Question 1.

Nowadays, the world is changing so fast in any aspect - the economic environment, the demands both of the customers and the investors. The competition is so severe and it actually makes things happen. Every day new ideas connected to advertising, distribution and selling of a product are being developed.
Therefore in order to be successful, profitable, to develop itself and to prosper as a whole companies should focus on constantly improvement of the quality, productivity and speed to market as well as innovation of the products and processes. And last but not least, the attitude toward customers is extremely important. The management of strong customer relationships is maybe the key toward success.
Christian Dior is, I dare to say, one of those succeeded to manage all this and to become a 'name' on the market.
As a whole, Dior is operating on the mass market. And on the mass market, as it is known, there are no personal relationships. The main tool that can be used in order to build up the customer relationships is branding. And Dior is a brand name.

The whole idea of the branding is to make customers able to identify the product or the service and to differentiate it from the competitors. Once became a name, the brand communicates the quality. Even before we buy something with the name 'Dior', we already expect the quality. But in order to prove itself on the market, very often the company, the producer, etc. need to stay quite long on that market, to perform better and better, to increase its market share and to win more customers while making them satisfied and loyal. Therefore, the value of the brand, in fact, depends on the brand history. Christian Dior has long enough history. Started only as a fashion designer, Dior extended its production, adding different products as accessories, cosmetics and even handbags.

Dior decided to extend its market, just because this brand has become so well known, with so many loyal customers, that the appearance of any new product will be fast accepted on the market and consumed by the customers. This is because of the effect of the brand knowledge and the customer response to that particular brand. Any loyal consumer, wearing Dior clothes, shoes and earrings, would buy the Dior perfume as well. And if a new product is launched on the market and this is the Dior hand bag, that respective customer will have it for sure.

These are, somehow, the kind of relationships that the seller establishes with the buyer. Brand awareness and brand image are achieved in order to be established the brand knowledge. And the more involved in the brand, the more loyal the customer will be. However, the brand knowledge itself is not enough for reaching to the final step, meaning the behavioural outcome, which is the current and the future purchase.
Brand relationship is needed as well. Satisfaction, attachment and trust are necessary in order to be established those relations. They are the mediators of the behavioural outcomes. The satisfied customer will come back for sure, and once having his/her trust you gain a loyal client which is the goal of any successful company. But it is extremely important, that a brand will not create any value unless it is credible. Credibility is also a key element in establishing strong relationships with the customers.

It should be also mentioned the brand congruency as a significant element from building the relationships. The more congruence, the more personal relationship with the brand is settled. Of course this brand congruency could be measured by a lot of tests, surveys, etc.
Very meaningful, or as it is said 'rings the bell' is when a real person is somehow involved in the brand; when a brand is represented by a person for a long time, as Pepsi from Michel Jackson for instance. Or if not directly in this way, but it could contribute a lot for the overall perception of a specific brand and this way for the customers' relationships with it, when a famous person is involved somehow. Of course the best case is when a popular person is loyal customer of a brand and of course this person is loved from a large authority.
In the case of Dior, such a person is Carla Bruni ' Sarkozy, who is said to tote the Dior 'Babe'.

As a conclusion, the relationships that a seller, and particularly Dior, should build up with his customers should be always based on a successful branding. Because being a strong brand with clear and credible history, a seller can provide strong benefits to customers. This way they will become satisfied and loyal.

Source: Essay UK -

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