• Uncategorized



Course+ Code




1.0. Introduction 3

1.1. Significance and Objectives of the Study 3

2.0. Direct Marketing (DM) and Customer Relationship Management (CRM) 4

2.1. Direct Marketing (DM) 4

2.2. Customer Relationship Management (CRM) 6

2.3. The DM-CRM Nexus 7

3.0. Mobile Marketing and Purchase Intentions 9

3.1. Mobile Marketing 9

3.2. Purchase Intentions 11

3.2. Relationship between Mobile Marketing and Purchase Intention 11

4.0. Direct Mail Marketing and Brand Awareness 13

4.1. Direct Mail Marketing (DMM) 13

4.2. Brand Awareness 14

4.3. Influence of Direct Mail Marketing (DMM) on Brand Awareness (BA) 15

5.0. Social Media Marketing and Brand Loyalty 16

5.1. Social Media Marketing 16

5.2. Brand Loyalty 17

5.3. Impact of Social Media on Brand Loyalty 18

6.0. Managerial Implications 19

7.0. Conclusion 20

8.0. References 20

  1. Introduction

Therole of direct marketing in establishing a personal relationship withthe customer cannot be overestimated. Direct marketing serves as aneffective mechanism for building lasting and healthy customerrelationship management. Direct marketing is the most preferredmarketing strategy since it not only increases sales but leads tocustomer satisfaction and customer loyalty since an effectivecustomer relationship management (CRM) is a strategic tool forbusiness growth (Park &amp Kim, 2003, p. 652). Some of the mostcommon types of direct marketing include email marketing couponing,telemarketing, direct selling and voicemail marketing (Chandrasekhar&amp Raj, 2014, p. 26). Having realized the significance of ahealthy customer relationship, businesses have resorted to intensestrategies such as direct marketing in order to ensure that theymaintain a healthy relationship with their clients. It is importantto note at this point that structuring a healthy customerrelationship is a means to achieving customer loyalty and customersatisfaction. The overriding objective of most business organizationsis to increase performance and productivity as well as gain acompetitive edge. Using direct marketing in CRM comes in handy as aneffective strategic management concept since the firms are able tocondition brand loyalty while the customers are also able to obtaindiscounts at an advanced level of the business-customer nexus (Jonkeret al., 2006, p. 915).

    1. Significance and Objectives of the Study

CustomerRelationship Management (CRM) has become a critical concept to thelong-term survival of businesses and the use of direct marketing instructuring the desired CRM has attracted a lot of researchattention. This study seeks to examine the significance of directmarketing (to business organizations) in the establishment of(personal) relationships with customers. Empirical studies haveinvestigated the direct marketing-CRM nexus and concluded that thetwo concepts are so intricately related in such a manner that oneleads to the other (CITE1). However, a handful of studies provide themechanisms through which direct marketing influence the management ofcustomer relationships and the outcomes of such studies areinconclusive. For this reason, an empirical examination of themechanisms (and instruments) through which direct marketing affectscustomer relationship management would provide invaluable insightsinto the use and improvement of direct marketing techniques inmanaging customer relationships. By the end of the study, this papershould be able:

  1. To ascertain if direct marketing positively influences customer relationship management

  2. To discuss the technologies and mechanisms through which direct marketing influences customer relationship management

  3. To investigate the relationship between social media and brand loyalty

  4. To provide factors that determine the choice of a specific type of direct marketing by an organization

  5. To examine the managerial implications of study outcomes

  1. Direct Marketing (DM) and Customer Relationship Management (CRM)

Differentresearchers have defined direct marketing and customer relationshipmanagement differently, but few aspects are typical of the twoconcepts. This section of the paper provides a brief description ofthe two concepts before investigating the nature of the relationshipbetween them.

