walmart :: essays research papers

blood Marketing King Wal-Mart Still No. 1The economists are still utter us how bad the U.S. economy is, but dont say anything about the bad economy to your local Wal-Mart greeter. His or her employer just witnessed revenues grow by 12 per centum in 2002, to $246.5 billion. He or she will probably proudly let you know that Wal-Mart Stores Inc. was just ranked number oneagainby muckle magazine, leading the top 500 corporations for a second year in a row. How do they do it? Sam Waltons 1992 book Made In the States has all the details, but let me sum up Wal-Mart knows relationship marketing. Rule No. 8 of "Sams Rules for Building A Business" holds the secret to this winning look of success. He says, "Let them (your customer) know you appreciate them." So what has Wal-Mart done to show that they appreciate their customers? They use one-to-one relationship marketing tactics, executed by the far-famed Wal-Mart greeter. The Wal-Mart salute was the original method used by the giant retailer to show customers that they are appreciated. A greeter at the door thanks customers for coming in, assists with a shopping cart, and provides a "goodbye thank you" upon departing the store. The friendly senior citizen dressed in the blue vest conveys warmth and personality to every lymph gland entering or exiting a Wal-Mart store. So why dont opposites adopt this simple marketing tactic? Some do. Meijer retail stores also use greeters many restaurants, hotels and other businesses do the same. But most dontbecause relationship marketing is not as simple as it seems. It takes a type of commitment different than traditional marketing. Relationship Marketing Has 4 Key ComponentsIt has to be personalized. Personalization can come in the form of a highly targeted direct mail piece, a phone phone call or email. Obviously the handshake and a smile illustrated by Wal-Mart greeters also work well in personalizing the relationship. It has to be targeted. Wal- Mart invests money in maintaining relationships with existing customers. By targeting this group, Wal-Mart establishes long-term relationships with their most loyal shoppers. Targeting customers through programs that reward loyalty can result in big returns over the life of the customer. It has to be meaningful. Your marketing essence has to connect in an emotional way to establish a lasting relationship. If the Wal-Mart greeter did not look you in the eye while saying "hello," the greeting would not have a lasting impact.