Abstract
The purpose of this paper is to investigate the role of operational customer relationship management (OCRM) on customer loyalty with special reference to the mobile telephone industry in Zimbabwe. Motivation for the research was generated by the need to find out how customer loyalty can be created through OCRM. The research was conducted by reviewing various streams of literature and interviews with 7 representatives from the 3 dominant companies in the industry and 15 sampled customers from these three competing companies in the mobile telephone industry (MTI). A semi-structured questionnaire was used. All qualitative responses were grouped into themes for coding purposes. The data gathered was coded and captured to form panel data for further analysis using the Statistical Package for Social Sciences (SPSS0. Results of the research showed that because of the highly dynamic market environment, consumers have become highly demanding calling for the strategic significance of the intelligent network in OCRM for the creation of customer satisfaction. The research also revealed that increasing organizational performance through operational CRM implementation can increase customer perceived value which results in customer loyalty and competitiveness. Our current research focused on operational CRM’s influence on customer loyalty. Future research should assess the impact of analytical CRM on customer loyalty. The measurement and critical analysis of customer life time value against company investments in building loyalty should redirect future research towards this area. DOI: 10.5901/mjss.2014.v5n23p291
Highlights
In Zimbabwe’s mobile telecommunications industry, competition is split between three major with the market leader commanding a controlling stake at over 66% share of the market
The majority of respondents confirmed the importance of an automated call center in the creation of customer satisfaction and loyalty. 4 out of the 7 representatives confirmed this while only one representative disagreed
Various streams of literature argue that customer value is a super ordinate goal and customer loyalty is a subordinate goal, as it is a behavioural intention
Summary
In Zimbabwe’s mobile telecommunications industry, competition is split between three major with the market leader commanding a controlling stake at over 66% share of the market. The last decade has witnessed a substantial shift in emphasis on the part of many firms from focusing on the products they produce to a concentration on their customers and the value that their customers derive from ownership and use of these products/services. Consumers are well informed and educated need for those in the service industry to shift approach in a more radical way in order to survive. This shift towards a service-centric strategy represents an important aspect of firms’ efforts towards enhancing overall revenue and profit, customer acquisition and retention, and competitive differentiation.
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