Chapter 12: Building Customer Relationships Flashcards
a highly visible marketing activity
advertising
process of creating relationships with customers by offering goods, services and experiences that they value
Marketing
past era marketing where emphasis is put on increased output and production efficiency
Production orientation
current era in marketing where organization first determines what customers need then develop product to fill needs
customer orientation
the need to move from production orientation to customer orientation was driven by______ which lead to more competition
Falling production costs and increased global trade
Business must mobilize its marketing resources to:
- provide a product that satisfies customer
- price product at acceptable level
- promote product
- ensure product is distributed
business should provide goods/services that satisfy customer needs through coordinated set of activities to reach objectives
Marketing concept
focuses on using info about customers to create marketing strategies to sustain good customer relationships
Customer Relations Management
- the relationship between company and customers built on trust
- makes our purchase decisions simpler and less risky
Branding
Satisfying a customer requires giving them:
the right product, right place, at the right price, at the right time
Utility
the ability of a product to satisfy a human need
converting production inputs into finished products
form utility
created by making a product available at a location where customers wish to purchase it
place utility
created by making a product available when customers wish to purchase it
time utility
created by transferring title/ownership of product to a buyer
possession utility
Marketing directly creates:
place,time and possession utility
element of marketing mix that includes decisions about the products design, features, brand naming, packaging and warranties
product
setting a price based on demand and cost for good/service
pricing
- combination of marketing activities that deliver value to customers: (products, pricing, placement and promotion)
- must remain consistent in order for consumer trust
Marketing mix
creating means where products flow from producer to consumer
placement (distribution)
element of M.M that focuses on providing info to target markets
promotion
a plan that enables an organization to make best use of its resources to meet its objectives
marketing strategy
- selection and analysis of a target market
- creation and maintenance of appropriate M.M or combination of marketing activities to satisfy customer needs/preferences
what a marketing strategy consists of
provide framework for categorizing the M.M a company uses to reach target customer
the 4 P’s
group of individuals where a business develops a specific M.M
target market
the most powerful factor in establishing a brand connection
personal experience
Consumer Buying Decision Process
- recognize problem/opportunity
- search for info
- evaluate alternatives
- purchase
- evaluate after purchase
- separating, identifying, and evaluating the layers of a market to identify a target market
- one of most powerful marketing/branding strategies
- 3 dimensions= demographic, geographic and lifestyle/behaviour
marketing segmentation
written document that specifies organizations resources, objectives, marketing strategy to be used in marketing a product
marketing plan
effects the economic conditions on customer’s ability and willingness to buy
economic forces
influences in society/culture that results in changes in attitude, beliefs and lifestyles
sociocultural forces
actions of competitors who are implementing their own marketing plans
competitive forces
Legal and regulatory forces
laws that protect
technological changes that create new marketing opportunities
technological forces
4 steps of the market research process:
- define the research goal
- gather information
- interpreting information
- use the data to make marketing decisions
process of gathering and analyzing data concerning a particular marketing program
marketing research
market research info that has already been gathered and published by someone outside the company
secondary research
market research info that is collected by company using surveys, customer interviews, etc.
primary research
a department of the fed gov. that offers advice for how to conduct market research
Canada Business Network
- Consumer hopes to find products that satisfy needs
2. companies hope to sell products that satisfy customer needs
Building Brand Value
