Showing papers on "Relationship marketing published in 2009"

The Role of Customer Gratitude in Relationship Marketing

Abstract: Most theories of relationship marketing emphasize the role of trust and commitment in affecting performance outcomes; however, a recent meta-analysis indicates that other mediating mechanisms are at work. Data from two studies—a laboratory experiment and a dyadic longitudinal field survey—demonstrate that gratitude also mediates the influence of a seller's relationship marketing investments on performance outcomes. Specifically, relationship marketing investments generate short-term feelings of gratitude that drive long-lasting performance benefits based on gratitude-related reciprocal behaviors. The authors identify a set of managerially relevant factors and test their power to alter customer perceptions of relationship marketing investments to increase customer gratitude, which can make relationship marketing programs more effective. Overall, the research empirically demonstrates that gratitude plays an important role in understanding how relationship marketing investments increase purchase int...

Strengthening Stakeholder-Company Relationships Through Mutually Beneficial Corporate Social Responsibility Initiatives

Abstract: Corporate social responsibility (CSR) continues to gain attention atop the corporate agenda and is by now an important component of the dialogue between companies and their stakeholders. Nevertheless, there is still little guidance as to how companies can implement CSR activity in order to maximize returns to CSR investment. Theorists have identified many company-favoring outcomes of CSR; yet there is a dearth of research on the psychological mechanisms that drive stakeholder responses to CSR activity. Borrowing from the literatures on means-end chains and relationship marketing, we propose a conceptual model that explains how CSR provides individual stakeholders with numerous benefits (functional, psychosocial, and values) and how the type and extent to which a stakeholder derives these benefits from CSR initiatives influences the quality of the relationship between the stakeholder and the company. The paper discusses the implications of these insights and highlights a number of areas for future research.

Strengthening Stakeholder-Company Relationships Through Mutually Beneficial Corporate Social Responsibility Initiatives

Abstract: Corporate social responsibility (CSR) continues to gain attention atop the corporate agenda and is by now an important component of the dialogue between companies and their stakeholders. Nevertheless, there is still little guidance as to how companies can implement CSR activity in order to maximize returns to CSR investment. Theorists have identified many company-favoring outcomes of CSR; yet there is a dearth of research on the psychological mechanisms that drive stakeholder responses to CSR activity. Borrowing from the literatures on means-end chains and relationship marketing, we propose a conceptual model that explains how CSR provides individual stakeholders with numerous benefits (functional, psychosocial, and values) and how the type and extent to which a stakeholder derives these benefits from CSR initiatives influences the quality of the relationship between the stakeholder and the company. The paper discusses the implications of these␣insights and highlights a number of areas for future research.

The Role of Identity Salience in the Effects of Corporate Social Responsibility on Consumer Behavior

Abstract: Based on the assumption that consumers will reward firms for their support of social programs, many organizations have adopted corporate social responsibility (CSR) practices. Drawing on social identity theory, a model of influence of CSR on loyalty is developed and tested using a sample of real consumers. Results demonstrate that CSR initiatives are linked to stronger loyalty both because the consumer develops a more positive company evaluation, and because one identifies more strongly with the company. Moreover, identity salience is shown to play a crucial role in the influence of CSR initiatives on consumer loyalty when this influence occurs through consumer-company identification. A strong identifier is not necessarily in a constant state of salience, but activating identity salience of a particular consumer social identity (a company) will affect consumer reactions to product stimuli, increasing consumer loyalty.

Understanding the Marketing Department's Influence Within the Firm

Abstract: Increasing debate centers on the decreasing influence of the marketing department within firms. This study investigates such influence and assesses its determinants and consequences. The results show that the accountability and innovativeness of the marketing department represent the two major drivers of its influence. However, the results do not indicate that the customer-connecting role of the marketing department increases its influence, though this role is important for shaping the firm's market orientation. A marketing department's influence is related positively to market orientation, which in turn is related positively to firm performance. This study also suggests a dual relationship between the marketing department's influence and market orientation. A key implication of this study is that marketers should become more accountable and innovative to gain more influence.

