Marketing is a process to meet the needs of the customers. There are different ways to reach that. In the present scenario companies are using ways of marketing tools to reach the target customers. So the main theme of marketing becomes to build healthier relationship with Customers, so as to make healthy profits. Why these things are happening so ever? is the question comes to our mind. So to answer this , "The competitive market" . The competition is too high . So it is not a cake walk for the companies to reach the target customers. Depending upon all the factors the Concept of Relationship Marketing Started. Relationship Maintaining does not mean to get connected to the customers, It is to maintain healthier relationship with each one internally and Externally. To get the customers and to retain them companies need to maintain a perfect relationship. The same way, To make the Internal Environment strong there should be a healthier relationship between the Internal Teams . To explain this in layman terms, "it is to maintain a healthier relationship with the Channel players, Suppliers, Intermediaries, Reseller or Retailer so as to be in profits for long term."
Partner relationship Management gives an insight of building relationship in order to be a leader in the Competitive market. So the companies have taken a step to think of their Internal Environment which helps them to make success in the market. These are the important players for the firm to reach the market. Suppliers are the key players for raw material and for your product, Then Channel players are the path to reach the customers. If we think this way then there is a long way to go with this relationship marketing. In other words "It is a strategy to improve the business in terms of profits and Revenue by making a better communication and Transparency between the channel partners and business".
Due to the role of IT in the business it becomes easier for the companies to pass on the information between the channel players. The programs like ERP ( Enterprise Resource Planning) has make the people to think in a better way. In a simple way the technology of Internet has helped the companies to make smoother about their process. for ex: Wal- mart passes its information to its suppliers so as to make the things in a better way. As the information is passed to the supplier they get prepared with the same product to send the store. So this way they are making the availability of stock and catering the needs of customer.
This strategy is not only to make relationship with partners , at the same time to think of the financial partners too. So this is about "Making a relationship with employees, marketing partners ( Channels, Agencies, suppliers,dealers, distributors) and members of financial partners ( Stake holders) so as to get and Retain Business".
For Ex: Dell computers has made to sell the products online , where customers can utilize the concept of Customization. Depending upon customers choice Dell passes the information to the respective suppliers , so as to get the choice products and to cater the customers needs. So this way Dell maintained a good relationship with Suppliers.
So , PRM is a better way of making a marketing network. This network is making the companies to improve the business activities. PRM involves information, commissions, Marketing Campaigns, Inventory Information, Sales information and so on, to make the partners comfortable in the process of building the relationship. PRM ( partner relationship Management) becomes a great marketing tool for the companies to reach the success in the market.
About Author / Additional Info:
An MBA from GITAM University, India.
Reference: Philip Kotler.