Deze samenvatting behandeld alle hoofdstuk, van H1 tot H18, de guest lectures worden zitten niet in het document. Alles is geschreven aan de hand van de Powerpoints van de prof, dit zou voldoende moeten zijn volgens haar.
Marketing
Chapter 1: Marketing Principles and Practice
1.1 What is Marketing?
What is the primary goal of marketing?
Understand and meet customer needs to create value.
Marketing defined
Marketing is a social and managerial process by which individuals and groups obtain what they
need and want through creating and exchanging products and value with others.
(Creating value for ex. customers and they get something of value in return (subjective))
Business context: to build and maintain profitable relationships with stakeholders
MARKETING APLLIES TO:
• Physical products
• Services
• Retail
• Experiences
• Events
• Film, music and theater
• Places
• Ideas
• Charity and non – profit
• People
→ Anywhere ‘buyers’ have a choice
1.2 What is the difference between customers and consumers?
Customer = someone who buys something from someone else
Consumer = the person that consumes or uses a product ----------------------------------------------->
Role Description Marketing implications and applications
Initiator Initiates idea Target initiators by emphasizing how a product
addresses their needs
(child sees something and wants it)
Influencer Influences decision (by E.g. collaborate with influencers (social media,
providing information) family, friends, …)
Decider Ultimate buying decision Facilitate decision – making process (e.g. detailed
(makes the actual decision) product information)
Buyer Actual purchase Ensure smooth purchasing process
Payer Pays (e.g. parents for child) Offer various payment methods
User Consumes Provide user support/assistance, gather feedback
Gatekeeper Controls access of product Communicate effectively with gatekeepers
information (e.g. assistant)
,1.3 Market Orientation
= focused on the market intelligence about current and future customer needs + sharing of the
intelligence across the departments + ensuring the entire organization/company responds to it
→ Company with market orientation starts with customer needs (first look at the customer)
• Belief in delivering customer value
• Understanding costumer needs even better than they themselves do
• Creating products that meet (non - ) existing needs, now and/or in the future
Get closer than ever to your customers. So close that you tell them what they need well before
they realize it themselves. ~ Steve Jobs
If I would have asked people what they wanted, they would have said faster horses. ~ Henry Ford
THE THREE COMPONENTS OF MARKET ORIENTATION
• Customer orientation: focused on what customer ‘needs’
• Competitor orientation: focused on what the competitors have and what you can do
different/better
• Interfunctional orientation: focused on working good with everyone within the
company
= LONG – TERM PROFIT FOCUS
Trying to please the needs of only a part of the ‘population’ (= customer centricity
(loyal customers → target them personally)
1.4 Marketing’s Intellectual Roots
INDUSTRAL ECONOMICS INFLUENCES
• Supply and demand (price, quantity)
• Theories of income distribution, scale op operation, monopoly, competition, …
PSYCHOLOGICAL INFLUENCES
• Consumer behavior & personality, customer satisfactions, influences
SOCIOLOGICAL INFLUENCES
• How groups of people behave: demographics, class, culture, customs, …
ANTHROPOLOGICAL INFLUENCES
• Detailed methods to study consumers behavior
COMPUTER SCIENCE INFLUENCES
• Digitization, recommendation systems, apps, …
1.5 Differences between sales and marketing
Sales: product push, short – term focus on satisfaction of customer needs → buy the product
Acquisition = sales = attracting to your product
Marketing: product pull, long – term focus on satisfaction of customer needs, high focus on
stimulation of demand → NEED the product
<
Retention = marketing = attracting AND building a relation
THE TIP OF THE ICEBERG CONCEPT
Consumers only see a fraction of what a company puts into a product
• Production conception: concept of the product
• Market research: ‘how likely would you recommend this product to someone else
The aim of marketing is to make selling superfluous (unnecessary) ~ Peter Drucker
,1.6 What do marketers do?
→ Placing the customer at the center of a company’s operations & decision – making processes
• Generate customer insights/understanding
• Develop marketing strategy
MARKETING WITHIN ORGANIZATIONS
Not necessary a marketing department, in all different departments
• Puts customers first + should improve a firm’s relationships with its customers
• Present in all aspects of an organization → all departments play a role in creating,
delivering and satisfying customers
• Marketers do not control all the marketing mix elements
MARKETERS WITHIN ORGANIZATIONS
CEOs with marketing background: outperform CEOs from almost all other backgrounds in being
socially responsible, inclusive, and having a strong strategy and long – term vision
→ better overall reputation than business leaders from almost all other areas
1.7 Marketing as exchange
Exchange: the act of getting a desired object from someone by offering something in return
• At least 2 parties
• Each must hold something of value to offer
• Parties must WANT to deal with each other
→ exchange creates value, gives people more consumption possibilities
Customer value: the consumer’s opinion of how well the product meets their needs
= ratio between recognized/subjective benefits and costs (both (non-)monetary)
EXCHANGE OF VALUE
OUTCOMES OF CREATING CUSTOMER VALUE
• Repeat purchases
• Positive word – of – mouth (brand ambassadorship)
• Customer loyalty and retention (= continued use)
• Growing market share
• Growing share of customer
• Building customer equity (= combined lifetime value of all your customers)
1.8 The marketing mix and the 4Ps
Promotion + product + place + price
(customer + cost + communication + convenience)
1.9 The extended marketing mix
EXTENSION FROM 4 TO 7 P’s FOR SERVICES
• Physical evidence: Emphasize that the physical parts of services are strategically
important
, • Process: Emphasize the importance of service delivery → when processes are the
same = easier to manage customer expectations
• People: Emphasize the importance of interaction with customers / customer service
staff
• The ‘new’ P = Personalization: Starbucks names, Netflix recommendations, …
CONTEXT MARKETING
= delivering marketing messages to customers at the right moment based on their situation &
behavior → make customer feel they are directly ‘targeted’, it’s really for them & their needs
(an ad for something you will never use is not good)
→ real – time data, personalization, relevance, timing, channel
1.10 Relationship marketing, service – dominant logic and co – creation
RELATIONSHIP MARKETING
= switch from customer acquisition to keeping them (retention) long – term by improving
customer relationship management
→ relationships with stakeholders (suplliers, employees, press, general public, …)
= important in mature industries
Loyal customers:
• Will increase their purchases over time
• Are cheaper to promote to
• Are happy with their relationship with the company → refer it to others
• Are prepared to pay a (small) price premium
CUSTOMER RELATIONSHIP MANAGEMENT
= the process of gathering information about individual customers and building/managing
relationships by providing better/superior value
Interactions of company with customers
TOUCH POINTS: moment op purchase, contacts with sales teams, after sales service,
website visits, payments, surveys, …
MARKETING AUTOMATION
= use software & technology to automate repetitive marketing
(e.g. (personal) confirmation email)
SELECTIVE RELATIONSHIP MANAGEMENT
Customer lifetime value: prediction of how much a business will earn (value!) from a customer
over the entire time they stay (relationship!) with the company
→ goal = maximize profit throughout customer’s lifetime (keeping them loyal)
→ losing a customer = losing all future purchases and referrals they could have provided
SERVICE – DOMINANT LOGIC
= marketing model/paradigm → sees service as the fundamental basis of exchange
CO – CREATION
= customers actively help shape their service experience
• Services are based on interactions → customers become part of the process
• Companies: can use it → make their services stand out
= work together to make value: C participate in discussions & help make personal experiences
Value comes from how customers use the product, not from the product itself
E.g.: customer involvement, innovations, engagement, user – generated content, … (LEGO)
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