Assessing the Impact of Communication on Customer Relationship
Marketing: A Case Study of Mobile Telecom Companies
STAVROS KALOGIANNIDIS1, FOTIOS CHATZITHEODORIDIS2, DIMITRIOS KALFAS3,
MARIA PASCHALIDOU4
1Department of Business Administration,
University of Western Macedonia,
GREECE
2Department of Management Science and Technology
University of Western Macedonia
GREECE
3Department of Agriculture, Faculty of Agricultural Sciences
University of Western Macedonia
GREECE
4Department of Regional and Cross-Border Development
University of Western Macedonia
GREECE
Abstract: - The long-term relationship between customers and companies is essential for desired business
growth. Most cellular industries rely on different forms of communication and marketing to achieve desired
levels of relationships with their customers. This study focused on establishing the general effect of
communication on customer relationship marketing in different businesses or organizations. The mobile
telecom industry of Greece was used as the case study. A cross-sectional survey design based on a quantitative
methodology was used in the study. A well-designed questionnaire was utilized to collect quantitative data
from 204 customers of different mobile telecom companies based in Kozani, Greece. Results showed that
communication techniques improve the strength of relationships between customers and the business,
improving business profitability. The results also showed that the approach of communication in a company
plays a very important role in influencing the satisfaction levels of customers which in the long run enhances
relationship marketing. The findings confirmed that customer relationships through communication and
marketing are essential for the growth of the business through improved performance and profitability.
Therefore, companies or companies need to employ the best communication techniques to achieve the desired
relationship marketing and sustainable long-term relationships.
Key-Words: - Communication efforts, Communication techniques, Customer relationship marketing, Business
Growth, Marketing.
Received: April 25, 2023. Revised: November 14, 2023. Accepted: November 27, 2023. Published: December 8, 2023.
1 Introduction
Relationship marketing is associated with building
and maintaining desirable long-term relationships
between the customer and the organization or
business. Clients or customers are essential in the
growth of a business; hence maintaining cordial
relationships with them is beneficial to the
company, [1], [2]. In the current modern world with
stiff competition in different industries, customer
relationship marketing is essential for achieving
higher profitability. Regular engagements or
interactions with the various stakeholders are an
important practice that helps enhance relationships
among stakeholders and customer relationship
marketing in the long run, [3], [4]. Effective
organizational interactions are only possible through
robust communication systems; hence the latter is a
crucial prerequisite for effective customer
relationships.
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Stavros Kalogiannidis, Fotios Chatzitheodoridis,
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According to, [2], [4], successfully engaging
with customers has many advantages, including
improved client relationships, enough time and
financial resources, effective decision-making, and
good problem-solving. Effective communication
means that the information is received as expected
by the sender in terms of content and context. The
study, [5], indicates that effective marketing
communication approaches help develop and sustain
desirable consumer relationships that drive the
company’s brand value.
Communication is thought to significantly
impact the development of long-term partnerships
with an organization's stakeholders. As a result, it's
critical to recognize the importance of
communication in forging connections between the
organization's different operations and between the
organization and its stakeholders, [6], [7]. The
empathy, conversation, friendship, and contact that
the marketer creates with prospective customers
influences an organization's profitability and
improved relationship marketing, [8].
Since the inception of the different cellular
networks in Greece, the cellular industry has
developed into a multi-billion-pound industry. Few
could have expected the industry's rise to such
heights or the enormous potential that remains.
Greece's inspiration for adopting cellular technology
is unique, [9]. Most people in Greece purchase
phones to stay connected with their service
providers, run personal businesses, or merge with
prospective clients.
A company's main objective in utilizing better
communication is to maintain superior performance
to maintain consistent development. It's no different
in the cellular industry. The consistency of a
company's customer relationships is often one way
to ensure superior results and distinguish it from its
rivals, [10]. Studies reveal that a strategy that
focuses on improving the quality and value of
services through effective communication with
customers is an essential strategy for improved
relationship marketing.
1.1 Corporate Social Responsibility (CSR)
The brand aids in creating a positive perception of
the business, allowing for the efficient management
of customer interactions, which is essential to the
growth and survival of the enterprise. A company's
reputation reflects the activities it engages in. As a
result of the firm's activities, brand development
occurs as people form an opinion of the company.
The concerns of contemporary customers go well
beyond those of price and product quality. For
instance, they desire to use their activities to help
the preservation and strengthening of the
environment and the society in which they live.
Companies now understand the critical role that
Corporate Social Responsibility (CSR) plays in their
ability to operate and provide goods and services
that are both affordable and of high quality, [11],
[12], [13].
