Mobile Customer Relationship Management: An Exploratory Comparative Study of Rural and Urban Consumers

Abstract

KEYWORDS Mobile Technology Communication. CRM Strategy. Mobile Marketing Messages. Customer Loyalty ABSTRACT The present study aims at combining customer relationship management (CRM) strategy and mobile technology in order to analyse the effects of mobile marketing messages on customer loyalty. Further, this study aimed to investigate if mobile marketing messages are a cost-effective and convenient way to reach customers in rural areas, who do not have access to personal computers but can use their mobile phone to access the internet in order to communicate with marketers. This study used a quantitative research approach. A self-administered questionnaire using a 5-point likert scale was developed and piloted. The questionnaire was distributed to 385 urban consumers in the Johannesburg central business district (CBD) area and to 373 rural consumers in township areas. The one-way ANOVA test suggested that there is a difference between rural and urban consumers' attitudes towards mobile marketing messages. The multiple linear regression results proved that mobile customer relationship management (m-CRM) is an effective strategy that will increase customer satisfaction and improve customer retention rates through the provision of better mobile marketing communication services. Thus, the implication for marketers is that they should implement this m-CRM strategy into their existing marketing mix so that marketers can benefit from considerable cost-efficiencies and repeat purchases from loyal customers.