PAPER Subject : Marketing Policy and strategy Lecture : Mrs. Andriani Kusumawati, S.Sos., Msi., DBA.
BUILDING CUSTOMER SATISFACTION SATISFACTION THROUGH QUALITY, SERVICE, AND VALUE
Created by:
TIRTA TIRTA PERKASA (1450302071210 (145030207121001) 01) HENRY HENRY PAMUNGKAS PAMUNGKAS (14503020712100 (145030207121006) 6) K CLASS BUSINESS ADMINISTATI!N ADMINISTATI!N "ACULT# !" ADMINISTATI$E SCIENCE BA%I&A#A BA%I&A#A UNI$ESIT UNI$E SIT# # '()* PREFACE
+raise to od w-o -as -e/ed -is ser0ant 1inis- t-is /a/er wit- 2reat ease. %it-out -is -e/ed may not be abe to 3om/ete t-e aut-or we. T-is /a/er is or2ani4ed so t-at readers 3an 1ind out t-e e5/anation and understand t-e de1inition o1 3ustomer 0aue and satis1a3tion, 6now t-e 3om/anies 3an retain t-e 3ustomers, determine 3ustomer /ro1itabiity, im/ementatin2 tota 7uaity mar6etin2, and eadin2 3om/anies or2ani4ation to /rodu3e and dei0er -i2- 3ustomers 0aue and satis1a3tion. T-is /a/er set u/ by t-e 3om/ier wit- 0arious obsta3es. %-et-er it 3ame 1rom se1 3onstituent or w-o 3ome 1rom outside. But wit- /atien3e and es/e3iay t-e -e/ o1 2od 1inay t-is /a/er 3an be reso0ed. T-is /a/er 3-osen be3ause t-e aut-ors must 1inis- and 2i0e t-e assi2nment 1rom e3ture to 2et s3ore and assi2nment 3om/etey. Aut-ors aso t-an6 t-e e3turer and 1riends w-o -a0e -e/ed to 1inis- t-is /a/er. 8o/e1uy t-is /a/er 3an /ro0ide a broader insi2-t to t-e reader. At-ou2- t-is /a/er -as ad0anta2es and disad0anta2es. Aut-ors be2 1or ad0i3e and 3riti3ism. T-an6 you.
Maan2, '9t- Se/tember '()*
Aut-or
TABLE OF CONTENTS
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+E"ACE..............................................................................................) TABLE !" C!NTENTS..............................................................................................' C8A+TE I INT!DUCTI!N.......................; ).) Ba362round .............; ).' "ormuation !1 T-e +robem......9 ).; !b '.; etainin2 Customers..............................................................................................? '.9 Customer +ro1itabiity..........................................................................................)' '.= Im/ementin2 Tota @uaity Mar6etin2.................................................................)9 C8A+TE III CL!SIN....................................................................................) ;.)Con3usion.................................) ;.'Su22estion..................................................................................................) E"EENCES.........................................................................................)>
CHAPTER I INTRODUCTION
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).) Ba362round Todays 3ustomers 1a3e a 2rowin2 ran2e o1 3-oi3es in t-e /rodu3ts and ser0i3es t-ey 3an buy. T-ey are ma6in2 t-eir 3-oi3e on t-e basis o1 t-eir /er3e/tions o1 7uaity, ser0i3e, and 0aue. Com/anies need to understand t-e determinants o1 3ustomer 0aue and satis1a3tion. Customer dei0ered 0aue is t-e di11eren3e between tota 3ustomer 0aue and tota 3ustomer 3ost. Customers wi normay 3-oose t-e o11er t-at ma5imi4es t-e dei0ered 0aue. Customer satis1a3tion is t-e out3ome 1et by buyers w-o -a0e e5/erien3ed a 3om/any /er1orman3e t-at -as 1u1ied e5/e3tations. Customers are satis1ied w-en t-eir e5/e3tations are met and dei2-ted w-en t-eir e5/e3tations are e53eeded. Satis1ied 3ustomers remain oya on2er, buy more, are ess /ri3e sensiti0e, and ta6 1a0oraby about t-e 3om/any. A ma
