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Value-Based Marketing: Creation, Delivery, and Evaluation

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Value-Based Marketing: Creation, Delivery, and Evaluation
Introduction

Marketing principles made a fast swift from the conventional methods to the modern marketing. From the literature, we can marked the shift from product centric view to customer centric view .i.e. from” inside-out to outside-in”. This made an outstanding shift from Mc Carty’s 4p concept to value based marketing. Emphasising this shift the Piercy(2009)imprint that marketing is a set of management activities that define ,create and deliver value to the customers.

The essay is divided into 3 section ,firstly about the creation and delivery of value ,in the second section deals with the case study of the Ritz Carlton and Abad group of hotels service orientation and recommendations and finally the critical evaluation of the concepts.
Defining Of Value
According to kotter and keller(2006) value is the central marketing concepts and can been seen as the identification ,creation ,communication ,delivery and monitoring of customer value. Value reflect the perceived tangible and intangible benefits and cost of the customer(zeithamal,1988). In the view peck.etal(1999) customer value is the perceived benefits a customer believe they receive from the owner ship or consumption of a product or service relative to the ‘total ownership’. Some authors argued that value dwells in the balance between functional solution and sacrifice by the customers(Ravald&Gronoss,1996;Christopher,1996).
Wooddruff(1997) noted that the value concept varies according to the circumstances of the customer’s.

Moreover in the view of kotler (2009)the value creation and delivery has three phases first value choosing. i.e. STP(segmentation, targeting, positioning).Secondly value providing through product development, offering and distributing and serving. Finally to value communicating through sales force ,advertising .Coming to 3vs approach of marketing( London’s business school) value is defining process like research on markets ,value is developing process like new



References: Christopher, M. (1996)From brand values to customer value.Journal of Marketing Practice: Applied Marketing Science. 2(1),55-66. Christopher, M., Payne, A., Ballantyne, D Crosby,P.B.(1979) Quality is Free.Newyork:McGraw-Hill Juran, J.M. (1988) Juran’s Quality Control Handbook. 4th ed. Newyork: McGraw-Hill Kolter,P.(1997) Marketing Management.9th ed Kothari,A.& Lackner,J.(2006) A Value Based Approach To Management.Journal Of Business And Industrial Marketing.21(4), 234-249. Kotler,P.& Keller,L.(2006) Marketing Management.12thed.Newjersey: Pearson Education Ltd Kotler,P.(2009) A Framework For Marketing Management.4th ed. Uppersaddle River:Pearson Mele,C.(2007)The Synergic Relationship Between TQM And MarketingIn Creating Customer Value.Managing Service Quality.17(3),240-258. Peck,H.;Payne,A.;Christopher,M.;Clark,M.(1999)Relationship Marketing.Oxford:Butterworth Piercy.N(2009)Market-Led Strategic Change:Transforming The Process Of Going To Market.4th Ed.London:Butterworth Ravald, A., Gronroos, C Ritz carlton hotels(2010)Ritz carlton website[online]http://www.ritzcarlton.com/en/Default.htm. [Accessed 20th August 2010] Shiba, S.; Graham, A.; Walden, D Slack, N.et al. (2007) Operations Management. 5th ed. Harlow: Prentice Hall Sutherland,J.&Canwell,D.(2004)keyconceptsinmarketing.Hampshire:palgrave Walters,D.(1999) Value-Based Marketing And Its Usefulness To Customers. Management Decision.37(9),697-708. Wang Etal.(2004) An Integrated Framework For Customer Value And Customer Relationship Management Performance:A Customer Based Perspective From China.Managing Service Quality.14(3),169-182 Wilson,R.;Gilligan,C.;Pearson,D.(1992)Strategic Marketing Manage Zeithaml, V.A. (1988)Consumer Perceptions Of Price, Quality And Value: A Means-End Model And Synthesis Of Evidence. Journal Of Marketing. 52 ,21-22. Websites

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