Relationship Marketing in the Car Industry Essay

Relationship Marketing in the Car Industry - Essay Example This project is worth doing because of a series of reasons. First of all, the automobile company is one of the most important sectors of the UK's economy. Consequently, there is a need to look for ways in which this industry can be improved in order to boost the economy. Additionally, by examining the role that trust plays in relationship marketing, then car companies can understand the underlying factors required to make relationship marketing work for them. This project will also be significant in providing information about various tools and approaches in relationship marketing from automobile companies. (Jackson, 1985) Previous work in relationship marketing has focused on its core functions. Levitt (1983) explains that relationship marketing is a form of marketing that centres on consumer satisfaction and retention. This is a shift from traditional approaches that mostly emphasised on transactions made at the point of sale. Some authors have looked at application of relationships to the automotive industry. Nilsson (2004) examined a case study of an automobile company in the US and looked at how this company's success had been enhanced though relationship marketing. Other authors such as Kotler (2005):- DeYoung and Boldt (1988) & Berry (1983) Examined ways in which relationship marketing can be integrated with other m... (DeYoung, 1987) RESEARCH QUESTIONS AND OBJECTIVES The major objective that the research will be trying to achieve is to determine what the link between company image and relationship marketing is in the automobile industry. This will be determined through four specific objectives 1) What role does trust play in boosting relationship marketing in the automobile industry 2) What role does loyalty play in enhancing relationship marketing 3) How can automobile companies apply relationship marketing in their marketing mix 4) What is the value that relationship marketing brings to automobile companies Through these research objectives, it will be possible to understand what makes automobile companies successful in terms of relationship marketing and that can then be linked to company image. When companies are regarded as successful by their current or future clientele, then it is likely that they have a good image or vice versa. (Jackson, 1985) METHOD; RESEARCH DESIGN The research will dwell on the automobile industry in the United Kingdom. This will be done through a combination of approaches. Some leading automobile manufacturers like General Motors will be identified and asked about their implementation of relationship marketing. This will be analysed through personal interviews with their sales members. Additionally, the customer lifetime value added to a company through relationship marketing will be calculated for those chosen organisations. Customers will also be included in the research because they will be instrumental in assessment of how successful they perceive certain companies hence reflecting on the company image. (Envision software, 2007) Personal interviews will be utilised when dealing with company representatives owing to the