Marketing ’26 summary
, Radboud University 28-05-2026
Inhoudsopgave
Lecture 1.....................................................................................................................2
Chapter 1....................................................................................................................3
Lecture 2.....................................................................................................................5
Lecture 3.....................................................................................................................7
Chapter 4....................................................................................................................9
Lecture 4...................................................................................................................12
Chapter 10................................................................................................................14
Chapter 11................................................................................................................16
Lecture 5...................................................................................................................18
Chapter 12................................................................................................................20
Chapter 13................................................................................................................21
Lecture 6...................................................................................................................24
Chapter 20................................................................................................................26
Lecture 7...................................................................................................................27
Chapter 14................................................................................................................29
Chapter 15................................................................................................................31
Chapter 17................................................................................................................33
Lecture 8...................................................................................................................34
Verhoef and Lemon (2016).........................................................................................35
1
, Radboud University 28-05-2026
Lecture 1
Marketing is not about making people buy things they do not want, as there is little customer value
when the quality of a product or service is not sufficient. Instead, marketing focuses on creating real
value for customers.
Marketing is more than just communication; it is also about building and maintaining strong customer
relationships. In modern marketing, this relationship-building aspect is essential for long-term
success.
Marketing can be defined as 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, 2007). Kotler, Armstrong and Balasubramaniam
(2024) further describe marketing as the set of strategies and activities through which companies
acquire and engage customers, build strong customer relationships, and create customer value in
order to capture value from customers in return.
In this exchange process, companies create value for customers while also capturing value in return.
Value creation for customers is defined as benefits minus sacrifices, where benefits can be economic,
functional, or psychological, and sacrifices include money, time, effort, and other costs related to
obtaining and using a product or service. In return, companies capture value in the form of profit,
calculated as revenues minus costs. However, a distinction is made between good profit, which
results from creating customer value and leads to loyalty, repeat purchases, and positive word-of-
mouth, and bad profit, which is gained at the customer’s expense.
An example often used is a shoe manufacturer and a barefoot consumer, illustrating how value is
exchanged in a marketspace between buying and selling parties.
A key part of marketing strategy is segmentation, targeting, and positioning. Segmentation involves
identifying meaningful groups of consumers, targeting is selecting which segments to serve, and
positioning is developing an image for a product or service in the minds of the chosen target
segments. Common segmentation mistakes include defining segments based on products instead of
customers, and overrelying on demographics instead of shared customer needs.
Products can be understood in three levels: the core product, which provides the main benefit; the
actual product, which includes features such as quality, design, packaging, and branding; and the
augmented product, which includes additional services such as delivery, warranty, customer service,
and aftersales support, which differentiate a product from competitors.
Brands play an important role in marketing by giving meaning to products through associations in the
minds of consumers. Innovation is also key and can be divided into incremental innovation, which
involves small improvements, and radical innovation, which involves major changes or entirely new
offerings.
2
, Radboud University 28-05-2026
Chapter 1
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. It is not just about selling or
advertising, but about understanding customer needs and designing offerings that satisfy those needs
better than competitors. Successful marketing focuses on engaging customers and managing long-
term profitable relationships rather than focusing on single transactions.
The marketing process consists of five main steps. First, companies need to understand the
marketplace and customer needs and wants through research and information management. Second,
they design a customer-driven marketing strategy by selecting which customers to serve through
segmentation and targeting, and deciding how to serve them through differentiation and positioning.
Third, they create an integrated marketing program using the marketing mix (product, price, place,
and promotion) to deliver value. Fourth, they build strong customer relationships and customer
engagement to create satisfaction and loyalty. Finally, companies capture value from customers in the
form of profits, customer lifetime value, and customer equity.
Understanding customers is essential in marketing. Customers have needs, wants, and demands, and
companies try to respond to these by creating value propositions, which are promises of value that
satisfy those needs. This is done through market offerings such as products, services, and
experiences. When customers feel satisfied, they are more likely to engage in repeat purchases and
build long-term relationships with the company. Marketing is therefore based on exchange
relationships, where both the company and the customer receive value.
Companies can approach marketing in different ways depending on their orientation. Some focus on
production efficiency and low prices, others on product quality and innovation, and others on
aggressive selling. However, the most effective approach is the marketing concept, which focuses on
understanding and satisfying customer needs better than competitors. A more modern approach is
the societal marketing concept, which also considers long-term social and environmental well-being
alongside company goals. This reflects the importance of sustainable marketing practices.
Customer relationship management plays a central role in modern marketing. It involves building and
maintaining strong, profitable relationships by delivering superior customer value and satisfaction.
