Foundations of Marketing: Chapter 1: the Nature of Marketing
Chapter 1: the Nature of Marketing.
The focus of marketing is on customers and their changing needs.
Goal of marketing: long term customer satisfaction.
Three conditions which must be met before the marketing concept can be applied: * Company activities should be focused on providing customer satisfaction instead of producing products. * The achievement of customer satisfaction relies on integrated effort (marketing is the responsibility of everyone in the company.) * Management must believe that corporate goals can be achieved through satisfied customers.
Societal marketing concept: companies should deliver customer satisfaction in a way that improves both the consumer’s and society’s well-being.
Production orientation: focus is on current production capabilities.
Marketing orientation: focus is on excisting products or the internal operations of the company.
Customer value = perceived benefits – perceived sacrifice.
The kano model: * Must be: characteristics that are expected and taken for granted, lack of these characteristics causes annoyance but presence of these characteristics brings dissatisfaction up to a neutral level: (hotel -> customers expect good service and clean rooms.) * More is better: characteristics that can take satisfaction past neutral and into the positive satisfaction range: (No response to a telephone call -> dissatisfaction, fast response -> positive satisfaction or even delight) * Delighters: unexpected characteristics that surprise the customer: Absence doesn’t cause dissatisfaction, but presence delights the customer. (free measures of brandy in the rooms of adults guests.) will become expected over time, so turn into must be!
Markets and marketing are rapidly changing and new methods of delivering value are being developed.
Marketing mix: product, price promotion and place. -> form a major aspect of marketing concept implementation. * Product decision: the choice of what products and services
The focus of marketing is on customers and their changing needs.
Goal of marketing: long term customer satisfaction.
Three conditions which must be met before the marketing concept can be applied: * Company activities should be focused on providing customer satisfaction instead of producing products. * The achievement of customer satisfaction relies on integrated effort (marketing is the responsibility of everyone in the company.) * Management must believe that corporate goals can be achieved through satisfied customers.
Societal marketing concept: companies should deliver customer satisfaction in a way that improves both the consumer’s and society’s well-being.
Production orientation: focus is on current production capabilities.
Marketing orientation: focus is on excisting products or the internal operations of the company.
Customer value = perceived benefits – perceived sacrifice.
The kano model: * Must be: characteristics that are expected and taken for granted, lack of these characteristics causes annoyance but presence of these characteristics brings dissatisfaction up to a neutral level: (hotel -> customers expect good service and clean rooms.) * More is better: characteristics that can take satisfaction past neutral and into the positive satisfaction range: (No response to a telephone call -> dissatisfaction, fast response -> positive satisfaction or even delight) * Delighters: unexpected characteristics that surprise the customer: Absence doesn’t cause dissatisfaction, but presence delights the customer. (free measures of brandy in the rooms of adults guests.) will become expected over time, so turn into must be!
Markets and marketing are rapidly changing and new methods of delivering value are being developed.
Marketing mix: product, price promotion and place. -> form a major aspect of marketing concept implementation. * Product decision: the choice of what products and services