The Study Of Lost Customers’ Relationship Orientation On Positive Word-of-Mouth Spread Based On Different Win-back Strategies

Recently, How to win back lost customers quickly and accurately become the key issues in academic circles and industrial circles. The academic circles has found that recapture lost customers has important significances:Firstly, it is easier to recapture lost customers than acquire new customers; Secondly, the ROI(return on investment) of lost customers is much bigger than the ROI of new customers; Thirdly, the information feedback of lost customers can help manufacturer improve their product or service; Fourthly, establishing win-back strategy can restrain the negative WOM(word of mouth) and encourage positive WOM. In industrial circles, the manufacturers have found that the purchase share of lost customers is much bigger than that of new customers. At present, the studies of win-back management are based on relationship marketing and price promotion. Relationship investment is that manufacturer inputs time and resource to adopt social strategy to build "guanxi ties" between lost customers to reach long-term cooperation. Price promotion is a marketing approach that the manufacturer reduces the price or increases the number of product.However, there are no research discuss the lost customers’response under different win-back strategies. This paper based on the lost customers’point of view, combining the relationship orientation with positive WOM, to discuss the impact of relationship orientation on positive WOM.There are six parts in this paper:Chapter1, Introduction. Introducing the background, the significance, the framework, research methods.Chapter2. Literature Review. Firstly, the author introduces the win-back management theories(Relationship investment and Price promotion). Then make a comment about the customer relationship orientation in China. By introducing the intension of relationship, the author analyzes the Chinese relationship orientation. Living in the "guanxi" society, the Chinese pay more attention on building, developing, retaining relationship. Then, the author introduces variable of relationship quality, relationship commitment, cooperation intention and the WOM. The author also introduces the Mutual Preference Theory and the Social Exchange Theory in this chapter.Chapter3, Constructing model and formatting hypothesis. In this chapter, the author defines the variable of relationship orientation, relationship quality, relationship commitment, cooperation intention and the WOM. Then, the author takes relationship orientation as prior variable, takes relationship quality, relationship commitment, cooperation intention as intervening variable, takes win-back strategies as moderator variable, takes the WOM as outcome variable to construct a model. And then formats seven hypothesis.Chapter4, Research Design. By searching the famous journals, the author finds20topics that can reflect the problem in this paper. In order to find out the customers’reaction mechanism under different win-back strategies, the author separate the questionnaire into two teams(Relationship investment team and Price promotion team). After the pretesting, the author improves the questionnaire according to the Reliability Analysis and Validity Analysis.Chapter5, Empirical Analysis. In this chapter, the author conduct descriptive statistics analysis, correlation analysis, ANOVA(variance analysis), regression analysis. In ANOVA, the results appear that the two teams have significant differences. IN regression analysis, the results appear that the relationship quality in Relationship Investment Team has much bigger influence than that in Price promotion. The hypothesis H1a,H1b,H1c,H3-H7are all supported. The hypothesis H2is not supported. The possible reason maybe that with no win-back strategies, the relationship orientation has no more cooperation intention.Chapter6, Conclusions. This paper’s conclusions are:(1)Faced with different win-back strategies, the customer relationship orientation has different influences on relationship quality. The influence in team A is much bigger than that in team B.(2)The higher the relationship quality, the higher the cooperation intention and relationship commitment.(3) The stronger the cooperation intention, the more possibility the commitment and the positive WOM.(4) The more possibility the commitment, the more possibility the positive WOM.