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today as a ma
).' "ormuation o1 T-e +robem eated to t-e ba362round o1 t-e study, t-ere are some /robems t-at may arise. T-e aut-or identi1ies t-e /robems as 1oows: ). %-at is t-e de1inition o1 3ustomer 0aue and satis1a3tionF '. 8ow do eadin2 3om/anies or2ani4ation to /rodu3e and dei0er -i23ustomers 0aue and satis1a3tionF ;. 8ow 3an 3om/anies retain 3ustomer as we as attra3t 3ustomersF 9. 8ow 3an 3om/anies determine 3ustomer /ro1itabiityF =. 8ow 3an 3om/anies /ra3ti3e tota 7uaity mar6etin2F
).; !b
CHAPTER II DISCUSSION
'.) Customer $aue and Satis1a3tion Todays 3ustomers 1a3e a 0ast array o1 /rodu3t and brand 3-oi3es, /ri3es, and su//ier. T-is is t-e 7uestion : 8ow do 3ustomers ma6e t-eir 3-oi3esF
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%e beie0e t-at 3ustomers estimate wi3- o11er wi dei0er t-e most 0aue. T-en t-ey earn w-et-er t-e o11er i0e0 u/ to t-e 0au e5/e3tation and t-is a11e3ts t-eir satis1a3tion. 8ere we wi e5amine more 3are1uy t-e 3on3e/ts o1 3ustomeres 0aue and 3ustomer satis1a3tion. Customer Vaue
"rom Mar6etin2 Mana2ement by +-ii/ 6oter t-at buyers wi buy 1orm t-e 1irm t-at t-ey /er3ei0e to o11er t-e -i2-est customer delivere value. Customer delivered value is t-e di11eren3e between total customers value and tota 3ustomers 3ost. And t-e
tota customer value is t-e bunde o1 bene1its 3ustomers e5/e3t 1orm a 2i0en /rodu3t or ser0i3e. %e 3an e5/ain 3ustomer dei0erd 0aue in term o1 an e5am/e. %e use buyer de3ision ma6in2 t-ory o1 Indonesian timber 3om/any w-en t-ey want to buy a tra3tor. And -e wi buy it 1rom eit-er Cater/iar or Komatsu. Su//ose -e e0auates t-e two tra3tor and
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To -e/ Cater/iar su33eed in sein2 its tra3tor to t-is buyer. Cater/iar 3an im/ro0e its o11er in t-ree ways. "irts, au2ment tota 3ustomer 0aue by im/ro0in2 /rodu3t, ser0i3e, /ersonne, and ima2e bene1its. Se3ond, Cater/iar 3an redu3e t-e buyers nonmonetary 3ost by essenin2 t-e buyers time,ener2y, and /sy3-i3 3ost. T-ird, Cater/iar 3an redu3ed its monetary 3ost to t-e buyer.
Product alue
Serice alue #otal custo"er alue Personel alue
!"age alue
%usto"er deliered alue
Monetary alue
#i"e cost #otal custo"er cost Energy cost
Psyc$ic cost
Customer Sat!s"a#t!o$
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Satisfaction is t-e e0e o1 a /ersons 1et state resutin2 1orm 3om/arin2 a /rodu3ts
/er3ei0ed /er1orman3e in reation to t-e /ersons e5/e3tation. Com/anies see6in2 to win in todays mar6ets must tra36 t-eir 3ustomers e5/e3tation, /er3ei0ed 3om/any /er1orman3e, and 3ustomers satis1a3tion. 8ere are some met-ods o1 tra36in2 and measurin2 3ustomer satis1a3tion : •
Com/aint and Su22estion System A 3ustomer3entered or2ani4ation woud ma6e it easy 1or its 3ustomers to dei0er su22estions and 3om/aints. Many restaurant and -otes /ro0ide 1orms
