Customer retention management processes

Abstract

Purpose-Customer retention has been a significant topic since the mid-1990s, but little research has been conducted into management processes that are associated with excellent customer retention performance. This research investigates the associations between customer retention outcomes and a number of management processes including customer retention planning, budgeting and accountability and the presence of a documented complaints-handling process. Design/methodology/approach-This is carried out using a quantitative survey of 170 companies in Australia. Participants represented all major standard industrial classification (SIC) codes. Findings-It was found that excellence at customer retention is positively and significantly associated with the presence of documented complaints-handling processes. None of the other variables is significantly associated with the dependent variable. Research limitations/implications-This research has limited generalisability to other regions and the self-report nature of the data is not independently corroborated. Practical implications-The research emphasises the importance of developing and implementing documented complaints-handling processes. Future research should examine whether standardised processes such as those embodied in ISO 10002 are more effective than ad hoc processes. Originality/value-The major contribution of this paper is the clear link that it establishes between customer retention performance and the presence of a documented complaints-handling process.

Theoretical analysis of the antecedents and the consequences of students’ identification with their university and their perception of quality

“…Convencionalment, el màrqueting de relacions ha estat particularment rellevant en els mercats industrials i de serveis. Però, aspectes relacionals del màrqueting es troben presents en tot tipus d'organitzacions (Grönroos, 2004;Ang & Buttle, 2006). La competència creixent entre institucions que ofereixen estudis Intangible Capital, 2011-7(1):170-212 -ISSN: 1697-9818 doi:10.3926/ic.2011 Anàlisi teòrica dels antecedents i conseqüències de la identificació de l'alumnat… 174…”

Enhancing Customer Retention through Electronic Service Delivery Channels in the Nigerian Banking Industry

“…Customer retention has to do with the customers of the firm that tend to go back to, continue to purchase or in some other way not defect to another firm, or to non-use entirely. Subsequently, customers who stay with an organization for a longer term are seen as retained customers (Ang and Buttle, 2006). According to Trasorras et al, (2009) customer retention rates can be considered by using attitudinal data which mirrors the psychological and customers emotional attachment i.e.…”

“…Customer retention has become the major agenda for banks who emphasize on sustaining a productive relationship with customers, besides functioning as a main instrument to generate financial gains (Kumar, Andrew and Robert, 2007). The retained customers most times do not mind paying a little higher prices and look forward for discounts as compared to the new customers (Ang and Buttle, 2006). Successful customer retention consists of more than giving the customer what they need.…”

Customer development strategies for exceeding expectations – An exploratory study

“…Whereas other researchers have focused on customer retention and customer acquisition, 4,5 we have chosen to focus here on customer development.…”