What are the characteristics of relationship marketing compared with traditional marketing?

Relationship marketing refers to: the activity process of creating a more intimate working relationship and interdependent partnership between the marketing subject and the service object on the basis of establishing, maintaining and developing a transactional relationship, so as to develop continuous interaction between the two parties in order to establish a broad and stable marketing network and improve brand loyalty.

So, the essence of relationship marketing is: to establish non-transactional relationships on the basis of transactional relationships to ensure that the transactional relationship can be established and occur continuously. The key to relationship marketing is customer satisfaction.

Compared with traditional marketing (transactional marketing), the differences are as follows:

Item: Traditional Marketing ∝ Relationship Marketing

Customer: Short-sighted and low conversion cost customers ∝ long-term vision and high conversion cost customers

Core Concepts: Exchange, You Buy, I Sell ∝ Long-term Relationships with Customers

Focus: Attracting New Customers ∝ Retaining Old Customers

Focus: Attracting New Customers ∝ Maintaining Old Customers

The key to Relationship Marketing is customer satisfaction. New customers ∝ Retaining existing customers

Customer relationships: weak, easily turned into competitors ∝ stronger

Price: primary means of competition ∝ non-primary means of competition

Emphasis: market share, not necessarily customer satisfaction ∝ repeat business, loyalty, customer satisfaction

Objectives to pursue: Maximize profits from a single transaction ∝ Mutually beneficial relationship with the other party. Large ∝ Optimization of mutually beneficial relationship with the counterparty

Market risk: large ∝ small

Customer culture: no need to know ∝ very important to know

End result: profit ∝ profit and unique asset: marketing network

Market share: not necessarily customer satisfaction ∝ customer loyalty, customer satisfaction

Objective pursued: maximization of profit from a single transaction ∝ optimization of mutually beneficial relationship with the counterparty