As a tool for strategic management, benchmarking is rather important in enabling companies to evaluate their performance against market leaders and pinpoint areas requiring work on client retention. Supported with pertinent Harvard style references, this essay tries to explore the idea of benchmarking in customer retention and its relevance. Customer retention is the
capacity of a company to keep current members over a given period. It entails the creation and application of plans to improve loyalty, lower customer turnover, and raise consumer lifetime value (Blut et al., 2018). Conversely, benchmarking is the methodical process of comparing the performance of a company against those of its rivals or industry leaders (Camp, 1989). For companies trying to enhance their client retention policies, benchmarking
is an invaluable tool. Organizations can find best practices and areas of development by matching their performance measures—which include customer satisfaction, loyalty, repeat purchase rate, and customer turnover rate—with industry benchmarks (Baashar et al, 2020). This approach facilitates the development of reasonable objectives, creation of efficient
efficient use of resources to improve customer
retention initiatives (Casadesus-Masanell & Ricart, 2010). Benchmarking has one major advantage since the Technology Acceptance Model looks at how consumers embrace and accept new technology (Davis, 1989). Regarding e-commExamining whether customers' expectations are met or surpassed following a purchase or service helps the Expectation-
Confirmation Model to explain customer satisfaction and retention (Oliver, 1980). Primark must precisely control consumers' pre-purchase expectations in the e-commerce fashion sector by means of well defined product descriptions, photos, and user evaluations. Primark can also concentrate on providing outstanding customer service, on-time delivery, hassle-free
return policies, and tailored advice to either match or surpass consumer expectations following purchase. In line with the ECM, one can improve customer happiness, generate good confirmation of expectations, and build customer loyalty. Oliver (1980) stresses that first meeting consumers' expectations is with precise, thorough product descriptions and premium
visuals Primark should make sure their
online store clearly and succinctly shows product information including materials used, sizing choices, and color variations. Including consumer-generated images or reviews will also help to further validate product quality (Oliver, 1980). Customer satisfaction and expectations are met in part via quick resolution of questions and hassle-free returns and exchanges. By
providing live chat assistance, open lines of contact, and proactive issue resolution, Primark can make investments in bettering customer service (Oliver, 1980).Erce fashion companies; the TAM can be pertinent for retention and satisfaction. Since more and more consumers like to buy using their cellphones, Primark should concentrate on making sure their website is
mobile device compatible ( Davis, 1989). The e-commerce fashion company depends much on developing trust. Offering safe payment choices and conspicuously showing security certificates on the website will help to allay consumer worries about online transactions and inspire them to utilize Primark's e-commerce system (Davis, 1989).knowing consumers' plans to make and maintain use of an online platform. Primark must make sure their e-commerce
system provides flawless navigation
purchase experiences, and is aesthetically pleasing. Through matching the TAM values—such as perceived utility and simplicity of use—Primark can raise customer happiness, so fostering better retention rates. Davis ( 1989) contends that consumer acceptability of a technology is much influenced by how easy it is shown to use. A well-designed, easy-to-use,
aesthetically pleasing e-commerce platform with flawless checkout procedures and navigation will help customers to identify industry and market stBuilding and preserving long-term client relationships is the emphasis of Relationship Marketing Theory (Gronroos, C., 1990). Using tailored interactions and ongoing communication, the approach stresses the need of client
retention and loyalty. Primark might apply relationship marketing strategies including tailored email marketing, loyalty programs, and customer segmentation based on buying trends and preferences in the framework of e-commerce fashion company. According to this view, giving consumers a unique and unforgettable experience will improve their loyalty and finally help to
Conclusion
keep them.According to (Gronroos, 1990), keeping and developing customer relationships depends mostly on individualized contacts and communication. In the e-commerce sector, factors including tailored promotions, personalized recommendations based on purchase history, and focused email marketing campaigns can improve client retention (Gronroos, Primark can encourage consumers to remain brand loyal and make repeat purchases and
standards by presenting loyalty programs with incentives, discounts, or special access to events. Benchmarking helps companies in the same sector learn and share information by examining the actions of industry leaders. Organizations that research and implement best practices from industry leaders foster cooperation and knowledge sharing (Wernerfelt, 1984). Benchmarking techniques in customer retention, according to a study by (Yasin, 2002),
resulted in knowledge transfer between companies, so enabling the adoption of effective actics and the growth of creative approaches to improve customer retention. Benchmarking client retention also offers a foundation for performance goals setting. Organizations can set reasonable and attainable targets for customer satisfaction, retention rates, and customer lifetime value by means of performance relative to industry standards.