Key Issues in Multichannel Customer Management: Current Knowledge and Future Directions

Abstract: Multichannel customer management is “the design, deployment, and evaluation of channels to enhance customer value through effective customer acquisition, retention, and development” (Neslin, Scott A., D. Grewal, R. Leghorn, V. Shankar, M. L. Teerling, J. S. Thomas, P. C. Verhoef (2006), Challenges and Opportunities in Multichannel Management. Journal of Service Research 9(2) 95-113). Channels typically include the store, the Web, catalog, sales force, third party agency, call center and the like. In recent years, multichannel marketing has grown tremendously and is anticipated to grow even further. While we have developed a good understanding of certain issues such as the relative value of a multichannel customer over a single channel customer, several research and managerial questions still remain. We offer an overview of these emerging issues, present our future outlook, and suggest important avenues for future research.

Relationship quality: a critical literature review and research agenda

Abstract: Purpose – In today's highly competitive environment losing customers is very costly. Customer retention and loyalty have become possible through the development of long‐term, mutually beneficial relationships with customers. This paper seeks to critically review the literature on relationship quality (RQ) and to suggest avenues for further research.Design/methodology/approach – Data were collected with impartial cross‐referencing of papers published in all major journals in the marketing area. Papers are presented in tabulated form based on six rigorously cross‐checked categories of information.Findings – Most RQ research centres on business‐to‐business (b‐to‐b) markets and products use survey data, look at relationships from the customer perspective and analyse either the US or European markets. Also, results differ in various contexts and there is no universally accepted framework for RQ. By analysing the different variables used in previous studies, a general conceptual framework is provided for the st...

Marketing Alliances, Firm Networks, and Firm Value Creation

Abstract: Prior research has found that the announcement of marketing alliances tends to produce no effect on firm value creation in a high-tech context. This article reexamines this issue and investigates whether the characteristics of a firm’s network of alliances affect the firm value created from the announcement of a new marketing alliance. The authors investigate whether network centrality, network density, network efficiency, network reputation, and marketing alliance capability influence firm value creation. They examine this question using an event study of 230 announcements for marketing alliances in the software industry. The results indicate that, in general, marketing alliance announcements create value (i.e., abnormal stock returns) for the firm in the announcement period event window. Furthermore, network efficiency and network density have the strongest positive impact when they are moderate; network reputation and network centrality have no effect. These results point to the greater role of relational network characteristics than size-/status-based benefits. Finally, marketing alliance capability, which reflects a firm’s ability to manage a network of previous marketing alliances, has a positive impact on value creation.

Implementing the Marketing Concept at the Employee–Customer Interface: The Role of Customer Need Knowledge

Abstract: Although the identification of customer needs constitutes a cornerstone of the marketing concept, the accuracy of frontline employees' perceptions of customer needs has never been examined in a systematic manner. Following research in social cognition, this article introduces the concept of “customer need knowledge” (CNK), which describes the extent to which a frontline employee can accurately identify a given customer's hierarchy of needs. The results of two large-scale, multilevel investigations involving data from three different levels (customers, employees, and managers) demonstrate the importance of CNK for the provision of customer satisfaction and customer value. In particular, CNK fully mediates the influence of employees' customer orientation and cognitive empathy on these customer outcomes. Moreover, whereas the length of the relationship between an employee and a particular customer enhances CNK, a large age discrepancy in relation to the customer decreases employees' level of CNK.

Experience marketing: a review and reassessment

Abstract: For the last twenty-five years customer experiences have been considered to be a key concept in marketing management, consumer behaviour, services marketing and retailing with the result that the underlying logic and managerial rationale for experience marketing is well established in the marketing literature. However, the gulf between academics and practitioners on this topic is now as wide as ever with bestselling titles on experience marketing written by and for practitioners, which are rich in examples and step-by-step guides to managerial success yet pay scant attention to the contributions of academics in this area. The purpose of this paper is to review and reassess the extant work on experience marketing. Service-Dominant logic is employed to bridge the divide between theory and practice in this respect. A model of customer's experience proposed, implications for practitioners and academics are discussed and greater dialogue is called for between marketers and their academic counterparts.

