Principles of Marketing Section 2 By: Ms. Eman Elfar

Marketing process

Value and satisfaction Customer value: the difference between all the benefits customer get from using the product and all the cost of getting this product. Customer’s decisions to buy a product depend on his expectations about the value and satisfaction he will get from various market offerings.

Exchange :is the act of obtaining a desired object from someone by offering something in return Transaction: A trade of value between tow parties The Marketing is : The process by which companies create value for customers and build strong customer relationships in order to capture value from customers in return

Markets are the set of all actual and potential buyers of a product or service Marketing management : is the art and science of choosing target markets and building profitable relationships with them.

Designing a Customer-Driven Marketing Strategy Frist step in designing a customer-driven marketing strategy is selecting customers to serve There are tow basic decisions in this step: Market segmentation refers to dividing the markets into segments of customers Target marketing refers to which segments the company will serve.

successful marketing management should focus on both customer management and demand management. Customer management :is the process of selecting customers that can be served well and profitably Demand management: is the process that aim to Finding and increasing demand, and also changing or reducing demand such as in De-marketing

De-marketing: is marketing to reduce demand temporarily or permanently; The aim of de-marketing is not to destroy demand but to reduce or shift it.

Marketing Management Orientations Production concept Product concept Selling concept Marketing concept Societal concept

Marketing Management Orientations Production concept is the idea that consumers will favor products that are available or highly affordable ( focuses on the quantity ) Product concept is the idea that consumers will favor products that offer the most quality, performance, and features. Organizations should therefore devote its energy to making continuous product improvements. (focus on the product itself)

Selling concept The idea that consumers will not buy enough of the firm’s products unless it undertakes a large scale selling and promotion effort.(The focus of selling concept is on selling activities and promotion). Marketing concept The idea of this concept is that achieving organizational goals depends on knowing the needs and wants of the target markets and delivering the desired satisfactions better than competitors do.

The difference between selling & marketing concept

Societal marketing concept: is the idea that a company should make good marketing decisions by considering consumers’ wants, the company’s requirements, consumers’ long-term interests, and society’s long-run interests( the focus is on the interest of all stakeholders)

Preparing an Integrated Marketing Plan and Program Marketing mix is the set of tools the firm uses to implement its marketing strategy. It includes: product, price, Promotion place

Building Customer Relationships Customer relationship management: The overall process of building and maintaining profitable customer relationships by delivering superior customer value and satisfaction

________ is the act of obtaining a desired object from someone by offering something in return. Exchange Donation Market offering Valuation Confiscation

Consumer research, product development, communication, distribution, pricing, and service are all core ________ activities. outsourcing marketing positioning production logistics

Which of the following statements is true of the selling concept? It follows the customer-centered sense-and-respond philosophy. It is typically practiced with unsought goods. It takes an outside-in perspective. It requires minimum promotion efforts. It creates long-term, profitable customer relationships

Which of the following marketing orientations holds that achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than competitors do? the selling concept the production concept the societal marketing concept the marketing concept the product concept

Which of the following marketing strategies should marketing managers focus on to manage detailed information about individual customers and carefully manage customer touchpoints to maximize customer loyalty? customer divestment partner relationship management customer relationship management customer-managed relationships the societal marketing concept

True or false Market segmentation is the process of seeking fewer customers and reduced demand for profit maximization only. Fast Food, Inc. that views marketing as the process of finding and retaining profitable customers by providing them with the food they want. Fast Food, Inc. practices societal marketing. Big company can serve all types of customer. Marketing mix is a tool to achieve marketing strategy

True or false The difference between the values the customer gains from owning and using a product and the costs of obtaining the product is called customer satisfaction. In societal marketing, the firm focuses only on the interest of owners and customers. In selling concept, the company achieve profit through sales and promotion effort. The aim of de-marketing is to destroy demand