The Influence of Customer Relationship Management on the Sale of KFC Products
Chapter One
Objective of the study
The objectives of the study are;
- To establish the influence of customer relationship management on the sales of KFC products in shopping malls in Lagos.
- To identify the ways in which customer relationship management influences the sales of KFC products in shopping malls in Lagos
- To establish the level of influence of customer relationship management on sales of KFC products in comparison with other factors.
CHAPTER TWO
REVIEW OF RELATED LITERATURE
introduction
Service quality and customer satisfaction are key factors in the battle to obtain competitive advantage and customer retention. Customer satisfaction is the outcome of customer perception of the value received in a transaction or relationship, where value equals perceived service quality, as compared to the value expected from transactions or relationships with competing vendors (Blanchard and Galloway, 1994; Heskett et al., 1990; Zeithaml et al., 1990). In order to achieve customer satisfaction, it is important to recognize and anticipate customers’ needs to be able to satisfy them. Enterprises which are able to rapidly understand and satisfy customers’ needs, make greater profits than those which fail to understand and satisfy them (Barsky and Nash, 2003). Organizations must therefore, develop and manage a healthy and good customer relationship with all the entities they have to deal with. Peel (2002), CEO of Quadriga Consulting, defines CRM as understanding the nature of the exchange between customer and supplier and managing it appropriately. The exchange contains monetary considerations between supplier and customer – but also communication. The challenge to all supplier organisations is to optimize communications between parties to ensure profitable long-term relationships. CRM is a key focus for many organisations now as a shift away from customer acquisition toward customer-retention and churn reduction strategies dictates a need for best practice CRM processes. Customer Relationship Management is also a concept of identifying customer needs; understanding and influencing customer behaviour through ongoing communications strategies and an effort to acquire, retain and satisfy the customer. Customer Relationship Management is more than simply managing customers and monitoring their behaviour or attitude. It has the potential to change a customer‟s relationship with a company and increase revenues in the bargain. It also helps to know the customers well enough to decide whom to choose and whom to lose. The objective of CRM is to recognize and treat each and every customer as an individual. Customer relationship management enables organisations to provide excellent real-time customer service through the effective use of individual account information (Kotler and Keller, 2006). Organisations therefore, need to investigate customer needs, build relationships with both existing and potential customers, and will have to satisfy their customers‟ needs (Rootman, 2006). A lot of researchers have made attempts to define CRM. Here are some definitions, which will hopefully give a better understanding of what CRM is all about. According to Picton and Broderick (2005), CRM is a view that emphasizes the importance of the relationships developed between an organization and its customers. It involves the strategic and tactical management tasks to achieve positive communications and long term customer relationships. Berkowitz (2006) also defines customer relationship management (CRM) as “the organization‟s attempt to develop a long-term, cost-effective link with the customer for the benefit of both the customer and the organization.”
Benefits of CRM
Early researchers had hypothesized that CRM benefits varied by industry as the process and technologies associated with CRM were tailored to specific industry structures (Lemon and Zeithaml, 2001). However, findings in cross cultural, multi-industry study of CRM done by Thomas and Kumar (2004) supports the notion that desired CRM benefits do not vary across industries or cultures as stipulated by earlier thoughts.
CHAPTER THREE
RESEARCH METHODOLOGY
Research design
The researcher used descriptive research survey design in building up this project work the choice of this research design was considered appropriate because of its advantages of identifying attributes of a large population from a group of individuals. The design was suitable for the study as the study sought to the Influence Of Customer Relationship Management On the Sales Of Kfc Products.
Sources of data collection
Data were collected from two main sources namely:
(i)Primary source and
(ii)Secondary source
Primary source:
These are materials of statistical investigation which were collected by the research for a particular purpose. They can be obtained through a survey, observation questionnaire or as experiment; the researcher has adopted the questionnaire method for this study.
Secondary source:
These are data from textbook Journal handset etc. they arise as byproducts of the same other purposes. Example administration, various other unpublished works and write ups were also used.
