IMPACT OF CUSTOMER COMPLAINTS ON MARKETING PERFORMANCE IN THE SERVICE INDUSTRY (A CASE STUDY OF MTN NIGERIA)

CHAPTER ONE

INTRODUCTION

1.1      BACKGROUND OF THE STUDY

The dream of any good entrepreneur is not actually to sell what he can sell but to retain customers. In pursuance of this line of action, the customer must be placed at the centre of all marketing activities without which no marketing activity takes place. Customer satisfaction is the pivot on which all marketing activities revolves, be it in production or in marketing.

Although service oriented companies do not have any tangible good to their credit, the most effective means of measuring consumers satisfaction is by listening to their complaints. These complaints are not actually made to tarnish the image of the producers, but to improve on their services. Since the consumers do not own anything from the payment he makes, the perishable services he receives must offer enough satisfaction for the sums of money so expended.

To a good producer, these complaints will actually guide him in the planning of his product, by way of determining what his customers actually want and to the qualities they can afford to acquire. Appropriate pricing may be an outcome of a customer’s compliant. The prices at which the best service is offered could really affect its demand. If best decisions are taken in that line, the producer is likely to triumph over his competitors. Marketing concepts which involve letting the people know of the product and sending the product to where it is actually needed, will create no less impact. A good mix of product, price, place and planning will give a fantastic reap-off.

Empirical evidence has shown that service firms typically lay behind manufacturing firms in their use of marketing. In comparison to manufacturing firm, service firms appear to be generally less likely to have marketing-mix activities carried out, less likely to perform analysis in the offering area, more likely to handle their advertisement internally than to go to experts, less likely to have an overall sales plan, less likely to develop sales training progammes, less likely to use marketing research firms and consultants and less likely to spend as much on marketing when expressed as a percentage of gross sales.

There are several reasons why service firms have neglected marketing. One of this reasons is that many of them are small, so do not use expansive marketing technique because of cost. In some cases they are deemed irrelevant. Some of them are business firms like Law, Architecture, Accounting and Management consulting firms, who think it is unnecessary using professionals in other fields for their functional activities.

Most observers agree that competition in industry is becoming increasingly intense. More and more companies worldwide are searching for ways to build sustainable advantage to counter this threat. As costs rises, as productivity stagnates and as service quality deteriorates, more service firms need to take interest in marketing. More market sophistication is needed as competition intensifies. More pressure is now on service firms to increase productivity. Since the service business is highly labour intensive, cost has been rising rapidly. To this end, it is not enough to make workers work harder, but more training will provide the needed skill geared towards customer’s satisfaction. The quality of service may be improved by reducing quantity and vice versa. An increase in equipment has a lot to do with improvement in services rendered. Imaga and Ewurum (1998).

In a nutshell, customer services should be of prime importance to service or companies, which could be improved upon by taking customers complaints very seriously and acting in the direction that will bring a better satisfaction to the customers. To this end, it is important for companies to develop customer services that are desired by customers and effective against competitors. The company has to decide the most important services to offer, the level at which services should be provided and the form each service. The service-mix can be coordinated by a customer-service department that handles complaints and adjustments, credit maintenance, technical service and customer information. Marketing need to know more about marketing service products.

According to Imaga and Ewurum (1998), service are activities or benefits that one part offers essentially as intangible product to the other and do not result in the ownership of anything. Service are not only intangibles, they are also inseparable, variable and perishable. Two main types of service can be identified viz:

v Material Service: This consists of the actual product or service, which you are selling. It is all about getting the product right.

v Personal Service: this is the way in which the material service is delivered. It is about the interaction between your employees and your customers.

It is probably the most visible part of the operation and often the part in which a company is adjudged “good of bad”. Personal service is the focus of this research work.

Though service industries have always behind in the use of marketing concepts, there is compelling need for a change in attitude.

