Customer Bonding As A Strategy For Retaining Customers' Loyalty In Smes

CHAPTER ONE INTRODUCTION 1.1 Background to the study Several organizations including small and medium enterprises spend a significant part of their time, energy and resources chasing new business ideas. Even though it is important to replace lost business, grow the business and expand into new markets, one of the primary goals is to keep existing customers and enhance customer bondings (Weinstein, 2002). Thus, the cost of acquiring new customers can be up to 10 times the cost of retaining existing ones, and even a small increase in retention rates can add thousands of cedis to premium revenue.…