CUSTOMER RELATIONSHIP EFFECT ON BRAND LOYALTY

Abstract

Finding customer is easy but keeping a customer loyal with a brand is not easy because a satisfied customer of today will be an unhappy customer tomorrow and in order to understand the customer requirements we have to be updated… customers desires keep changing day by day and one of the main reason behind that is the existing competition in the market which gives option to customers and a customer may shift any time from one brand to another if he is not satisfied with a product or a service, so basically keeping customers loyal among all the competitors is a challenging task, how we can do this task using digital marketing tools? How CRM effects customer's loyalty? What makes customer loyal? … These are all the things that we will be studying in this project. The purpose of this study is to understand and specify and understand the overall impact of Customer Relationship Management (CRM) practices on customer retention. For CRM to be effectively implemented, it is imperative to have the coordination of channels, employees along with technologies and customers. Hence, creating mutual value for all stakeholders in the business process is the essence of an effective CRM strategy, so managing a better relationship with customer is the most essential thing to do in order to keep customer loyal and that is what most companies failed to do and it results that customer shifts to another company or brand after some time, it takes years and months for the companies to make customer attached to their brand or loyal but it takes one minute for customer to shift to another company or brand, That is why retention of customer is considered one of the most difficult task in todays market. In recent times, since customer data can be harnessed through the power of e-commerce CRM systems, companies can gain necessary insights into the behavior of their customers and purchasing habits, which can thereby help in improving the offerings for retaining customers. In a day and age where customers have numerous choices, which are just a click away, and ecommerce companies being highly competitive by providing compelling offers, customers tend to drift away if there isn’t relevant and regular engagement As a competitive advantage, effective companies are continuously looking to actualize modern strategies and apparatuses in arrange to attain advancement and ceaseless enhancement. One of these devices is CRM that by the advancement of innovation and communications, nowadays is known as electronic customer relationship management (e-CRM). Customers nowadays favor compelling communication, which is the reason why brands have turned their eyes on Social Media. These days, companies enlist Social Media specialists to strategize exercises on Social Media which is able capture consumer’s fascination and brand loyalty takes after freedom of social media – brands and buyers can communicate without any limitation of time and place. The study will review the relevant literature and analyze previous research to determine the relationship between CRM and customer retention, as well as, conducting qualitative analysis on the primary data gathered. The methodology used for this study is descriptive as well as correlation research. Customer retention will be looked at from factors such as customer service, customer satisfaction, loyalty programs, and customer referrals, for studying the effectiveness of the CRM practices of e-commerce companies.