Services and Relationship Marketing

Learning Outcomes to be assessed
(from module spec)

1. Appraise the marketing process in services
2. Critically evaluate and analyse the relationship between marketing management and strategic management.
3. Critically analyse the impact of relationship marketing in developing a cohesive and effective strategy to create an effective service

Key Skills:
Cognitive and intellectual skills
Locate, analyse and synthesise information
Capacity for independent and self-managed learning
Personal responsibility and decision-making

Details of the task:

Loyalty is an old-fashioned word to describe association to a place or a person. Recently, loyalty has become integral subject matter in marketing context. Ideally, it is to do with customers willingness to continue to use an organisation over a long period of time. This could lead to a customer recommending a particular product or service to friends and family. This customer loyalty may contribute significantly to a firms profitability and business growth.
You are to produce a report which addresses the following areas.
1. Literature review of customer loyalty in the service industry. (1) Using appropriate theory and models to critically evaluate the key strategies that are pertinent to create customer bonds and long-term relationships between service providers and customers. (2) Evaluation of the costs and benefits of keeping existing customers loyal based on a portfolio of desirable customer segmentation. (3) An assessment and discussion of the potential impact of social media in services and relationship marketing in respect of customer perceived loyalty to service firms with industry example (s).

2. With reference to the attached Case Study (Hilton Honors Worldwide: Loyalty Wars) you are to (1) Evaluate the strengths and weaknesses of the Hilton Honors programme with respect to (a) Hilton Hotels Corp. and Hilton International; (b) Member properties (hotels owned by franchisees licensed to use a Hilton Brand); and (c) Guests. (2) Explain what is Starwood attempting to do and how should Jeff Diskin respond? NB: You must apply appropriate customer loyalty theory/models discussed in Section 1 to effectively address the areas of the case study.