    1. Direct Marketing (DM)

DirectMarketing refers to the marketing strategies of contacting andcautiously influencing individuals such as direct mail, couponing,broadcast faxing, and telemarketing (Business Dictionary, 2015, n.pReference for Business, 2015, n.p). The aspect of a one-to-onecontact between the customer and an organization is whatdistinguishes direct marketing from (general) marketing. Directmarketing uses various media that reach a specific target prospectsuch as free-standing inserts (FSI), direct mail, newspaperadvertisements, radio spots and card decks. The use of directmarketing as an independent and strategic marketing strategy can betraced back to early 19thcentury when it first manifested in the form of mailed flyers and itsgrowth was fueled by financial institutions through the introductionof credit cards (MasterCard and Visa). The most critical successfactor of direct marketing is that the organizations must be able toidentify and understand the target customers in terms of sharedattributes (Reference for Business, 2015, n.p). In order to achievethe objectives of this paper, it is important to comprehend the threefundamental tenets of what we in common parlances conceive as directmarketing. Firstly, Direct marketing involves the use of a databaseof namesconsisting of the details of businesses, prospects or customersincluding geographical location, telephone contacts, purchasebehavior and company history. Such a database is used in identifyinga target audience with similar attributes that can be collectivelyand directly addressed by a business organization. The process ofdeveloping such a database forms part of the direct marketingcampaign. Secondly, direct marketing involves generating marketingmessages thatare addressed directly to a selected target audience drawn from thecreated database or sampling frame). It at this point, anorganization decides on the most appropriate medium to deliver themessage to the audience depending on audience attributes andorganizational factors. Finally, direct marketing messages aim atcreating a specific “callto action”such as inviting prospects to provide responses or call a specificnumber. Nonetheless, direct marketing is mostly persuasive especiallyin a customer-product context and is relevant to the customersbecause it contains information that is relevant to them (Risseladaet al., 2014, p. 57). In essence, direct marketing involves apersonal appeal by business organizations to a customer.

    1. Customer Relationship Management (CRM)

CustomerRelationship Management (CRM) refers to a customer-oriented strategythat incorporates marketing, sales and customer service with anultimate objective of creating and adding value to an organizationand its customers (Chalmeta, 2006, p. 1015). CRM is a combination ofbusiness strategies and concepts aimed at creating a desirablerelationship between the customers and an organization. Customerrelationship management can also be described as a system in which itis the computerized system that facilitates the identification,targeting, acquisition and retention of the best combination ofcustomers. More aptly, customer relationship management is a keyconcept of the organizational infrastructure since it enables theprofiling of customers, comprehension of their needs and structuringhealthy relationships with the customers by addressing such needsdirectly through the provision of most suitable products orimprovement of service quality (Business Dictionary, 2015, n.p). CRMis a much broader concept in business management since it does notonly refer to the strategies but at times encompasses the instrumentsused to condition a customer’s behavior (purchase behavior andperception) towards a specific company or its products. According toRouse (2015), CRM is an organizational concept that incorporates thestrategies, practices and technologies used by organizations tomanage and analyze customer interactions and information throughouttheir (customers’) life cycle. Moreover, empirical studies haveinvestigated the functional aspects of CRM and established that ituses customer information as a base to leverage its strategicobjectives in an organizational setting. According toPeel &amp Gancarz (2002),customer relationship management basically involves people (customersand business employees) understanding each other and that CRM isimportant to organizations since “it is about understanding thenatureof exchangebetween customer and supplier and managing it appropriately” (p.3).Given the significance of an effective CRM, businesses areincreasingly employing sophisticated techniques in CRM since whenstrategies that are more complex are used in implementing a CRMsystem, a business is likely to be more prosperous (MSG, 2015, n.p).According to Holt (2014), the ultimate goal of organizations indeveloping CRM systems is to achieve customer satisfaction.

    1. The DM-CRM Nexus

Itis in the definition of customer relationship marketing as providedby many scholars that the intricate relationship between marketing(read direct marketing) and customer relationship management is muchclearer. More aptly, direct marketing is one of the many strategiesemployed to achieve the greater organizational objective of customerrelationship management. According to Baumeister(2002), customer care strategies and customer relationship managementare two central concepts of operational business management thatpositively correlated and are often implemented together to realizestrategic business objectives (p. 1). Marketing and customerrelationship management are closely related since marketing is inmost instances viewed as a subset of customer relations byorganizations. Researchers investigating the relationship between CRMand marketing propose that relationshipmarketingis the new term that businesses use to denote the marketingstrategies aimed at creating a CRM. CRM has a strong and positivecorrelation with direct marketing especially in the life cycle of acustomer since the latter facilitates a business’ understanding ofcustomers by providing information on customer attitude,profitability, life-stage and lifetime value (Anderson et al., 2009,p. 11). For this reason, CRM has been espoused as a pyramid ofmanaging customer relations with direct marketing as its base. Thediagram below shows the position and role of direct marketing incustomer relationship management.

