Title: Towards growth and profitability through relationship marketing: the case of the tyre manufacturing industry in Zimbabwe
Abstract: The study sought to explore the role of customer relationship management in generating growth and sustaining profitability in the tyre manufacturing industry of Zimbabwe. The main objectives were to find out the level of awareness of the relationship marketing concept within tyre manufacturing companies in Zimbabwe; to evaluate the level of adoption and implementation of relationship marketing by players within the tyre manufacturing industry and to find out the contribution to profitability and business growth of relationship marketing in the tyre manufacturing industry. The study adopted the exploratory and descriptive research design. The study was exploratory in that it was not clear whether relationship marketing was being adopted in the tyre manufacturing industry. It was also descriptive in that a detailed account of what is happening was then given. The study focused on all the three tyre manufacturing companies, thirty three dealers and their biggest customers. A total of 114 respondents (83 customers and 33 tyre manufacturing representatives) were used as study subjects. Questionnaires were used as research instruments to collect data. The research findings revealed that building of relationships is important in the tyre industry in Zimbabwe as it plays a critical role in gaining customer loyalty, retaining profitable customers and increasing their customer life-time value (CLTV). The study also reveals that once customers are loyal then company growth and profitability are sustained. The study recommends that tyre manufacturing companies broaden their view of customer relations and incorporate the use of information communication technology to help implement lifetime relationships with their clients and stimulate corporate growth. The study also recommends that the organisations undergo a culture reform and align all their employees in all departments, to the demands and needs of ideal and effective relationship marketing.
Publication Year: 2014
Publication Date: 2014-01-01
Language: en
Type: article
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