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A3 Relationship Marketing Report

Student’s Name

Department and Institution

Course Code and Name

Instructor’s Name

Assignment due Date

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A3 Relationship Marketing Report

Contents
A3 Relationship Marketing Report.......................................................................................................2
Executive Summary................................................................................................................................2
Introduction.............................................................................................................................................2
Service Provider Description and Target Market Analysis.................................................................3
Tiering of the service provision..............................................................................................................4
Customer Relation Management Plan for Customer Retention..........................................................5
Loyalty Creation Strategies....................................................................................................................5
Strategies for reducing Switching and Churn......................................................................................6
Recommendations...................................................................................................................................7
Conclusion...............................................................................................................................................7
Reference List..........................................................................................................................................9
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Overview

Tourism Australia has been known for the sites they have and also activities such as

surfing. Tourism Australia is encouraging both international and domestic tourism. The strategy

used with Tourism Australia is use of videos in aim to encourage international crowd to visit the

sites and enjoy what they provide. In another scenario, they are encouraging people to use their

social media accounts to share about their sites (Altman, 2018).

Executive Summary
The COVID-19 pandemic has affected businesses by stopping or slowing down their

operations. To sustain its activities, Friends Cafeteria, which is a startup café established in

2018, has devised various strategies to survive post-COVID-19. Firstly, the cafeteria that

serves snacks, beverages, and juice should focus on tiering its operations with customers'

needs by providing quality food and conducting competent marketing to inform them about

available offers and delicacies. The hotelier aims to harness its operations with customers'

requirements by inventing more accessible means for ordering and acquiring foods to adhere

to WHO COVID-19 protocols and prevent infections in shops. Additionally, the business

establishment aims to apply customer retention strategies such as psychographic features that

concern client emotions, interests, and frustrations to communicate and satisfy their needs

effectively. Similarly, the exploration of demographic factors such as age, finances, and

gender of the clients is essential in designing the product, setting prices, marketing, and

positioning the work to maintain customer loyalty and increase sales post-Corona Virus.

Introduction
Business ventures' success relies on high levels of customer satisfaction to improve

loyalty according to the service provided. In particular, cafeteria business ventures focus on

effective services that satisfy customers' needs to maintain their loyacommitmentspite an

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entrepreneur's goals to mainsupportrations and competent services; unprecedented events can

disrupt business' sustainability. For instance, the emergence of the Covid-19 is a significant

event that has affected business operations due to precautions recommended by the World

Health Organization (WHO) to manage and prevent its prevalence. Similar to other

businesses, Friends Café’s economic activities were disrupted due to the need to slow down

operations to adhere to WHO’s health guidelines towards curbing the pandemic. Despite the

challenges, Friends Cafeteria should focus on customer retention plan and recovery strategies

to maintain its business post-COVID 19. Among the methods that the firm will try to succeed

in the process include developing a qualified customer retention management plan that

focuses on the market segment to understand the customers' demographics and geographics to

determine their behaviour. The project will also focus on maintaining loyalty and reducing

switching and churning among the customers to improve the Friends cafeteria's sustainability.

Service Provider Description and Target Market Analysis

           The Friends Café was established in July 2019 in Melbourne after I ventured into a

business partnership with a friend to enhance our finances and take on the cafeteria business

by providing quality services. Following the high demand in food and hospitality services, the

company was established to satisfy customer's needs by providing quality food, beverages

(juice), and snacks according to their diverse preferences, as illustrated by Janzer (2020). In

particular, the cafeteria has both in-store and takeaway services to enable clients to achieve

convenience according to their schedules and needs; among the target customers that Friends

Cafeteria serves to include students who attend various colleges and universities within

Melbourne, corporate ventures, families, visitors, tourists, and residents who cherish different

types of food and beverages (Song & Kim, 2019). Notably, the business targets students as its

primary customers due to their preference for snacks and coffee, which they take when
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hanging out with their classmates before and after classes. Similarly, Friends Cafeteria

considers individuals in the business and corporate sector as its primary client base due to

their preference for light meals such as snacks, coffee, and beverages when having meetings

or chatting with colleagues after work. Further, Melbourne's residents emerge as essential

customers for Friends Cafeteria following their love for food and snacks, which they take to

eat as a family or with friends and neighbors when spending quality time during their

numerous eat outs and celebrations. 

