Using advances in technology to maintain databases of customer information is more important for firms involved in mass marketing than it is for those firms using relationship marketing.

Question

Quizplus · Accepted Answer

Mass marketing tries to develop products that appeal to large groups of consumers without customizing them. Thus the individual preferences of consumers are not critical to firms using mass marketing. However, in relationship marketing the goal is to retain customers over time by offering products that are customized to precisely meet their needs. This requires the firm to know more about individual customers. Hence, maintaining a database of customer information is critical to the relationship marketing approach.

Using Advances in Technology to Maintain Databases of Customer Information