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1. To analyze the various business models and choose the best model to contribute maximum profit to the company.2. To understand the importance of customer management with the help of the Net Promoter Score in the food retail context.3. To develop customer loyalty strategies and implement them to improve customer management?

39 Bakers, a multi-outlet bakery chain in Jammu, India, is run by its founder Gagan. 39 Bakers, through its retail outlets across the Jammu region, offers a variety of products, ranging from bakery items that include blends of Indian and Italian cuisines, offering more than 1000 stock keeping units (SKUs). Through its high-quality offerings at an affordable price range, the brand has carved a niche in the hyper-competitive bakery market of the Jammu region. Gagan, has closely seen the Jammu market and customer preferences and strongly perceived that the customers in the Jammu region are very price sensitive. Thus, he has always been very reluctant to increase the prices of his product offerings at 39 Bakers. He has always believed that any drastic price rise may lead to immediate dissatisfaction and customer churn and therefore has not increased the prices at 39 Bakers for two years in a row. While this decision of Gagan paid off in terms of its popularity and recognition as one of the highly recommended bakery chains among customers, it drastically impacted the bottom line (i.e. profitability) at 39 Bakers, especially in the year 2020–21. Getting popularity at the cost of dipping profitability made Gagan rethink his decision to be protective of price increases at 39 bakers. How can he measure customer satisfaction and loyalty? Which loyalty strategies will work for the huge customer base of Jammu? Should he change his business model from B2C to B2B? How can loyalty be established? How can he manage his existing and loyal customers through price increases?

The case study is suitable for undergraduate and postgraduate courses in Marketing Management and Retail Marketing. The case study’s focus can be on the importance of pricing, business model evaluation, customer management analysis, customer loyalty, Customer Loyalty analysis, and net promoters score. The case can also be useful to entrepreneurs and regulators.

Teaching notes are available for educators only.

CSS 3: Entrepreneurship.

In May 2013, Jack Russo, a Chicago-based tech entrepreneur, had to choose one of four possible product concepts to use as the starting point for his new K–8 educational learning company, TabletTeach LLC. At the time, the K–12 education market in the United States was experiencing major disruption due to print-to-digital transformation, new Common Core State Standards (CCSS), new standardized tests aligned to the Common Core (rolling out in most states in the 2014–2015 school year), and increasing pressure from parents for schools to incorporate technology in their children's learning. Based on his first-hand experience and research, Russo knew there was a significant opportunity for a company that brought to market a tablet-enabled learning solution focusing on grades K–8, which made learning Common Core math and/or language arts fun for every student and engagingly simple for all teachers.

This case provides an interesting example of something typically hard to teach: transitioning from the fuzzy front end of a market opportunity analysis to a specific product opportunity. The case bounds the problem by outlining four potential product concepts, which students will then evaluate and rank using their own sets of criteria.

Define evaluation criteria for an opportunity analysis of a tech startup in a dynamic market; use these criteria to evaluate a set of product concepts and their business opportunities; refine a set of product concepts to develop and present a recommendation; understand the importance of the problem-persona-product fit and “jobs to be done” data in identifying high-value opportunities; present findings in an opportunity brief and a market opportunity hypothesis statement

Strategic Management and Marketing.

Management students (MBA).

In the present times of global competition and busy schedules of individuals, it is expected that companies provide service with security, sincerity and flexibility keeping pace with changing global scenario of marketing. Service receiver expects competitive and optimum facilities with ease while sitting in any corner of the world at any time of the day. It implies that the service provider should be available at all times/all places for satisfying the needs of the customers. A daunting task ahead of Life Insurance Corporation of India (LIC) was to change its conventional approach and work toward a newer, user-friendly one. The top management, i.e. the Board of Directors, took up the task of identifying a quicker but securer approach to provide optimum facilities to the policyholders.

Achieving customer satisfaction through alternate collection channels and retaining market share, role of customer servicing in creating competitive advantage, challenges for a large public sector enterprise – traditional approach or modern approach, role of private companies in development of insurance industry, creating awareness about the product/service through different distribution channels and use of information and telecommunication technologies to reach remote places, are the expected learning outcomes.

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CSS 8: Marketing

Marketing; customer segmentation; operations and logistics.

Undergraduate business and management students, MBA/MA level application for international marketing modules incorporating customer segmentation and customer asset management.

DHL, the international air express and logistics company, serves a wide range of customers, from global enterprises with sophisticated and high volume supply-chain solutions shipping anything from spare parts to documents, to the occasional customer who ships the odd one or two documents a year. To be able to effectively manage such a diverse customer base, DHL implemented a sophisticated customer segmentation cum loyalty management system. The focus of this system is to assess the profitability from its customers, reduce customer churn, and increase DHL's share of shipments.

