The traditional way of doing marketing by using mass media is losing its effect. Consumers today are becoming more and more critical, and they are losing trust and interest in traditional advertisements. They prefer to seek information about products among people, whom they trust. As a result, there is a need for new ways of reaching consumers. That is why relationship marketing (RM) could be relevant in many cases where the focus is to build trusting, long-term relationships. However, only 15 to 20 per cent of the total advertising budget in Denmark is allocated to RM. Therefore, the objective of this thesis is to explore how RM is used on the Danish btc market, how the practitioners perceive RM, and why it is not more commonly used. The main purpose is to discuss and conclude whether or not RM is relevant and applicable on the Danish btc market. The results of the analysis in this thesis indicate that RM is relevant and applicable in many cases. The market conditions are favorable for RM in a technological context as well as in a social/cultural context. RM theory is put into practice as database marketing on the btc market. Communication is personalized on the basis of data and knowledge about each customer in order to make the message relevant for the consumer and further develop the relationship between consumer and a brand or a business. In general, E-mails and the Internet are the most commonly used platforms when using RM. Dialogue programs are also used with great efficiency. Communication must be relevant and address some needs of the consumer. Also, integrated communication and using cross channel communication is more effective. It is, moreover, important that the consumer experiences a link between what the business communicates and how it acts. For some product categories RM may be utilized more relevantly than for others. Banks and companies that possess large amounts of data about their customers have a good foundation for making relevant and individualized communication to their customers. RM is also very relevant for companies, which have continuous contact with their customers and sell high involvement, and complex products. One of the reasons why RM is not more commonly used is that companies find it too difficult. RM demands a lot of data analysis and IT-systems that can include these data. Even though RM is relevant in many cases, it does not mean that TM is no longer relevant. TM still has the ability to entertain and create awareness, which is useful when the purpose is to spread a message fast to a large number of people. The branding dimension of TM is also still relevant. However, the combination of RM and TM seems to be the most efficient approach.
|Educations||MSc in Economics and Marketing, (Graduate Programme) Final Thesis|
|Number of pages||130|