KOTCHA01.ppt 465KB Sep 15 2006 06:54:50 PM
PRINCIPLES OF MARKETING
1-1
Eighth Edition
Philip Kotler and Gary Armstrong
Chapter
Chapter 11
Marketing in a Changing World:
Creating Customer Value and
Satisfaction
Copyright 1999 Prentice Hall
What
What is
is Marketing?
Marketing?
• Process by which individuals and
groups obtain what they need and want
through creating and exchanging
products and value with others.
• More simply: Marketing is the delivery
of customer satisfaction at a profit.
Copyright 1999 Prentice Hall
1-2
Core
Core Marketing
Marketing
Concepts
Concepts
1-3
Needs, wants,
and demands
Products
and
Services
Core
Core
Marketing
Marketing
Concepts
Concepts
Markets
Value, satisfaction,
and quality
Exchange, transactions,
and relationships
Copyright 1999 Prentice Hall
What
What Motivates
Motivates aa Consumer
Consumer
to
to Take
Take Action?
Action?
• Needs - state of felt deprivation for basic items such
as food and clothing and complex needs such as for
belonging. i.e. I am thirsty
• Wants - form that a human need takes as shaped
by culture and individual personality. i.e. I want a
Coca-Cola.
• Demands - human wants backed by buying power.
i.e. I have money to buy a Coca-Cola.
Copyright 1999 Prentice Hall
1-4
What
What Will
Will Satisfy
Satisfy Consumer’s
Consumer’s
Needs
Needs and
and Wants?
Wants?
• Products - anything
that can be offered to a
market for attention,
acquisition, use or
consumption and that
might satisfy a need or
want.
• Examples: persons,
places, organizations,
activities, and ideas.
1-5
• Services - activities or
benefits offered for
sale that are
essentially intangible
and don’t result in the
ownership of anything.
• Examples: banking,
airlines, haircuts, and
hotels.
Copyright 1999 Prentice Hall
How
How Do
Do Consumers
Consumers Choose
Choose
Choose
Choose Among
Among Products
Products and
and
Services?
Services?
• Customer Value - benefit that the customer
gains from owning and using a product
compared to the cost of obtaining the product.
• Customer Satisfaction - depends on the
product’s perceived performance in delivering
value relative to a buyer’s expectations.
Linked to Quality and Total Quality
Management (TQM).
Copyright 1999 Prentice Hall
1-6
How
How do
do Consumers
Consumers Obtain
Obtain
Products
Products and
and Services?
Services?
1-7
• Exchanges - act of obtaining a desired object from
someone by offering something in return.
• Transactions - trade of values between parties.
Usually involves money and a response.
• Relationships - building long-term relationships
with consumers, distributors, dealers, and
suppliers.
Copyright 1999 Prentice Hall
Who
Who Purchases
Purchases Products
Products
and
and Services?
Services?
Market
Market -- buyers
buyers
who
who share
share aa
particular
particular need
need
or
or want
want that
that can
can
be
be satisfied
satisfied by
by aa
company’s
company’s products
products
or
or services.
services.
Copyright 1999 Prentice Hall
1-8
Actual
Actual
Buyers
Buyers
Potential
Potential
Buyers
Buyers
Modern
Modern Marketing
Marketing System
System
1-9
Suppliers
Suppliers
Company
Company
(Marketer)
(Marketer)
Marketing
Marketing
Intermediaries
Intermediaries
End
End User
User
Market
Market
Copyright 1999 Prentice Hall
Environment
Environment
Competitors
Competitors
Marketing
Marketing Management
Management
Marketing Management
Implementing programs to create exchanges
with target buyers to achieve organizational
goals
Demand Management
Finding and increasing demand, also
changing or reducing demand
Profitable Customer Relationships
Attracting new customers and
retaining current customers
Copyright 1999 Prentice Hall
1-10
Marketing
Marketing Management
Management
Philosophies
Philosophies
Production
Production Concept
Concept
1-11
• Consumers favor products that are
available and highly affordable
•Improve production and distribution
Product
Product Concept
Concept
•Consumers favor products that offer
the most quality, performance, and
innovative features
Selling
Selling Concept
Concept
•Consumers will buy products only if
the company promotes/ sells these
product
Marketing
Marketing Concept
Concept
Societal
Societal Marketing
Marketing Concept
Concept
•Focuses on needs/ wants of target
markets & delivering satisfaction
better than competitors
•Focuses on needs/ wants of target
markets & delivering superior value
•Society’s well-being
Copyright 1999 Prentice Hall
Marketing
Marketing &
& Sales
Sales
Concepts
Concepts
Contrasted
Contrasted
Starting
Point
Factory
Focus
Existing
Products
1-12
Means
Ends
Selling
and
Promoting
Profits
through
Volume
The
The Selling
Selling Concept
Concept
Market
Customer
Needs
Integrated
Marketing
Profits
through
Satisfaction
The
The Marketing
Marketing Concept
Concept
Copyright 1999 Prentice Hall
1-13
Societal
Societal Marketing
Marketing Concept
Concept
Society
Society
(Human
(Human Welfare
Welfare))
Societal
Societal
Marketing
Marketing
Concept
Concept
Company
Company
(Profits)
(Profits)
Consumers
Consumers
(Wants)
(Wants)
Copyright 1999 Prentice Hall
New
New Marketing
Marketing Challenges
Challenges
New
Marketing
Landscape &
Information
Technology
Ethical
Concerns
Nonprofit
Marketing
Emerging
Emerging
Challenges
Challenges
Changing
World
Economy
Copyright 1999 Prentice Hall
1-14
Globalization
1-1
Eighth Edition
Philip Kotler and Gary Armstrong
Chapter
Chapter 11
Marketing in a Changing World:
Creating Customer Value and
Satisfaction
Copyright 1999 Prentice Hall
What
What is
is Marketing?
