Customer Marketing for Delivery and Exchange - myassignmenthelp

Question: Discuss about theCustomer Marketing for Delivery and Exchange. Answer: Introduction Marketing is an essential component of business management consisting of all the activities and processes involved in thecreation, communication, delivery and exchange of valuable offerings for partners, consumers and the society in general (Baker, M.J. and Saren, M. eds., 2016). It is therefore a mutually beneficial activity among all the participants of the supply chain as it creates employment opportunities and wealth leading to societal wellbeing.Customer marketing involves all the activities carried out to retain the current customer base as opposed to attracting new ones. Its main goal is to formulate strong bonds between the organization and their customers with the aim of increasing sales. This is because the probability of selling to existing customers is way higher than that of making sales to a prospective customer (Di Benedetto, C.A. and Kim, K.H., 2016). Woolworths Customer loyalty to a certain organization is majorly influenced by the perceived value of their money from the company and their relationship with the company which makes shopping more convenient (Gummesson, E. and Gummesson, E., 2017). Woolworths strategy so far has been reduced cost for their products which has created a large customer base. The group has also increased the convenience of shopping in their supermarkets by making their goods available online by use of the Woolworths Supermarket Application, as well as making free deliveries of their groceries.In addition, petrol and grocery discounts have increased their customer base by increasing the value of peoples money. However, they havenot been able to form very strong relationships with their customers which has led to the rise of their competitors for example Australian Supermarket Group. Woolworths largest competitor is Coles supermarkets with whom they have secured a very large portion of the Australian market. Unfortun ately, the group seems to concentrate more on competing rather than satisfying their customers. This is a very dangerous move marketing-wise because the customer feels unvalued and leaves as soon as there is another good alternative. Woolworths group work closely with the Australian farmers and growers to ensure that their customers have access to the best products making it one of Australias largest food and liquor retailer. It is important for an organization to have a close relationship with their suppliers but a group as huge as Woolworths would find it cheap enough to grow their fruits and vegetables. This would reduce their cost of operation even more in the long run and they would reap greater profits. Coles Coles supermarket chain has had criticisms on battling dairy farmers and providing cheap milk. This has damaged its reputation as one of the largest retail chains in Australia, probably pushing away some of its customers and leading to the rise on the top of competitors like Aldi who offer quality products at incredibly low prices. Coles supermarkets therefore have a long way to go as far as value addition on their products is concerned. If they invested in a dairy farm, however, some of theseproblems would be solved especially in the long run. Coles digital device, hiku has increased customers pleasure and experience in shopping as it uses voice recognition enabling them to remember all the required items and automatically addthem to an online shopping list. This is however not sufficient to retain their clients through time and just like Woolworths they need to work on theretailer-client relationship (Elliot, G., 2017). Both Woolworths and Coles use mass marketing as their strategy of marketing with the aim of reaching out to all people all over Australia. They, however, do not pay attention to criticism from their customers on social media which could have very negative impact on their operations in future. Conclusion Coles and Woolworths are still doing very well as they still cover about 80 percent of the Australian market. The main reason for this is that they both have been in business for a really long time. If they continue ignoring peoples criticisms on their products, however, their market size will start to decrease gradually leading to thecontinued rise of other smaller markets such as Aldi. References Elliot, G., 2017. (AUCM) Enterprise, Innovation Market 4E Custom for Sydney University Wiley E-Text. 4ed. Milton: Wiley. Garlin, F., Hayek, J., Mariyani-Squire, E., Spanjaard, D., 2017. Enterprise Innovation and Markets. John Wiley Sons Australia, Ltd. Baker, M.J. and Saren, M. eds., 2016.Marketing theory: a student text. Sage. Di Benedetto, C.A. and Kim, K.H., 2016. Customer equity and value management of global brands: Bridging theory and practice from financial and marketing perspectives: Introduction to a Journal of Business Research Special Section.Journal of Business Research,69(9), pp.3721-3724. Gummesson, E. and Gummesson, E., 2017. From relationship marketing to total relationship marketing and beyond.Journal of services marketing,31(1), pp.16-19. Hollebeek, L.D., Conduit, J. and Brodie, R.J., 2016. Strategic drivers, anticipated and unanticipated outcomes of customer engagement.