Difference between Relationship Marketing and Transactional Marketing
Basis |
Relationship Marketing |
|
---|---|---|
Core Focus |
Concentrates on the transactional aspect, involving the act of buying and selling a product or service. |
Centers on establishing and nurturing long-term relationships with customers. |
Time Horizon |
Prioritizes short-term benefits, with a primary focus on immediate gains such as increased sales and profits. |
Emphasizes long-term benefits, giving priority to customer retention and loyalty over time. |
Marketing Approach |
Relies on mass marketing strategies and promotions to drive sales, often targeting a broad audience. |
Utilizes personalized marketing techniques and CRM to cater to individual customer needs. |
Post-purchase Interaction |
It involves minimal customer interaction after the initial purchase, with less emphasis on ongoing engagement. |
Encourages frequent customer interaction, fostering continuous engagement and communication. |
Customer Emphasis |
Places a strong emphasis on gaining new customers as a primary objective. |
Shifts focus towards customer retention and satisfaction, aiming to strengthen existing relationships. |