The Importance Of Customer Relationship Marketing

2.1 Introduction

This chapter describes theoretical background with key point literature relevant to the topic of the research. Furthermore the literature demonstrate issue in the field and refine the research focus by investigated views from different researchers. The key points of literature are customer relationship marketing, e-relationship, relationship quality, and customer service experience.

2.2 Relationship Marketing

Customer relationship marketing concept has been recognised many years ago. The interaction between seller and buyer is considered as a way to develop relationships by organisations to meet and exceeds customer satisfaction and needs, which leads to relationship marketing concept (Gordon, 2009; Jobber, 1998; Gummesson, 2002). The practice of customer relationships has to be collaborated with the use of CRM (Customer Relationship Management) as the practical tool, in which Gummesson offers to marketing studies to broaden the area of relationship marketing (RM). The definition of CRM follow from the RM definition is found in Gummesson (2002, p7):

CRM is the value and

Nevertheless, any kind of service or product provided to the customer, there always comes with an experience that encounters emotional engagement (Johnston & Kong, 2011). Service quality has becoming the source of either satisfaction or dissatisfaction (Ryder, 2007). Taking this consideration, customer experience provides impact in customer satisfaction, influence expectations, confidence, delivers customer loyalty, support the brand, and finally leads to emotional bonding between customer-brand (Johnston & Kong, 2011). Customer service has become the initial contact that customer can reach. The statement is supported by Johnston & Kong (2011) saying that service is associated to staff-customer interaction, whereas sometimes referred to as customer contact or the ‘moment of