Corporate social responsibility (CSR) is
increasingly seen as a major remedy to societal
issues by businesses and governments, [14]. The
importance of corporate social responsibility and
company contributions to society cannot be
overstated. CSR, on the other hand, is critical not
just for addressing global challenges but also for
increasing company success. Companies have long
acknowledged CSR as the most important standard
business practice that must be implemented if a
company is to prosper in a turbulent and competitive
economic climate. According to, [15], corporate
social responsibility (CSR) might be an effective
advertising approach for increasing business image
and consumer behavior. Furthermore, the
advantages of CSR go beyond sales. Consumer and
stakeholder expectations are greatly influenced by
CSR activities, which leads to improved corporate
performance, [13], [16], [17].
Companies interact with customers online to get
input for new product development and to create
and sustain trusting relationships, [18], [19].
Business-supported and consumer-assisted new
product development co-creation activities enable a
firm to get creative and relevant new product
knowledge and ideas while improving its overall
firm image, [20], [21].
1.2 Theories in Consumer Behavior
Research
The theory of planned behavior (TPB) is a consumer
behavior theory that has been employed in research
since 1991, [22], [23], [24]. However, the theory has
been challenged for failing to account for critical
factors like the effect of emotions and unconscious
influences on customer behavior, [25], [26], [27],
[28].
Continuing, the study, [27], argues that stress
factors and consumer confidence impact attitude to
increase model predictive power (TPB) in a
pandemic crisis. The study, [29], links social contact
to social anxiety, which is a negative emotional
response to the presence of stressful social settings,
[30], [31]. When people are anxious, their attention
is drawn to insignificant information, their
processing speed slows, and their reaction to
recognized signs and symbols slows, [32], [33].
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The recent global COVID-19 pandemic, which
theoretically began in the Spring of 2020, [34], but
began at the end of 2019, disrupted citizens' daily
lives, negatively impacting the global economy and
creating conditions for an increase in grief, anxiety,
or even depression, [35], [36], [37], [38].
When clients experience social anxiety, their
attention is drawn to irrelevant information, and
their cognitive speed slows, [3], [29], [33], [39]. The
social media revolution has significantly altered
corporate marketing strategy and procedures, [40].
Anxiety over online social interactions
Online social anxiety, in turn, has a negative impact
on virtual social circumstances and is an excellent
predictor of a customer's readiness to respond to a
certain stimulus, [41]. It is clear that perceived
information has a large impact on customer trust,
[42], [43], [44], and that trust has a considerable
impact on purchase intention, [27], [45].
A business's performance is measured.
A company's success should be measured in terms
of financial and business performance, as well as
organizational efficiency, [46], [47]. The
introduction of new goods, an improvement in the
quality of products and services given, the efficacy
of marketing, and attempts to raise the added value
of both products and services are all examples of
organizational effectiveness, [48]. As a result, the
criteria for accurate performance evaluation include
both financial and non-financial. Sales, return on
investment, and net profit percentage are examples
of financial criteria. Non-financial relates to
consumer happiness for the goods and services
offered, as well as staff satisfaction, marketing
efficacy, corporate responsibility, and culture,[49],
[50], [51], [52], [53].
1.3 Theories in Consumer Behavior
Research
Although studies on the different aspects of
relationship marketing have been performed, there
is still limited research on how communication
mechanisms or efforts can facilitate relationship
marketing in the cellular or mobile telecom industry,
[8]. This study aims to see whether cellular
providers' contact efforts result in a rewarding long-
term partnership with their customers. The
secondary issues concern whether cellular
companies' contact efforts result in long-term
customer satisfaction. There are also questions
about whether the companies' communication tools
successfully facilitate relationship marketing,
whether current consumers can become brand
supporters, and how service providers treat
customer complaints.
1.4 Purpose of the Study
The study's major aim was to assess the general
effect of communication on relationship marketing
using mobile telecom companies in Kozani, Greece.
The study was also based on the different
specific objectives that include;
To establish the effect of communication efforts
on relationship marketing;
To explore the impact of communication tools
on relationship marketing.
To establish factors that influence customers’
choice of mobile telecom service provider.
The findings of this study will greatly contribute
to the available literature concerning the role played
by communication in enhancing relationship
marketing. The final findings can also act as a
reference for future researchers conducting studies
in the same field of communication and relationship
marketing. Practically, the findings will be utilized
by different mobile or cellular companies on the
importance of enhancing communication efforts or
techniques to achieve sustainable customer
relationships.
1.5 Research Questions
What are the effects of communication efforts
on relationship marketing?
What are the effects of communication tools on
relationship marketing?
What factors influence customers’ choice of the
mobile telecom service provider?
1.6 Research Hypothesis
HO1: There is no significant relationship between
communication efforts and relationship marketing.
