II.

LITERATURE REVIEW
2.1 Customer Relation Management Strategy
Payne (2009) defined CRM as A business approaches aiming to create develop and
enhance customers boundaries with carefully targeted customers to improve value of
customers and profitability. Payne (2009) also states that CRM forces marketing to think
and make strategy to enhance the profitability of those customers it seeks to target. By
building relationship, marketing make a customer not as target but as investment. Payne
(2009) also states that it is more efficient to make investment through customer by
building good relationship of satisfied customer instead of aiming for sales. Marketing
which focus only aiming for sales will have bigger cost and risk.

2.2 Data Analysis Emphasize Customer Relation Management in Customer Satisfaction

CRM also can be used in this modern era because CRM was meant to adapt and changing
according to the environment of the marketplace and system, which will enable to
maintain relation with customer and future revenue or profit (Cataldo, 2006). To maintain
this relation, marketing should collect some data by using marketing tools, in this era
there are lots of marketing tools such as internet, web-site and electronic mail to gain
customers information such as customer buying behavior. Customers of luxury retailer
usually preferred to personalize or customized product, so it is important to fulfilled
customers satisfaction by gaining customers information with using modern marketing
tool in CRM (Cataldo, 2006).

2.3 Marketing and Communication

Selling a product is not the only goal of marketing, but the main goal of marketing is to
own the market (McKenna, 1991). McKenna (1991) also states that Marketing is
everything and everything is marketing. The statement of McKenna shows that how
important the role of marketing in a business and marketing is not only about aiming for
sales but also building relation by using CRM. Web-site is the best communication
element to connect with customers in the internet and build relation. Web-site can be the

virtual window display for any company especially luxury retailers. Not only as display
window but also can be the place for sources of product information for customers and
relevant stakeholders. Web-site with perfect information sources will help increase the
loyalty of a customer, and when a customer loyal to a product it means the customer is
satisfied of the product (McKenna, 1991).

2.4 Customer Relation Management Delivering Experience

Chu and Pike (2002) found out that experience is the main factor of customers
satisfaction in the retail sector, especially the experience of feeling of esteem and
belongingness in society. Chu and Pike (2002) also states that best experience can be
delivered by perfect implementation of CRM. CRMs ultimate purpose is to satisfying
customer by delivering experience through brand or product such as luxury car. Perfect
implementation of CRM and experiences will lead to higher customer loyalty (Chu &
Pike, 2002).
2.5 Customer Satisfaction in Customer Relation Management
The main thoughts behind behavioral writers, researcher and especially marketing are
Customer Satisfaction. In this modern era, customer satisfaction is the basic or a factor
that cant be avoided in business. Many researchers study the satisfaction of customers,
such as Wilkie (1991), Bolton (1995), Perkins (1991), and many others. Other researcher
such as Samanta (2010) and Ghavami & Olyaei (2006) see the impact of CRM activity
towards customer retention, customer loyalty and especially customer satisfaction. In the
previous time many marketing see marketing should aim to transactional, but now days
marketing shift their attention to building relationship with customer by using CRM and
good implementation of CRM will impact to customer satisfaction (Perkins,1991).

2.6 Research Conceptual Framework

This study will involve five luxury cars company and the consumer of the company. Researcher
will interview how CRM in luxury retailer especially in luxury car retailer can impact customers
satisfaction. Kotler (1994) states that to build better relation and higher loyalty the main factor is
creating high customers satisfaction. CRM strategy giving impact to customer satisfaction, and
to implement perfect CRM Strategy it is necessary to collect information about the customer and
analyze it (Fornell, 1994). Marketing and communication help company connect with customer
and to implement perfect CRM (Rust & Zahorik, 1993). The main goal connecting with
customer through CRM is to deliver the experience especially the experience in using luxury
brand or product, best experience leads to good satisfaction. Therefor this study will study the
impact of CRM Strategy in customers satisfaction, how big the impact and why it is impacting
customers satisfaction.