Case teaching objectives: to demonstrate the concept of customer segmentation with loyalty management as a total system in a logistics company setting, and to evaluate appropriateness of the classification; to utilize the concept of service tier model within the company's current operations, and to evaluate the effectiveness of the model; to analyze the implementation of the customer segmentation cum loyalty management system and development of the necessary rules required to classify the various accounts into categories; to highlight the possible challenges arising from the implementation of customer segmentation cum loyalty management system, and to discuss possible methods of resolution.

Teaching note.

The concepts of customer lifetime value (CLV) and customer equity (CE).

BA, MBA, MSc courses: customer equity, marketing metrics, marketing plan, marketing research. Because students are asked to complete a customer lifetime value analysis based on a range of financial and non-financial data, students will need at least a modest level of proficiency in dealing with a few basic financial accounting concepts.

In Chile, a law passed in 2008 introduced a bidding process to be held every 24 months in the pension industry. The tender mechanism was introduced as part of a reform aimed at reducing the commissions charged by pension fund administrators and at making it easier for new players to enter the market. In early 2009, Daniel Ugarte wondered if it was finally the right time for his firm to enter the pension industry. Ugarte was asked by the board to help chart a direction for the firm. The winning criterion was the lowest management fee (commission) paid by the affiliates. The main focus of the case is a quantitative assignment that asks students to calculate how customer lifetime value (CLV) and customer equity (CE) would be affected by the commission offered.

These include: understanding the concepts of customer lifetime value (CLV) and customer equity (CE) and the importance of maximizing a customer's lifetime value for the firm by calculating the CLV and the CE based on a combination of financial and non-financial data.

Teaching notes are available. Consult the librarian for access.

Business management, quality management, service quality and customer service in public sectors.

This case is most relevant to upper-level undergraduate business students taking quality management, strategy and service management courses. It is also relevant to practitioners working in similar positions. The case is based on primary and secondary data, and all materials mentioned were taken from real work environments.

In contemporary competitive markets, all entities face a growing challenge to retain customers by satisfying them. In this case study of Ajman Free Zone Authority (AFZA), which is a public entity which was started in 1988 with the aim of boosting industrial development in Ajman, it is seen that the entity (AFZA) recognized a competitive advantage by improving service quality. However, AFZA focused on implementing various service quality improvement initiatives for not only customers, but also for other stakeholders as well (e.g. employees, strategic partners, suppliers and society). AFZA sought to understand stakeholders' needs, which led to service excellence. The purpose of this case is to highlight how AFZA differentiated itself by using initiatives that focused on disparate stakeholders to achieve customer satisfaction. The concepts of service quality (SERVQUAL), total quality management (TQM) and continuous improvement offer insights into how to improve organizational performance. It highlights how AFZA used Stakeholder Theory to identify and then collaborate with stakeholders to attain best service quality outcomes. The case study is developed using both secondary and primary sources.

After reading and analysing this case study, the student will be able to identify stakeholders in a service-based entity; apply Deming's Cycle or SERVQUAL to suggest improvement programmes; describe relationships among all stakeholders; and describe initiatives that contribute to service excellence.

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Tourism and hospitality management, strategy, economics and customer service.

Undergraduate students studying hospitality management, customer satisfaction, customer service and economics.

Dubai International Airport is one of the most celebrated airports worldwide. It was constructed by order of Sheikh Rashid bin Saeed Al Maktoum in 1969 and has developed significantly in all sections over the years. Passenger numbers and profits have increased dramatically and the airport has received many awards from various countries and organizations, contributing greatly to economic and tourism development. Dubai International Airport offers unique services and facilities to customers, including the Airport Medical Centre, special needs services, Dubai International Airport Hotel, transportation, lounges, a children's play area, smoking rooms, Al Majlis services, executive flight services, Ahlan services, a modern baggage-handling system and Dubai Duty Free. The quality of service is one of the significant concerns of an international company, including Dubai International Airport, as a high quality brings many benefits to the organization, such as increased customer satisfaction and revenue. Thus, to maintain a high-quality level and compete with other international airports, Dubai International Airport needs to ensure the development of its service.

This cast study will help understand both the services offered by the airport and their features and understand the concepts of increasing value to customers in lieu of money, the contribution of the airport to economic growth, exceeding customers' expectations, intonation in providing services, some factors of competitive advantages, the application of customer satisfaction theories, the services market triangle and providing a role model to other airports.