HO2: There is no significant relationship between
the effectiveness of communication tools and
relationship marketing.
2 Literature Review
2.1 Overview of Relationship Marketing
The study, [1], indicates that different forms of
relationships have been at the center of marketing in
various forms since the inception of commerce or
business. However, relationship marketing as a
systematic approach to marketing is a relatively new
phenomenon in most businesses, [10]. The move
away from sales and toward relationships has had a
significant impact on marketing today, as
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relationship marketing offers a highly desirable and
holistic approach to understanding marketing
dynamics and how to utilize marketing strategies
deeply. It also emphasizes promoting cooperative
and strategic alliances to create more value for
consumers and organizations, [1], [54].
According to, [55], relationship marketing
originated in the late 1970s and early 1980s as a
different or unique approach to brand understanding
than the mix management model that had dominated
for the previous 30 years. Relationship marketing
grew in lockstep with utilities and industrial
marketing in the early years, [56]. Relationship
marketing nowadays aims to establish a chain of
relationships within a company to provide the
service consumers want and between the
organization and its key stakeholders, [57].
Because of the peculiar characteristics of
services, such as their inseparability, intangibility,
heterogeneity, and perishability, the different
service marketers needed to develop a new strategy.
The prevalent mix management model has been
chastised for providing no guidelines, terminology,
or operating rules for services, [56]. Initially, service
marketers tried to improve the existing model by
incorporating new individuals, procedures, and
physical proof. Relationship marketing is
increasingly being extended to any marketing
situation in which relationships are considered
significant, [58].
2.2 Factors Influencing Relationship
Marketing
According to, [55], [59], relationship marketing is
primarily concerned with acquiring, maintaining,
and ultimately strengthening client connections in
an organization. Most academics define relationship
marketing as a strategic process in which consumers
and service providers develop a highly effective,
productive, and ethical connection that is required
for both sides to be successful.
According to, [60], relationship marketing
strives to establish long-term and gratifying ties
with key business stakeholders such as customers,
suppliers, and distributors to win and retain their
long-term preferences and business. According to,
[9], the most advanced definition of relationship
marketing is to define, build, maintain, strengthen,
and cease connections with consumers and other
stakeholders while paying a price to fulfill the goals
of all parties. Reciprocal commerce and keeping
promises assist in accomplishing this.
Relationship marketing is influenced by
contributions from many relational schools.
Relationship marketing, according to, [8], includes
the aim, approach, focus, and important features of
relationship marketing. Relationship marketing is
focused on meeting the objectives and improving
the experience of the people involved, and it
involves the identification, definition,
commencement, maintenance, and dissolution of
relationships, [10].
Furthermore, one of the most significant aspects
of relationship marketing is classifying the most
successful consumers to focus on customers who are
a good fit for the company's plan. According to, [1],
the goal is to build connections with clients to keep
them rather than focus on acquiring new ones.
2.3 Benefits of Relationship Marketing
According to, [9], the advantages accrue to the
company due to engaging in a variety of
relationships. According to, [5], relationship
marketing helps to strengthen supplier relationships,
minimize costs by more effective ordering
processes, and accommodate new product
introductions through relationships with distributors.
According to, [61], partnership marketing is
associated with different benefits for service
providers. Marketing costs are reduced because
direct mail could be involved as a means of
communication between the customer and service
provider, follow-up, and other consumer recruitment
efforts are normally reduced; and marketing may
target unique customer needs; hence there is a
higher return on investment (ROI), [61].
Furthermore, relationship marketing improves
customer loyalty by providing pricing and product
service services that suit existing customer needs
and increasing profitability through improved
revenue, customer referrals, and customer retention
over time, [5], [59].
Relationship marketing strengthens the parties'
economic, technological, and social ties while
reducing transaction costs and time. Relationship
marketing aims to create a one-of-a-kind company
asset known as a marketing network, [62]. A
marketing network comprises a company's
supporting stakeholders with whom it has developed
mutually beneficial business relationships. The
study, [8], identifies several service provider
organizational characteristics that may aid in the
development of long-term customer relationships:
A customer-service-oriented organizational
culture.
Employees with strong interpersonal
communication abilities have a significant
impact on how service providers communicate
with consumers.
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Learning to measure relationship efficiency and
evaluate the effect of marketing campaigns on
customer satisfaction, confidence, engagement,
and loyalty.
As implied by the concepts mentioned above,
relationship marketing entails practices aimed at
building long-term, cost-effective connections
between an entity and its customers for mutual
benefit, [63], [64].
