Posted in Marketing and Strategy Terms, Total Reads: 754
Definition: Relationship Selling
It is the marketing technique that advocates building relationship with prospective customers to encourage repeat purchase. The aim of relationship selling is to build strong relationships and networks such that most of your sales come from your network rather than you as an organisation having the need to generate new leads to pitch to. Relationship selling also encourages repeat purchase among your existing customers and further marketing though mouth of word and referrals. Therefore, relationship marketing serves a three-fold purpose of getting sales within your network, getting repeat purchase and getting customers through referrals.
The focus is not on selling the product but on building trust and hence a long lasting relationship with the customers.
For example, a local who visits a kirana shop may experience relationship selling first hand. For this customer the kirana shop owner is like a friend and knows the customer’s preference. The shop owner not only builds trust in his customer by offering him the best product but also encourages repeat purchase by being polite and understanding. The customer, hence impressed by years of good service further recommends the shop to the new neighbours.