Competing within a changing world A Rolls-Royce case study
Page 4: Improving service
The aero-engine market is vertical with a limited number of buyers. The customers of Rolls-Royce need to satisfy both their future and present needs. In the past, decisions about aero-engines were largely based upon cost and efficiency.
However, in today’s more competitive environment, Rolls-Royce’s customers look for a much more complete service. Buying an aero-engine is a long-term decision. In this very competitive environment, a key element is relationship marketing. Through this process, Rolls-Royce and its staff have learned to develop activities and services that build good relationships with its customers.
Customers are increasingly looking for a much more complete service. Although the product will always be important, customers expect higher levels of service such as the shipping of parts, after care service and total customer care. Where total customer care is successfully provided alongside efficient products, occasional customers become regular customers and then regular customers become advocates.
The Rolls-Royce share of the competitive secondary engine parts market has been growing. An emphasis upon total care is at the heart of the growth strategy. Rolls-Royce provides parts and a service for its customers that extends through the operational product life-cycle.