Summary Marketing an introduction chapter 1,2,6,7,8 Gary Armstrong, Philip Kotler

Chapter 1

What is Marketing?

- The process by which companies create value for customers and build strong customer
relationships in order to capture value from customers in return.’’

The Marketing process



Understand Design a Construct Build Capture
the customer- an profitable value from
marketplace driven integrated relationships customers
and marketing marketing and create to create
customer  strategy  program  customer  profits and
needs and that delight customer
wants delivers equity
superior
value




Understanding the Marketplace and Customer Needs

There are five core customer and marketplace concepts which you need to understand and explain

1. Needs, Wants and Demands
2. Market offerings (product, services and experiences)
3. Value and satisfaction
4. Exchanges and relationships
5. Markets

Customer Needs, wants and Demands

Needs
States of felt deprivation

They include basic physical needs for food, clothing, warmth and safety
Social needs for belonging and affection
Individual needs for knowledge and self-expression


Wants
The form human needs take as they are shaped by culture and individual personality

Example: A person needs food, but wants a Big Mac, French fries and a soft drink.

Demands