Transcript Case Study 6

Case Study 6
Relationship Marketing
Company Overview
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Operates in the Consumer Packaged
Goods industry
Dominantly B2B industry
There a large competition in this area due
to:
• Product being the same
• Cost
• Small number of customers but large profits
possible
• Two large competition companies
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Both have had large upgrades recently to their design
and manufacturing technologies
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How they get by:
• Cutting manufacturing costs
• Investing in technology that creates efficient
manufacturing
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Company 6 is concerned that their loyal
customers might want to try their
competitors new technology and want to
switch.
Visible opportunity
• Customers do have specialized needs for their
product depending on brand
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Current position
• Survey results suggest that customers are
more satisfied with the competition rather than
company 6.
• The results also suggest that the customers
are more loyal to their competition than they
are to company 6.
• If they continue what they are doing they will
either get the same results or more than likely,
they will be going down hill.
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The problem:
• They are lacking loyal existing customers with
no switching
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Company 6 solution to the problem
• They want to provide an array of
customized design services more than
the competition.
• These design services are at no cost to
the customer
• Relationship marketing
E-Business Marketing Goal or
Strategy
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Develop an online portal
• Contains the top three services
preferred by the customer
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Online, real-time collaborative design tools
Real-time project status including delivery
schedules
Online research applicable to its business
• Seven more features will be added in
the future for the employees requests
• This leads us to the pyramid model:
Pyramid Model
Company
Internal
Marketing
Employees
technology
Interactive
Marketing
External
Marketing
Customers
Pyramid Explanation
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Internal Marketing
(enabling promise)
• Employees have
information about
the company that’s
relevant to them.
• Employees helped
design the
Webpage so that it
was efficient
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External Marketing
(setting promise)
• Customers have
information about the
company that’s relevant
to them.
• Marketing mix of: Product
and customer solution,
price and cost, promotion
and communication,
place and convenience,
people, process, and
physical evidence.
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Interactive Marketing
(delivering promise)
• Employees have information
about the customer to better
serve them
• Customers have good service
provided to them
• Technical: The webpage
content, navigation, ease of
use, quick loading time, and
delivering the service
promised.
• Functional: pop-up surveys on
the website for employees and
customers. Database will
compile the data and increase
service accordingly.
Primary Stakeholders
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Service-profit chain
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Service-profit
chain relies
on the
employees
and
customers
interacting in
a mutually
beneficial
relationship.
Relationships
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customer loyalty drives profit and growth
customer satisfaction drives customer loyalty
value drives customer satisfaction
employee productivity drives value
employee loyalty drives productivity
employee satisfaction drives loyalty
internal quality drives employee satisfaction
top management leadership underlies the
chain’s success
Value Bubble
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Four stages of the value bubble that
will be used:
• Engaging
• Retaining
• Learning
• Relating
Value Bubble Technologies
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The webpage was using very simple technologies
(bad)
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Gif’s
HTML
JavaScript
Embedded e-mail
Image mapping
Frame sets in HTML
Three links were hidden in a collage picture that
was put in the page (oops)
• Products
• Packaging
• 100 percent Recycled Paperboard
Attracting
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No attracting was intentionally done
to complete the goal
They did however use standard
HTML metatags to attract customers
Description should include misspelled
words and terms not just the
products sold
Engaging
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They included inline links
• This allows anyone reading the page to click on
a word to bring them to a definition or a page
that sells that product.
• The problem with this is that there is no back
button when you click the inline link.
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Location map
• This allows anyone to click on a portion of the
map to see the locations of all of company 6
manufacturing locations
Retaining
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It has a well organized base of
information.
With the frames it makes it fairly
easy to get around.
• Problem is that frames are dead
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Has an up-to-date news link
• Problem is that it requires you to call or
e-mail someone to get more information
on the new product.
Learning
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The company failed to implement the
survey on the web site and never
collected any data from the
customers.
Dynamic site configuration was
wanted, but never implemented
Relating
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Without knowing your individual
customers there is no way to relate
to the customers individually.
Everyone that goes to the page sees
the same thing every time.