The impact of e-service quality, customer satisfaction and loyalty on e-marketing: Moderating effect of perceived value

Abstract: Since the online market has been growing rapidly over the past several years, electronic marketing activities have drawn a lot of attention. Many companies generated customer loyalty by improving electronic service quality (e-service quality) but the effects needed to be further examined. The first purpose of the study is to integrate relevant literature and develop a comprehensive research model of electronic commerce to identify its antecedent and consequential research variables. This study tests the interrelationships among the perception of e-service quality, customer satisfaction and customer loyalty. The second purpose of this study is to examine the moderating effect of customer perceived value on the relationship between customer satisfaction and loyalty. Through a questionnaire survey, the results of this study indicated that e-service quality has influence on customer satisfaction and then generates customer loyalty, which is consistent with Bagozzi's appraisal→emotional response→behaviour fram...

Developing successful trust-based international exchange relationships

Abstract: Trust is a central construct in relationship marketing. Yet the literature provides mixed empirical evidence on the trust–performance linkage. Also, there is limited research on how to build trusting international buyer–seller relations. We develop a comprehensive model integrating performance-enhancing mechanisms and antecedent processes of trust in import–export relationships. Our survey results from importers trading with overseas manufacturers suggest that existing levels of trust have a positive effect on relationship performance outcomes achieved 1 year later. Importantly, trust takes on greater importance in enhancing performance under conditions of high interdependence, whereas in circumstances of low interdependence trust has no discernible effect. The findings also indicate that interfirm psychic distance, internal uncertainty, and exporter transaction-specific assets and opportunism are related to importer trust. Implications for academics and practitioners are addressed.

Buyer-Seller Relationships: Bonds, Relationship Management, and Sex-Type

Abstract: Although a key objective of relationship marketing is building strong bonds with customers, there is little empirical research into the antecedents and consequents of relational bonds. Women are increasingly assuming key boundary-spanning roles in organizations, and understanding the extent to which sex differences affect relationship processes and outcomes is an important management issue. This study develops hypotheses linking relationship quality, relational bonds, facets of relationship management, and biological sex, and tests them in the context of buyer-supplier relationships. Social bonds and the relationship-management facets of communication/cooperation and relationship investment were found to be key predictors of relationship quality. Communication/cooperation, relationship investment and relationalism were found to predict social bonds, while relationship investment and relationalism were found to predict functional and structural bonds. Relationship type (male-male, male-female, female-- male, and female-female) was found to have some effect on relationship quality and relational bonds. Post hoc analysis found significant interaction effects between the type of relationship and facets of relationship management. The management of buyer-seller relationships is recognized as being integral to business success (Wilson, 1995) and can provide a key source of competitive advantage (Day & Wensley, 1983). While there are several views about the nature and scope of relationship marketing (Nevin, 1995), one core objective is to build strong bonds with customers (Cravens, 1995). Interestingly, the antecedents and consequents of relational bonds remain relatively unexplored (cf. Han, 1992; Mummalaneni & Wilson, 1991). Recent work by Palmer and Bejou (1995) and Smith and Bejou (1995) suggests that biological sex and/or socialized gender role may have a bearing on working relationships, processes, and outcomes. Although equivocal, research on interpersonal and work relationships suggests that men and women differ, at least in degree, in their relationship management styles, approaches, and values (e.g., Keys, 1985; Riger & Gilligan, 1980; Statham, 1987). These are thought to place a strain on coworker interaction (Devine & Markiewicz, 1990). It is not clear, however, to what extent, if any, sex differences are manifest in the management of buyer-seller relationships. This issue is particularly important since women have increasingly been assuming key management and boundary-spanning roles in organizations over the past two decades (Foster & Orser, 1994), and men and women may have different training requirements to be effective relationship managers. This study investigates the role of relational bonds in the development of quality working relationships. The effects of biological sex on relationship management, relational bonds, and relationship quality are also explored. Background Relationship marketing has been such a dominant, yet undefined, paradigm over the past 10 years that it is difficult to distinguish from marketing, as classically defined (Iacobucci, 1994). This has led to the paradox where considerable research has been conducted on service, consumer, channel, partner, and business-to-business relationships (cf. the special issue of the Journal of the Academy of Marketing Science, 1995), yet relationship marketing is considered to be in the very early stages of its development (Sheth & Parvatiyar, 1995). Reflective of its early development relationship marketing research has been plagued by a variety of conceptual and methodological issues. There is little agreement on the definition of concepts, how they should be operationalized, or what labels should be attached to them (Wilson, 1995). This has led to the situation where the meanings of many of the concepts deployed in the literature overlap. An unresolved methodological issue is who can or should inform the researcher on the nature, characteristics, and dynamics of the relationship, its parties, their interaction, and their environment. …

