Customer Relationship Management
Market stagnation implies that corporate growth may only happen when another competitor suffers from declining market share or customer share. Marketing and Sales have recognized that winning new customers is much more costly than keeping the customer. Subsequently, there is an awareness that customer loyalty and customer retention both rely on a customer relationship that needs to be developed, built and maintained. Such a (emotional) customer relationship and attitude may exist towards the product, services, the brand, the entire supplier company. Customer relationship in a more focused understanding means the personal 1-to-1-relation between customer and account manager.
Customer Relationship Management discusses terms such as customer share (budget share for a certain product), customer value (discounted accumulated profit contributions over customer´s lifetime), customer satisfaction and customer loyalty.