CUSTOMER RELATIONSHIP MANAGEMENT AS A CUSTOMER RETENTION TOOL: A CASE STUDY OF OK ZIMBABWE LIMITED

Abstract

This study sought to establish Customer Relationship Management as a customer retention tool at OK Zimbabwe Limited in Bulawayo Metropolitan Province. The study investigated why organisations should care about existing customers and explored challenges on the implementation of Customer Relationship Management as a customer retention tool. The mixed research design was used to enable an in-depth qualitative establishment of Customer Relationship Management as a customer retention tool at OK Zimbabwe Limited. Convenient sampling and purposive sampling techniques were employed in the selection of a sample of 91 respondents out of a target population of 303 potential respondents. Open and closed ended questionnaires and interview schedules were employed for gathering data. Till operators responded to open ended questionnaires whilst customers responded to closed ended questionnaires through an online survey. Managers and marketing officers responded through guided interviews. Thematic analysis of data revealed that poor implementation of Customer Relationship Management concept contributed to the loss of market share, growth and profitability at OK Zimbabwe Limited in the Bulawayo Province. Till operators lack the basic knowledge about the purpose of CRM whilst managers had an idea theoretically but they lack application. The results further revealed that the absence of Customer Service Managers in all OK supermarkets in Bulawayo made it difficult for the branches to handle or manage customer issues at branch level. OK Zimbabwe Limited still lags behind in terms of technology and relies on manual documents. The study recommends that OK Zimbabwe Limited sources enough resources such as new machines, operates normal working hours for all employees, network management, provides training facilities for all employees including managers, decentralisation of procurement, maintenance, decentralises information and technology department into Southern and Northern regions to reduce workload at head office.  It is further recommended that all OK Zimbabwe Limited supermarkets in Bulawayo should have Customer Service Managers as custodians of Customer Relationship Management at branch level and the Marketing Department should be operational in Bulawayo.