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Chapter Questions
Why is marketing important? What is the scope of marketing? What are some fundamental marketing concepts? How has marketing management changed? What are the tasks necessary for successful marketing management
What is Marketing ?
Marketing is an organizational function and a set of processes for creating, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders.
What is Marketing Management? Marketing management is the art and science of choosing target markets and getting, keeping, and growing customers through creating, delivering, and communicating superior customer value.
What is Marketed?
Place
Customer Solution
Price
Promotion
Convenience
Customer Cost
Communication
Company Orientations
Production Concept Product Concept Selling Concept Marketing Concept Holistic Concept
Selling Concept
Marketing Concept
Marketers adhere to principles of social responsibility in the marketing of their goods and services; that is, they must endeavor to satisfy the needs and wants of their target markets in ways that preserve and enhance the well-being of consumers and society as a whole.
Middle Management
Front-line people
Customers
e. The customer as the controlling function and marketing as the integrative function
Front-line people
Middle management
Top management
Functions of CMOs
Strengthening the brands Measuring marketing effectiveness Driving new product development based on customer needs Gathering meaningful customer insights Utilizing new marketing technology
Internal Marketing Internal marketing is the task of hiring, training, and motivating able employees who want to serve customers well.
Performance Marketing
Financial Accountability Social Responsibility Marketing Social Initiatives Corporate social marketing Cause marketing Corporate philanthropy Corporate community involvement Socially responsible business practices
Services dominate modern economy Perekonomian Modern didominasi oleh organisasi jasa. Dinegara-negara maju umumnya jasa mencapai lebih dari 70 persen perekonomian. Demikian juga dalam hal penyerapan tenaga kerja
Cost of coffee bean when harvested= $0.50/lb Value realized by Starbucks from selling a cup of coffee= $230/lb An increase of value ?
commodity
product
Service Experience
Four Characteristics of Outstanding Service Organization Understanding the customers moment of truth A well-conceived strategy for service. It differentiate the company from competitors Customer-friendly system Customer-oriented front-line people
Moment of Truth
Moment of Truth
Are episode in which the customer comes into contact with some aspect of your organization and gets an impression of the quality of service
Each of us has a storehouse of moments of truth from our life experiences. We remember moments when it seemed that people or systems or both went out of their way to be difficult of unhelpful. And we recall shining moments when we felt appreciated, cared for, care about and genuinely valued
Internal Marketing
Enabling the promise
External Marketing
Making the promise
Providers
Customers
Interactive Marketing
Delivering the promise
Source: Adapted from Bitner, 1995; Grnroos, 2000; Kotler and Keller, 2006.
Making Promises
Understanding customer needs Managing expectations Traditional marketing communications Sales and promotion Advertising Internet and web site communication
Keeping Promises
Service delivery
Reliability, responsiveness, empathy, assurance, tangibles, recovery, flexibility
Face-to-face, telephone & online interactions The Customer Experience Customer interactions with sub-contractors or business partners The moment of truth
Enabling Promises
Hiring the right people Training and developing people to deliver service Employee empowerment Support systems Appropriate technology and equipment Rewards and incentives
Creating, Communicating and Delivering Superior Customer Value and Managing Customer Relationship in ways that benefit Organization and its Stakeholders
Value Hierarchy
Unanticipated Desire
Expected Basic
Customer
A Customer is the most important Visitor on our premises. He is not dependent on us, We are dependent on him. He is not an interruption of our work, He is the purpose of it. He is not an outsider to our business, He is a part of it. We are not doing him a favor by serving him, He is doing us a favor by giving us An opportunity to do so. - Mahatma Gandhi, the Greatest Servant to Humanity of the Century
A Customer is
Anyone We need for our success and achievements
What Business are you in? What is the core of your business? What do the customers expect from you? What Value do you offer?