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Assignment # 3

Subject: Marketing Management


Submitting Date: April 22, 2009

Topic

SAMMI DAEWOO
EXPRESS

Submitted To: Submitted By:


Mr. Aly Raza Syed Syed Hassan Askari
ID:073605-098
Serial No. 36
Section: B
Batch: 36
Customer Retention
Definition:
It is defined as
“Techniques to maintain relationships with existing customers.”

Explanation:
Customer retention means simply keeping customers and not losing
them to competitors. Modern companies realize that it's far more
expensive to find new customers than keep existing ones, and so put
sufficient investment into looking after and growing existing accounts.

It’s basically the process through which a provider attempts to secure


the longevity of the relationship with its customers. Knowledge
Discovery methods are very useful in the identification of those actions
which are likely to make profitable customers loyal to the provider. ...

SAMMI DAEWOO COMAPNY


Here I have selected SAMMI Daewoo expresses. Sammi Corporation
was established as forest products importer in 1954 but has expanded
its business to become a dynamic trading company in Korea. This
company has been come from foreign country. Now this company has
been merged with Daewoo Express in Pakistan. Both companies have
been merged into one company. This company is providing different
services. There are two major services which it’s offering to its
customers.

• Bus service
• Cargo Service

Customer Retention Tactics:


Customer retention means to retain old customers. This company is
providing unique services to its customers. Customers of this company
are very loyal because of some reasons. As this company is offering
special offers to its customers. So it’s also getting more profit from
fewer customers. Although its customers are less but huge profit is
obtained from loyal customers. Now I would discuss those tactics due
to which customers are retained to Daewoo Express.

• Time Departure
• Safety
• Refreshment
• Entertainment
• Non-stop
• Comfortable journey
• Bus Hosts Service
• Special VIP Time
• Daewoo’s own buses
• Different Gifts ( samples )
• Mid-way Stop
• Cooperative Staff
• Advance Booking
• Feedback

These are the different customer retention tactics that Daewoo Express
is using to retain its customers. Its customers are extremely loyal
because of their good services. It’s offering unique services rather than
any other Express company in Pakistan. Now on next page I would like
to discuss these tactics in detail

Exact Time Departure:


The first customer retention tactics, that this company is using, is the
time departure. Daewoo buses departure from the terminal to other
cities according to the exact times. After every 1 hour, there is one bus
going to other cities on exact time. Customers don’t have to wait for
departure. Due to this customer save their time. So customer time is
saved. It doesn’t matter that how much customers are in bus. Bus will
arrive at its own time. So this is unique point because of that customer
are loyal to this company.

Safety:
Secondly Daewoo is also providing safety to its customers. When
customer comes to bus, customer and his luggage would be checked
by the security instrument. As now a days there is great problem of
terrorism. After that it’s also has security guard in each bus. In case of
any difficult situation these guards protect customers. So it’s also
unique point because customers are fully secured during their journey.
Bus Hosts:
In each bus there is one bus hosts who serves its customers. She
provides different refreshment services to customers. In case of any
problem during journey, bus hosts tries to resolve it.

Refreshment:
Now other customer retention tactics that this company is using is
refreshment services. It provides different drinks, foods and other
refreshments during their journey.

Entertainment:
Daewoo is also providing entertainment to it customers during journey
in different forms. It provides different entertainments
• TV (movies)
• Audio Songs ( Headphones )
• Newspapers
• Novels
So these are the different entertainments activities which it’s providing
to it customer. So due to these tactics, customer is becoming more
loyal to this company.

Non-Stop Buses:
Its buses are non-stop. During journey there is no stop. So customers
don’t have to wait and waste their time. It doesn’t
stop anywhere after departure from terminal except
its mid way stop from customer’s refreshment.
Mid-Way Stop:
There is one midway stop in case of long journey. But this mid way
stop has been designed for customer satisfaction. Because customer
want to refresh in case of long journey. So it has made its hotels,
mosques in its mid-way stop.

Comfortable Journey:
As Daewoo has purchased special buses from its own company from
other country. So these buses are very comfortable. The seats in buses
are wide and comfortable. We can expand our seat to sleep. So it’s
making customer’s journey more comfortable.

Special VIP Time:


Daewoo bus Service Company is also offering VIP times. There are two
buses which are used for VIP services. It offers more than other
facilities which are described above.

Co-operative Staff:
The staff which is dealing to its customer is very co-operative and
efficient. This staff deals with customers in efficient way. This staff
helps customers in different ways.

Advanced Booking:
It’s offering another unique facility which is advanced booking. Due to
this customer can book their seats in advance by calling to the
customer service centre of the terminal of that special are. So they
don’t need to worry about their seats
Reducing Customer defection rate
Feedback & Complain Book:
The last thing that I would like to discuss, it’s very important. It’s
about customer feedback. At the end during journey company takes
feedback about the company services. They take this feedback to know
that how much their customers are satisfied. So this feedback helps
company to know about different problems and then it can resolve.
Due to this feedback company observes that which characteristics we
are missing and what customer wants.
So after getting this getting feedback, company gets the customer
response and tries to reduce this defect.
Another thing that this company is offering is complaint box. Company
has attached complaint box in buses to know about the defects and
errors of the company. This complaint book can be obtained by Bus
Hosts. So due to this feedback and complaint book. It can reduce
customer defection rate.

Conclusion
Now at the end I would like to say that after observing these customer
retention tactics we can say that this company is offering unique and
best services to its customers. It’s only bus service which is offering
best services to its customers. Its customers have become very loyal
to the company because of its services.
According to company’s objective, I can say that company is using
useful customer retention tactics and due to this, it’s earring huge
profit from its customers.

References:
http://www.sammi.com.pk/index_detail.php
http://www.google.com.pk