During a marketing exchange, the marketer receives money or something of value, and the customer receives a product . Transactional Marketing a. In transactional marketing marketers focus on individual isolated exchanges that satisfy customer's needs at a particular time and place. Marketers tend to concentrate more on attracting new customers than on encouraging additional exchanges. Marketers and their customers develop little trust, leading to cost-cutting, layoffs, and lower profits.
Marketers are increasingly interested in fostering loyalty and commitment.
Relationship Marketing a. Relationship marketing is the process of establishing and maintaining mutually beneficial long-term relationships among customers and other stakeholders. Each transaction is just one link in the chain of the relationship between the marketer and the customer. Businesses have practiced relationship marketing for years. Relationship marketing is now becoming important in the consumer market. Marketers that provide personal services want to encourage long-term relationships.