Customers should be treated fairly, and quality
improvements may assist organizations in
maintaining and improving connections. In the long
term, a useful collaboration for the service provider
is financially successful. Customers, according to,
[62], define a valued partner as one whose benefits
from service delivery greatly surpass the expenses
of supplying them.
Customer loyalty refers to a consumer's
commitment to purchasing products and services
from a certain service provider as well as their
readiness to stand up to competitors vying for their
business. The study, [57], defines loyalty as a biased
behavioral response displayed over time by
customers toward one provider out of a group of
suppliers, resulting in brand or store commitment,
[65], [66].
The study, [61], took a two-pronged approach to
consumer loyalty: attitudinal and behavioral.
Loyalty is a state of mind, according to the
attitudinal concept. Customers who have an
optimistic, preferential attitude toward a brand or
business are loyal to it and do not purchase from its
rivals because they are attracted to the company's
brands. In the behavioral definition, brand
preference influences loyalty. If a company wants to
improve customer loyalty, it will concentrate on
strategies that increase repurchase behavior, [1].
Loyalty must be described as a biased pattern of
repeat purchases or patronage followed by a positive
attitude, [57]. After receiving a customer's order,
several businesses focus on finding new customers.
They don't realize how important it is to retain and
improve relationships with current customers,
putting very little focus on creating repeat sales. The
goal of relationship marketing is to convert new
customers into repeat customers and, over time, to
transform them into strong supporters of the
organization. According to the statistics, the three
service providers in Greece have done an excellent
job of establishing, improving, and sustaining
relationships with their customers, [65].
Increasing customer loyalty requires providing
current consumers with additional justifications for
continuing their allegiance to the brand. According
to, [55], the majority of loyalty experts feel that
customer loyalty is related to a client's state of mind,
which can be thought of as a collection of behaviors,
beliefs, and wants. They assert that client loyalty
may be broken down into a number of distinct tiers,
each of which is unique to the individual consumer.
As a consequence of this, interventions that target
the attitudes of consumers are used to cultivate
loyalty. It is not the purpose of this strategy to make
all consumers loyal; rather, the objective is to
improve the loyalty of those customers who are
most inclined to respond.
According to, [5], confidence is the
foundation of relationships and the glue that binds
them together. It is unlikely that a relationship can
be started unless there is a minimum degree of
confidence between the parties. When faith is
broken, the association is likely to end. Customers
ought to have enough confidence in their service
providers and be optimistic that the latter will offer
the most desirable services or products. The study,
[56], indicated that the ability of a service provider
to meet the demands of the customer helps build
trust between the two parties. Trust is especially
crucial in the case of services, which are by their
very nature intangible. A customer's loyalty towards
service is largely influenced by previous interactions
with a service provider, [10], [67].
The concept of commitment is linked to that of
trust. This means that all parties in the relationship
will be trustworthy, dependable, and stable.
According to, [56], loyalty is the conviction that a
partnership with another is so important that it
warrants putting in the most effort possible to
sustain it. Commitment, like trust, is regarded as
critical in the development of customer
relationships. 'The existence of relationship
engagement and relationship confidence is
fundamental to effective relationship marketing,
[58]. Commitment and confidence contribute to
cooperative conduct, which is essential for
relationship marketing success, [68].
3 Methodology
3.1 Research Design, Data Collection
The study employed a cross-sectional survey design
based on a quantitative research methodology,
which helped collect data in a very short time. A
cross-sectional survey design based on quantitative
research helps to make statistical inferences using
the collected data and consequently establish
statistical relationships between study variables.
A sample of 204 persons was surveyed to gather
data. The study was carried out between August 25
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and September 10, 2022. The survey questionnaire
was useful in determining what mobile phone users
thought of the significance of relationship marketing
communication initiatives and technologies. Simple
random sampling is a kind of probability sampling
in which a sample is randomly selected from a
specific demographic using a Google form, with a
maximum participation limit of 204. The probability
of getting selected is the same for everyone in the
population. The research participants' responses to a
self-administered survey questionnaire were utilized
to gather data.
The primary sample for the research was
composed of 204 citizens of the Greek city of
Kozani. As of the latest Genius in 2021, [69],
67,161 people were living in the Kozani
municipality unit. The sample size was determined
after assessing the survey's accuracy (€ = 16.79) and
reliability (P = 99.7%). Using a preliminary sample
(or pilot sample) of 50 people, the monthly pay
variation for mobile communication—for work and
business but also home and entertainment—was
computed. The outcomes were s = 40.00 and s2 =
1599.93. When using the sample size calculation, a
value of z = 3 is often used, which translates to a
level of dependability of P = 99.7%. The value of z
is determined by the needed degree of dependability
(P). Equation (1) calculates that the minimal sample
size should be 203.75, or 204 people, using our
values of N = 67,161 (population of respondents), s
= 40.00 (standard deviation of the sample), z = 3
(value which equates to a level of dependability P =
99.7%), and d = 8.39 (the needed precision d was
arbitrarily selected and represents half the
confidence interval), [7], [70], [71].