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1or 2uests to re/ort t-eir i6es and disi6es 1or e5am/es. Customer Satis1a3tion Sur0ey es/onsi0e 0om/anies obtain a dire3t measure o1 3ustomer satis1a3tion by 3ondu3tin2 /eriodi3 sur0eys. T-ey send 7uestionnaires or ma6e tee/-one 3as to a random sam/e o1 t-eir re3ent 3ustomers to 1ind out -ow t-ey 1ee about 0arious as/e3ts o1 t-e 3om/anys /er1orman3e. T-ey wi aso soi3it buyers
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0iews on t-eir 3om/etitors /er1orman3e. -ost S-o//in2 Anot-er use1u way to 2at-er a /i3ture o1 3ustomer satis1a3tion is to -ire /erson to /ose as /otentia buyers to re/ort t-eir 1indin2s on stron2 and wea6 /oints t-ey e5/erien3ed in buyin2 t-e 3om/anys and 3om/etitors /rodu3t. T-ese 2-ost s-o//er 3an e0en /ose 3ertain /robems to test w-et-er t-e 3om/anys saes /ersonne -ande t-e situation we. T-us a 2-ost s-o//er 3an 3om/ain about a
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restaurants 1ood to test -ow t-e restaurant -andes t-is 3om/aint. Lost Customer Anaysis Com/anies s-oud 3onta3t 3ustomers w-o -a0e sto//ed buyin2 or w-o -a0e swit3-ed to anot-er su//ier to earn w-y t-is -a//end.Not ony is it im/ortant to 3ondu3t e5it inter0iews but aso to monitor t-e 3ustomer oss rate, w-i3-, i1 it is in3reasin2, 3eary indi3ates t-at t-e 3om/any is 1aiin2 to satis1y its 3ustomers.
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Some Cautions in Measurin2 Customer Satis1a3tion %-en 3ustomers rate t-eir satis1a3tion w-it an eement o1 t-e 3om/anys /er1orman3e, say dei0ery, we need to re3o2ni4e t-at 3ustomers wi 0ary in -ow t-ey de1ine 2ood dei0ery: it 3oud mean eary dei0ery, on time dei0ery, order 3om/eteness, and so on.
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'.' Dei0erin2 Customer $aue and Satis1a3tion T-e 7uestion 1or t-is 3-a/ter is : w-at dose it ta6e to /rodu3e and dei0er 3ustomer 0aue and satis1a3tion F to answer t-is we need to 6now t-e 3on3e/ts o1 a value chain and value delivery system. Vaue C%a!$
Mi3-ae +orter o1 8ar0ard /ro/osed t-e 0aue 3-ain as a 3om/any too 1or identi1yin2 ways to 3reate more 3ustomer 0aue. T-e 0aue 3-ain identi1ies ninen strat2i3ay ree0ant a3ti0ities t-at 3reate 0aue and 3ost in a s/e3i1i3 business. Consist o1 1i0e /rimary a3ti0ities and 1our su//ort a3ti0ities. T-e /rimary a3ti0ities re/resent t-e se7uen3e o1 brin2in2 materias into t-e business, o/eratin2 on t-em, sendin2 t-em out, mar6etin2 t-em, and ser0i3in2 t-em.T-e su//ort a3ti0ities o33ur t-rou2-out a o1 t-ese /rimary a3ti0ities. T-e 1irms tas6 is to e5amine its 3ost and /er1orman3e in ea3- 0aue3reatin2 a3ti0ity and to oo6 1or im/ro0ements. To t-e e5tent ta-t it 3an /er1orm 3ertain a3ti0ities better t-an its 3om/etitors, it 3an a3-ie0e a 3om/etiti0e ad0anta2e. Too o1ten, 3om/any de/artments a3t to ma5imi4e t-eir de/artments interests rat-er t-an t-e 3om/anys and 3ustomers inetersts. A tra11i3 de/artment 3-ooses to s-i/ t-e 2ood by rai to sa0e t-e de/artment money and a2ain t-e 3ustomer waits. T-at sow down t-e dei0ery o1 7uaity 3ustomer ser0i3e. Vaue&De!'er( S(stem
T-e 1irm aso needs to oo6 1or 3om/etiti0e ad0anta2es beyond its own 0aue 3-ain, into t-e 0aue 3-ains o1 its su//iers, distributors, and utimatey 3ustomers. More 3om/anies today are turnin2 to /artnerin2 wit- t-e ot-er members o1 t-e su//y 3-ain to im/ro0e t-e /er1orman3e o1 t-e 3ustomer 0aue dei0ery system. An e53eent e5am/e o1 a 0auedei0ery system is t-e one t-at 3onne3ts Le0is Straus, t-e 1amous ma6ero1 bue