Figure1.0:The Constructs of Customer Relationship Management

Source:The Marketing Eye (2015)

Theintegration of marketing in CRM as a strategy to build and managebusiness’ relationships with clients has been exploited bybusinesses to the extent that contemporary researchers in the DM-CRMnexus have coined the term CustomerRelationship Marketing.According to Technopedi (2015), CustomerRelationship Marketingrefers to the process through which business organizations buildcustomer relationships, customer brand and customer loyalty usingmarketing activities and strategies. Further, customer relationshipmarketing is important because it allows businesses streamlinecorporate performance while developing long-term relationships withnew and established customers.

Analyzingthe relationship between direct marketing and customer relationshipmanagement (DM-CRM Nexus) reveals a few clear things. Firstly,marketing is only a single construct out of the many strategies thatare used by businesses in customer relationship management (Holt,2014, n.p). Secondly, direct marketing is positively related to thehealth of a customer relationship management (CRM) system (Andersonet al., 2009, p. 11). Thirdly, direct marketing is related tocustomer relationship management since it serves as an avenue throughwhich crucial information required to build a CRM system are availed(MSG, 2015, n.p Risseladaet al., 2014, p. 57).Additionally, CRM systems facilitate direct marketing through theautomation of tasks such as the automated tracking and scheduling ofmails (Euiho, 2015, s. 15). Concisely, directmarketing(DM) involves a personal appeal to customers by a business and itprovides crucial (subjective) customer information that is used tostructure and manage a favorable relationship between the customerand the business thus customerrelationship management (CRM).

  1. Mobile Marketing and Purchase Intentions

Sincedirect marketing involves a establishing a personal contact with acustomer, trends in direct marketing have evolved with increasedaccess to technologies that facilitate contact at a personal level.The increased access to and use of mobile phones has made it easierto undertake direct marketing since such devices can enable wirelesscommunication at anytime from anywhere. The ease of connectivity atthe individual level is what makes mobile marketing an effectivestrategy to influence customers’ purchase behavior since it allowsmarketing activities to be customized to client needs (Ibrahim, 2010,p. 28).

3.1.Mobile Marketing

Mobilemarketing refers to the promotional activity that is targeted at anindividual and is usually designed for delivery to smartphones, cellphones and other handheld gadgets. Moreover, mobile marketing issimilar to electronic advertisements such as texts and graphics andthe use of short message services (SMS) is the most common type ofmobile marketing used by businesses today (TechTarget, 2015, n.p).Mobile marketing is very important to businesses because other thanfacilitating the delivery of a personalized message to customers, thedirect marketing mechanism can also enable the organizations to getfeedback on their services and products. Empirical researchers positthat through mobile marketing, economic agents (customers, suppliers,marketers, agencies and brands) can interact in a more productive andfashionable manner (Ibrahim, 2010, p. 28). Mobile marketing has sinceevolved due to the evolution of technology and the current trends ofmobile marketing enhance marketing efficiency through facilitatingthe customization of marketing messages to suit the target group inthe most appropriate manner. Today, most marketers are interested inusing the near-field communications (NFC) technology that enablescustomers to swipe their phones next to sensors in order to getinformation from vendors and make payments (Taylor, 2015, n.p). Theincreased preference for mobile advertising is due to the increasedaccess to mobile phones (mobile phone internet) and by extension,increased personal access of customers to mobile users (customers).According to Marketing Land (2015), about 43% of the world has accessto the internet through their phones and there are an estimated 3.65billion global mobile users with 1.91 billion users out of this beingin possession of smartphones. Mobile marketing is therefore shaped bymobile technology and is very popular among the marketers for variousreasons. Firstly, mobile marketing enables personal contact with thecustomers at any time at any place. Secondly, mobile marketingenables acquisition of feedback from the clients. Thirdly, mobilemarketing enables organizations to reach more people at a personallevel since so many people have access to mobile phones.Additionally, mobile phone applications and its access to theinternet enable the marketers to tailor the promotional activities toclient needs.

