Marketing Chapter 1

Marketing (pg. 5)

the activity, set of institutions, and processes for creating, capturing, communicating, delivering, and exchanging offerings that have values for customers, clients, partners, and society at large

Marketing Mix or the 4 P’s (pg. 7)

product, price, place, promotion; the controllable set of decisions or activities that the firm uses to respond to the wants of its target market

Product: Creating Value (pg. 7)

create value by developing a variety of offerings, including goods, services, and ideas to satisfy customer needs

Price: Capturing Value (pg. 8)

everything the buyer gives up- money, time, and/or energy- in exchange for a product

Place: Delivering the Value Proposition (pg. 9)

all the activities necessary to get the product to the right customer when they want it

Marketing Channel Management or Supply Chain Management (pg. 9)

set of approaches and techniques that firms employ to efficiently and effectively integrate their suppliers, manufacturers, warehouses, stores, and other firms involved in the transaction to effectively and efficiently to satisfy customers and be cost efficient

Promotion: Communicating the Value Proposition (pg. 9)

communication by a marketer that informs, persuades, and reminds potential buyers about a product or service to influence their opinions and elict a response

Business to Consumer (B2C) Marketing (pg. 10)

process of selling merchandise or services to consumers

Business to Business (B2B) Marketing (pg. 10)

process of selling merchandise or services from one business to another

Consumer to Consumer (C2C) Marketing (pg. 10)

consumers selling to other consumers

Production-Oriented Era (pg. 13)

turn of the 20th century, most firms believed that a good product would sell itself; more concerned with product innovation and not with satisfying the needs of the individual consumer

Sales-Oriented Era (pg. 14)

1920-1950; people did not have the money to purchase, so businesses had too much stock and resorted to personal selling and advertising

Market-Oriented Era (pg. 14)

After WWIL the market turned into a buyer’s market and businesses focused more on what consumers wanted/needed

Value-Based Marketing Era (pg. 14)

giving consumers a good value for their product

Value (pg. 14)

the relationship of benefits to cost, or what you get for what you give

Value Cocreation (pg. 16)

customers act as collaborators to create a product or service that appeals mostly to them, such that it offers optimal value

Relational Orientation (pg. 16)

building relationships with buyers; this makes the buyer more likely to repurchase and advocate for your brand

Customer Relationship Management (CRM) (pg. 16)

business philosophy, and set of strategies, programs, and systems that focus on identifying and building loyalty among the firms most valued customers

The 4 Main Activities of Value-Driven Marketers (pg. 17)

Adding Value, Marketing Analytics, Ethical & Societal Dilemma, and Social & Mobile Marketing

Adding Value (pg. 17)

measuring the values that customers perceive against the cost of offerings; What can we do to make the customer happier?

Marketing Analytics (pg. 17)

data analytics that define and refine companies approaches to customers and markets

Social and Mobile Marketing (pg. 18)

using social and mobile media to help them develop their marketing strategies

Ethical and Societal Dilemma (pg. 20)

companies making more ethical decisions that benefit society as a whole, while still considering all their stakeholders; ex: accessibility for people with disabilities or paper straws for sustainability