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usin2 ee3troni3 data inter3-an2e EDI. Le0is t-en ee3troni3ay orders more 1abri3 1or ne5t day dei0ery 1orm its 1abri3 su//ier, w-o in turn, reays an order 1or more 1iber to Du +ont, t-e 1iber su//ier. In t-is way, t-e /artners in t-e su//y 3-ain use t-e most 3urrent saes in1ormation to manu1ature w-at is sein2, rat-er t-an to manu1ature 1or a 1ore3ast t-at may be at 0arian3e wit- 3urent demand. T-e 2ood are /ued by demand, rat-er t-an /us-ed by su//y. In stru3turin2 3ustomer 0aue dei0ery systems, t-e new 3om/etition is no on22er between indi0idua 3om/etitiors but between t-e reati0e e11e3ti0eness o1 3om/etin2 0aue dei0ery system or2ani4ation by t-ese 3om/etitors. T-e new 0iew o1 mar6etin2 is t-at it is res/onsibe 1or desi2nin2 and mana2in2 a su/erior 0aue dei0ery system to rea3- tar2et 3ustomers se2ment. Mar6etin2 e5e3uti0es must t-in6 not ony about sein2 todays /rodu3t but aso about stimuatin2 t-e de0eo/ment o1 im/ro0ed 3om/any /rodu3ts, wor6in2 a3ti0ey wit- ot-er de/artments in mana2in2 3ore business /ro3esses, and buidin2 stron2er e5terna /artners-i/.
'.; etainin2 Customers In t-e /ast, many 3om/anies too6 t-eir 3ustomers 1or 2ranted. T-eir 3ustomer eit-er did not -a0e many aternati0e su//ier, or t-e ot-er were
T-ere are 1our ste/ to redu3e 3ustomer de1e3tion rate. "irst, T-e 3om/any must de1ine and measure its retention rate. Se3ond, T-e 3om/any must distin2uis- t-e 0arious 3auses o1 3ustomer attrition and identi1y t-ose t-at 3an be mana2ed better. T-ird, t-e 3om/any needs to estimate -ow mu3- /ro1it it oses w-en it oses 3ustomers unne3essariy. T-is is t-e same as t-e 3ustomers 3ustomers i1etime 0aue, namey t-e /ro1it t-at woud -a0e been yieded by t-e 3ustomers i1 -e -ad 3ountinued /ur3-asin2
)
1or t-e norma number o1 years. "or t-e 3ase o1 a 2rou/ o1 ost 3ustomers, a ma
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T-e 3om/any -ad *9,((( a33ounts. T-e 3om/any ost = o1 its a33ounts t-is year s/e3i1i3ay due to /oor ser0i3e,
•
namey ;,'(( a33ounts .(= J *9,((( T-e a0era2e ost a33ount re/resented a 9(,((( oss in re0enue. T-ere1ore, t-e
•
3om/any ost )'>,(((,((( in re0enue ;,'(( J 9(,((( T-e 3om/anys /ro1it mar2in is )(. T-ere1ore, t-e 3om/any ost )',>((,(((
•
unne3essariy .)( J )'>,(((,((( "ourt-, t-e 3om/any needs to 1i2ure out -ow mu3- it woud 3ost to redu3e t-e de1e3tion rate. As on2 as t-e 3ost is ess t-en t-e ost /ro1it, t-e 3om/any s-oud s/end t-at amount. T%e Nee) "or Customer Rete$t!o$
T-e 1a3t t-at t-e 3ost o1 attra3tin2 a new 3ustomer may be 1i0e times t-e 3ost o1 6ee/in2 a 3urrent 3ustomers -a//y. Be3ause o11ensi0e mar6etin2 re7uires mu3- e11ort and 3ost to indu3a satis1ied 3ustomers to swit3- away 1rom t-eir 3urrent su//ier. A33ordin2 to ei3--ed and Sasser, 3om/anies 3an im/ro0e /ro1it anyw-ere 1rom '= to >= by redu3in2 3ustomer de1e3tions by =. %e 3an wor6 out an e5am/e to su//ort t-e 3ase 1or em/-asi4in2 3ustomer retention. Su//ose a 3om/any resear3-es its new 3ustomer a37uisttion 3ost. It "inds: Cost o1 an a0era2e saes 3a in3udin2 saary,
3ommission,
bene1its,
and
e5/enses A0era2e number o1 saes 3as to 3on0ert an a0era2e /ros/et into a 3ustomer Cost o1 attra3tin2 a new 3ustomer
;((
9 5 ),'((
