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Customer retention strategies based on customization bonds:

A. Do not exist in business-to-business marketing
B. Create tying contracts, refusals to deal, exclusive dealing and areas of gray marketing
C. Are not concerned with the pricing element of the marketing mix
D. May include the customer intimacy approach
E. Support transactional marketing as well as relationship marketing

1 Answer

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Final answer:

Customer retention strategies may incorporate customer intimacy, involving customization and sometimes tying sales or bundling to foster loyalty and increase sales.

Step-by-step explanation:

Customer retention strategies based on customization bonds may include the approach known as customer intimacy. This approach revolves around tailoring services and products to suit individual customer needs, fostering loyalty, and encouraging repeat business. A common practice associated with this strategy is the creation of tying sales, whereby a customer's purchase of one product is dependent on the purchase of an additional product.

Although this can be controversial, as it may force the customer to buy products they don't need, it is used by businesses aiming to increase sales volume. On the other hand, bundling is a related strategy where multiple products or services are offered together at a discounted rate, which can be more advantageous for the consumer.

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