TOPIC 5: Principles of Marketing Flashcards
a form of communicating or promoting the value of a product, service, or brand to the consumers
MARKETING
According to _______“Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.”
American Marketing Association
4 basic marketing principles: In marketing, a key principle is offering products or services that meet customer needs and preferences. To ensure profitability, businesses must research factors like quality and safety.
Refers to what is being offered to meet customer needs, including goods, services, or experiences.
Product
4 basic marketing principles: Pricing involves research to understand customer willingness to pay and competitor prices. Setting the right price requires determining the market value.
The cost the customers pay for the product or service.
Price
4 basic marketing principles: Refers to how and where the product or service is made available to customers, ensuring convenience and accessibility.
How and where the product is made available to customers.
Place
4 basic marketing principles: The strategies used to communicate with and persuade customers, including advertising, public relations, sales promotions, and social media campaigns.
Methods used to communicate with and persuade customers, such as advertising, public relations, sales promotions, and social media.
Promotion
basic marketing principles: Represents the staff, employees, and customer service involved in delivering the product and creating a positive customer experience.
people
basic marketing principles: The systems and workflows used to deliver the product or service efficiently and effectively to customers.
Process
basic marketing principles: The things customers see that show the product or service is real, like branding or design.
Physical evidence
-Introduce and innovate products and services that improve human condition and the quality of life.
-Understand the market and it’s consumers and satisfy their changing needs and wants.
-Design and implement effective customer-driven marketing strategies.
-Develop marketing programs that deliver superior value to consumers.
GOALS OF MARKETING
THE 5 VALUE PRINCIPLES OF THE MARKETING PROCESS: You must know everything about your customers’ wants and needs and what the marketplace looks like from the perspective of your company and industry.
UNDERSTAND THE MARKETPLACE & CUSTOMER NEEDS & WANTS
Requirements that are essential and must be met.
Needs
Desires that go beyond simply satisfying a basic need.
Wants
When buyers want specific products that they feel they want or need and are willing to pay for them.
Demands
THE 5 VALUE PRINCIPLES OF THE MARKETING PROCESS:
-All good marketing strategies have one thing in common: they’re customer-driven.
-To ensure that your strategies are focused on your customers, you should select the customers you want to serve to have a good definition of your target market.
DESIGN A CUSTOMER-DRIVEN MARKETING STRATEGY
THE 5 VALUE PRINCIPLES OF THE MARKETING PROCESS:
-To build plans on how you’ll provide your customers with the quality they expect.
-This program should incorporate the principles of product, price, place, and promotion. This needs a comprehensive understanding of your target audience.
CONSTRUCT AN INTEGRATED MARKETING PROGRAM THAT DELIVERS SUPERIOR VALUE
THE 5 VALUE PRINCIPLES OF THE MARKETING PROCESS: Ensure that your customers are happy with your product and customer service so they’ll keep coming back for more.
BUILD PROFITABLE RELATIONSHIPS & CREATE CUSTOMER DELIGHT
THE 5 VALUE PRINCIPLES OF THE MARKETING PROCESS:
-Customers should always be treated as the most important persons in the world.
-You want your customer to be loyal — they should continue to buy from you for the rest of their lives, if feasible.
-This results in outstanding customer equity, and to do that, you need excellent customer relationship management.
CAPTURE VALUE FROM CUSTOMERS TO CREATE PROFITS & CUSTOMER EQUITY
THE 4 ACTIVITY PRINCIPLES OF MARKETING THAT LEAD TO CUSTOMER VALUE: The solutions you use that provide value to your customers. You build functional value marketing strategies based on the physical performance of your products.
FUNCTIONAL VALUE
THE 4 ACTIVITY PRINCIPLES OF MARKETING THAT LEAD TO CUSTOMER VALUE: Function and price will intersect. Remember that your customers need to feel that they got good value for the money they spent on your product.
MONETARY VALUE
THE 4 ACTIVITY PRINCIPLES OF MARKETING THAT LEAD TO CUSTOMER VALUE: To encourage specific behavior by focusing on your target audience’s needs and wants through subtle messages in your marketing
PSYCHOLOGICAL VALUE
THE 4 ACTIVITY PRINCIPLES OF MARKETING THAT LEAD TO CUSTOMER VALUE: Refers to how your customers feel your product lets them connect with their peers or interact with others.
SOCIAL VALUE
MARKETING CREATES VALUE FOR CUSTOMERS THROUGH THE FOLLOWING ACTIVITIES: Happens when you engage with both your suppliers and customers to ensure you give them something of value.
CREATING
MARKETING CREATES VALUE FOR CUSTOMERS THROUGH THE FOLLOWING ACTIVITIES: Effective communication lets you describe what you’re offering while also learning from your customers if they’re satisfied with what you’ve given them.
COMMUNICATING
