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Enabling Customer-Centricity and Relationship Management using Net Promoter Score

Author

Listed:
  • Florea Nicoleta Valentina
  • Tănăsescu Dorina Antoneta
  • Duică Anişoara

    (Valahia University of Targoviste, Romania)

Abstract

We are in the fifth era of marketing development, that of relationship marketing, where the environment is influenced by globalization, informatization, market liberalization, and the overcapacity of production, and the focus will be not on increasing the volume of production, but on obtaining profit using relationship with profitable customers. Customer-centricity, customization, one-to-one relationship and measuring the value of each customer is an advantage in the fearless market. Organizations if they knew what customers wants would offering only those products or services they want, but to help them to know the customers’ needs better, they use models, new methods and calculation of performance indicators. One of the models which help organizations to determine the customer value and centricity is Net Promoter Score (NPS), its formula being developed by Reichheld F. in 2006. Our research is made on 10 organizations and on 150 respondents and is consisting in using NPS in order to observe customers’ perception of the analysed brands, to measure how well the brand is having satisfayed and loyal customers, and the desire for recommendation of the analysed brand. Our article is using simulation, modeling and IT programs to observe possible relationships and future trends.

Suggested Citation

  • Florea Nicoleta Valentina & Tănăsescu Dorina Antoneta & Duică Anişoara, 2018. "Enabling Customer-Centricity and Relationship Management using Net Promoter Score," Valahian Journal of Economic Studies, Sciendo, vol. 9(2), pages 115-126, November.
  • Handle: RePEc:vrs:vaecst:v:9:y:2018:i:2:p:115-126:n:11
    DOI: 10.2478/vjes-2018-0023
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    More about this item

    Keywords

    customer relationship management; customer-centricity; Net Promoter Score; performance;
    All these keywords.

    JEL classification:

    • L14 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Transactional Relationships; Contracts and Reputation
    • C53 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Forecasting and Prediction Models; Simulation Methods
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis

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