T-is is an underestimate be3ause we are omittin2 t-e 3ost o1 ad0ersitin2 and /romotion, o/erations, /annin2, and so an. Now su//ose t-e 3om/any estimate t-e /robabe a0era2e 3ustomer i1etime 0aue 1*
Annua 3ustomer re0enue A0era2e number o1 oya years Com/any /ro1it mar2in
=,((( ' .)( ),(((
Customer i1etime 0aue undis3ounted
Ceary t-is 3om/any is s/endin2 more to attra3t new 3ustomers t-an t-ey are wort-. Customer Reat!o$s%!* Mar+et!$ - T%e .e(
T-e 7uestion is -ow mu3- s-oud a 3om/any in0est in reations-i/ mar6etin2, 2i0en t-e e5tra 3ost and e11ort t-at it in0o0es F 1irts we must to distin2uis- 1i0e di11erent e0e o1 reatin2 to 3ustomers to answer t-is :
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Basi3 : T-e saes/erson ses t-e /rodu3t but dose not 3onta3t t-e 3ustomer a2ain ea3ti0e : T-e saes/erson ses t-e /rodu3t and en3oura2es t-e 3ustomers to 3a
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i1 -e or se- -as any 7uestion or 3om/aints A33ountabe : T-e saes/erson /-one t-e 3ustomer a s-ort time a1ter sae to
•
3-e36 w-et-er t-e /rodu3t is meetin2 t-e 3ustomers e5/e3tation. T-e saes/erson aso soi3its 1rom t-e 3ustomer any /rodu3t im/ro0ement su22estions and any s/e3i1i3 disa//ointments. T-is in1ormation -e/s t-e •
3om/any to im/ro0e t-eir o11erin2. +roa3ti0e : T-e 3om/any saes/erson /-one t-e 3ustomer 1rom time to time wit-
•
su22estions about im/ro0ed /rodu3t use or -e/1u /rodu3ts. +artners-i/ : T-e 3om/any wor6s 3ontinuousy wit- t-e 3ustomer to dis3o0er ways to e11e3t 3ustomer sa0in2 or -e/ t-e 3ustomer /er1orm better.
A//i3ation o1 ea3- e0es o1 eations-i/ Mar6etin2 is de/end on t-e 3om/anys mar2in and amount o1 3om/anys 3ustomers or distributors, i6e we 3an see at t-is tabe: 8I8 MAIN
MEDIUM
L!% MAIN
Many CustomersO
A33ountabe
MAIN ea3ti0e
Basi3 or rea3ti0e
distributors Medium number o1
+roa3ti0e
A33ountabe
ea3ti0e
3ustomersO distributors
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"ew 3ustomersO
+artners-i/
+roa3ti0e
A33ountabe
distributors
'.9 Customer +ro1itabiity Many 3om/anies re/ort t-at t-eir most /ro1itabe 3ustomers 3ome 1rom t-eir mid si4e 3ustomers. T-e ar2est 3ustomers demand 3onsiderabe ser0i3e and re3ei0e t-e dee/est dis3ount, t-us redu3in2 t-e 3om/anys /ro1it e0e. T-e smaest 3ustomer /ay 1u /ri3e and re3ei0e minima ser0i3e but t-e 3osts o1 transa3tin2 wit- sma 3ustomers redu3e t-eir /ro1itabiity. So t-e most /ro1itabe is t-e midsi4e 3ustomers re3ei0e 2ood ser0i3e and /ay neary 1u /ri3e. Utimatey, mar6etin2 is t-e art o1 attra3tin2 and 6ee/in2 profitable customers. %-ie 3ustomers o1ten ma6e many 2ood su22estions, t-ey aso su22est many 3ourses o1 a3tion t-at are una3tionabe and un/ro1itabe, so some or2ani4ations try to do anyt-in2 and e0eryt-in2 3ustomers su22est. It 1undamentay di11erent 1rom mar6et 1o3us ma6in2 di3i/ined 3-oi3es o1 w-i3- 3ustomers to ser0e and w-i3- s/esi1i3 3ombination o1 bene1its and /ri3e to dei0er O or deny t-em. So a//ear a new 7uestions o1 What is profitable customer? A33ordin2 to +-ii/ Koter, Pa /ro1itabe 3ustomer is a /erson, -ouse-od, or a 3om/any t-at yieds a re0enue stream o0ertime, e53eedin2 by an a33e/tabe amount t-e 3om/any 3ost stream o1 attra3tin2, sein2 and ser0i3in2 t-at 3ustomer.P Note t-at t-e em/-asis is on t-e i1etime stream o1 re0enue and 3ost, not on t-e /ro1it 1rom a /arti3uar transa3tion.