3.2.Purchase Intentions

Purchaseintention referrers to a plan to purchase a specific product infuture. The purchase intention continues to be a critical concept inmarketing since it is one of the most important factors of manyattitude measures that are used to predict the actual purchasebehavior (Morrison, 1979, p. 65). Purchase intention is an abstractand subjective concept since different customers perceive differentproducts differently based on their judgmental predispositions. Manysubjective factors influence the purchase intention of customers butthe most important factors that shape purchase intention are theperceived price of a product and quality (Musharraf&amp Ali, 2013, n.p).Purchase intentions are also significant in marketing since they canbe measured and used by managers in decision-making since purchasebehaviors are correlated and can be used to project future sales(Morwitz,2012, n.p).Given that purchase intentions are mostly influenced by perceptionsof price and quality, organizations can employ strategic marketingstrategies in order to provide customers with reliable information inorder to facilitate the actual purchasing process. Moreover,businesses with direct contact to customers can alter the purchaseintentions of clients in their favor by persuading undecidedcustomers to buy their products. To achieve this objective, customerscan study the past behavior of customers before pitching their ideato them because past purchase behavior is the best predictor ofpurchase intention and customer behavior (Gázquez-Abadet al., 2011, p. 168). Purchase intention is, therefore, significantin marketing since it not only determines sales (actual purchasebehavior) but also because it can be influenced by business throughdirect contact with the customers.

3.2.Relationship between Mobile Marketing and Purchase Intention

Mobilemarketing influences purchase intention in a variety of ways. Mobileadvertising provides a platform for businesses to make personalcontact with clients, facilitates the establishment of a directrelationship that positively influences the purchase intention of acustomer by creating value for customers just as it does toorganizations (Strömet al., 2014, p. 1-10).The figure below shows how the use of mobile marketing leads to valuecreation for both customers and business organizations.

Figure2.0:Mobile Marketing Value Creation

Source:Strömet al. (2014), p. 2

Asshown in figure 2.0 above, mobile marketing creates value forcustomers by increasing the perceived benefits of products therebypositively influencing the purchase intention. Additionally, mobiledevice shoppers are also able to obtain the necessary informationrequired to form appropriate purchase behaviors. Smartphoneadvertisements, in particular, positively influence the purchaseintention of customers through the provision of information,entertainment and credibility (Kim &amp Han, 2014, p. 256). The useof mobile marketing in influencing purchase intention is importantsince it enables businesses to impact directly on the psychologicaland emotional predispositions of customers that structures purchaseintention. The resilience on the part of organizations to use directmarketing techniques such as mobile marketing to influence purchaseintention could be because emotions can directly influence customerloyalty without necessarily establishing trust (Abdullah et al.,2014, p. 376). Intuitively, mobile marketing influences purchaseintention by providing additional information to clients andaddressing their individual concerns about a particular product.

  1. Direct Mail Marketing and Brand Awareness

Directmail marketing is one of the oldest forms of direct marketing thatinvolves sending e-mails to customers with product information suchas price, special offers, availability and brands to an individualcustomer at a specific street or electronic address (Referencefor Business, 2015 Berry, 2015, n.p).Direct mail marketing can, therefore, be used effectively inproviding customers with information on the price and life of aproduct thereby creating brand awareness among target customers.

    1. Direct Mail Marketing (DMM)

Directmail marketing (DDM) refers to the process of sending emails andother documents with information concerning the attributes of aproduct or service to particular individuals with the intention ofinforming them of the product/ service attributes to increase sales(Berry, 2015, n.p). Examples of direct mail marketing exist in theform of emails, voice mail, audio tapes and fax mail. Direct MailMarketing is preferable to most business organizations since itfacilitates a personal contact with customers. Moreover, DMM is lesscostly, it is flexible, it permits high target market selectivity andcan be used for product piloting at the introduction phase of a newproduct (MSG, 2015 Berry, 2015, n.p). Direct mail marketing can alsobe used as a strategic management instrument to gain a competitiveedge because empirical studies show that direct (relational) mailingcan positively influence customer response regardless of when theyare sent and are particularly effective in doing so in the short-term(Gázquez-Abadet al., 2011, p. 166).Direct mailing is an important type of direct marketing because itenables businesses to obtain feedback and facilitates the transfer oflarge amounts of information that may lead to the creation of acustomer management database. Direct mail facilitates privacy andconfidentiality due to the authentication features that enhance thecredibility of information. For instance, Gmail has Domain Keys thatfacilitate the authenticity of received message through the provisionof a check mail in the inbox. Direct mailing is, therefore, effectiveas a type of direct marketing since it provides a one-to-oneinteraction between organizations and customers, it is less costly,it is confidential and it makes it easier for customers to providefeedback. Direct Mail Marketing has a combination of features thatmake it “the most effective and profitable ways to reach out to newand existing clients” (Entrepreneur, 2015).

