Win Back The Management Of Customers Based On Customer Switching Costs Perspective

Marketing schools have to almost focus on how to attract new customers and retain old customers, but the importance of how to win back lost customers has been neglected for a long time. Research shows that the benefits of winning back a lost customer are much greater than that of attracting a new one for the enterprise. Therefore, it is absolutely necessary to research the theory of customer win-back management thoroughly. This essay finds that the existing management of customers win-back mainly focuses on the single perspective that the enterprises win back lost customers themselves. However, customer switching costs is a series of costs arising from the customers switching behaviors in the perspective of both customers and business. By the nature, winning back customers effectively is also belonging to the customer switching behavior areas. In the view of this, the research of customer win-back management based on customer switching costs not only to make up the shortage of the existing one-way theory, but also to develop and perfect the win-back management and customer switching costs theoretically. The study found that:customer win-back management can grasp the direction and trends of existing win back management which is based on the customer switching costs, as well as revise and expand the win back management in theory. It will be more complete and significant for the enterprises; procedural switching costs directly affect the result of customer back; financial switching costs effect the customer win-back mainly through price strategy, and companies should comprehensively assess and reasonably account the loss of customer switching costs when they win back their customers; relationship switching costs is determined by the individual psychological perceived value, so the enterprise should continuously improve customer satisfaction and enhance emotional communication with customers in the process of customer win-back.