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Ca3uatin2 3ustomer /ro1it is an im/ortant ste/ in understandin2 w-i3- 3ustomer reations-i/s are better t-an ot-ers by usin2 t-e 3ustomerO/rodu3t /ro1itabiity anaysis. !1ten, t-e 1irm wi 1ind t-at some 3ustomer reations-i/s are un/ro1itabe. T-e 1irm may be more /ro1itabe wit-out t-ese 3ustomers. At t-e ot-er end, t-e 1irm wi identi1y its most /ro1itabe 3ustomers and be in a /osition to ta6e ste/s to ensure t-e 3ontinuation o1 t-ese most /ro1itabe reations-i/s.
%e obser0e t-at 3ustomer ) is 0ery /ro1itabe in t-at -e buys t-ree /ro1itma6in2 /rodu3ts, namey +), +', and +9. Customer ' yieds a /i3ture o1 mi5ed /ro1itabiity, -e buys one /ro1itabe /rodu3t and one un/ro1itabe /rodu3ts. Customer ; re/resents a osin2 3ustomer be3ause -e buys one /ro1itabe /rodu3t and two un/ro1itabe /rodu3ts.
%-at 3an t-e 3om/any do about t-isF
). It 3an raise t-e /ri3es o1 its ess /ro1itabe /rodu3ts, or eiminate t-em '. It 3an aso try to 3rossse its /ro1itma6in2 /rodu3ts to t-ese un/ro1itabe 3ustomers. I1 t-ey are 3-oose to de1e3t, it may be 1or t-e 2ood. !ne 3oud e0en ar2ue t-at t-e 3om/any woud bene1it by en3oura2in2 its un/ro1itabe 3ustomers to swit3- to t-e 3om/etitors.
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Customer /ro1itabiity is 3-aen2in2 to im/ement it draws into 7uestion our understandin2 o1 w-o our 3ustomers are and -ow we ma6e /ro1it. It 3an add /ower1u insi2-ts t-rou2-out t-e business, -e/in2 to 1o3us de3ision ma6in2 ener2ies on doin2 w-at is ri2-t 1or 3oma/ny 3ustomers and s-are-oders at t-e same time. In a 3ustomer 3entri3 or2ani4ation, measurin2 3ustomer /ro1itabiity -as be3ome a business im/erati0e: wit-out it t-ere is no 1a3t basis 1or mana2in2 t-e 0aue e53-an2e between 3om/any and 3ustomers.
