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Dr. Barnes is a widely published author, having published seven books. His management book, Secrets of Customer
Relationship Management: It's All About How You Make Them Feel was published by McGraw-Hill in 2001, has
worldwide distribution and has been translated into four languages. Also to his credit is Marketing, the
best-selling textbook in Canada, now in its 10th edition. His next book, Build Your Customer Strategy,
will be published by John Wiley & Sons in 2006.
Reviews of Customer Relationship Management: It's All About How You Make Them Feel.
"Drawing upon extensive consulting and research experiences, Barnes' book provides much original
thinking and insight on the subject of relationships that helps marketers put the "R" back into CRM.
Importantly, Barnes provides practical ideas for relationship-savvy segmentation schemes that can
deliver increased value toward this end.
Barnes explores CRM not as a marketing responsibility, nor a technology initiative, but as a
consumer-centric organizational capacity that delivers shareholder value."
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Susan Fournier, Harvard Business School
Managing Service Quality
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"Many marketing people still pursue interactive sales solely for their immediate cash return rather
than the contribution they can also make to brand values - hence 'loyalty' programmes which have
nothing to do with real loyalty. No-one who has read this highly readable and significant book would
ever make that expensive mistake."
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Sir Martin Sorrell
Chief Executive
WPP GROUP PLC
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"A wise and thoughtful book by an author who understands to the core that customer relationship
management is about human connections."
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Leonard L. Berry
Distinguished Professor of Marketing
Texas A&M University and author of
Discovering the Soul of Service
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"And it is only a strong emotional relationship with a company that elicits true customer loyalty.
Secrets of Customer Relationship Management outlines the logic behind implementing this kind of CRM,
makes clear the ensuing economic benefits and also discusses both how to create strong customer
relationships and how to measure the health of a company's current customer relationships.
Barnes' gentle and patient writing style makes for a pleasurable read, and helps to convince his
reader of the absolute logic of his argument. By the end of the book, the reader will likely wonder
why their company hadn't come to Barnes' conclusion years ago."
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Marketing Magazine
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SECRETS OF CUSTOMER RELATIONSHIP MANAGEMENT:
IT'S ALL ABOUT HOW YOU MAKE THEM FEEL
James G. Barnes, McGraw-Hill Companies, 2001.
A new softback edition of this best-selling book by Jim Barnes may be ordered from McGraw-Hill
Ryerson Limited, 300 Water Street, Whitby, ON, CANADA. Telephone 1-800-565-5758. Reference
custom publication ISBN 007 095 1926.
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Chapter Summaries:
Chapter 1: The Changing Nature of Marketing and Customer Service
This chapter examines the changes that have taken place in the theory and practice of marketing in
the past twenty years or so-moving away from an emphasis on selling and the marketing mix toward a
broadened view of what will lead to long-term customer satisfaction and a focus on customer retention.
It includes the author's view of what marketing really means and what is necessary to create genuine
relationships with customers.
Chapter 2: The Economics of Customer Relationship Building
This chapter demonstrates the payback to be gained from customer retention; validating the observation
that customers become more profitable the longer they continue to patronize a firm. This chapter not
only includes a summary of the results published by others that show that long-term customers are
financially more profitable, but also includes the author's own experience and results that point to
the fact that there are many positive indirect, non-monetary effects from long-term customer retention.
Chapter 3: Customer Satisfaction:
Necessary Precursor to Customer Relationships
This chapter explores in some detail the concept of customer satisfaction as the fundamental and
essential component of customer relationships. It explores the importance of satisfying customers and
presents the author's model of the factors that drive customer satisfaction, moving from predictable
marketing variables such as product and price to the generally more important, but often ignored,
factors of how customers are treated and how they are made to feel by the firm.
Chapter 4: The Customer's Definition of Value
This chapter explains why the concept of "value" is fundamental to marketing success. It is value that drives customer
satisfaction, and the concept of creating and adding value is a solid one that demands management attention. The issue
is one of knowing how to create and add value for the customer. This chapter will examine value from the customer's
perspective, explaining what the author has learned from more than 30 years of research with customers of companies in
many industries in North America and Europe.
Chapter 5: The Nature of Relationships
This chapter explores the concept of a relationship from the perspective of the customer. It examines
how many firms define customer relationships and will explain why the customer does not consider
programs such as frequent-shopper clubs to represent a true relationship. Drawing on the author's
research in social psychology, this chapter presents a view of what is considered a genuine
relationship-one characterized by emotions and feelings. Where such feelings are not present, a solid,
genuine customer relationship does not exist.
Chapter 6: Building Long-term Relationships
This chapter builds on Chapter 5 and explores the essential building blocks of a customer relationship;
dimensions such as trust, commitment, communications, and empathy. It lays out strategies for the
creation of genuine, long-term customer relationships, and will demonstrate why there is something
missing from a database or direct-marketing approach to relationship creation. The chapter will show
how firms can build upon the existence of a customer database to create solid relationships.
Chapter 7: What Small Firms Can Teach us About Relationships
This chapter builds upon the notion that many small firms have been successfully practising
relationship marketing for generations-often without even realizing it. Examining a number of case
studies, this chapter presents an analysis of what small firms do well in developing and sustaining
long-term, genuine relationships with their customers. How larger firms can adapt the approaches of
small companies is also explored, with strategies for creating a small-firm feel in a larger
organization.
Chapter 8: Measuring the Equity in Customer Relationships
This chapter discusses the importance of measurement in the management of customer relationships.
Unless a company employs some form of measurement to gauge the state of the relationship, it will not
be in a position to make improvements. In this chapter, the author presents his proven approach to the
measurement of customer relationships, one which is currently being used by large companies in Canada,
the United States and Europe.
Chapter 9: Identifying Relationships at Risk
This chapter proposes a system for identifying situations where relationships are in danger of failing.
Telltale signs of relationship failure are identified and strategies are presented for restoring the
relationship. Knowing where relationships are strongest and weakest is essential if a company is to
manage its customer relationships successfully. An approach to determining when relationships are
vulnerable is presented. Threats to strong relationships are discussed, including the use of technology.
Chapter 10: Establishing Customer Relationships on the Internet
This chapter addresses the very timely subject of establishing and maintaining customer relationships
over the Internet. The principles of genuine customer relationships that have been presented in earlier
chapters are applied to the Internet and examples presented of a number of companies that are making
use of solid approaches to relationship building online. Results are presented from the author's
research on e-retailing and Internet banking in the North American market.
Chapter 11: Extending the Concept of Relationships
This chapter extends the concept of relationships to situations where the firm's direct contact with
its customers is very infrequent or non-existent, as in the case of manufacturing firms that rarely
interact directly with their end customers. The concept of "brand relationships" is introduced and
examined in detail, and strategies for developing and maintaining relationships with brands are
presented. The concept is also extended to the increasingly important area of corporate sponsorships,
which is presented as an application of relationship thinking.
Chapter 12: A Strategic Approach to Relationships
This chapter presents a strategic overview of how a company can make customer relationships an essential
component of its strategy for growth and long-term success. The chapter examines how a firm can
position and differentiate itself on the basis of how it creates genuine customer relationships. It also
examines the concept of relationship segments; exploring the argument that all customers are not equal
or the same and, therefore, demand different types of relationships. Finally, it explores the extension
of the concept to the establishment of relationships with suppliers, employees, channel members, and
shareholders.
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