chapter 1 Creating customer value and engagement

Marketing

Is a process by which companies create value for customers and build strong customer relationships to capture value from customers in return

The 4 Ps

Place , product , price and promotion

market offerings

are some combination of products , services information or experiences offered to a market to satisfy a need or want

Examples of Market offerings

services , events and experiences , persons , places and properties , Organizations , information and ideas

Needs

State of deprivation

the three levels of Needs are

physical , social and individual

examples of physical needs are

food and clothing

examples of social needs are

belonging and affection

example of individual is

Knowledge

Wants

are form from needs that are shaped by culture and individual personality

Demands

are wants backed by buying power

Marketing Management

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

Target market

what customers will we serve

Value proposition

is a set of benefits or values a company promises to deliver to customers to satisfy their needs

Market segmentation

is the dividing of markets into segments of customers

Target Marketing

Refers to which segments to go after

Value proposition

Set of benefits or values a company promises to deliver to customers to satisfy their needs

the marketing of mix

is a set of tools (Fours P) the firm uses to implement its marketing strategy . This includes product , price , promotion and place

Integrated Marketing program

is a comprehensive plan that communicates and delivers the intended value to chosen customers

Customer Relationship Management

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

Customer perceived value

Is the difference between total customer value and total customer cost

Customer satisfaction

is the extent to which a products perceived performance matches a buyers expectations

Customer Managed Relationships

Is marketing relationships in which customers empowered by todays new digital technologies interact with companies and with each other to shape their relationships with brands

Customer Lifetime values

Is the value of the entire stream of purchases that the customer would make over a lifetime of patronage

Customer equity

Is the total combination of customer Lifetime values of all of the company’s customers