    1. Brand Awareness

Brandawareness refers to the extent to which customers are able toassociate a brand with a specific product which is measured by theprobability that they have adequate information concerning theproduct life cycle and its availability (MSG, 2015, n.p). Brandawareness is a wider concept in marketing that includes both brandrecalland brandrecognition.Improving brand awareness involves an array of activities andstrategies that may culminate in brand names that are simple and easyto pronounce. Moreover, well-improved brands are expressive and knownbut are also distinct and unique. A good example is the processthrough which Coca-Colacame to be known as Coke.In order to comprehend the role of brand awareness in marketing, itis important to understand two types of brand awareness: aidedawarenessand immediatebrand recall.Aidedawarenessrefers to the type of awareness exhibited by the recognition of abrand by customers when provided with a list of brands shown to them.Immediate Brand Recall,on the other hand, refers to a type of brand awareness in whichcustomers recognize an organization’s brand once a particular lineof products is mentioned to them. Building brand awareness is adeliberate and strategic procedure that also implies building brandequity (Huangand Sarigöllu, 2012, p. 92).The process involves the use of many promotional activities such asadvertising, direct mailing and involves creating reliable brandimage complete with taglines. Additionally, the process of creatingbrand awareness involves the communication of a brandmessagethat should be direct and consistent. Once created, strong brandawareness is beneficial to organizations since it leads to positivemarket outcomes for firms such as increased sales and broadenedmarket share (Huangand Sarigöllu, 2012, p.98). In essence, brand awareness is a deliberate process undertakenby business organizations through the use of marketing strategies inorder to acquaint and familiarize selected customers with a specificproduct brand. Brand awareness is usually the ultimate objective ofadvertising.

    1. Influence of Direct Mail Marketing (DMM) on Brand Awareness (BA)

Directmail marketing positively influences brand awareness through theprovisionof information onthe attributes of product brands. This mechanism is effective becausedirect mails are aimed at specific individuals as they usuallyprovide information on attributes such as price, quality,availability, product life cycle, related brands and special offers(MSG, 2015, n.p). Studies on the Advertising-BA nexus posit thatadvertising increases brand awareness by exposing a brand tocustomers and by increasing a brand’s probability of being includedin a customer’s consideration set, an action that works to increasethe performance of the brand (Huangand Sarigöllu, 2012, p.94). Due to the confidential nature of direct mail and its personalappeal to customers, it is very effective in making customers feelesteemed and this characteristic makes it a very effective mechanismfor achieving immediatebrand recall, themost desired type of brand awareness that creates brand loyalty andbrand effectiveness (Ravetti, 2014, n.p). The use of direct marketingin improving brand awareness ought to manifest a high level ofconsistency and repetition in order to reinforce the message beingdriven. Intuitively, as observed by the Idea Center (2015), “therepetition and consistency of these elements is the ‘secret sauce’that enables dominant brands to lodge themselves in the preeminentposition within consumer`s minds.” Direct marketing positivelyinfluences brand awareness through its visual effects that use colorsand makes appeals to demographics as much as it maintainsconsistency. In summary, direct mail marketing affects brandawareness by exposing brands to clients, appealing to customer’sesteem and through the attractiveness with which it presents a brandto customers.

  1. Social Media Marketing and Brand Loyalty

Inthe past few years, social media has emerged to play a critical rolein marketing due to its ability to spread information to multitudeswithin a very short time. The ability of social media to spreadinformation to many people within a short time at very low cost makesit an important marketing tool. Moreover, social media enables thecreation of personal relationships between an organization and aspecific market segment that facilitates the creation of brandloyalty.

