Fundamentals of Marketing
Unit 1 Individual Assignment
The market is the set of actual and potential buyers of a product. Building customer value and satisfaction is the key to product success. Marketing is about understanding customers needs and developing a product that provides value and promotes effectively. Marketing, in addition, is also about wants and demands. Wants are shaped by culture and personality. Demands are wants that are backed by purchasing power. As a marketer responsibility is formed to provide a combination of products, services, information, or experience to satisfy these needs, wants, and demands. Customers form expectations about the value of products and services that are offered. (Armstrong, Kottler, 2005. Page 6-9)
Customer relationship management is important to build and maintain profitable customer relationships and deliver superior customer value and satisfaction. Building a proper relationship requires acquiring, maintaining, and increasing customers. It can be difficult to attract new customers. With such a wide array of products to choose from the consumer will purchase the product with the greatest perceived value. This would be the difference between the benefits provided by the product or services ands its cost. In order to provide the best product, the customer has to perceive that the performance or value of the product must match the high expectations of the customers needs. (Armstrong, Kottler, 2005. Page 16,17)
The ability to not only create new customers, but, maintain current customers is key to a successful business. By creating superior customer value, satisfied customers will stay loyal and continue to make purchases. Retention is important to a business. If a customer has a negative experience with a product or service he/she will tell this experience to about 10 other people. However, if the customer has a good experience they will only...