(1)
whereby:
is the minimum sample of respondents;
is the needed precision;
is the total population;
is the population proportion;
is the critical value.
Calculation of the minimum sample of
respondents is given below:
A purposive sampling technique was used to
select the representative sample for the study.
3.2 Data Analysis
Data was sorted and imported into SPSS version 23
for analysis after being obtained from the various
research participants using questionnaires. Bivariate
and univariate analyses of the data were conducted
at two separate levels. Single variables were
analyzed using univariate analysis, and
interpretation was based on the calculated
frequencies and percentages. The correlation
between the variables in the research was
established using bivariate analysis. Using the
following formula, Chi-square was employed to
evaluate assumptions about the distribution of data
in various categories using Equation (2).
(2)
Where
The results of the chi-square analysis were
interpreted using the obtained chi-square values and
P-values, which served as the basis for rejecting or
accepting the null hypothesis at the 0.05 critical
value. Based on the decision criteria that the null
hypothesis is accepted if p 0.05 and rejected if P >
0.05, the null hypotheses were accepted or rejected.
The 5% (0.05) level of significance was used to
examine the different study hypotheses.
Moreover, regression analysis was carried out to
investigate the degree to which relationship
marketing may be predicted by communication
efforts and technologies. To determine the many
different projected values, this scenario makes use
of multiple regression.
Where: Y = Relationship marketing
β0 = constant (coefficient of intercept);
= Communication
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efforts
= Communication tools
ε = Represents the error term in the multiple
regression model
The hypothesis of the study was tested at a 5%
(0.05) level of significance.
4 Results
This section explains the various findings from the
analysis of data gathered from customers of several
cellular networks in Greece.
4.1 Demographic Characteristics
Table 1. Showing participants’ demographic
information.
Characteristic
Frequency
Percentage (%)
Male
126
61.8
Female
78
38.2
18-25 years
28
13.7
26-35 years
94
46.1
36 -45 years
46
22.5
46-55 years
19
9.3
Above 55 years
17
8.4
Greek
171
83.8
Albanian
17
8.3
Russian
8
3.9
Serbian
5
2.5
Other
3
1.5
0-4
54
26.5
5-8
90
44.1
9-12
49
24.0
More than 12
11
5.4
Cosmote
92
45.1
Wind Hellas
39
19.1
Vodafone Greece
73
35.8
Total
204
100
From Table 1, the majority of the participants
(61.8%) were male, and 38.2% were female.
Concerning the age of respondents, the majority
(46.1%) were in the age bracket of 26-35 years,
followed by 26% in the age bracket of 36-45 years,
and only 8.4% of respondents were above 55 years.
Furthermore, the largest percentage of respondents
(83.8%) were Greek followed by 8.3% who were
Albanian, then 3.9% were Russian, then 2.5% were
Serbian, and 1.5% were of other races. It is
important to note that the Greeks occupy nearly the
whole of Greece; hence different nationalities
contribute a very small portion of the total
population of Greece. Concerning years of using the
cellular network, most of the participants (44.1%)
had used the network for 5 - 8 years, 26.5% had
used the network for 0-4 years, and only 5.4% had
used the network for 12 years and above. Finally,
most of the participants (45.1%) were using
Cosmote as the service provider, 35.8 were
subscribers of Vodafone Greece, and 19.1% were
subscribers of Wind Hellas.
4.2 Descriptive Analysis
Factors causing dissatisfaction among customers.
Respondents were requested to indicate the
factors that cause dissatisfaction with mobile
telecom services, and their responses are presented
in Figure 1.
Fig. 1: Factors causing dissatisfaction.
From Figure 1, the majority of the participants
(36.0%) identified inefficient services as the major
cause of dissatisfaction with different mobile
telecom service providers, 25.3% identified poor
communication of staff, 16.5% selected high costs,
and 12.0% were for poor network coverage. In
comparison, a few respondents (10.2%) identified
other factors causing customers' dissatisfaction, such
as unreliable internet coverage across a wide range
of areas. These results clearly show that limited
mobile services and poor communication are the
root causes of dissatisfaction among mobile service
customers. Such factors may also affect the loyalty
of a customer towards a particular mobile service
provider.
Respondents were also required to indicate their
level of agreement concerning whether
communication efforts have an influence on the
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long-term satisfaction of customers, and findings are
presented in Figure 2.
Fig. 2: Showing whether communication efforts
influence the long-term satisfaction of customers.