    1. Social Media Marketing

Socialmedia refers to computer-mediated applications that allow internetusers to create and share information in virtual communities andnetworks. The advances in technology that led to the creation andincreased access to social media occasioned a marketing conceptreferred to as social media marketing, a discipline in marketing thathas attracted massive research attention. Social media marketingrefers to the process through which business organizations gainattention and traffic through social media sites such as Twitter,Facebook, Instagram, Google+, Pinterest, LinkedIn andYouTube (SEL,2015, n.p). Social media marketing involves the use of social mediaplatforms to interact with customers both individually and as asegment and the medium is particularly effective since it can allowfor the instant exchange of pictures, texts, video and other graphicsat a very low cost. Corporate organizations have social mediaplatforms that they extensively use to advertise their products andpass information concerning their products, availability as well asdirectly address concerns raised by their followers who areessentially existing or new customers. According to Forbes Magazine(2014), using social media in marketing is advantageous because itpresents organizations with higher conversion rates, decreasesmarketing costs, increases inbound traffic and creates a higher brandauthority by regularly engaging customers. Social media marketing is,therefore, a critical marketing platform since it facilitates directinteractions between customers and organizations and allowsorganizations to reach a wider clientele base at a very low cost.

    1. Brand Loyalty

Brandloyalty refers to the attachment of customers to a particular productor brand due to the satisfaction associated with the consumption ofsuch a product. Brand loyalty results from consistent positiveemotional experience, experience and satisfaction derived from usinga particular product. Loyal customers will guarantee business sales,but they are also likely to buy high-margin ancillary andsupplemental products and services (Beyond Philosophy, 2015, n.p).The fact that loyal customers will always stick to a particular brandimplies that establishing brand loyalty among customers can be usedas a management strategy to cushion a business from the effects ofindustry competition. In order to comprehend the impact of brandloyalty and the mechanism used to create customer loyalty, it isimportant to define two types of brand loyalty: behavioralbrand loyaltyand attitudinalbrand loyalty.Behavioral brand loyaltyrefers to a customers’ likelihood of purchasing a brand repeatedly.Attitudinalbrand loyalty, onthe other hand, refers to the repurchase behavior created by thepsychological and emotional influence that a brand imparts on acustomer. Brand loyalty is very important to business organizationsbecause it leads to positive purchase intentions and reducesoperational costs since the cost of retaining existing customers ismuch lower than that of attracting new customers (Malik et al., 2013,p. 167). Therefore, brand loyalty is pursued by most organizationssince it ensures business survival and offers positive prospects forbusiness growth. For this reason, businesses employ various marketingtechniques such as social media marketing to achieve brand loyalty.

    1. Impact of Social Media on Brand Loyalty

Socialmedia permits an organization to interact with clients at a group andpersonal level therefore, facilitates the creation of customerloyalty through the provision of tailored information to customers.According to a survey conducted by Forbes (2014), social mediamarketing increases brand loyalty and recognition because it providesorganizations with an opportunity to syndicate their products andincrease visibility. Moreover, the survey showed that 53% ofcustomers who follow a particular brand are loyal to that brand.Brand loyalty influences brand loyalty by providing businesses withthe necessary information to understand embedded brand communities,their motivational drivers of participation and their peculiarities(Zaglia, 2012, p. 216). An investigation of empirical studies,therefore, reveals that social media mostly affects brand loyalty byproviding an organization with a platform to address customerconcerns and provide tailored brand information to increase positiveperceptions of brands. Social media marketing also enablesorganizations to obtain relevant trends and information on customersand facilitates a prediction of change in tastes and preferences ofcustomers. Social networks also influence brand loyalty indirectlythrough the creation of brand community identification, commitmentand participation. Intuitively, social media marketing leads to theidentification of brand community that ultimately translates to brandloyalty/ commitment (Zhou et al., 2012, p. 895). Additionally, socialmedia is an effective way of creating a bandwagon approach and islikely to segment customers according to brands, a phenomenon thatmight translate to brand commitment in which individuals feel obligedto stick to the specific brands (organizations) that they follow onsocial media. Social media marketing, therefore, relies on itsability to appeal to groups and individuals at the same time, afeature unique to it in order to undertake deliberate strategies toattract and more so, retain existing customers.