Tiering of the service provision

Despite the disruptions caused by COVID-19 in Friends Cafeteria, the business is

committed to sustaining its operations to maintain a competitive advantage. Notably, the firm

has identified various strategies to tier its services to the customer's needs for the practical

process (Mokhtar & Shamsudin, 2020). The initial plan that Friend's Cafeteria will apply

includes conducting a marketing initiative to inform the clients about the resumption of

activities and invite them for their favorite delicacies. The marketing will be performed

through mainstream media, online platforms, and endorsement of creative branding

techniques to improve recognition among the customers and the public (Mokhtar &

Shamsudin, 2020). The strategy shall include the list of delicacies offered for the day to

influence interested customers to visit the shop.

Additionally, the cafeteria will tier its services to the customers' needs by declaring their

adherence to COVID-19 protocols for resuming business activities to prevent a surge in the

infections and conflicts with medical and government authorities. The commitment strategies

include providing sufficient space to enable the clients to maintain social distancing as they

purchase or sit in the store to enjoy their delicacies. Besides keeping social distancing, the
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cafeteria will encourage customers to wear masks and provide those who lack the same to

reduce infections.

Besides focusing on effective marketing and adherence to WHO regulations, Friends

Cafeteria will level its service provision by liaising with customers online to order their

preferred food, snack, or beverage before facilitating any preparation according to their

requests. The strategy will further explore more uncomplicated delivery techniques, such as

establishing pick-up points to enable customers to have their preferred delicacies without

physically visiting the shop if the pandemic becomes endemic. To ensure that customers are

served fresh food, Friends Café will directly engage with credible suppliers and producers

who meet the standards required to produce organic and agricultural products, as explained by

Dhaoui, Nikolaou, Mattas & Baourakis (the year was removed). For instance, Friends Café

will collaborate with farmers to purchase fresh vegetables, fruits, and other farm products to

meet their vegan customer's nutritional needs. In addition to farmers, the Friends cafeteria

aims to employ competent advocates to ensure customers are served quality coffee and

beverages to satisfy their diverse tastes. 

Customer Relation Management Plan for Customer Retention

Loyalty Creation Strategies 

Following the diverse effects of COVID 19, creating a qualified customer retention plan is an

effective strategy that Friends Café must explore to sustain business operations. Firstly, the

café will try listening to clients as a smart customer relation retention strategy to determine

their perceptions and feelings as far as the business is concerned. The system shall aim to

unravel customers' feelings and opinions about the quality of food and customer service to
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enable the attendants to advance their services. Besides emotions, the company will enhance

customer loyalty by individualizing the services according to their uniqueness and needs, as

illustrated by Almohaimmeed (2019). Following the diversity that characterizes human

beings, establishing a customer service that can identify the needs and interests is a practical

approach that the hotelier shall focus on to ensure patrons enjoy and commit to the services.

For instance, assigning clients to specific chefs who prepare their favorite delicacy or serve

them is a practical approach in enhancing their loyalty because they feel cherished in the

organization despite the horrors of the pandemic in their lives. Similarly, Porcu, Alcántara-

Pilar & Crespo-Almendros (2019) assert that conversing with the client when they enter the

establishment and parting ways when then leave is among the effective loyalty creation

strategies that the firm will pursue as far as communication in CRM is concerned. In

particular, the supervisor and employees will ensure that they engage with customers after

service to determine the level of their satisfaction, wish them good, and welcome them back

to the café.

Strategies for reducing Switching and Churn

           Moreover, reducing switching and churning among the customers is a crucial customer

retention strategy that Friends Cafeteria must apply to ensure its sustainability Post COVID-

19. Following the challenges that have affected people’s lives during the pandemic,

Barusman, Rulian & Susanto (2020) present that determining the customers’ psychographic

and demographic aspects is crucial in understanding their behaviors, shopping patterns, and

interests to prevent them from shifting to other competitors. For example, identifying

psychographic features presented by customers such as personality, motivation, frustrations,

and interests in life is crucial in their retention because they feel cherished in the organization
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according to the competence of client-customer relations. Besides personality, Dwesini (year

was removed) explains that identifying psychographic factors such as motivation and interest

exhibited by customers is important in retaining their loyalty because it enables employees

and supervisors to creatively choose topics to discuss or questions to ask to avoid provocation

or offensive statements towards the patrons. The café will further explore demographic factors

such as age, gender, income, and location of the customers to determine how to design

products, set prices, perform the promotion, and position the products to maintain customers’

loyalty. Specifically, Borah, Prakhya & Sharma describe that recognizing the age bracket of

the patrons who frequent Friends Café will enable the management to determine the types of

food, beverages, and snacks to prepare as the shopping patterns to meet their interests and

improve sales Post-COVID-19.

