customers' needs as they go through their life cycles, and emphasizes providing a range of products or services to existing customers, as they need them.

Relationship marketing is "a continuous attempt, by the organisation, to offer a range of quality products as well as a quality after-sales service" (Damelin, nd. P 3.)

1.2 The Eight Concepts of Relationship Marketing

The goal of relationship marketing is to align all of the following aspects of a company within its chosen customers and stakeholders.

1. Culture and Values - the customer's culture and values must be conducive to the formation of an enduring relationship.

2. Leadership - the company's leadership must view sharing as a virtue and understand the real meaning of a relationship, before committing the company to relationship marketing.

3. Strategy - this needs to be customer-centric, with relationship objectives and strategies

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