An experiential, social network‐based approach to direct marketing

Abstract: Purpose – Direct marketing faces challenges and opportunities associated with the emergence of social network media. Companies need to address target audiences both directly and also indirectly through social media. The purpose of this paper is to provide a review of the changing media landscape of direct marketing, and proposes a model of direct and indirect targeting of buyers.Design/methodology/approach – A conceptual model is presented which brings together the needs of producers, sellers and communities. Customer experience is used as an integrative framework for reconciling the sometimes differing needs of these groups.Findings – The literature is reviewed, noting changes in media habits. Previous studies of social network users provide a picture of the benefits sought by members of online communities.Originality/value – Assessment of direct marketing has traditionally emphasised cognitive and behavioural metrics. This paper has proposed an experiential framework which may be more difficult to measu...

Innovative marketing in SMEs

Abstract: – The purpose of this paper was to investigate the concept of innovative marketing and how it manifests itself in the context of small‐to medium‐sized enterprises., – The literature relating to the characteristics of SMEs, and innovative marketing are reviewed to identify the key elements of innovative marketing and SMEs. This review and the key elements identified contribute to an overall conceptualisation of innovative marketing for SMEs., – The discussion considers and provides a description of innovative marketing in SMEs. Innovative marketing does not just relate to products, new product development, and technological development but is also evident in other aspects of marketing related activities and decisions and is very specific to the context and needs of the SME., – The focus of this paper is on taking the relevant themes from the literature and considering them in the light of SME marketing and in the context of SME business activities.

Making Sales Technology Effective

Abstract: Firms invest billions of dollars in sales technologies (STs; e.g., customer relationship management, sales automation tools) to improve sales force effectiveness and efficiency. However, the results expected from ST investments are often not achieved. This article proposes relationship-forging tasks that are critical to the link between ST use and key aspects of salesperson performance (i.e., a salesperson's relationship-building performance with customers and administrative performance). The authors evaluate relationship-forging tasks in the context of a model that considers the antecedents and consequences of three different uses of ST: accessing, analyzing, and communicating information. In general, the results of a field study, which is analyzed using block-recursive structural equation modeling, support the relationship-forging theory and show that relationship-forging tasks predict 57% of the variance in a salesperson's relationship-building performance with customers. The findings also support hypotheses that using ST either to analyze or to communicate information has mediated positive effects on a salesperson's relationship-building performance with customers. However, a salesperson's use of ST to analyze information has negative influences on administrative performance, creating an unexpected trade-off for sales and marketing managers.

