The Effects of Digital Marketing on Customer Relationships

Abstract

Viewing the use of digital channels in marketing from a customer relationship perspective offers several benefits to a marketer. Brand communication can be frequent and personalized, and different options for a dialogue exist. The benefits of dialogue include learning from and about customers, revealing their needs and interests, and being able to provide them with better and more personal service. From a customer perspective, the Internet has given power to get up-to-date information, to compare products and services more easily, and to get in touch with marketers. In a digital environment, customers increasingly use self-service and have more options to initiate action. A customer’s perceived value of using digital channels and interacting with a marketer can come in several ways; it could be money, time, information, convenience, and so forth. This chapter examines how marketers can use digital channels to develop and strengthen customer relationships. In our framework, brand communication, service, personalization, and interactivity are suggested to be the key elements.