This paper uses a continuous panel of doctors to analyse their portfolios (the number of drugs which are used) and how their prescribing decisions are spread across their portfolios. It reveals portfolios which are much larger, along with loyalty levels which are lower than those observed in prior studies in grocery markets. A doctor writing 100 prescriptions for any illness category will use about twelve different drugs and their favourite will account for about 40 prescriptions In grocery markets the portfolio sizes are typically reported as three brands, on average, with the favourite brand accounting for about 65% of consumers' category needs. The paper starts to reconcile these apparent differences in terms of variable rates of buying and proposes that the patterns in prescribing are likely to be a good long-term model for consumer markets.
Satisfied customers and customer retention should be one of the highest priorities of any business enterprise. Many companies are using some form of customer satisfaction measurement, but most companies do not have methods to put the customer satisfaction program in relation to profitability. Only very few studies have focused on how to link customer satisfaction to customer loyalty and performance. This paper will present a microeconomic model for the relation of profit to customer loyalty, customer satisfaction and cost. It is shown that the degree to which the company lives up to customer expectations should be a linear function of the contribution to loyalty. The framework enables the managers to determine which customer satisfaction elements should be improved first with respect to bottom- line profitability. For practical use the only information needed is market information about customer satisfaction for the company and the main competitor, the importance of a given satisfaction element and the customers buying intentions.
This paper presents the adoption of information technology in Customer Service and its verification through the application of an adapted Guttman scale. The Scalogram analysis is a validity test of a hierarchical scale for the functionality and sophistication level of the union of customer service and information technology. The underlying question to be answered relates to determination of the existence and form of such a scale with respect to the adoption of information technology in customer service. Company characteristics, such as information sources and use of computers are to be determined and correlated with the scale to explain the adoption and use of information technology in customer service.
The paper describes the results of one of the first commercial surveys to be conducted in the United Kingdom over the Internet. It directly compares email and postal methods of data collection. The results show a major advantage for email in terms of both speed and cost of data collection. Response rates were similar for email and conventional methods and there was no evidence of lower quality. Recommendations are made for the style of future Internet surveys and circumstances when they might be appropriate. The direct use of the Internet for the New Marketing is also explored.
This paper discusses the relationship between market orientation and the application of information technology. A scale for measuring market orientation is developed. From a survey the characteristics of organizations with a certain market orientation have been identified. Three clusters of organizations have been found: -1 the internally oriented cluster, -2 the cluster of target group oriented organizations and -3 the customer oriented cluster of organizations. A number of areas of interest and some developments in marketing are determined for each cluster. Among other things it is established that the role of information technology is strongly correlated with the organization's orientation.
This paper sets out to explain and to critically evaluate how grounded theory can be utilised within marketing management settings. The key characteristics underlying qualitative research are outlined prior to a fuller explication of the methods essential characteristics, analytic processes and evaluation criteria. The method is then demonstrated within the context of hotel internationalisation. Finally, issues based upon theoretical sensitivity, theoretical contamination, access limitations and analytic level are appraised and addressed. In conclusion, the methods comparative strengths are highlighted.
Customer orientation is the focus of this paper. The primary purpose of the underlying study is to measure the customer focus of real estate agents. The Narver and Slater -1990 scale was made operational to fit the situation of the real estate agents in order to translate customer focus into specific activities designed to increase business performance. The ultimate purpose of the study is to determine the strength of the relationship between business performance and customer focus. This paper presents the research results and discusses the appropriateness of the customer focus element of the Narver and Slater -1990 scale in a services context.
The communication is questioning the role of the New Information and Communication Tools in the development of inter-organizational buyer-seller cooperative relationships. Based on an integration of information systems and marketing theories, this paper's objective is to show that new information technologies have a structuring effect on buyer-seller relationships. A cross-section multi-activities study among 151 purchasing managers, all members of the French Buying Association (C.D.A.F.), has been undertaken. Results confirm that structural dimensions of complexity and formalization are positively influenced by New Information and Communication Tools. But the hypothesis of a decentralizing effect is not supported. The restrictive operationalization of New Information Technologies as a set of information and communication tools allows a specification of the structuring effect as function of the nature and type of tools adopted.
In customer satisfaction research, analysis methods are needed that can provide a clear insight into the complex relationships among satisfaction ratings and various performance attributes. The purpose of such an analysis is to identify the areas (processes, attributes) that need improvement and that most significantly enhance the business relationship with the customer. This paper describes a novel method to examine customer satisfaction survey data. The method includes a refinement in assessing attribute importance, by differentiating between value enhancing and decreasing attributes, satisfiers and dissatisfiers. Information gain measures and statistical tests are used for this purpose. The refined relevance measures result in a modified importance-performance chart that is used to suggest a suitable strategy for the attributes under investigation. The method is demonstrated for a sample of 2504 customers of retail banking services.
The outcomes of the planned research programme will be a quantification of the attributes of the credit card issuer, the affinity group and the affinity credit card holders, which underpin their relationship with each other. It will throw considerable light on the reasons why these three parties establish and maintain relationships with each other and thereby provide an empirical test of the suggested new paradigm of relationship marketing.