Expanding the Role of Marketing: From Customer Equity to Market Capitalization:

Abstract: Can a marketer drive the stock price of the firm? Yes, it should be possible. Toward this endeavor, the authors develop a framework to link customer equity (CE) (as determined by the customer lifetime value metric) to market capitalization (MC) (as determined by the stock price of the firm). The authors test the framework in an empirical field experiment with two Fortune 1000 firms in the business-to-business and business-to-consumer contexts, respectively. The findings show that (1) a CE-based framework can reliably predict the MC of the firm and (2) marketing strategies directed at increasing the CE not only increase the stock price of the firm but also beat market expectations. Furthermore, the results indicate that the relationship between CE and MC is moderated by risk factors in the form of volatility and vulnerability of cash flows from customers. By accounting for these factors, the authors improve the association between CE and MC. The findings broaden the scope and role of marketing whi...

Are Product Returns a Necessary Evil? Antecedents and Consequences

Abstract: The firm–customer exchange process consists of three key parts: (1) firm-initiated marketing communications, (2) customer buying behavior, and (3) customer product return behavior.To date, the literature in marketing has largely focused on how marketing communications affect customer buying behavior and, to some extent, how past buying behavior affects a firm's decisions to initiate future marketing communications. However, the literature on product returns is sparse, especially in relation to analyzing individual customer product return behavior. Although the magnitude of the value of product returns is known to be high ($100 billion per year), how it affects customer buying behavior is not known because of a lack of data availability and understanding of the role of product returns in the firm–customer exchange process. Given that product returns are considered a hassle for a firm's supply chain management and a drain on overall profitability, it is important to study product return behavior. T...

Understanding the sustainability of a virtual community: model development and empirical test

Abstract: With the proliferation of Web 2.0 technologies, there is an expanded opportunity for individuals to get involved in information exchange. In this study, the sustainability of a virtual community for teachers and educators were investigated. The research model borrows the key concepts from the IS continuance model, social influence theory, the uses and gratifications paradigm, and relationship marketing to explain user intention to continue using a virtual community, as well as intention to recommend the community to others. Satisfaction, commitment, group norms are found to have significant impacts on intention to continue using and intention to recommend. Among the three factors, satisfaction has the highest impact on behavioral intentions. Individual-related factors (purposive value and self-discovery) are found to have significant impacts on user satisfaction, while social-related factors are more important in determining commitment and group norms. The results of this study provide important implications for both research and practice.

B2B is Not an Island

Abstract: Purpose - With B2B (business-to-business) and new developments in marketing as the springboard, to emphasize the necessity of heeding complexity and context by addressing marketing as a coherent, relational system. Methodology/approach - Conceptual analysis based on new developments in marketing, network theory, and case study research; and the thesis that any company or marketing situation directly or indirectly embraces both B2B and B2C (business-to-consumer) issues. Findings - First, recent marketing theory points to the need for a network and systems approach to marketing and to changing roles between suppliers and customers. Two of these developments, many-to-many marketing as a broadening of relationship marketing (RM) and CRM (customer relationship management), and the service dominant logic (S-D logic) stress C2B (consumer-to-business) and C2C (customer-to-customer) interaction, exposing the customer’s active role. Second, a practitioner contribution, the cross-disciplinary IBM servicescience program, is enrolling academic research and education in the development of more functional and seamless service systems that work in real settings. Third, the conventional divide in goods and services marketing is conceptually dissolved in favor of supplier-customer interaction leading to value propositions and the co-creation of value. Research implications - B2B, B2C/C2B and C2C aspects are part of an integrated, complex context. Case study research and network theory allow researchers to let complexity and context to come forward. Network theory should be used in all marketing and not only on B2B. Definitions, categories and concepts in use need to be constantly evaluated as to validity and relevance for contemporary and future marketing. The conventional economic sectors(manufacturing, services, agriculture) are supplier-centric whereas marketing prescribes customer-centricity; consequently they should not be used in marketing. By focusing on continuous theory generation, an open source code and mass collaboration, “testing” and critiquing theory is superfluous; instead generate better theory to replace previous theory. Treat marketing as an aspect of all company activities; in a network every node and link can potentially affect any other part of a network. Practical implications - For marketers to better overview complexity and context of their specific marketing situations, to systematically observe relational phenomena and the customer’s role, and as a consequence better foresee opportunities and avoid mistakes in their marketing planning. Originality/value - In the light of new research and conceptualization, the article offers a network view which is only marginally represented in research and education in marketing. With bigger and more global systems and growing dependency on software and the Internet, the need to address integrated systems becomes urgent. In the new logic of service and value creation, marketing categories are being dissolved and the reductionism and linearity of Western science are being challenged in favor of a broader network approach. The dependency between B2B and B2C has been noted before but we go further and treat these as perspectives of a grander marketing context and not as independent categories. The analysis of B and C combinations displays the broadened role of customers in value networks. Goods and services are intertwined and can only be understood and handled in a unified context.

