Strategies For Positioning, Retaining And Strengthening Performance In Commercial Banks In Kenya

Abstract

Business environment has been expanding, leading to increase in choices for consumers, decreased prices and reduced profit margins. The increase in expectations of customers has made it necessary for organizations to change the ways in which they carry out their business (Siboe, 2016). It is a vital managerial issue to attract and retain customers considering the market saturation (Colgate & Lang, 2011). It has been recognized as a vital goal of relationship marketing, considering its importance in improving superior relationship economics, which postulate that there is less cost incurred in customer retention than in acquisition of new ones. The main purpose of a business is customer creation. Due to the increasing difficulty in customer acquisition, firms can no longer assume that there is an unlimited customer base thereby making customer retention crucial (Hunt, 2016).