Marketing?
• Process by which individuals and
groups obtain what they need and want
through creating and exchanging
products and value with others.
• More simply: Marketing is the delivery
of customer satisfaction at a profit.
Copyright 1999 Prentice Hall
1-2
Core
Core Marketing
Marketing
Concepts
Concepts
1-3
Needs, wants,
and demands
Products
and
Services
Core
Core
Marketing
Marketing
Concepts
Concepts
Markets
Value, satisfaction,
and quality
Exchange, transactions,
and relationships
Copyright 1999 Prentice Hall
What
What Motivates
Motivates aa Consumer
Consumer
to
to Take
Take Action?
Action?
• Needs - state of felt deprivation for basic items such
as food and clothing and complex needs such as for
belonging. i.e. I am thirsty
• Wants - form that a human need takes as shaped
by culture and individual personality. i.e. I want a
Coca-Cola.
• Demands - human wants backed by buying power.
i.e. I have money to buy a Coca-Cola.
Copyright 1999 Prentice Hall
1-4
What
What Will
Will Satisfy
Satisfy Consumer’s
Consumer’s
Needs
Needs and
and Wants?
Wants?
• Products - anything
that can be offered to a
market for attention,
acquisition, use or
consumption and that
might satisfy a need or
want.
• Examples: persons,
places, organizations,
activities, and ideas.
1-5
• Services - activities or
benefits offered for
sale that are
essentially intangible
and don’t result in the
ownership of anything.
• Examples: banking,
airlines, haircuts, and
hotels.
Copyright 1999 Prentice Hall
How
How Do
Do Consumers
Consumers Choose
Choose
Choose
Choose Among
Among Products
Products and
and
Services?
Services?
• Customer Value - benefit that the customer
gains from owning and using a product
compared to the cost of obtaining the product.
• Customer Satisfaction - depends on the
product’s perceived performance in delivering
value relative to a buyer’s expectations.
Linked to Quality and Total Quality
Management (TQM).
Copyright 1999 Prentice Hall
1-6
How
How do
do Consumers
Consumers Obtain
Obtain
Products
Products and
and Services?
Services?
1-7
• Exchanges - act of obtaining a desired object from
someone by offering something in return.
• Transactions - trade of values between parties.
Usually involves money and a response.
• Relationships - building long-term relationships
with consumers, distributors, dealers, and
suppliers.
Copyright 1999 Prentice Hall
Who
Who Purchases
Purchases Products
Products
and
and Services?
Services?
Market
Market -- buyers
buyers
who
who share
share aa
particular
particular need
need
or
or want
want that
that can
can
be
be satisfied
satisfied by
by aa
company’s
company’s products
products
or
or services.
services.
Copyright 1999 Prentice Hall
1-8
Actual
Actual
Buyers
Buyers
Potential
Potential
Buyers
Buyers
Modern
Modern Marketing
Marketing System
System
1-9
Suppliers
Suppliers
Company
Company
(Marketer)
(Marketer)
Marketing
Marketing
Intermediaries
Intermediaries
End
End User
User
Market
Market
Copyright 1999 Prentice Hall
Environment
Environment
Competitors
Competitors
Marketing
Marketing Management
Management
Marketing Management
Implementing programs to create exchanges
with target buyers to achieve organizational
goals
Demand Management
Finding and increasing demand, also
changing or reducing demand
Profitable Customer Relationships
Attracting new customers and
retaining current customers
Copyright 1999 Prentice Hall
1-10
Marketing
Marketing Management
Management
Philosophies
Philosophies
Production
Production Concept
Concept
1-11
• Consumers favor products that are
available and highly affordable
•Improve production and distribution
Product
Product Concept
Concept
•Consumers favor products that offer
the most quality, performance, and
innovative features
Selling
Selling Concept
Concept
•Consumers will buy products only if
the company promotes/ sells these
product
Marketing
Marketing Concept
Concept
Societal
Societal Marketing
Marketing Concept
Concept
•Focuses on needs/ wants of target
markets & delivering satisfaction
better than competitors
•Focuses on needs/ wants of target
markets & delivering superior value
•Society’s well-being
Copyright 1999 Prentice Hall
Marketing
Marketing &
& Sales
Sales
Concepts
Concepts
Contrasted
Contrasted
Starting
Point
Factory
Focus
Existing
Products
1-12
Means
Ends
Selling
and
Promoting
Profits
through
Volume
The
The Selling
Selling Concept
Concept
Market
Customer
Needs
Integrated
Marketing
Profits
through
Satisfaction
The
The Marketing
Marketing Concept
Concept
Copyright 1999 Prentice Hall
1-13
Societal
Societal Marketing
Marketing Concept
Concept
Society
Society
(Human
(Human Welfare
Welfare))
Societal
Societal
Marketing
Marketing
Concept
Concept
Company
Company
(Profits)
(Profits)
Consumers
Consumers
(Wants)
(Wants)
Copyright 1999 Prentice Hall
New
New Marketing
Marketing Challenges
Challenges
New
Marketing
Landscape &
Information
Technology
Ethical
Concerns
Nonprofit
Marketing
Emerging
Emerging
Challenges
Challenges
Changing
World
Economy
Copyright 1999 Prentice Hall
1-14
Globalization