Marketing Test

• Marketing


  The process by which companies engage customers, build strong customer relationships, and create customer value in order to capture value from customers in return
• Marketing goal


  Create value for customers in order to capture value from customer in return
• Marketing Mix


  A set of tools that work together to engage customers, satisfy customer needs and build customer relationships
• Marketing Process


  1. Understand the marketplace and customer needs and wants

  2. Design a customer-value driven marketing strategy

  3. Construct an integrated marketing program that delivers superior value

  4. Engage customers and build profitable relationships and create customer delight

  5. Capture value from customers to create profits and customer equity

  
• Core customer and marketplace concepts

  • Needs, Wants and demands
  • Market offerings : Product, Service, Experiences
  • Customer value and satisfaction
  • Exchanges and relationships
  • Markets
• Needs


  States of felt deprivation. Basic physical, social and individual needs
• Wants


  Human needs take as they are shaped by culture and individual personality
• Demands


  Wants backed by buying power
• Market offerings


  Products, services and experiences customer needs and wants are fulfilled through
• Service


  Intangible and does not result in the ownership of anything
• Marketing Myopia


  Focus only on existing wants and lose sight of underlying customer needs. A product is only a tool to solve a consumer problem
• Customer value and Satisfaction

  Customers form expectations about the value and satisfaction that various market offerings will deliver and buy accordingly
• Exchange


  Act of obtaining a desired object from someone by offering something in return
• Markets


  The set of actual and potential buyers of a product or service. These buyers share a particular need or want that can be satisfied through exchange relationships
• Marketing Management


  The art and science of choosing target markets and building profitable relationships with them

  
• Marketing Management goal


  Engage, keep and grow target customers by creating, delivering and communication superior customer value
• Key elements of a Customer Value-Driven Marketing Strategy


  • Selecting Customers to Serve
  • Choosing a Value Proposition
  • Selecting a Marketing Management Orientation

  
• Value proposition


  The set of benefits or values it promises to deliver to consumers to satisfy their needs
• Marketing Management Orientations


  • Production (Mass production)
  • Product
  • Selling
  • Marketing
  • Societal Marketing

  
• Production orientation


  Consumers will favor products that are available and highly affordable. Focus is on improving production and distribution efficiency
• Product orientation


  Consumers will favor products that offer the most quality, performance, and innovative features. Focus is on making continuous improvements to the product
• Selling orientation


  Consumers will not buy enough of the firm's product unless it undertakes a large-scale selling and promotion effort. Focus is on creating sales transactions rather than building long-term profitable customer relationships
• Marketing orientation


  Achieving organizational goals depends on knowing the needs and wants of target markets and delivering desired satisfaction better than competitors do. Focus is on customer needs and integrating all marketing activities that affect customers

  
• Societal marketing orientation


  Should deliver value to customers in a way that maintains or improves both the consumers and society's well-being. Creates shared value by creating economic value in a way that also creates value for society
• CRM (Customer Relationship Management)

  The overall process of building and maintaining profitable customer relationships by delivering superior customer value and satisfaction
• Customer perceived value


  The customers evaluation of the difference between all the benefits and all costs of a market offering relative to those of competing offers
• Brand advocacy


  Satisfied customers initiate favorable interactions with others about the brand
• Customer equity


  The total combined customer lifetime values of all of the company's current and potential customers. It may be better than sales and market share, as those reflect the past
• Marketing environment


  Consists of the actors and forces outside marketing that affect marketing management's ability to build and maintain successful relationships with target customers
• Microenvironment


  • The company
  • The suppliers
  • Marketing intermediaries
  • The Markets (consumer, business, reseller, government, international)
  • Competitors
  • Publics (financial, media, government, citizens-actions and internal, general and local)
• Macro Environment


  The larger societal forces that affects the macro environment
• Macro Environment factors


  • Demographic
  • Economic
  • Natural
  • Technological
  • Political
  • Cultural
• Proactive reaction (Stance)


  They develop strategies to change the environment. Aggressive actions to affect the public and forces. This allows them to overcome seemingly uncontrollable environmental events
• Big data


  The huge and complex data sets generated by today's sophisticated information generation, collection, storage, and analysis technologies
• Customer Insights


  Fresh marketing information-based understandings of customers and the marketplace that becomes the basis for creating customer value, engagement, and relationships

  
• Internal databases


  Collections of consumer and market information obtained from data sources within the company's network
• Marketing intelligence


  Systematic monitoring, collection, and analysis of publicly available information about consumers, competitors and developments in the marketplace

  
• Internal databases


  • Quick and cheaper than other sources
  • Incomplete, wrong form for marketing decisions, data ages quickly, requires highly sophisticated equipment and techniques
• Marketing intelligence


  • Systematic monitoring, collection, and analysis of publicly available information about consumers, competitors and developments in the marketplace
  • Improve strategic decision making
  • Gain insights into how consumers talk about and engage with their brands
  • Ethical issues

  
• Marketing Research


  • Gain insight into customer motivations, purchasing, behavior, and satisfaction
  • Assess market potential and market share
  • Measure the effectiveness of pricing, product, distribution and promotion activities