Marketing
An organizational function and
a set of processes for creating, capturing,
communicating, and
delivering value to customers
and for managing customer
relationships in ways that benefit
the organization and its
stakeholders.
Marketing plan
A written document composed of an analysis of the current marketing situation, opportunities and threats for the firm, marketing objectives and strategy specified in terms of the four Ps, action programs, and projected or pro forma income (and other financial) statements.
Marketing plan
Exchange
The trade of things of value between the buyer and the seller so that each is better off as a result.
Product
Creating Value
Marketing Mix (Four Ps)
The controllable set of activities that a firm uses to respond to the wants of its target markets
1. Product
2. Price
3. Place
4. Promotion
Goods
Items that you can physically touch
Services
Intangible customer benefits that are produced by people or machines and cannot be separated from the producer.
Ideas
Opinions, programs, and philosophies.
Price
Capturing value
Place
Delivering the Value Proposition
Promotion
Communicating the Value Proposition
B2B (business-to-business) marketing
The process of marketing merchandise or services from one business to another.
B2C (business-to-consumer) marketing
The process in which businesses market to consumers.
C2C (consumer-to-consumer) marketing
The process in which consumers market to other consumers.
Employment Marketing
Programs that involve undertaking marketing research to understand what potential employees are seeking, as well as what they think about the firm; developing a value proposition and an employment brand image; communicating that brand image to potential employees; and then fulfilling the brand promise by ensuring the employee experience matches that which was advertised.
Production-Oriented Era
Around the turn of the twentieth century, most firms were production oriented and believed that a good product would sell itself.
Sales-Oriented Era
Between 1920 and 1950, firms depended on heavy doses of personal selling and advertising.
Market-Oriented Era
After World War II, the US entered a buyer's market where the customer became king. Manufacturers and retailers began to focus on what customers wanted and needed before they designed, made, or attempted to sell their products and services.
Value-Based Marketing Era
Today, marketing firms realize that to compete successfully with market-oriented firms, they would have to give their customers greater value than their competitors did.
Value
Reflects the relationship of total benefits to total costs; What you get for what you give
Value Cocreation
Customers can act as collaborators to create the product or service.
Sharing Information
In a value-based, marketing-oriented firm, marketers share information about customers and competitors and integrate it across the firm's various departments.
Balancing Benefits with Costs
Value-oriented marketers constantly measure the benefits that customers perceive against the cost of their offerings.
Building relationships with customers
Thinking of customers in terms of relationships and not transactions
Transactional Orientation
Regards the buyer-seller relationship as a series of individual transactions, so anything that happened before or after the transaction is of little importance.
Relational Orientation
Based on the philosophy that buyers and sellers should develop a long-term relationship.
Customer Relationship Management (CRM)
A business philosophy and set of strategies, programs, and systems that focus on identifying and building loyalty among the firm's most valued customers.
Supply Chain
A group of firms that make and deliver a given set of goods and services.
Entrepreneurs
People who organize, operate, and assume the risk of a new business venture.
