A review of the marriage analogy in relationship marketing

This paper offers a review of the marriage analogy in relationship marketing as used by many marketing authors. Accepting a Christian view of marriage as adopted in Levitt's seminal paper, marriage is seen as a successful, public, contractual, and monogamous relationship, freely entered into by two consenting adults of different genders, which is intended to endure a lifetime. However, while parallels do exist in relationship development, the metaphor fails to deliver on issues concerning the number of parties involved in the relationship, on the attendant costs and benefits, on the willingness of the parties involved and on the “ideal” timescale of the relationship. Parallels from the full range of relationships between the sexes, both functional and dysfunctional, suggest polygamy, prostitution, stalking, rape, and seduction may be more apposite.     

The Role of Business and Friendships on WeChat Business: An Emerging Business Model in China

ABSTRACT

WeChat business is an emerging way of doing business in China, which can be considered as a marriage between traditional e-business and social networking communications. In WeChat business, firms have developed customer relationships along two distinct ways: business relationships and friendships. However, research on the combination of business relationships and friendships is relatively nascent, and there are contradictory findings. In this study, we examine the effectiveness of the two relationship strategies using data from a field experiment through the WeChat platform by an apparel firm. Results from the field experiment suggest that development of friendships with new customers can help the strategy of developing business relationships; but developing friendships and business relationships with experienced customers negates each other. The study contributes to the literature on relationship marketing and role theory, and helps WeChat managers clarify how new social networking relationships with customers can be effectively leveraged.     

Impact of Traditional Chinese Culture on Business-to-Business Relationship Marketing and Service Firm Performance

ABSTRACT

Purpose: This work addresses the mixed findings in relationship marketing studies regarding the importance of traditional culture-level (i.e., interpersonal) relationships on service firm outcomes.

Methodology/approach: This article leverages customer relationship marketing (CRM) theory to advance a framework for understanding the causal relationship between the Chinese cultural worldview and relationship marketing in order to better predict firm performance.

Findings: The author suggests that five major Chinese cultural characteristics—iren-qing, wa-pao, mianzi, chaxu-geju, and collectivism—can qualify the business-to-business (B-to-B) relationship building process and impact the effectiveness of interpersonal and/or group relationships on service firm outcomes.

Research implications: The study’s framework suggests that Chinese cultural characteristics, universal concepts manifest in the activities of Chinese society and organizations, have a positive effect on customer relationship marketing. Chinese culture characteristics can be used to generate excellent relationships with customers and thus create a consumer preference for certain companies and drive service marketing repurchase.

Originality/value/contribution: This study’s theoretical framework (a) distinguishes between Chinese cultural characteristic and relationship marketing relationships; (b) suggests that Chinese cultural characteristics and customer relationship marketing have a positive and substantial effect on service firm performance and that Chinese cultural characteristics are related to customer relationship marketing in their effect on service firm performance; and (c) provides managerially relevant guidelines for strategic sales planning.     

One-to-One and One-to-Many Business Relationship Marketing: Toward a Theoretical Framework

ABSTRACT

Purpose. This work addresses mixed findings in relationship marketing literature regarding the importance of micro-level (interpersonal) relationships on firm outcome.

Methodology/Approach: The article leverages impression formation theory to advance a framework to understand one-to-one and one-to-many marketing relationships to better predict firm outcome.

Findings: The authors suggest that 5 framework moderators—the type and consistency of the encounters, relationship age, purchase frequency, relationship interruptions, and two customer side characteristics (i.e., need to evaluate [NTE] and need for cognitive closure [NFCC]”)—can qualify the relationship building process and impact the effectiveness of interpersonal and/or group relationships on firm outcome.

Practical Implications: The framework suggests that (1) highly consistent sales team behaviors reduce the risk of losing business in case of a sales team member leaving; (2) low frequency purchases are better suited for one-to-many selling relationships; (3) temporarily suspending relationships by individual salespeople is more harmful than suspending relationships by sales teams; (4) involving the customer in the acquisition process facilitates team selling; and (5) a positive first impression is more important for high (vs. low) NFCC and high NTE customers.

Originality/Value. The theoretical framework (1) distinguishes between individual-to-individual and individual-to-group relationships, (2) suggests a distinction between micro-level individual-to-individual and individual-to-group relationships and macro-level individual-to-firm relationships, (3) analyzes the impact of micro-level relationships under the influence of context-related and customer-related factors, and (4) provides managerially relevant guidelines for strategic sales planning.     

Building and Maintaining Effective Buyer-Seller Relationships

Abstract

O'Grady and Lane (1996) have observed that Americans and Canadians have difficulty establishing the rapport for effective buyer-seller relationships, and that Canadians are especially disadvantaged. This article explored the marketing activities that American and Canadian managers preferred to establish these relationships. Differences were found in both relationship marketing and marketing mix factors. The Americans were significantly more committed to relational activities, building relationships based on respect, shared goals, personal trust and making sure everyone received the expected benefits. The Canadians focused more on pricing, and helping out when asked or needed. To do lists are offered for making each more effective with the other.     

