EFFECTS OF RELATIONSHIP MARKETING ON PERFORMANCE OF EVENT MANAGEMENT FIRMS IN OSUN STATE, NIGERIA

Abstract

Relationship marketing can be defined as a managerial strategy that focuses on building long term relationships that are beneficial to customers and event firms. Thus, measuring the effects of relationship marketing on performance of event management firms in Osun State, Nigeria became expedient, as recent growth of event firms around the globe is increasing. The main objective of this study is to examine the effects of relationship marketing on the performance of event management firms in Osun state, while specific objectives are usedtodeterminehow complaints handling, commitment, trust and communication influences customer loyalty. A descriptive survey design is used and a self-structured questionnaire was administered to obtain primary data from 390 respondents randomly drawn from 30 local government areas of the State. Data was analysed using Partial Least Square method with the aid of Structural Equation Modelling. The study revealed that relationship marketing has a significant positive effect on the performance of event management firms in Osun state with p<0.000, 0.239, 0.003 and 0.001, jointly and significantly affecting customer loyalty at (r=0.351, Adj. R2 =35%). Strategically, the study recommends that event firms that have not adopted proper and prompt complaints handling, show appreciable organizational commitment, built its trust in the mind of customers, and maximize its communication system effectively, should please do so in order to acquire, retain and increase loyal customers. Lastly, continuous training programs that enhance customer loyalty should systematically be put in place.