From Figure 2, the majority of the respondents
(44.6%) agreed that communication efforts
influence the long-term satisfaction of customers,
followed by 42.3% who strongly agreed and only
2.4% strongly disagreed. This is a clear indication
that the different efforts invested by communication
and telecom companies have a great positive impact
on the general satisfaction of customers or
subscribers.
Effectiveness of communication tools in
influencing relationship marketing.
Respondents were also requested to indicate the
effectiveness of communication tools in enhancing
or promoting relationship marketing, and the results
are presented in Figure 3.
Fig. 3: Showing the effectiveness of communication
tools in influencing relationship marketing.
From Figure 3, more than half of the
respondents (60.8%) indicated that communication
tools are highly effective in influencing relationship
marketing, 15.2% indicated that the communication
tool is somewhat effective, 4.4% showed that the
tools are a little effective, and only 19.6% of told
that the communication tools are not effective.
These results confirm the rationale of
communication tools in improving relationship
marketing in companies. This, therefore, indicates
that the effectiveness of devices such as social
media-based communication, communication via
websites, and other communication tools helps to
enhance relationship marketing.
4.3 Chi-squares Analyse
Chi-square analysis helped in finding out the
relationship between the dependent and independent
variables, and the results are presented in the
subsequent Table 2 and Table 3.
Table 2. Cross-tabulation between communication
efforts and relationship marketing
Since the computed is greater than
the tabulated =3.841 and p=0.023<0.05, we reject
the null hypothesis and conclude a significant
relationship between communication efforts and
relationship marketing.
Table 3. Cross-tabulation between the effectiveness
of communication tools and relationship marketing
Since the computed is greater than the
tabulated =3.841 and p=0.013<0.05, we reject the
null hypothesis and conclude that there is a
significant relationship between the effectiveness of
communication tools and relationship marketing.
4.4 Diagnostic Tests
Test for Heteroscedasticity
The heteroscedasticity test is useful for determining
if the error components in cross-sectional data were
correlated across observations. Provided that the p-
value is greater than 5%, the null hypothesis states
that heteroscedasticity does not exist in the data.
Owing to the reported result of 0.6503>0.05, the
null hypothesis was not excluded at the threshold p-
value of 0.05. As a consequence, the data did not
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DOI: 10.37394/23207.2023.20.231
Stavros Kalogiannidis, Fotios Chatzitheodoridis,
Dimitrios Kalfas, Maria Paschalidou
E-ISSN: 2224-2899
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exhibit heteroscedasticity. Table 4 shows that the
null hypothesis of constant variance is not rejected,
as shown by a p-value of 0.6503.
Table 4. Breusch-Pagan test for heteroscedasticity
Ho: Constant variance
Variable: fitted values of relationship marketing
chi2(1)=
0.5326
Prob > chi2=
0.6503
Predictors: (Constant), Communication efforts,
Communication tools.
Test for Autocorrelation
The dependent variable must be independent, and
this was tested using the Durbin-Watson (d) test
which states that d=2 indicates that there is no
autocorrelation. The value of (d) always lies
between 0 and 4 where 0 shows that there is
autocorrelation while above 1 indicates the residuals
are interdependent, the results from the study
presented 3.051 which indicates that the residuals
are not autocorrelated as presented in Table 5.
Table 5. Durbin Watson test
Predictors: (Constant), Communication efforts,
Communication tools
4.5 Regression Test
Fitness of Model
All of the independent variables as well as the
dependent variable were subjected to a basic
regression analysis (relationship marketing). The
findings reported in Table 6 show the fitness of the
regression model employed to describe the study
phenomena. The independent factors
(communications efforts as well as communication
tools) explained relationship marketing well. As
shown in Table 6, the coefficient of determination,
often known as the R-square, is 0.708. This suggests
that communications and technologies account for
70.8% of the variance in the dependent variable,
relationship marketing.
Table 6. Model Fitness
Predictors: (Constant), Communication efforts,
Communication tools
Regression Coefficients
The results in Table 7 represent the coefficients of
regression for the independent variables.
Table 7. Coefficients of regression
Dependent Variable: Relationship marketing
The regression coefficients in Table 7 show the
level to which communication efforts and
communication tools, predict relationship
marketing. Regression coefficients revealed that
there was a positive and significant relationship
between communication and relationship marketing.
The hypotheses were tested and assessed as
below:
HO1: There is no significant relationship between
communication efforts and relationship marketing.
The p-value for communication efforts was
0.026 and therefore hypothesis H1 was accepted
since the value <0.05. The study therefore found
that communication efforts have a positive effect on
relationship marketing.
HO2: There is no significant relationship between
the effectiveness of communication tools and
relationship marketing.
