Kamerron Parker
SCM380
Assignment #4
1.
Describe the di
erences between transactional and relational marketing. Provide an ff
example from your own life where you have encountered them. How did each make you feel as a customer? Transactional Marketing focuses on individual transactions and immediate sales. It is more short-term and transaction-oriented, aiming to maximize the profitability of each sale. Relational Marketing focuses on building long-term relationships and customer loyalty. It emphasizes customer retention and aims to create a loyal customer base over time.
A time I can recall where I encountered transactional marketing would be when I visit fast food establishments. Their main goal is to drive immediate sales and maximize profitability. As for how it makes me feel as a customer, I feel a quick service is just what they are made for, as well as what I seek after when visiting a fast food restaurant. Customer retention may not always be the priority for a business that thrives on quick purchases when their primary goal is to boost sales in the short term. As for an example of relational marketing, I feel that when I visit somewhere like Walmart, their ultimate goal is to make a sale while also trying to entice me to come back to make purchases in the future. Walmart offers perks like customer loyalty programs
that allows shoppers to earn points on their purchases, and the promise of lower prices compared to their competitors. These experiences make me feel like a valued customer and that my purchase needs matter to them.
2.
Identify a product currently marketed for household use. Imagine you were asked to market the product for commercial use. How might the product characteristics change, and what would be the impact on the supply chain?
An example of a product currently marketed for household use could be a vacuum cleaner. Many aspects of the product would change in order to make this switch: size, durability, and cost. The product would have to become quite larger and more heavy-duty to handle extensive cleaning in larger spaces. With durability, it would be being built for continuous and long-term use to endure the demands of commercial cleaning. Lastly, higher upfront investment would be a
result of increased size and durability. The way this impacts the supply chain is manufacturers would need to adjust production processes and sourcing to accommodate the changes in the product's specifications, materials, and design to meet commercial-grade requirements.