In another alternative expression, services can be classified into People or Equipment based. A good example in this case is a Lawyer or an Accounting consultant; a motor mechanic or an aircraft used in conveying passenger. While the former is people based, the latter is equipment based. It would also need the client’s presence. In this case, a doctor needs the presence of the patient (client) for him to do his work. The motive for providing such services may differ. Private and government hospitals provide close to the same service but while the private hospital wants to maximize profit, the government hospital wants to maximize service to the people. In whatever way they are looked at, all are service oriented. Admittedly, customer complaints must be geared towards maximum satisfaction and should be treated as such. However, the pill given in one case may not be the same with another and the dosage in one may differ from the other.

Customer’s complaints should not be a threat; it should be viewed on a positive side as an instrument of change that will improve the condition of the firm, industry and the economy in general. If marketing is a means of knowing customers’ needs, providing them, and making sure it gets to the target customers is expected to improve marketing performance if well handled.

THE COMPLETE PROJECT IS CHAPTER 1-5

PLACE YOUR ORDER

08037940241

08183133884

egbe4u@gmail.com

IMPACT OF CUSTOMER COMPLAINTS ON MARKETING PERFORMANCE IN THE SERVICE INDUSTRY (A CASE STUDY OF MTN NIGERIA)

CHAPTER ONE

INTRODUCTION

1.1      BACKGROUND OF THE STUDY

The dream of any good entrepreneur is not actually to sell what he can sell but to retain customers. In pursuance of this line of action, the customer must be placed at the centre of all marketing activities without which no marketing activity takes place. Customer satisfaction is the pivot on which all marketing activities revolves, be it in production or in marketing.

Although service oriented companies do not have any tangible good to their credit, the most effective means of measuring consumers satisfaction is by listening to their complaints. These complaints are not actually made to tarnish the image of the producers, but to improve on their services. Since the consumers do not own anything from the payment he makes, the perishable services he receives must offer enough satisfaction for the sums of money so expended.

To a good producer, these complaints will actually guide him in the planning of his product, by way of determining what his customers actually want and to the qualities they can afford to acquire. Appropriate pricing may be an outcome of a customer’s compliant. The prices at which the best service is offered could really affect its demand. If best decisions are taken in that line, the producer is likely to triumph over his competitors. Marketing concepts which involve letting the people know of the product and sending the product to where it is actually needed, will create no less impact. A good mix of product, price, place and planning will give a fantastic reap-off.

Empirical evidence has shown that service firms typically lay behind manufacturing firms in their use of marketing. In comparison to manufacturing firm, service firms appear to be generally less likely to have marketing-mix activities carried out, less likely to perform analysis in the offering area, more likely to handle their advertisement internally than to go to experts, less likely to have an overall sales plan, less likely to develop sales training progammes, less likely to use marketing research firms and consultants and less likely to spend as much on marketing when expressed as a percentage of gross sales.

There are several reasons why service firms have neglected marketing. One of this reasons is that many of them are small, so do not use expansive marketing technique because of cost. In some cases they are deemed irrelevant. Some of them are business firms like Law, Architecture, Accounting and Management consulting firms, who think it is unnecessary using professionals in other fields for their functional activities.

Most observers agree that competition in industry is becoming increasingly intense. More and more companies worldwide are searching for ways to build sustainable advantage to counter this threat. As costs rises, as productivity stagnates and as service quality deteriorates, more service firms need to take interest in marketing. More market sophistication is needed as competition intensifies. More pressure is now on service firms to increase productivity. Since the service business is highly labour intensive, cost has been rising rapidly. To this end, it is not enough to make workers work harder, but more training will provide the needed skill geared towards customer’s satisfaction. The quality of service may be improved by reducing quantity and vice versa. An increase in equipment has a lot to do with improvement in services rendered. Imaga and Ewurum (1998).

In a nutshell, customer services should be of prime importance to service or companies, which could be improved upon by taking customers complaints very seriously and acting in the direction that will bring a better satisfaction to the customers. To this end, it is important for companies to develop customer services that are desired by customers and effective against competitors. The company has to decide the most important services to offer, the level at which services should be provided and the form each service. The service-mix can be coordinated by a customer-service department that handles complaints and adjustments, credit maintenance, technical service and customer information. Marketing need to know more about marketing service products.

