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Managing Customer Relationship- Qualifying prospects for relationship building

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The Qualifying Prospects for Relationship Building (QPR) matrix The relationship matrix method is based on the relationship life cycle theory that can be used to determine what priorities should be given in managing customer relationships. To ensure long-term profitability and value creation, a company should focus on building a strong and lasting relationship for continuous growth in terms of value and profit. It has 2 dimensions: Potential profitability of customer and opportunities for adding value. The basic idea behind the matrix is that the customer having highest potential profitability and which gives the highest opportunities for adding value the better it is for the company. Placing profitability/opportunities in the matrix results in 4 approaches in the qualifying prospects for relationship building of a company: 1. Build a Strong and lasting relationship (=high profitability, high opportunity for adding value).- use large amounts of cash and are leaders in the bu
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