Population of the study
Population of a study is a group of persons or aggregate items, things the researcher is interested in getting information on the Influence Of Customer Relationship Management On The Sales Of Kfc Products. 200 staff seleted malls in Lagos state were selected randomly by the researcher as the population of the study.
CHAPTER FOUR
PRESENTATION ANALYSIS INTERPRETATION OF DATA
Introduction
Efforts will be made at this stage to present, analyze and interpret the data collected during the field survey. This presentation will be based on the responses from the completed questionnaires. The result of this exercise will be summarized in tabular forms for easy references and analysis. It will also show answers to questions relating to the research questions for this research study. The researcher employed simple percentage in the analysis.
CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATION
Introduction
It is important to ascertain that the objective of this study was on the Influence Of Customer Relationship Management On The Sales Of Kfc Products. In the preceding chapter, the relevant data collected for this study were presented, critically analyzed and appropriate interpretation given. In this chapter, certain recommendations made which in the opinion of the researcher will be of benefits in addressing the challenges of Customer Relationship Management On the Sales of Kfc Products
Summary
This study was on the Influence of Customer Relationship Management On the Sales of Kfc Products. Three objectives were raised which included: To establish the influence of customer relationship management on the sales of KFC products in shopping malls in Lagos, to identify the ways in which customer relationship management influences the sales of KFC products in shopping malls in Lagos and to establish the level of influence of customer relationship management on sales of KFC products in comparison with other factors.. In line with these objectives, two research hypotheses were formulated and two null hypotheses were posited. The total population for the study is 200 staff of selected malls in Lagos state. The researcher used questionnaires as the instrument for the data collection. Descriptive Survey research design was adopted for this study. A total of 133 respondents made up managers, marketers, sale rep and junior staffs was used for the study. The data collected were presented in tables and analyzed using simple percentages and frequencies
Conclusion
The study assessed customer relationship management and customer repurchase in mall. The research was conducted as a result of dis covering the satisfaction rate and retention rates of these industries. The focus of the study was to determine effective CRM has an impact on customer loyalty, a long or short term financial impact on the organization, whether managing customer relationship effectively builds customer trust in the organization and if the customer value benefits in making another purchase. In the process, relevant theoretical literatures were reviewed and it was discovered that CRM is an enterprise approach to understanding and influencing customer behaviour through meaningful communications in order to improve customer acquisition, customer retention customer loyalty, and customer profitability. The research was designed as a descriptive one because it provides factual, accurate and systematic data description and characteristics about the population or phenomenon being studied. From the basic statistics of the response, it was found that effective CRM has an impact on customer loyalty. Customers had a good satisfaction in the services provided by mall. The customers also patronized the services provided by Golden Tulip very well. Also, the findings showed that effective CRM had a long or short term financial impact on the organization. Customers often patronize the services of mall and are also willing to refer the services to others. This is an indication that the customer base will be increased which therefore increases the revenue, and respondents also were willing to repurchase services. it could be concluded that managing customer relationship effectively builds customer trust in the organization. It is shown that staffs have a good relationship with the customers since respondents view the staffs to be helpful. This is transformed in the customers‟ willingness to repurchase services and refer the services to friends and relatives. This shows the build-up of trust that respondents have that makes them refer the services to others. Lastly, the research showed that the customer values benefit to make another purchase. This is clearly evident in the customers‟ willingness to repurchase products depicting that there is a level of satisfaction that makes them willing to repurchase services at the hotel. Even if the case we studied has been chosen because it is representative of other similar businesses in the area and the main limit of this research is that it is circumscribed to only one hotel. We plan in the near future to make other qualitative analysis on other hotels in the same area and compare the results in order to obtain a wider view about customer satisfaction in Similar mall
Recommendation
There should be customer service managers to attend to customers at the various branches of the bank spontaneously to interact with customers as well as taking their complaints seriously. Finally, it is essential to reward employees who demonstrate excellent customer service by publicizing the name of the individual or team in the mall “wall of fame”. This would motivate all staff to do likewise. When this was done, more customers would be delighted and as a result profit will be affected positively.
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