Customer Relationship Management (CRM) systems have been promoted as a tool by which organisations can differentiate their price/product offer between increasingly small market segments. However, differentiation by CRM is generally based on an assumption of privacy of dialogue. Where the privacy assumption is breached and consumers compare the offers that they have received from a supplier, trust in the supplier may be undermined on the basis that a buyer perceives that they have received less favourable treatment. This paper explores the theoretical reasons underlying the apparent conflict between discriminatory pricing and relationship trust. Preliminary results of an experimental longitudinal study of the effects on trust of discriminatory pricing between two groups of consumers are reported.
|Title of host publication||Proceedings of the 33rd European Marketing Assocaiteion Conference, University of Murcia|
|Place of Publication||Spain|
|Publication status||Published - May 2004|
McMahon-Beattie, U., & Palmer, A. (2004). CRM, Dialogue and Trust: The Effects on Trust of Differentiated Messages. In Proceedings of the 33rd European Marketing Assocaiteion Conference, University of Murcia (pp. 524-535). Spain.