In today’s business, making a profit is not the only aim of most organizations Taylor & Francis (2008). As organizations try to maximize revenue from the minimal cost, they must make sure that their products or services bring maximum satisfaction to their consumers. Consumer satisfaction includes three key phases; customer acquisition, customer retaining, and customer extension.
When advertising is done intensively, it results in winning the targeted customers. This phase is referred to as customer acquisition. It is built on the act of carrying out marketing orientation in the correct manner by choosing the right customers for the product. It can only be done if an outside-in strategy is carried out rather than an inside-out strategy (Buttle 2008). This is a policy that makes the producer come up with products that are needed by the customers but not what they think is needed by the customers.
Customers must be satisfied with the product for them to be retained. This is the act of creating loyal customers all through. Retention can be created through the act of adding value to the product which is already on the market. For example, coming up with slogans like “this washing powder contains three in one ability to remove stains”, will make consumers have an impression that the products have got three powers in one product. This way, customers are retained and continue to purchase the product whose value has been improved (Buttle 2008).
The last step of customer relationship management (CRM) is the customer extension process. Customers in this step continue to purchase the product. In today’s world, technology is changing from time to time making it the most dynamic factor in the production process. Organizations that fail to change with the changing technology may end up producing outdated products. If the producer is in line with the existing technology, it is placed in a better position to extend its customers.
Reference List
Buttle, F, 2008, Customer Relationship Management. Second Edition. New York, Taylor & Francis.