Improving relationships between sales and marketing: the relative effectiveness of cross-functional coordination mechanisms

ABSTRACT

The importance of effective sales and marketing working relationships is well known and this article examines the effectiveness of various coordination mechanisms used to improve this cross-functional relationship. Six coordination mechanisms are measured to identify their effect on sales and marketing conflict and collaboration, which in turn influence business performance. The results reveal that not all coordination mechanisms are equally effective. Structuring sales and marketing as a single unit and creating cross-functional project teams improve the interface, as do providing opportunities for job rotation and establishing cross-functional meetings. However, employing cross-functional training and co-locating sales and marketing do not influence this working relationship. Finally, reducing conflict and increasing collaboration between sales and marketing is shown to independently, and positively, influence business performance.     

Evolving Relationship Marketing into a Discipline

Abstract

Relationship marketing is considered a paradigm change in both academic and practitioner literature. However, despite its popularity, relationship marketing has not yet evolved into becoming a discipline. The authors propose focus on eight areas to help relationship marketing evolve into a discipline. They compare the successful evolution of consumer behavior, services marketing and marketing strategy with the failure of international marketing, social marketing and business marketing as a discipline.     

Relationship Intention and Length of Customer–Firm Associations in Two Emerging Markets

ABSTRACT

Despite the benefits of following a relationship marketing approach, firms should use caution when targeting customers with relationship marketing strategies as not all customers want to enter into long-term relationships. Targeting customers based on the length of customer-firm association could also be flawed as the success of doing so is disputed. This study explored relationship intention under cell phone customers in two emerging markets, namely the Philippines and South Africa. Findings show that relationship marketing strategies should only be focused on customers displaying high relationship intentions rather than, erroneously, investing in relationships with customers based on association length.     

Commentary on “Business-to-Business Marketing Textbooks: A Comparative Review”

ABSTRACT

The proposal by Backhaus, Muehlfeld, and Okoye (2002) to design a business marketing text around a framework of customer-relationship types is provocative and spawns a useful debate on the issue of what should actually be taught in the business marketing course, particularly at the undergraduate level. We believe that the approach may increase the attention given to relationship marketing but do so by sacrificing coverage of core content that students and informed business marketing managers need to know. In the end, we opt for a more comprehensive approach in exploring strategy making for the business market while they chart a narrower and more specialized path.     

Buyer-Seller Exchange Situations

Abstract

From having focused almost entirely on exchange transactions in consumer goods markets, in the 1970s, academics expanded their analysis to include relational exchanges-in particular business-to-business markets and service markets. The contextual changes of the 1990s (i.e., the explosion of IT and the Internet) resulted in the introduction of relationship marketing as an alternative marketing approach in consumer goods markets introducing the notion of a shift in exchange paradigms. However, in the late 1990s, a number of authors on service marketing (e.g., Liljander & Strandvik, 1995), on business-to-business marketing (e.g., Anderson & Narus, 1999) and on contemporary marketing practices (e.g., Brodie, Coviello, Brookes & Little, 1997) supported the thesis that in many markets the process that actually takes place is one of co-existence of transactional exchanges and relational exchanges. Based on the “pluralistic approach” (Pels, Coviello & Brodie, 1999, 2000), this paper develops four cases that seek to exemplify the different exchange situations that may occur in a given marketplace.     

Examining the Relationship Marketing,Marketing Productivity Paradigm

Abstract

The authors examine the relationship marketing research literature and identify three schools of thought regarding relationship marketing. The Inter-organizational, customer relationship, and customer valuation research perspectives are described and representative studies are discussed. The predominant conceptual approaches to marketing productivity in the research literature are identified and described. The shareholder value model of Srivastava, Shervani, and Fahey (1998) is selected as the most useful conceptual framework linking relationship marketing and marketing productivity. The linking constructs of customer equity and brand equity are identified as the critical conceptual connections between relationship marketing and marketing productivity. A research agenda is suggested, covering both conceptual and operational issues for further development of both relationship marketing and marketing productivity.     

Supplier-Retailer Relationships in Grocery Distribution in Malaysia: Indications of Dominance,Conflict, and Cooperation

ABSTRACT

This exploratory study sets out to assess the presence of dominance, conflict and cooperation in channel relationships between grocery suppliers and retailers in Malaysia. There have been extensive studies on these channel issues in markets of developed countries but very little is known in markets of developing countries such as Malaysia. The initial assessment identifies traces of dominance, conflict and cooperation in the Malaysian channel environment. The findings suggest that the retailers perceive the suppliers as being more in control of the grocery distribution channels as indicated by the extent of influence they exert on channel functioning. The suppliers also acknowledged their roles in channel functioning as they felt that most channel issues are within their control. There also appears to be evidence of relationship characteristics identical to aspects of relationship marketing.     