Marketing as promise management: regaining customer management for marketing

Abstract: Purpose – In today's competitive markets where market offerings are far more complicated and customer interfaces are far broader than conventional marketing models assume, marketing has become increasingly tactical and lost control of the customer management process. The purpose of this paper is to develop a promise management‐based approach to marketing with the goal of regaining customer management for marketing.Design/methodology/approach – The approach takes the form of a conceptual analysisFindings – According to the promise management approach marketing is viewed as a process of enabling and making promises as well as keeping promises in order to meet expectations created by promises made. Value creation in customer processes is considered the goal for marketing. It is claimed that by taking this view marketing can once again take full responsibility for customer management.Research limitations/implications – The paper establishes a foundation for studying marketing as a process in situations where ...

Customer engagement: a framework for assessing customer-brand relationships: the case of the restaurant industry.

Abstract: Customer-brand relationships do not just exist, they develop over time and through multiple service experiences, yet the literature typically discusses customer-brand relationships as being a largely static phenomenon. Very limited attention has been given over to the service evaluation processes of customers who are new to a service brand, as compared to customers who are experienced with the service brand. Research additionally continues to rely on the historically dominant customer satisfaction paradigm as the most effective method with which to evaluate service experiences at the expense of other relational mediators such as involvement, calculative commitment, affective commitment, and trust. This limits the extent to which a more complete and dynamic understanding of the nature of customer-brand relationships and the processes by which engagement with the brand and ultimately loyalty to the brand may be fostered for customers in different consumption stages. A phenomenological investigation into the...

Customer Satisfaction and Stock Returns Risk

Abstract: Over the past decade, several studies have argued that customer satisfaction has high relevance for financial markets because it has a significant impact on stock returns. However, little attention has been given to understanding the impact of customer satisfaction on the risk of stock returns. The finance literature suggests that investors that judge performance only in terms of returns place more resources than warranted in risky opportunities, forgo profitable opportunities, and apply misguided performance evaluations. Accordingly, this study develops, tests, and finds empirical support for the hypotheses that positive changes (i.e., improvement) in customer satisfaction result in negative changes (i.e., reduction) in overall and downside systematic and idiosyncratic risk. Using a panel data sample of publicly traded U.S. firms and satisfaction data from the American Customer Satisfaction Index, the study demonstrates that investments in customer satisfaction insulate a firm’s stock returns from market movements (overall and downside systematic risk) and lower the volatility of its stock returns (overall and downside idiosyncratic risk). The results are robust to alternative measures of risk, model specifications, and concerns related to sample composition criteria raised in some recent studies. Therefore, the results indicate that customer satisfaction is a metric that provides valuable information to financial markets. The robust impact of customer satisfaction on stock returns risk indicates that it would be useful for firms to disclose their customer satisfaction scores in their annual report to shareholders.

What is Sensory Marketing

Abstract: This chapter presents sensory marketing in practice and theory. A sensory marketing framework is discussed and compared with mass and relationship marketing. Five sensorial strategies are suggested that emphasize the human senses as the center of a firm’s sensory marketing. At the end of the chapter the importance of the human senses, the brand, and experience logic in sensory marketing is discussed.

