Dealer Relationship Management Case Study

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Recommended: The advantages and disadvantages of customer relationship management

Dealer relationship management (DRM) is an approach to managing a company’s interaction with current and future customers. The DRM approach tries to examine data about Dealer history with a company, so that it helps in maintaining better relation with dealer and also focusing on retaining dealer. In order for the success or growth of the company the important factor of DRM approach is collecting information from different sources such as a company’s website, telephone, email, live chat, marketing materials, social media, and more. Through the CRM approach it helps to learn about the target audience, regarding their needs and perception.
The approach of DRM is beneficial to both the organizations and the Dealers. …show more content…

Customization of market offerings:

Depending on the availability of the data the companies can customize the product and service. They can have the Dealer interactions with the firm through company sites. Through different interactions the development of products can be done.
3. Reduction in the dealer defection rate:
To be more dealer oriented, company will focus on training and development. By this they will show up more care and concern towards their dealer.

4. Increase and improvement in long-term relationships:
Dealer are the king and they are treated with utmost importance and also they are known as the partners. All the companies need the help of the dealer to improve their services. If there is more involvement by the dealer there are more chances to remain with the firm.

5. Increase in dealer equity:
The aim of the DRM is to produce high dealer equity. The sum of lifetime values is considered under dealer equity.

6. Competitive advantage:
There will always be an competitive advantage when the company is involved into dealer relationship management. It will help in generating higher returns.

7. Building and maintaining corporate …show more content…

The techniques will involve promotional techniques, pricing techniques and so on.
Data Warehousing and Data Mining:

DRM analysts develop data warehouses and use data-mining techniques to develop and maintain long- lasting relationships with the valuable customers.
A data warehouse is a company-wide electronic database of detailed dealer details. The reason of data warehouse is not just to gather information, but to place it into a central area for easy access.

The function of data warehouse is not just to collect in order but also to place it into a central location for easy way in. Once the data warehouse identifies the data at a central place, the data analysts use the data-mining techniques to examine the report of data to find out appealing facts about the dealer

The data can be used for different marketing area like
• Product design and modification
• Product pricing
• Promotion mix
• Selection of channels of distribution
• Maintain dealer relationship

One-to-one

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