A Study of the use of relationship marketing strategy by supermarkets in Nairobi

Abstract

This study sought to investigate the use of Relationship Marketing strategy by supermarkets in Nairobi. A cross-section of supermarkets under three categories; large, medium and small size, based on sales volumes were studied. The objective of the study was to assess the attitude of managers towards relationship marketing, to establish the relationship marketing practices adopted by supermarkets and to assess the relationship between the managers' attitude and the relationship marketing practises adopted. The findings show the managers of large supermarkets have a highly positive attitude towards relationship marketing, and a good understanding of the concept. While managers of medium and small size supermarkets have a fairly positive attitude, and an average understanding of the concept. The managers' understanding of the relationship-marketing concept has been found to influence the attitudes held by managers. The greater the understanding of the concept and its strategic benefit, the more positive the . attitude and the greater the number of relationship marketing practises adopted. The findings also show the relationship marketing practises adopted by supermarkets are fairly similar, with most involving interaction and communication with regular customers, and provision of price incentives to the regular customers. The results further reveal a highly positive correlation between the managers' attitudes and the relationship marketing practises adopted. Further research however is needed to determine the intervening variables that affect the adoption of a relationship marketing strategy, to determine whether the managers' attitudes are dependant on the size of the supermarket, and to identify the attitudes of customers towards relationship marketing.