'.= Im/ementin2 Tota @uaity Mar6etin2 Customer satis1a3tion and 3om/any /ro1itabiity are in6ed 3osey to /rodu3t and ser0i3e 7uaity. 8i2-er e0es o1 7uaity resut in 2reater 3ustomer satis1a3tion, w-ie at t-e same time su//ortin2 -i2-er /ri3es and o1ten ower 3osts. T-ere1ore, 7uaity im/ro0ement /ro2rammes normay in3rease /ro1itabiity. T-e tas6 o1 im/ro0in2 /rodu3t and ser0i3e 7uaity s-oud be a 3om/anyQs to/ /riority. Com/anies today -a0e no 3-oi3e but to ado/t tota 7uaity mana2ement i1 t-ey want to stay in t-e ra3e, et aone be /ro1itabe. tota 7uaity mana2ement T@M +ro2rammes desi2ned to 3ontinuousy im/ro0e t-e 7uaity o1 /rodu3t, ser0i3e and mar6etin2 /ro3esses. A33ordin2 to EQs 3-airman, &o-n ". %e3-, &r: P@uaity is our best assuran3e o1 3ustomer ae2ian3e, our stron2est de1en3e a2ainst 1orei2n 3om/etition and t-e ony /atto sustained 2rowt- and earnin2sP. @uaity -as been 0ariousy de1ined as Q1itness 1or useQ, Q3on1onnan3e to re7uirementsQ and Q1reedom 1rom 0ariationQ. T-e Ameri3an So3iety 1or @uaity Contro de1ines 7uaity as t-e totaity o1 1eatures and 3-ara3teristi3s o1 a /rodu3t or ser0i3e t-at bear on its abiity to satis1y stated or im/ied needs. T-is is 3eary a 3ustomer3entred de1inition o1 7uaity. It su22ests t-at a 3om/any -as dei0ered 7uaity w-ene0er its /rodu3t and ser0i3e meets or e53eeds 3ustomersQ needs, re7uirements and e5/e3tations. A 3om/any t-at satis1ies most o1 its 3ustomersQ needs most o1 t-e time is a 7uaity
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3om/any. It is im/ortant to distin2uis- between /er1orman3e 7uaity and 3on1orman3e 7uaity. • •
+er1orman3e 7uaity re1ers to t-e e0e at w-i3- a /rodu3t /er1orms its 1un3tions. Con1orman3e 7uaity re1ers to 1reedom 1rom de1e3ts and t-e 7uai1y t-e totaity o1 1eatures and 3-ara3teristi3s o1 a /rodu3t or ser0i3e t-at bear on its abiity to satis1y stated or im/ied needs.
Mar6etin2 s-ares wit- ot-er 1un3tions t-e res/onsibiity 1or stri0in2 1or t-e -i2-est 7uaity o1 a 3om/any, /rodu3t or ser0i3e. Mar6etin2Qs 3ommitment to t-e w-oe /ro3ess needs to be /arti3uary stron2 be3ause o1 t-e 3entra roe o1 3ustomer satis1a3tion to bot- mar6etin2 and tota 7uaity mana2ement T@M. %it-in a 7uaity3entre 3om/any, mar6etin2 mana2ement -as two ty/es o1 res/onsibiity: ). Mar6etin2 mana2ement /arti3i/ates in 1ormuatin2 t-e strate2ies and /oi3ies t-at dire3t resour3es and stri0e 1or 7uaity e53een3e. '. Mar6etin2 -as to dei0er mar6etin2 7uaity aon2side /rodu3t 7uaity. It must /er1orm ea3- mar6etin2 a3ti0ity to 3onsistenty -i2- standards: mar6etin2 resear3-, saes trainin2, ad0ertisin2, 3ustomer ser0i3es and ot-ers. Mu3- dama2e 3an be done to 3ustomer satis1a3tion wit- an e53eent /rodu3t i1 it is o0ersod or is Qsu//ortedQ by ad0ertisin2 t-at buids unreaisti3 e5/e3tations. %it-in 7uaity /ro2rammes, mar6etin2 -as se0era distin3t roes: ). Mar6etin2 -as res/onsibiity 1or 3orre3ty identi1yin2 3ustomersQ needs and wants, and 1or 3ommuni3atin2 t-em 3orre3ty to aid /rodu3t desi2n and to s3-edue /rodu3tion. '. Mar6etin2 -as to ensure t-at 3ustomersQ orders are 1ied 3orre3ty and on time, and must 3-e36 to see t-at 3ustomers re3ei0e /ro/er instru3tion, trainin2 and te3-ni3a assistan3e in t-e use o1 t-eir /rodu3t. ;. Mar6eters must stay in tou3- wit- 3ustomers a1ter t-e sae, to ma6e sure t-at t-ey remain satis1ied. 9. Mar6eters must 2at-er and 3on0ey 3ustomersQ ideas 1or /rodu3t and ser0i3e im/ro0ement ba36 to t-e 3om/any.