The p-value of communication tools was 0.018
and therefore hypothesis H2 was accepted since the
p-value < 0.05. The study therefore confirmed that
there is a significant relationship between the
effectiveness of communication tools and
relationship marketing.
5 Discussion
Most mobile phone users were pleased with their
service provider's communication efforts. The
findings confirmed that communication efforts and a
significant relationship with relationship marketing
also applied to communication tools. The literature
review findings were similar, emphasizing, [55], the
concept of satisfaction as a person's feelings of
pleasure or dissatisfaction due to comparing a
product's perceived output to their expectations. As
a result, customer dissatisfaction emerges where
performance falls short of expectations. Many
businesses strive for high customer satisfaction
because it fosters an emotional connection with the
WSEAS TRANSACTIONS on BUSINESS and ECONOMICS
DOI: 10.37394/23207.2023.20.231
Stavros Kalogiannidis, Fotios Chatzitheodoridis,
Dimitrios Kalfas, Maria Paschalidou
E-ISSN: 2224-2899
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brand and increases customer loyalty, [72].
Delivering high customer satisfaction is the secret to
achieving high customer loyalty. The study’s
findings indicate that the service providers’
communication methods were successful in
supporting relationship marketing. SMS was the
most common mode of communication, followed by
mail, e-mail, and face-to-face conversation, [8],
[55]. This is apparent because the vast majority of
respondents were pleased with their service provider
of choice.
This study supports and adds to the findings of
other studies showing relationship strategies affect
consumers' loyalty to mobile phone service
providers. This research also confirms that
relationship marketing strategies for the service
sector that focus on service quality, pricing
perception, value offerings, and brand image have a
favorable effect on customer loyalty, as explored
and concluded by, [73]. One of a company's most
valuable assets is its capacity to attract and keep a
large base of devoted consumers. This is crucial
because it helps commercial organizations make
long-term profits from their loyal clients. So,
telecom marketers need to control the four strategies
included in this research to encourage both new and
current consumers to boost their purchases to
support a company's financial development, [56].
More than just creating a quality product,
setting an appealing price, and making it easily
accessible to the target market is all part of
marketing. Organizations must interact with their
clients, both existing and future. They must perform
the duties of a promoter and a communicator.
Communication is thus essential to the marketing
process, [5], [10]. An essential component of
marketing and developing relationships is the
communication between consumers and salespeople
as well as the information sharing between buyers
and sellers. Complex marketing communications
systems must be established, maintained, and
managed by organizations with their consumers,
distributors, suppliers, and many other publics, [56].
Each group interacts with the organization and gives
input to the others as well. So, the question of
communication for the majority of businesses is not
whether to communicate but rather what to say, to
whom, how, when, and where, [74].
According to the study, sustaining the customer
ties that support brand value is a crucial part of
relationship marketing communication. To put it
more precisely, it is a cross-functional process for
creating and sustaining profitable relationships with
customers and other stakeholders by strategically
influencing all communications sent to these groups
and encouraging data-driven, meaningful
interactions with them. According to, [75],
employing just mass approaches like advertising,
sponsorship, and publicity makes it hard for a
marketer to develop successful contact with the
target clients. The traits that set the marketer apart
from the competition are the rapport, empathy,
discourse, connection, and communication that they
develop with the prospect. The development of
customer satisfaction based on marketing
communication might occur directly via personal
experience or less directly through other people's
opinions and experiences. The perceived quality of
the service and the length of the connection are both
factors in satisfaction. As a result, excellent service
must be offered throughout the delivery process.
Over time, satisfaction strengthens the
organization's perceived dependability and
influences customers’ choice for different telecom
services, [75].
The majority of mobile phone consumers
expressed satisfaction with their service provider's
communication efforts. Most respondents said that
their service provider's marketing materials were
eye-catching and that they interacted with them
often. The results of the literature review were
consistent with those of the study, emphasizing,
[76], the definition of satisfaction as a person's
emotions of pleasure or disappointment as a result
of evaluating a product's perceived performance in
relation to customer’s expectations. Customer
discontent results from perceived performance
falling short of expectations, while customer
satisfaction results from performance exceeding
expectations, according to the relationship between
satisfaction and perceived performance and
expectations. As this fosters an emotional
connection with the brand and fosters strong
consumer loyalty, many businesses strive for great
customer satisfaction. Providing great customer
value is the key to fostering strong customer loyalty.
The overall role that customer satisfaction plays in
the development of relationships is straightforward,
as a disgruntled client would often look for another
service provider.