Recommendations

Following the challenges presented by the COVID-19 pandemic in business, the following

recommendations are crucial for sustaining Friends cafeteria's operations:

1. The hotelier should conduct a competent marketing campaign to enlighten its customers that

they have fully-functional processes and the services and products they are offering to

influence them to make orders or visit the shop (Mokhtar,2020).

2. The Café should strive to harness its operations with the COVID-19 management regulations

provided by WHO to prevent infections among clients who visit the establishment Post

Coronavirus.

3. The Café should engage in customer retention strategies such as effective listening and

communication to determine the clients’ needs and respond to them by providing competent

customer service.
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4. The firm should study the psychographics and demographics of clients who visit the hotelier to

determine how to set prices, perform marketing, and position the products to meet their

diverse needs.

5. The café should directly liaise with producers and suppliers to ensure they access fresh produce

to attain convenience and meet customer needs concerning the foods' economic and health

aspects.

Conclusion
The Corona Virus pandemic has affected businesses due to its health concern that has

stopped and slowed down operations. Like other firm organizations, Friends Café focuses on

retaining its customers to continue with operations post COVID-19. Among the strategies that

the company has explored include leveling their operations with COVID-19 management

regulations provided by WHO to proceed with activities. Additionally, the hotelier focuses on

improving relations and communication with customers by identifying their psychographic

features such as motivation, interests, and frustrations to strengthen their loyalty. Further,

focusing on the customers' demographic aspects, such as age, gender, and financial abilities,

is essential in setting prices, marketing, and positioning the products to maintain their loyalty.

Similarly, liaising with suppliers and formers is a competent means of accessing fresh

products at lower prices to achieve convenience post-Corona Virus.

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Reference List

Song, J., & Kim, D. J. (2019). Segmenting Customers Based on Regulatory Focus: An Empirical

Evidence from Asian Restaurants in the US. Culinary Science & Hospitality Research, 25(9),

7-14.

Dhaoui, O., Nikolaou, K., Mattas, K., & Baourakis, G. (2020). Consumers’ Attitude towards

Alternative Distribution Channels of Fresh Fruits and Vegetables in Crete.  British Food

Journal.

Almohaimmeed, B. (2019). Pillars of Customer Retention: An empirical study on the Influence of

Customer Satisfaction, Customer Loyalty, Customer Profitability on Customer Retention.

Serbian Journal of Management, 14(2), 421-435.

Dwesini, N. F. (2019). Causes and Prevention of High Employee Turnover Within the Hospitality

Industry: A literature review. African Journal of Hospitality, Tourism and Leisure, 8(3), 1-15.

Porcu, L., del Barrio-Garcia, S., Alcántara-Pilar, J. M., & Crespo-Almendros, E. (2019). Analyzing

the influence of firm-wide integrated marketing communication on market performance in the

hospitality industry. International Journal of Hospitality Management, 80, 13-24.

Ņikadimovs, O., & Ivanchenko, T. Soft Skills Gap and Improving Business Competitiveness by

Managing Talent in the Hospitality Industry. High-End Publishers.

Barusman, A. R. P., Rulian, E. P., & Susanto, S. (2020). The Antecedent of Customer Satisfaction

and Its Impact on Customer Retention in Tourism as the Hospitality Industry. SocArXiv.

January 18.
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Mokhtar, M. R., & Shamsudin, M. F. (2020). How to keep up with the customer. Journal of

Postgraduate Current Business Research, 5(1).

Borah, S. B., Prakhya, S., & Sharma, A. (2020). Leveraging Service Recovery Strategies to Reduce

Customer Churn in an Emerging Market. Journal of the Academy of Marketing

Science, 48(5), 848-868.

Janzer, A. (2020). Subscription Marketing: Strategies for Nurturing Customers in a World of Churn.

Cuesta Park Consulting.

Altman, J. (2018). Indigenous Australians in the national tourism strategy: Impact, sustainability

and policy issues. Canberra, ACT: Centre for Aboriginal Economic Policy Research

(CAEPR), The Australian National University.