Chapter 1

Question 1

What is marketing

Answer 1

Keywords: customer relationships, customer value , capture value
The process of strong customer relationships and creating customer value is order to Capture value from customer

Question 2

5 steps of Marketing process

Answer 2

1: Understanding marketplace and customer needs]
2) Designing a Customer-Driven Marketing Strategy
3) Preparing an Integrated Marketing Plan and Program
4) Building Customer Relationships
5) Capturing Value from Customers

Question 3

Needs,wants,demands

Answer 3

N:State of felt deprivation
W: Human needs that shape culture and indv personality
Demands: human wants back by buying power
STEP 1

Question 4

Marketing Mytopia

Answer 4

paying more attention to specific product that company offers than benefits and experience produced by products
STEP 1

Question 5

Attributes of products

Answer 5

Features(weight, length price)
Function(how it works)
Benefits(User freindly,fun,saving time)
STEP 1

Question 6

Factors affecting customer value:Value as perceived by customer

Answer 6

Total perceived benefits(product value,services value,personal,channel,image)
-Total perceived cost(monetary cost, time,energy,psychic)
=Value as perceived by customer
STEP1

Question 7

Marketing management

Answer 7

art and science of choosing target market and building profitable relationships with them
STEP2

Question 8

Selecting customers to serve

Answer 8

divide market into segmenst(market segementation) and selecting which segments to go after ( target marketing)
STEP 2

Question 9

Value proposition

Answer 9

set of benefits or value company promises to deliver to customer to satisfy needs
STEP 2

Question 10

Marketing management orientation

Answer 10

Production concept(consumers will favour products that are available and affordable- org should focus improving prodn and distribution efficiency)
Product concept(Consumers will favour product quality, performance, features- org should make continual product improvement)
Selling concept(Undertake large scale selling and promotion)
Marketing concept( knowing neees and wants of tarket market and delivered desired satisfaction better than competition)
Societal Marketing concept( consumer wants,companys requirements, consumer and societylong term interest)
STEP 2

Question 11

Marketing mix

Answer 11

Product(quality,design,features)
Price(discount,payment period,credit terms)
Place(channels,inventory,transportation,logistics)
Promotion(ads,sales promotion,public relations)
STEP 3

Question 12

Customer relationship management

Answer 12

Building and maintaining profitable customer relationship by delivering superior customer value and satis
STEP 4

Question 13

Customer perceived value

Answer 13

diff btw perceived costs-perceived benefits

step 4

Question 14

Customer satisfaction

Answer 14

products perceived performance matches buyers expectation

Performance

Question 15

Customer engagement marketing

Answer 15

make brand part of consumers conversation and lives
ex: get discount if you share coupon online
step 4

Question 16

customer generated marketing

Answer 16

brand exchanges created by consumers themselves-both invited and uninvited
step 4

Question 17

Partner relationship management

Answer 17

working with partners in other company departments or outside the company to jointly bring greater value to customers.
step4

Question 18

Customer lifetime value

Answer 18

Entire purchases customer makes over life

step 5

Question 19

Share of customer

Answer 19

portion of customers purchasing that company product category

Question 20

customer equity

Answer 20

customer lifetime value of all company’s customers

Question 21

customer retention

Answer 21

the activities and actions companies and organizations take to reduce the number of customer defections.

Question 22

Customer acquisition

Answer 22

gaining new customers

Question 23

customer churn

Answer 23

percentage of customers that stopped using your company’s product or service during a certain time frame

Question 24

Up-selling

Answer 24

encouraging customers to purchase a comparable higher-end product

Question 25

Cross-selling

Answer 25

invites customers to buy related or complementary items.

Question 26

“Share-of-wallet”

Answer 26

percentage of a customer’s spending for a type of product or service that goes to a particular company

Question 27

Maslow’s hierarchy

Answer 27

Physiological
safety 
love and belonging
 esteem
self actualization