Omnico Inc. Fails to Build and Maintain Long Relationships with its Customers

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Recommended: Communication key to a successful relationship

Statement of the Problem
The statement of the problem of this case can be formulated as follows: Omnico Inc. fails to build and maintain long-term relationships with its customers compared to other businesses in the industry. Based on market research report, the industry average comparison for customer retention is below industry average.

Summary of the Facts
Buddy Towers, who was a sales representative at Omnico Inc. for more than 35 years, has recently been promoted to the position of a sales manager. He is one of the best sales representatives within Omnico Inc. The key to his success are his loyal customers. According to Buddy, the customers continue their business relationship with Omnico Inc. simply because of golf. Moreover, golf helps Buddy and his customers getting to know and to trust each other. Recently, Buddy discovered that based on market research, Omnico Inc. scores lower than the average in the industry as far as customer retention. Moreover, Omnico Inc. appears to fail in maintaining long-term relationships with its customers. Buddy wants to introduce the importance of relationship selling to his sales team. Financial data have shown that it is more expensive to acquire new customers than it is to keep current customers. Buddy encourages the sales team to build relationships that are more personal with large customers using the golf course. Paid golf lessons will be offered to those in need. Laura Kilburn, a sales representative who has worked at Omnico Inc. for more than 5 years, strongly disagrees with Buddy. She thinks following-up is important but not through golf.

Analysis
We start by comparing the personal sales processes for both Buddy Towers and Laura Kilburn. It would seem that Buddy is primarily...

... middle of paper ...

...th your client

Conclusion
Based on the information and the facts given we have conducted an analysis of the case. Thereafter we have made recommendations, which we strongly believe will help improve our sales force and our business by establishing relationships with customers based on cooperation, trust, commitment and information to able to retain customers.

References
Sylvester, R. (2012, October 1). How golfing, eating, schmoozing can help your business grow. Retrieved from http://www.vegasinc.com/business/2012/oct/01/how-golfing-eating-schmoozing-can-help-your-busine/

Spiro, R. (2007). Management of a sales force. (12 ed.). New York: McGraw-Hill/Irwin.

Tips for building long-term client relationships. (2013, April 25). Retrieved from http://www.forbes.com/sites/thesba/2013/04/25/tips-for-building-long-term-client-relationships/

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