15
T@M -as /ayed an im/ortant roe in edu3atin2 businesses t-at 7uaity is more t-an /rodu3ts and ser0i3es bein2 we /rodu3ed, but is about w-at mar6etin2 -as been sayin2 a t-e time: 3ustomer satis1a3tion. At t-e same time, T@M e5tends mar6etin2Qs 0iew to reai4e t-at t-e a37uisition, retention and satis1a3tion o1 2ood em/oyees is 3entra to t-e a37uisition, retention and satis1a3tion o1 3ustomers. Tota 7uaity is t-e 6ey to 3reatin2 3ustomer 0aiue and satis1a3tion. Tota 7uaity is e0eryoneQs
T-e im/i3ation -ere is t-at mar6eters must s/end time and e11ort not ony to im/ro0e e5terna mar6etin2, but aso to im/ro0e interna mar6etin2. Mar6eters must be t-e 3ustomerQs wat3-do2 or 2uardian, 3om/ainin2 oudy 1or t-e 3ustomer w-en t-e /rodu3t or t-e ser0i3e is not ri2-t. Mar6eters must 3onstanty u/-od t-e standard o1 2i0in2 t-e 3ustomer t-e best soution.
CHAPTER III CLOSING
;.) Con3usion 1&
Based on t-e des3ri/tion o1 t-e dis3ussion PBuidin2 Customer Satis1a3tion T-rou2- @uaity, Ser0i3e, And $aueH. %e 3an 3on3ude t-at 3ustomer satis1a3tion is t-e out3ome 1et by buyers w-o -a0e e5/erien3ed a 3om/any /er1orman3e t-at -as 1u1ied e5/e3tations. Satis1ied 3ustomers remain oya on2er, buy more, are ess /ri3e sensiti0e, and ta6 1a0oraby about t-e 3om/any. To 3reate it, 3om/anies must mana2e t-eir 0aue 3-ain as we as t-e w-oe 0aue dei0ery system in a 3ustomer3entered way. T-e 3om/anys 2oa is not ony to 2et 3ustomers, but e0en more im/ortanty to retain 3ustomers. Customer reations-i/ mar6etin2 /ro0ides t-e 6ey to retainin2 3ustomers and in0o0es /ro0idin2 1inan3ia and so3ia bene1its as we as stru3tura ties to t-e 3ustomers. Com/anies must de3ide -ow mu3- reations-i/ mar6etin2 to in0est in di11erent mar6et se2ments and indi0idua 3ustomers de/ends on estimatin2 3ustomer i1etime 0aue a2ainst t-e 3ost stream re7uired to attra3t and retain t-ese 3ustomers. Com/anies must understand -ow t-eir 3ustomers /er3ei0e 7uaity and -ow mu37uaity t-ey e5/e3t. Com/anies must t-en stri0e to o11er reati0ey -i2-er 7uaity t-an t-eir 3om/etitors. Tota 7uaity mar6etin2 is seen today as a ma
;.' Su22estion T-at is t-e /a/er w-i3- aut-or 3reated. Aut-or aware o1 t-e many s-ort3omin2s and 1ar 1rom t-e /er1e3t /oint. T-ere are sti many errors on t-is /a/er. T-e aut-or aso ta6es 3riti3ism and su22estions in order to ma6e t-e moti0ation 1or t-e aut-ors, so t-at in t-e 1uture 3an be better. T-an6 you 1or /erson w-o -as -e/ed me to 1inis- t-is /a/er.
REFERENCES
+otler, P$ili-. /1))&0. Marketing Management, An Asian Perspective. Prentice all, !nc., --er Saddle Rier. e ersey. 1'
Litter, De and Domini3 %ison. )??=. Marketing Strategy. Britis- Library Catao2uin2, En2and.
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