Customer Relationship Management and Profitability in Zimbabwe
The Case of Gas and Gas Equipment Companies
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The research shows how customer relationship levels have deteriorated to transaction based relationships and this inhibits future planning when it comes to purchasing of stocks as 90% of Zimbabwean gas and gas equipment companies products and raw materials are imported. Forward planning can only be implemented if the companies know the consumption patterns of its customers. The benefits of economies of scale from large volume orders with suppliers can only be transferred to the customers if their needs are known well in advance. The sales force automation package, has not added value to busine...
The research shows how customer relationship levels have deteriorated to transaction based relationships and this inhibits future planning when it comes to purchasing of stocks as 90% of Zimbabwean gas and gas equipment companies products and raw materials are imported. Forward planning can only be implemented if the companies know the consumption patterns of its customers. The benefits of economies of scale from large volume orders with suppliers can only be transferred to the customers if their needs are known well in advance. The sales force automation package, has not added value to businesses, neither has it enhanced gas and gas equipment companies relationship with customers. Customer profitability and activity-based costing remains a myth to the sales force and hence there is mismatch between sales call routine and revenue streams. Customer Relationship Management (CRM) has to satisfy customers with the best possible alternative in the market through a relational exchange process.
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