To fade or not to fade? That is the question in customer relationships, too

In the services literature, there is a significant lack of studies that focus on the phase preceding the ending of a relationship – that is, the phase during which there is a weakening of a customer relationship. The purpose of this study is to describe and analyse the fading process of customer relationships in the service industry. First, it aims to discover empirical triggers for the fading of customer relationships. Second, it aims to identify dimensions of fading in customer relationships and to reveal underlying elements in these dimensions. Third, it aims to disclose the main critical risk elements of fading in customer relationships in specific fading groups. A mail survey is conducted in one case company in the service industry. The data are reduced by means of factor, discriminant, and classification analysis. Dimensions of fading in customer relationships include alliance partners, personal telephone services, technical support services, and award points.

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