What Is Relationship Pricing?

Relationship pricing strategy is to develop a creative pricing strategy that helps to form a lasting relationship with customers. This strategy can attract users to purchase more services of the unit, thereby objectively resisting the services provided by competitors. Such as contract method; membership method; discount method.

Relational pricing strategy

Right!

Relationship pricing strategy is to develop a creative pricing strategy that helps to form a lasting relationship with customers. This strategy can attract users to purchase more services of the unit, thereby objectively resisting the services provided by competitors. Such as contract method; membership method; discount method.

Relationship marketing includes the establishment and maintenance of relationships with customers (usually referred to as long-term relationships). Due to its considerable profit potential and attractiveness to customers, it is increasingly considered an ideal marketing strategy. If a service company provides more services to existing customers for a longer period of time, it will definitely benefit from it. Similarly, if the customer establishes a cooperative relationship with the same competent and reliable provider of a high-risk service company that is difficult for customers to make decisions, then they will also benefit from it. A person is fortunate to establish a cooperative relationship with an excellent car repairman, doctor, or real estate agent, so it requires less effort and less risk than someone who needs service but has not yet formed a satisfactory cooperative relationship.

Main way

Service marketers need to develop a creative pricing strategy that helps build lasting relationships with customers. This pricing strategy can stimulate customers to buy more of the company's services and resist competitors' services. Marketers must first understand the needs and motivations of customers to develop long-term relationships with the company. It is also necessary to analyze the profitability of potential competitors. Generally speaking, the relationship pricing strategy can adopt two methods of long-term contract and multi-purchase discount.

1. long-term contract.

Marketers can use long-term contracts to provide customers with price and non-price incentives to get both parties into long-term relationships, or to strengthen existing relationships, or to develop new ones. In this way, the contract fundamentally changes the relationship between the service company and its customers. They can transform a series of fairly independent service transactions into a series of stable, sustainable transactions. Each transaction provides information about the needs of the customer, so that the company can gain benefits in terms of awareness and efficiency. The same goes for customers who benefit as the relationship develops. The considerable and stable income from long-term contracts allows service companies to focus more resources to open the gap with competitors.

2. Buy more discounts.

The goal of this strategy is to promote and maintain customer relationships. It includes providing two or more related services at the same time. Price concessions ensure that several related services are cheaper to buy at one time than to buy them alone. Service providers will benefit from three aspects of the multi-purchase discount strategy.

First, more purchases can reduce costs. The cost structure of most service companies is that providing one additional service is less than providing the second service alone. For example, if a bank can sell the settlement account at the same time as the sales of the deposit certificate and the deposit account, then the cost of account opening and computer processing will be split, which results in cost savings. If the bank can transfer some or all of the cost savings to customers in the form of lowering fees and increasing deposit interest rates, it can also stimulate customers to purchase related and related services.

Second, attract customers to purchase multiple related services from one service company. They can save time and money.

Finally, the multiple purchase discount can effectively increase the number of contact points between a service company and its service objects. The more such connections, the wider the company's access to customer information, and the greater the potential for understanding customer needs and preferences. The full and effective use of this kind of data information will help the company develop long-term relationships with customers.