The impact of internal and external market orientations on firm performance

Abstract: The role of internal marketing in developing organisational competencies is identified as a key area for continued research (Rafiq & Ahmed, 2003). One competence of particular interest to marketers is market orientation. This paper examines the impact of internal marketing, operationalised as a set of internal market‐oriented behaviours (IMO), on market orientation (MO) and consequently organisational performance. It provides the first quantitative evidence to support the long held assumption that internal marketing has an impact on marketing success. Data from UK retail managers were analysed using structural equation modelling employing LISREL software. These data indicate significant relationships between internal market orientation, employee motivation and external marketing success (market orientation, financial performance and customer satisfaction). Our results also support previous findings indicating a positive impact of external market orientation on customer satisfaction and financial performan...

The Fundamentals of Marketing

Abstract: Introduction. Chapter by chapter. How to get the most out of this book. The business of marketing: What is marketing? Strategic marketing in business A very brief history of marketing Where are we headed? Classic marketeers verses the new marketing model Case study: The five 'P's' in action Smart plan: Part One Chapter questions and exercises. Consumer behaviour: What is consumer behaviour? Consumer behaviour influencers Consumer behaviour and psychological make-up Market segmentation and target groups How people shop The Everyman effect Case study: Amazon.com and analytics Smart plan: Part Two Chapter questions and exercises. Product and brand development: Brands and branding Managing and growing existing brands Why are brands important? Developing new products and brands Organising for new product development Case study: Pestages Smart plan: Part three Chapter questions and exercises. Strategic pricing: Basics of marketing finance Profit - the bottom line Pricing strategies Case study: Exotic water Smart plan: Part four Chapter questions and exercises. Distribution channel marketing: What are distribution channels and how do they work? Distribution strategies Developing and managing your sales force Customer relationship marketing (CRM) Case study: Wal-Mart Smart plan: Part five Chapter questions and exercises. Promotion in marketing: The basic theories Rational verses emotional selling The communications revolution Developing marketing communications The creative process Pitching the concept Assessing marketing communications Measuring effectiveness Case study: Red Bull Smart plan: Part six Chapter questions and exercises. Appendix. Student resources. Glossary of terminology. Picture credits and acknowledgements. Working with ethics.

Rethinking marketing communication: From integrated marketing communication to relationship communication

Abstract: Using as a starting-point the model of integrated marketing communication (IMC), which is based on the tenet that the company integrates the marketing message conveyed to the consumer, this paper switches the focus by highlighting the consumer's message integration A review of the marketing communication literature on meaning creation uncovered four central factors influencing the process of meaning creation: historical; future; external; and internal factors However, the literature seems to be lacking a broad model that includes all these factors as well as a specific study of the nature and impact of future factors Combining insights from marketing communication with findings from research in relationship marketing, this paper presents a holistic model that is based on the consumer perspective and takes into account the impact of all four factors on message integration By shedding light on the influence of the future time factor on message reception, the paper presents an emerging Relationship Commu

The New Marketing Myopia

Abstract: During the past half century, marketers generally have heeded Levitt's (1960) advice to avoid "marketing myopia" by focusing on customers. We argue that they learned this lesson too well, resulting today in a new form of marketing myopia, which also causes distortions in strategic vision and can lead to business failure. The New Marketing Myopia stems from three related phenomena: 1) a single-minded focus on the customer to the exclusion of other stakeholders; 2) an overly narrow definition of the customer and his/her needs; and 3) a failure to recognize the changed societal context of business that necessitates addressing multiple stakeholders. We illustrate these phenomena and then offer a vision of marketing management as an activity that engages multiple stakeholders in value creation, suggesting that marketing can bring a particular expertise to bear. We offer five propositions for practice that would help marketers correct the myopia: 1) map the company's stakeholders, 2) determine stakeholder salience, 3) research stakeholder issues and expectations and measure impact, 4) engage with stakeholders, and 5) embed a stakeholder orientation. We conclude by noting their implications for research.