  1. Managerial Implications

Thisstudy has yielded invaluable insights into the role of directmarketing in customer relationship management. It is important forcorporate organizations to select cautiously a direct marketingstrategy based on the target audience and organizational constraintsto optimize the positive impacts of directmarketingon customer relationship management. Second, due to the significanceof marketing in structuring customer relationship management, it isimportant for managers to establish a separate department toundertake relationship management, which focuses exclusively on thedirect marketing strategies aimed at improving customer relationshipmanagement in an organization. In order to optimize the benefits ofdirectmail marketingas a marketing strategy to enhance brandawareness,marketing managers ought to use colors and graphics that enhance theaesthetic value of brands and information mailed to customers.Moreover, the informative messages mailed to customers should bedesigned to seek feedback at the discretion of the customer.Marketing managers should use mobilemarketingextensively to structure purchase intention by introducing newsmartphone marketing applications since empirical studies show thatthere is a positive and significant relationship between mobilemarketing and purchase behavior. However, given that invasiveadvertisements annoy most mobile users, using mobile marketing shouldbe undertaken in a cautious manner. More aptly, the organizationaluse of mobile marketing is a situation that calls for a delicatebalance between delivering intended message and minimizing customerupsets. Socialmedia marketing presentsmore opportunities since it can facilitate group and individualinteraction and organizations should actively engage customers onissues beyond products to create an extra bond that will conditionbrandloyalty.

  1. Conclusion

Thisstudy set out to examine the role of direct marketing in customerrelationship management with a primary preoccupation of elucidatingthe mechanisms through which various types of direct marketinginfluence CRM. The clearest outcome of this study is that directmarketing positively affects customer relationship management throughthe provisionof customized information thatis used to form and manage CRM systems. CRM systems also facilitatedirect marketing through taskautomation.Mobile marketing positively affects purchase intention by positivelyinfluencing customer perceptions thereby creative value for thecustomers. Direct mail marketing is an effective marketing strategythat increases brand awareness, a role it achieves for it is a visualmedium that exposesa product to customers.Social media marketing leads to brand loyalty through the provisionof information and engaging customers on a variety of issues therebycreating extra bonds between a brand and customers.


Abdullah,M.F., Putit, L. and Teo, C.B.C., 2014. Impact of RelationshipMarketing Tactics (RMT`s) &amp Relationship Quality on CustomerLoyalty: A Study within the Malaysian Mobile TelecommunicationIndustry. Procedia-Socialand Behavioral Sciences,130,pp.371-378, Retrieved on December 11, 2015,from

Andersson,A., Cederbrink, P. and Lövsund, M., 2009. Managing Customer Loyaltythrough Direct Marketing: A Case Study of the Relationship betweenLänsförsäkringar Kalmar Län And Their Beneficiary Customers,Retrieved on December 11, 2015,from

Baumeister,H., 2002. Customer relationship management for SMEs. Institut fürInformatik, München. Retrieved on December 11, 2015from

Berry,T. (2015), DirectMarketing Fundamentals,Mplans, Retrieved on December 11, 2015,from

BeyondPhilosophy, (2015), Whatis Customer Loyalty?Retrieved on December 11, 2015,from

BusinessDictionary, (2015), CustomerRelationship Management (CRM),Retrieved on December 11, 2015,from

BusinessDictionary, (2015), DirectMarketing Definition,Retrieved on December 11, 2015,from

Chalmeta,R., 2006. Methodology for customer relationship management. Journalof systems and software,79(7),pp.1015-1024.Retrieved on December 11, 2015, from

Entrepreneur(2015), Direct Mail, Retrieved on December 11, 2015,from

Euiho,D. (2015), Customer Relationship Management, Slide Player, Retrievedon December 11, 2015, from

ForbesMagazine (2014), Top 10 Benefits of Social Media Marketing, Retrievedon December 11, 2015,from

Gázquez-Abad,J.C., De Canniére, M.H. and Martínez-López, F.J., 2011. Dynamicsof customer response to promotional and relational direct mailingsfrom an apparel retailer: the moderating role of relationshipstrength. Journalof Retailing,87(2),pp.166-181.Retrievedon December 11, 2015,from

