Chapter 2 - Building and Sustaining Relationships in retailing
Chapter 2 - Building and Sustaining Relationships in retailing
Waheed Asghar
MA English
MBA
PhD
Generatio
n
X
Y
Z
• “Core Customers” are the best customers for the
retailers R
E
L
• “Free-riders” are customers who are highly A
T
satisfied with the company but not highly profitable I
O
N
• “Vulnerable customers” are profitable but not S
satisfied with the retailer H
I
P
• “Lost causes” who don’t value the retailer’s goods or
services and are not profitable. they frequently
complain and return products, spread bad word of
mouth, misuse promotions, and lower staff morale
through their interactions.
Customer Service
Expected Retail Strategy
• An expected retail strategy represents the
minimum value chain elements a given
customer segment
• In most cases, the following are expected value
chain elements:
• Store cleanliness, convenient hours, well-
informed employees, timely service, popular
products in stock, parking, and return
privileges.
• If applied poorly, expected elements cause
customer dissatisfaction and relate to why
shoppers avoid certain retailers.
Augmented Retail Strategy