ABSTRACT

Marketing was a very basic business activity in the USA until the late 1920s, when emphasis was on the growth of manufacturing firms because demand typically far exceeded supply. The conventional marketing concept centres on the notion of understanding customer needs so that marketers can develop strategies that better meet these needs. One of the reasons for the growth of relationship marketing is the recognition of the importance and value of customer loyalty and retention. For some customers and in some situations a transaction marketing approach is most appropriate; some customers do not want or seek a relationship with a supplier or brand. Banking and finance, insurance, health care, tourism and leisure are all major service industries that need and use the tools of marketing. For many years, marketing concepts and techniques were associated with, and applied to, the marketing of consumer products in the business-to-consumer (B2C) sense.