Chapter
Creating and capturing Customer Value
Marketing: involves creating value for customers and building strong customer
relationships in order to capture value from customers in return.
Goals:
• Attract new customers by promising superior value
• Keep and grow current customers by delivering satisfaction
Forms of Marketing:
1. Traditional: View is Making a sale- Abundance of products in the nearby shopping centers,
television, magazine, and direct-mail ads
2. Contemporary: View is Satisfying customer needs - Imaginative Web sites and mobile
phone apps, blogs, online videos, and social media - Reach customers directly, personally,
and interactively
The Marketing Process: Creating and Capturing Costumer Value:
Understanding the Marketplace and Costumers Needs core concepts are:
Needs, wants and demands
Market offerings (products, services and experiences)
Value and satisfaction
Exchanges and relationships
Markets
Costumer Needs, Wants and Demands:
Needs: a state of felt deprivation. Basic physical needs include food, clothing, warmth and safety a
sense of belonging these needs are not created by marketers, but just part of Human make-up
Wants: the form taken by human needs when shaped by culture and individual personality
Demand: human wants that are backed by buying power
Market Offerings; is a combination of products, services, information or experiences 1.offered to a
market to satisfy a need or a want. Or, 2.entities as products, services, people, places, organizations,
information and ideas.
Marketing Myopia: is when paying more attention to the specific product a company offers than to
the benefits and experiences produced by these products.
Costumer Value and Satisfaction: costumers form expectations about the value and satisfaction of
market offerings. Satisfied customers buy again and spread the word; dissatisfied costumers switch
to competitors and criticize the product to others.
1
,It is important that marketers set the right level of expectations.
Low expectation= only satisfy those who buy but fail to attract enough buyers
High expectations= may disappoint buyers
Exchanges and Relationships
Exchange: the act of obtaining a desired object from someone by offering something in return
Because marketing consists of creating, maintaining and growing desirable exchange relationships
with target audiences, Marketers build strong relationships by consistently delivering superior
customer value.
Markets: the set of all actual and potential buyers of a product or service.
Consumers Market: search for products, interacts with companies to obtain information and make
purchases.
Customers-Managed Relationships: are important as customers are empowered and marketing is
made a two-way affair.
Modern Marketing System:
DESIGNING A CUTUMER-DRIVEN MARKETING MANAGEMENT
Marketing Management: choosing target markets and building profitable relationships with them;
its main orientations are:
Production concept; holds that customers will favor products that are available and highly
affordable. Therefor management should focus on improving production and distribution
efficency
Product concept; holds that customers will favor products that offer the most quality,
performance and innovative features. Therefor marketing focuses on making continuous
product improvements. Be careful to marketing myopia.
Selling concept; holds that customers will not buy enough of the firm’s products unless it
undertakes a large-scale selling and promotion effort. It is practiced with unsold goods. High
risk( yes creating sales transactions – no building long term customers relationships)
Marketing concept; holds that achieving organizational goals depends on knowing the needs
and wants of target markets and delivering the desired satisfactions better than competitors
do.
Societal marketing concept; holds that achieving organizational goals depends on knowing
the needs and wants of target markets and delivering the desired satisfaction better than
competitors do.
2
, (grafico segue nella pagina successiva)
Main factors to design a winning marketing strategy:
1. Target market
2. Value Proposition
Societal Marketing Concept: the idea that a company’s marketing decisions should consider
consumers’ wants, the company’s requirements, consumer’s long-run interests, and society’s log-run
interests.
Three considerations underlying the Societal Marketing Concept:
Marketing Mix: is the set of marketing tools the firm uses to implement its marketing strategy.
These are:
Product
Price
Place
Promotion
Each tool should be blended into a comprehensive integrated marketing program
Customers Relationship Management: delivering a superior customer value and satisfaction to build
and maintain profitable customer relationships.
3
Creating and capturing Customer Value
Marketing: involves creating value for customers and building strong customer
relationships in order to capture value from customers in return.
Goals:
• Attract new customers by promising superior value
• Keep and grow current customers by delivering satisfaction
Forms of Marketing:
1. Traditional: View is Making a sale- Abundance of products in the nearby shopping centers,
television, magazine, and direct-mail ads
2. Contemporary: View is Satisfying customer needs - Imaginative Web sites and mobile
phone apps, blogs, online videos, and social media - Reach customers directly, personally,
and interactively
The Marketing Process: Creating and Capturing Costumer Value:
Understanding the Marketplace and Costumers Needs core concepts are:
Needs, wants and demands
Market offerings (products, services and experiences)
Value and satisfaction
Exchanges and relationships
Markets
Costumer Needs, Wants and Demands:
Needs: a state of felt deprivation. Basic physical needs include food, clothing, warmth and safety a
sense of belonging these needs are not created by marketers, but just part of Human make-up
Wants: the form taken by human needs when shaped by culture and individual personality
Demand: human wants that are backed by buying power
Market Offerings; is a combination of products, services, information or experiences 1.offered to a
market to satisfy a need or a want. Or, 2.entities as products, services, people, places, organizations,
information and ideas.
Marketing Myopia: is when paying more attention to the specific product a company offers than to
the benefits and experiences produced by these products.
Costumer Value and Satisfaction: costumers form expectations about the value and satisfaction of
market offerings. Satisfied customers buy again and spread the word; dissatisfied costumers switch
to competitors and criticize the product to others.
1
,It is important that marketers set the right level of expectations.
Low expectation= only satisfy those who buy but fail to attract enough buyers
High expectations= may disappoint buyers
Exchanges and Relationships
Exchange: the act of obtaining a desired object from someone by offering something in return
Because marketing consists of creating, maintaining and growing desirable exchange relationships
with target audiences, Marketers build strong relationships by consistently delivering superior
customer value.
Markets: the set of all actual and potential buyers of a product or service.
Consumers Market: search for products, interacts with companies to obtain information and make
purchases.
Customers-Managed Relationships: are important as customers are empowered and marketing is
made a two-way affair.
Modern Marketing System:
DESIGNING A CUTUMER-DRIVEN MARKETING MANAGEMENT
Marketing Management: choosing target markets and building profitable relationships with them;
its main orientations are:
Production concept; holds that customers will favor products that are available and highly
affordable. Therefor management should focus on improving production and distribution
efficency
Product concept; holds that customers will favor products that offer the most quality,
performance and innovative features. Therefor marketing focuses on making continuous
product improvements. Be careful to marketing myopia.
Selling concept; holds that customers will not buy enough of the firm’s products unless it
undertakes a large-scale selling and promotion effort. It is practiced with unsold goods. High
risk( yes creating sales transactions – no building long term customers relationships)
Marketing concept; holds that achieving organizational goals depends on knowing the needs
and wants of target markets and delivering the desired satisfactions better than competitors
do.
Societal marketing concept; holds that achieving organizational goals depends on knowing
the needs and wants of target markets and delivering the desired satisfaction better than
competitors do.
2
, (grafico segue nella pagina successiva)
Main factors to design a winning marketing strategy:
1. Target market
2. Value Proposition
Societal Marketing Concept: the idea that a company’s marketing decisions should consider
consumers’ wants, the company’s requirements, consumer’s long-run interests, and society’s log-run
interests.
Three considerations underlying the Societal Marketing Concept:
Marketing Mix: is the set of marketing tools the firm uses to implement its marketing strategy.
These are:
Product
Price
Place
Promotion
Each tool should be blended into a comprehensive integrated marketing program
Customers Relationship Management: delivering a superior customer value and satisfaction to build
and maintain profitable customer relationships.
3
