An Empirical Study on Relationship Marketing and Customer Retention in Telecommunication industry

Abstract

In the contemporary business world, relationship marketing is the heart of marketing. Many professional and academic have defined the relationship marketing in different ways. “Berry was the first one who used the term relationship marketing in 1983. Objective of the study to finds out relationship between relationship marketing and customer retention on telecommunication industry in Jaffna District. For this study, relationship marketing is evaluated through the variables of Trust, Commitment, Empathy and Equity. Customer retention is appraised by Customer loyalty, Customer care, Customer commitment and Customer satisfaction. The present study is initiated to see the relationship between relationship marketing and customer retention. Data were collected from 300 selected customers of the telecommunication industry. The results revealed that the correlation value between relationship marketing and customer retention is 0.797 which is significance at 1% levels. There is positive linear relationship between the relationship marketing and customer retention. According to, the Regression analysis, 79.7% relationship marketing impact on customer retention. Finally, it is concluded that relationship marketing influences on customer retention. The study further points out that keen attention should be paid on to sustain the relationship. Because, relationship marketing is inter related with customer retention