Pre-Production Relationship Marketing

Abstract

The benefits of relationship marketing and customer relationship management have been well documented in the marketing literature and in business practice. Relationship marketing instruments (RMIs) are specific methods that can help bring about those benefits. The authors describe a unique type of RMI, one that can be used prior to product or service production. Designed to market season tickets for new or remodeled professional football stadiums before the stadium is built, Permanent Seat Licensing has been used effectively over the past decade for nine National Football League teams. The authors propose that this type of pre-production RMI has possible application for marketers of other products and services .     

Advancing marketing strategy in the marketing discipline and beyond: from promise,to neglect,to prominence,to fragment (to promise?)

ABSTRACT

The purpose of this article is to advance the field of strategic marketing within the marketing discipline, which will in turn, the author argues, contribute to enhancing the discipline’s impact beyond the narrow confines of its own journals. Towards this goal, certain aspects of the history of marketing strategy need to be reviewed. However, though this article draws extensively on historical sources, it is not a history of marketing strategy. Rather, this article uses historical materials and arguments concerning the four ‘Eras’ of marketing thought to advance five major claims: the area of strategic marketing (1) had significant promise when the marketing academic discipline was founded in Era I (1900–1920), (2) was neglected in Era II (1920–1950), (3) rose to prominence in Era III (1950–1980), (4) has become a ‘fragment’ in Era IV (1980–present) and (5) has prospects that are both promising and problematic in the future ‘Era V’. Finally, a tentative prognosis for strategic marketing and the marketing discipline is suggested.     

Understanding voter orientation in the context of political market orientation: is the political customer king?

Abstract

This article develops a conceptual framework and measurement model of political market orientation (PMO). The relationships between different behavioural aspects of PMO and the attitudinal influences of such behaviour are analysed, and the study includes structural equation modelling to test several hypotheses. While the results show that political parties focus on several different aspects of market-oriented behaviour, especially using an internal and societal orientation as cultural antecedents, a more surprising result is the inconclusive effect of a voter orientation on PMO. This lends support to the argument of ‘looking beyond the customer’ in political marketing research and practice. The article discusses the findings in the context of the existing literature on political marketing and commercial market orientation.     

The Earth Is Flat,Almost: Measuring Marketing Standardization and Profit Performance of Japanese and U.S. Firms

ABSTRACT

Globalization has fostered greater interest in all aspects of standardization theory, including the four Ps (product, price, place [distribution], and promotion) of the marketing mix. The study researches the firm's strategy of marketing standardization as it correlates to the firm's profit. Multinational firms from Japan and the United States operating in a global environment were studied in order to correlate marketing standardization to profit performance. The results indicate there is increasing support for a strategy of standardizing marketing mix components and contributing to a firm's profit performance.     

Relationship Selling

Abstract

Recently marketing has witnessed an explosion of interest in creating and maintaining relationships. It is widely being heralded as a revolutionary new way of responding to markets. But has this ?new“ method been explored or practiced before? Undertaking an early century literature review, the author uncovers evidence that writers and practitioners of 1910-1935, contrary to current belief, incorporated relational methods and espoused a relationship philosophy. Results indicate that relational selling was not only practiced for the benefit of the seller, but was also for the customer and the relationship. Conclusions about why relationship selling disappeared only to resurface again at the end of the twentieth century are put forth     

Relationship Marketing in the New Economy

Abstract

This article aims to put relationship marketing in the context of the New Economy; it is a quest for valid and practical theory. It is preoccupied with the reigning marketing management paradigm and a shift to a relationship marketing paradigm. A systemic view, referred to as total relationship marketing, is presented together with the core values and beliefs of relationship marketing. The article concludes that relationship marketing is fundamentally different from traditional marketing management and that successful implementation requires new mindsets.     

A Stakeholder Perspective on Relationship Marketing

Abstract

This paper proposes a broad framework of relationship marketing using the stakeholder approach. Drawing from Peck et al. (1999) framework and proposing several modifications, the authors identify the following relational groups-supplier markets, customer markets (channels), customer markets (end users), competitor markets, external influence markets, and internal markets. The growing importance of strategic alliances is reflected in all constituent groups as well as in a proposed modification of the Berry and Parasuraman (1991) levels of relationships. This paper also re-examines the strategic role of the traditional marketing mix strategies (namely, product, price, place, and promotion) in the new relationship paradigm. Finally, implementation strategies for the stakeholder markets, in general, and customer markets, in particular, are proposed. Several propositions are derived throughout the paper, many of which can be fertile areas for future research investigations.     

Membership Benefits,Membership Action: Why Incentives for Activism Are What Members Want

SUMMARY

This article identifies the benefits of political party membership and which of these benefits also operate as incentives for participation. This exploration is conducted in the context of competing relationship marketing hypotheses, and frameworks from other relevant academic disciplines.

Exploratory empirical research identifies two purposive and three solidary benefits of membership. Values functional motivations, socialization and job satisfaction are identified as having statistically significant relationships with participation. Frequency of agreement with party policies and enhancement functional motivations do not appear to have any relationship with participation.

The article concludes that members using their membership as a vehicle for realizing solidary benefits are more likely to respond to incentives for participation, whilst those merely seeking a relationship with their party are more likely be inactive.