Moving from market share to customer share is
relationship marketing. The transaction should be
seen as the start of a long-term partnership. Despite
the fact that this study's findings show that service
providers' communication efforts lead to pleased
clients, they should still work to fortify ties by
turning disinterested clients into ardent supporters of
the business via effective communication, [1]. The
individual demands of clients must be better
understood by service providers. They may do this
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DOI: 10.37394/23207.2023.20.231
Stavros Kalogiannidis, Fotios Chatzitheodoridis,
Dimitrios Kalfas, Maria Paschalidou
E-ISSN: 2224-2899
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by doing in-depth marketing research. As a result,
they will be able to customize their solutions to
meet the diverse demands of their clients, [74].
Service providers must keep their word about
delivery dates and give fast assistance to clients.
Starting from the beginning of the relationship is
necessary for this. They must have a proactive
relationship marketing strategy. This will assist
them in better understanding their clients and
develop and boost their brand image, [73]. To
establish sustainable long-term partnerships, service
providers must modify their systems and operational
processes to assure improvements in both the
amount of client privacy and the degree of consumer
trust.
6 Conclusion
The study confirms the impact of Communication
on Customer Relationship Marketing in telecom
companies. The purchase of a telecom service is
considered the start of a long-term relationship with
a telecom service provider. Whereas the study
findings confirm that service providers'
communication efforts influence customer
satisfaction, companies should also aim to
strengthen relationships by converting indifferent
customers into loyal advocates of the business
through appropriate communication. Service
providers must better understand customers' basic
requirements. They will do so by conducting
extensive market research, enabling them to tailor
their services to the specific needs of their
customers.
Customers need to consider where their service
provider is going in the future. Customers must be
kept informed or aware of the different long and
medium-term plans, new technologies, and any
major changes. Service providers must always be
prepared to assess their results with key customers
and consequently discuss strategies for enhancing
performance, in addition to evaluating customer
satisfaction. Service providers can show high
standards of customer care by adopting this
constructive approach to performance assessment.
Service providers must stick to their
commitments in terms of timeliness and be prompt
in assisting their customers, and this should begin at
the start of the relationship. They must build a
strategic partnership marketing strategy, and this
will aid in developing a deeper understanding of
their customers and the improvement and
enhancement of their image. To ensure sustained
long-term relationships, service providers must
amend their processes and operating procedures to
ensure changes in both the level of customer privacy
and the degree of customer confidence.
6.1 Benefits of Relationship Marketing
Telecommunications companies are among the
businesses that led in Customer Relationship
Marketing, because of the services they offer, but
also the communication medium they serve.
Nevertheless, they are also among the first
companies to use artificial intelligence in customer
relationship marketing, both at the voice level and at
the written level (e-mail, SMS, etc.). In the future,
our research team intends to investigate through
extensive surveys the customer satisfaction of
telecommunications companies from the use of
artificial intelligence in the context of customer
relationship marketing they implement. Based on
empirical observations and the need to improve
customer relationship marketing by
telecommunications companies, it is estimated that
they should use artificial intelligence in the
Customer Relationship Marketing context sparingly
and solely based on data that reflects their customer
opinions.
Customer relationship marketing presupposes,
according to the results of this study, if not
'personalized' communication and business-
customer relationship, at least communication based
on specific services that will meet the wishes, solve
problems, and inform the customers.
On this basis, telecommunications companies it
is necessary:
They are staffing with personnel who will be
employed exclusively in customer relationship
marketing, without outsourcing these services to
external subcontractors (outsourcing, call
centers, etc.).
They are training the staff in customer
relationship marketing techniques and
conjunction with relevant artificial intelligence
services, create 'relationships' of trust between
customers and the provider they represent.
To be adopting, loyal customer reward practices
to reward customer consistency and build
further relationships of loyalty and trust.
Classic selected approaches with customers,
such as greeting cards in hard-copy not in
electronic form, etc., although they create
additional costs, should be studied whether they
should be adopted as they create additional
emotional relationships of the customer with the
business.
Information and communication should not be
associated with long waits for the customer
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DOI: 10.37394/23207.2023.20.231
Stavros Kalogiannidis, Fotios Chatzitheodoridis,
Dimitrios Kalfas, Maria Paschalidou
E-ISSN: 2224-2899
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either on telephone lines and call centers or
answering e-mails, but with immediate
response.
Evaluation of customer relationship marketing
services should be carried out in a direct and
meaningful way and not by the use of SMS or
the use of short questionnaires but conducted
through focus groups and in-depth interviews
with selected customer informants.
Acknowledgement:
This research did not receive any specific grant from
funding agencies in the public, commercial, or not-
for-profit sectors. The authors thank the editor and
the anonymous reviewers for the feedback and their
insightful comments on the original submission. All
errors and omissions remain the responsibility of the
authors.
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