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They Love Me, They Love Me Not: Consumer Relationship Orientation and CRM

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Abstract:

Companies are placing greater emphasis upon the acquisition and utilisation of customer information. However, this need for sensitive information disclosure is having adverse side effects in the area of customer relationship management. To understand this area further, empirical assessment was made of a sample of consumers who have received direct marketing literature. Their views were sought in relation to three key areas of exchange uncertainty; their privacy concerns, their concerns regarding the utilisation of personal information, and their receptivity to direct mail offers. The relationship between these variables was not as expected, and a modified model was created and tested. It was concluded that the consumer's relationship orientation was not directly related to their receptivity to direct marketing offers, and that the company's utilisation of personal information had the greatest influence on building relationships with consumers, reducing privacy concerns, and increasing receptivity in consumers.

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Document Type: Research Article

DOI: http://dx.doi.org/10.1362/147539204323074600

Publication date: March 1, 2004

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