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The learning outcomes of this paper is as follows: to identify unique selling points of a growing business for attaining competitive advantage; to understand the role of segmentation for Wellness Zone Headmasters (WZH); to explore different strategic choices for successful expansion of business; to help students understand the concept of customer satisfaction in a competitive industry; and to understand the importance of differentiation as a major deciding factor for the future of a business.

In March 2020, Kumud Goel, one of the directors of WZH, a chain of wellness spa and salon in Jammu and Kashmir (India), was considering different marketing strategies to grow her existing business. The company had opened two new outlets in the past two years and was looking at increasing its customer base. Kumud was concerned about keeping her customers satisfied in a highly competitive industry. She was aware that differentiation was critical for future growth. In what ways could WZH differentiate itself from its competitors at a time when the market was exploding? Could customer segmentation be the solution? What measures would WZH need to take to increase its repeat customers?

The case is appropriate for use in a 90-min class in a Masters in Business Administration-level management course and for undergraduates, especially marketing majors and in a module on marketing strategy and customer value.

Teaching notes are available for educators only.

CSS 8: Marketing.

In this return on investment (ROI) for customer relationship management (CRM) case scenario, students must calculate the ROI for analytic CRM enabled by an enterprise data warehouse. The case is based upon a real-life consulting engagement with a major Fortune 100 telecommunications company. In this case the executive management team's strategic objective is to grow the customer base by 5 percent annually by customer acquisition. The internal rate of return calculated from the data given in the case is more than 800 percent for one year, and sensitivity analysis shows this is a robust projection, suggesting it should be funded without question. However, the strategy of the firm is customer acquisition in an environment of high customer churn. As a result of these dynamics, the revenues and net income of the firm are actually decreasing by hundreds of millions of dollars each year. A better solution would realize that the executive team has the incorrect strategic objective. Customer acquisition is the wrong approach in an environment of high customer churn and executives should focus on customer retention and cross-sell and up-sell to high-value customers. The case discussion therefore takes students beyond CRM ROI to focuses on the key strategic concepts of customer relationship management.

Students learn how to calculate return on investment (ROI) for analytic customer relationship management (CRM) initiatives. The case also discusses in detail the difference between operational CRM and analytic CRM. The case solution is relatively straightforward with a very good ROI. However, the true learning of the case is for students to understand the strategic context of analytic CRM and to question assumptions in any ROI model.

Marketing management, services marketing, customer relationship management and strategic marketing management.

This case can be taught effectively to MBA/MS students.

Hyundai Motor India Ltd (HMIL) commenced operations in India in 1996 and launched its first car in India – the Hyundai Santro – in 1998. Since then, there has been no looking back for the company. Its domestic and export sales figures have risen manifold each year and the car maker has gone on to become the second largest manufacturer in the Indian car market with a market share of 18.10 percent as of 2010-2011. By 2009-2010, most of the major international car makers were setting up production facilities in India. The market was set to become highly competitive and it became imperative for manufacturers like Maruti Suzuki India Ltd (MSIL) and HMIL to retain their customers in order to maintain their market share. Nalin Kapoor, General Manager (Sales & Marketing) was contemplating the marketing strategies he could use to counter the stiff competition. Customer retention was one of the major problems in the automobile industry as the purchase time span varied between three and five years and the cost of brand switching was nil. HMIL had been pursuing customer relationship management activities but its customer retention ratio was declining. Kapoor and his team decided to study the loyalty programs of some companies in the automobile industry to ascertain whether launching a loyalty card could solve their problem of retention. The marketing strategy department with the help of a management intern extensively studied the existing loyalty program of Hero Honda, MSIL, and Ford to identify how those programs were designed and promoted to the customer. The reports also indicated the shortcomings of each program and the features which were highly accepted by the customer. The loyalty program also had cost implications as there was a need for a strong technical support team to run it successfully. With the reports in hand, Kapoor was in a dilemma on whether launching a loyalty card would be feasible or not. If yes, then how should it be structured to motivate the customers to stay loyal to the company? Also, how could the cost in terms of promotion, training, and technical support be justified? If not a loyalty program, then what marketing strategies should the company pursue to retain customers effectively? The problem demanded immediate attention and action and Kapoor was well aware of the implications that a delay in decision making would have for the market share of the company in the growing and dynamic automobile industry in India.

These include: the concept of customer relationship management; relationship marketing; customer retention; customer loyalty; customer profitability segments; relationship bonds; and designing loyalty programs.

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