Holt,N. (2014),Formulatinga Customer Relationship Management Strategy,Retrievedon December 11, 2015,from

Huang,R., and Sarigöllü, E., 2012. How brand awareness relates to marketoutcome, brand equity, and the marketing mix. Journalof Business Research,65(1),pp.92-99, Retrieved on December 11, 2015,from

Ibrahim,A.M., 2010. Mobile Marketing: Examining the impact of trust, privacyconcern and consumers` attitudes on intention to purchase.Internationaljournal of business and management,Retrieved on December 11, 2015,from

IdeaCenter, (2015), UsingDirect Mail to Increase Brand Awareness,Retrieved on December 11, 2015,from

Jonker,J.J., Piersma, N. and Potharst, R., 2006. A decision support systemfor direct mailing decisions. Decisionsupport systems,42(2),pp.915-925, Retrieved on December 11, 2015,from

Kim,Y.J. and Han, J., 2014. Why Smartphone advertising attractscustomers: A model of Web advertising, flow, and personalization,Computersin Human Behavior,33,pp.256-269, Retrieved on December 11, 2015,from

Malik,M.E., Ghafoor, M.M., Iqbal, H.K., Riaz, U., Hassan, N., Mustafa, M.and Shahbaz, S., 2013. Importance of brand awareness and brandloyalty in assessing purchase intentions of consumer. InternationalJournal of Business and Social Science,4(5),pp.167-171. Retrieved on December 11, 2015,from

MarketingLand,(2015), 13 Mobile Marketing Stats You Need To Know, Retrievedon December 11, 2015,from

Morrison,D.G., 1979. Purchase intentions and purchase behavior. TheJournal of Marketing,pp.65-74, Retrieved on December 11, 2015,from

Morwitz,V., 2012. Consumers’ purchase intentions and their behavior,Marketing,7(3),pp.181-230, Retrieved on December 11, 2015,from

MSG(2015), Importanceof Customer Relationship Management (CRM),Retrieved on December 11, 2015,from

MSG(2015), Whatis Brand Awareness? Retrievedon December 11, 2015,from

Musharraf,M.B., and Ali, T., 2013. Factors Influencing Consumers PurchaseIntentions Towards Private Brands. Journalof Independent Studies and Research-Management, Social Sciences andEconomics,11(2),Retrieved on December 11, 2015,from

Peel,J. and Gancarz, M., 2002. CRM:redefining customer relationship management.Digital Press, Retrieved on December 11, 2015, from

Ravetti,J. (2014), BrandAwareness and Direct Mail: Together,Retrieved on December 11, 2015,from

Referencefor Business (2015), DirectMarketing,Retrieved on December 11, 2015,from

Risselada,H., Verhoef, P.C., and Bijmolt, T.H., 2014. Dynamic effects of socialinfluence and direct marketing on the adoption of high-technologyproducts. Journal of Marketing, 78(2), pp.52-68.Retrieved on December11, 2015, from

Rouse,M, (2015), CustomerRelationship Management (CRM) Definition,Retrieved on December 11, 2015,from

SEL,(2015), Whatis Social Media Marketing?,Search Engine Land, Retrievedon December 11, 2015,from

Ström,R., Vendel, M. and Bredican, J., 2014. Mobile marketing: A literaturereview on its value for consumers and retailers. Journalof Retailing and Consumer Services,21(6),pp.1001-1012, Retrieved on December 11, 2015,from

Taylor,R. J, (2015), MobileMarketing Trends, Insight, &amp Advice, Retrievedon December 11, 2015,from

TechTarget(2015), MobileMarketing Definition,Retrieved on December 11, 2015,from

TheMarketing Eye (2015), theUltimate Definition of Marketing,Retrieved on December 11, 2015,from

Zaglia,M.E., 2013. Brand communities embedded in social networks. Journalof business research,66(2),pp.216-223. Retrieved on December 11, 2015, from

Zhou,Z., Zhang, Q., Su, C. and Zhou, N., 2012. How do brand communitiesgenerate brand relationships? Intermediate mechanisms. Journalof Business Research,65(7),pp.890-895, Retrieved on December 11, 2015,from

Close Menu