According to Imaga and Ewurum (1998), service are activities or benefits that one part offers essentially as intangible product to the other and do not result in the ownership of anything. Service are not only intangibles, they are also inseparable, variable and perishable. Two main types of service can be identified viz:

v Material Service: This consists of the actual product or service, which you are selling. It is all about getting the product right.

v Personal Service: this is the way in which the material service is delivered. It is about the interaction between your employees and your customers.

It is probably the most visible part of the operation and often the part in which a company is adjudged “good of bad”. Personal service is the focus of this research work.

Though service industries have always behind in the use of marketing concepts, there is compelling need for a change in attitude.

In another alternative expression, services can be classified into People or Equipment based. A good example in this case is a Lawyer or an Accounting consultant; a motor mechanic or an aircraft used in conveying passenger. While the former is people based, the latter is equipment based. It would also need the client’s presence. In this case, a doctor needs the presence of the patient (client) for him to do his work. The motive for providing such services may differ. Private and government hospitals provide close to the same service but while the private hospital wants to maximize profit, the government hospital wants to maximize service to the people. In whatever way they are looked at, all are service oriented. Admittedly, customer complaints must be geared towards maximum satisfaction and should be treated as such. However, the pill given in one case may not be the same with another and the dosage in one may differ from the other.

Customer’s complaints should not be a threat; it should be viewed on a positive side as an instrument of change that will improve the condition of the firm, industry and the economy in general. If marketing is a means of knowing customers’ needs, providing them, and making sure it gets to the target customers is expected to improve marketing performance if well handled.

THE EFFECT OF MANAGERIAL STRATEGIES AND EMPLOYEE PRODUCTIVITY IN MANUFACTURING INDUSTRIES

CHAPTER ONE

1.1      Background of the study

The association between employer and employee performance has received justifiably much attention from researchers, managers, policy makers and consultants. This is because managerial strategies have been recognized as a panacea for productivity and effective performance of workers in organizations.

Faiza and Shamin (2010) argued that for any organisation, employees are considered as assets. Then their utilization in terms of better productivity and enhanced performance is the main focus of all managerial activities. This is so because they make critical difference between success and failure, and the success will depend on effective development, motivation, involvement of staffs in decision making and planning and effective communication. Stephanie and Jean (2011), opines that alignment of strategic vision to employee productivity is a key contributor to the success of organisation. This alignment encourages and stimulates employees creativity so that they can perform more effectively to realize the organizational goals and objectives. Also a synergistic effort of employees’ work effort, along with management best business practices that align with the vision, would yield a positive result for an organisation especially manufacturing industries. Weihrich, Cannice and Koontz (2008), the aim of managers is that they must increase productivity and the urgent need for productivity improvement is recognized around the world by industries. They also contributed that one looks to find answers to our productivity problem but tends to over look the importance of effectively performing basic managerial and non managerial activities. Ukong (2011) defined productivity as the output-input ratio within a time period with due consideration for quality. Strategies which organisation adopts to increase productivity should be focused on management functions such as planning, organizing, staffing, leading and controlling of employees in the organisation to boost productivity. On the other hand, Jean (2011), says that strategic vision is mutually depend on the development of a business strategy to sustained competitive advantage to ensure an enduring health of the business and employee must be encouraged to increase their productivity. This means that managers should manage based on methodical management principles and should be supportive to their employees. Support from manager will boost employee’s morale and lead them to autonomy through the implement of an effective communication and engagement of the employees in the decision making process.

Matthew (2010), says that set of goals policies, rules and programmes which an organisation set to achieve the broad vision of the organisation are strategies and this strategies will positively enhance employee productivity through carefully administration and implementation of those strategies into staff planning, motivation, training and performance appraisal and promotion. This is so because the interval strength of an organisation depends on the work force and how bets they can help organisation benchmark and compete favourably or have an edge over the threats in the environment.

Therefore, the researcher is interest in examining the impact of managerial strategies on staff productivity in selected manufacturing enterprise in Calabar Metropolis.

THE COMPLETE PROJECT IS CHAPTER 1-5

PLACE YOUR ORDER

08037940241

08183133884

egbe4u@gmail.com