Companies also use customer engagement strategies to involve customers more actively in brand
experiences and communication. The goal is to increase customer lifetime value and customer equity
by creating loyal customers who repeatedly choose the brand and recommend it to others.
The marketing environment is constantly changing due to major forces such as the digital age,
economic changes, globalization, and sustainability pressures. Digital and social media marketing
have transformed how companies communicate and engage with customers through platforms like
social media, mobile apps, and online content. Mobile marketing allows companies to reach
consumers anytime and anywhere, making marketing more personal and immediate.
Economic changes, especially after the recession, have made consumers more careful and value-
focused in their spending. Companies must now emphasize value for money and adapt their
strategies accordingly. At the same time, marketing is increasingly used by not-for-profit organizations
such as hospitals and charities to attract support and funding, showing that marketing is not limited
to commercial businesses.
3
, Radboud University 28-05-2026
Inhoudsopgave
Lecture 1.....................................................................................................................2
Chapter 1....................................................................................................................3
Lecture 2.....................................................................................................................5
Lecture 3.....................................................................................................................7
Chapter 4....................................................................................................................9
Lecture 4...................................................................................................................12
Chapter 10................................................................................................................14
Chapter 11................................................................................................................16
Lecture 5...................................................................................................................18
Chapter 12................................................................................................................20
Chapter 13................................................................................................................21
Lecture 6...................................................................................................................24
Chapter 20................................................................................................................26
Lecture 7...................................................................................................................27
Chapter 14................................................................................................................29
Chapter 15................................................................................................................31
Chapter 17................................................................................................................33
Lecture 8...................................................................................................................34
Verhoef and Lemon (2016).........................................................................................35
1
, Radboud University 28-05-2026
Lecture 1
Marketing is not about making people buy things they do not want, as there is little customer value
when the quality of a product or service is not sufficient. Instead, marketing focuses on creating real
value for customers.
Marketing is more than just communication; it is also about building and maintaining strong customer
relationships. In modern marketing, this relationship-building aspect is essential for long-term
success.
Marketing can be defined as 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, 2007). Kotler, Armstrong and Balasubramaniam
(2024) further describe marketing as the set of strategies and activities through which companies
acquire and engage customers, build strong customer relationships, and create customer value in
order to capture value from customers in return.
In this exchange process, companies create value for customers while also capturing value in return.
Value creation for customers is defined as benefits minus sacrifices, where benefits can be economic,
functional, or psychological, and sacrifices include money, time, effort, and other costs related to
obtaining and using a product or service. In return, companies capture value in the form of profit,
calculated as revenues minus costs. However, a distinction is made between good profit, which
results from creating customer value and leads to loyalty, repeat purchases, and positive word-of-
mouth, and bad profit, which is gained at the customer’s expense.
An example often used is a shoe manufacturer and a barefoot consumer, illustrating how value is
exchanged in a marketspace between buying and selling parties.
A key part of marketing strategy is segmentation, targeting, and positioning. Segmentation involves
identifying meaningful groups of consumers, targeting is selecting which segments to serve, and
positioning is developing an image for a product or service in the minds of the chosen target
segments. Common segmentation mistakes include defining segments based on products instead of
customers, and overrelying on demographics instead of shared customer needs.
Products can be understood in three levels: the core product, which provides the main benefit; the
actual product, which includes features such as quality, design, packaging, and branding; and the
augmented product, which includes additional services such as delivery, warranty, customer service,
and aftersales support, which differentiate a product from competitors.
Brands play an important role in marketing by giving meaning to products through associations in the
minds of consumers. Innovation is also key and can be divided into incremental innovation, which
involves small improvements, and radical innovation, which involves major changes or entirely new
offerings.
2
, Radboud University 28-05-2026
Chapter 1
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. It is not just about selling or
advertising, but about understanding customer needs and designing offerings that satisfy those needs
better than competitors. Successful marketing focuses on engaging customers and managing long-
term profitable relationships rather than focusing on single transactions.
The marketing process consists of five main steps. First, companies need to understand the
marketplace and customer needs and wants through research and information management. Second,
they design a customer-driven marketing strategy by selecting which customers to serve through
segmentation and targeting, and deciding how to serve them through differentiation and positioning.
Third, they create an integrated marketing program using the marketing mix (product, price, place,
and promotion) to deliver value. Fourth, they build strong customer relationships and customer
engagement to create satisfaction and loyalty. Finally, companies capture value from customers in the
form of profits, customer lifetime value, and customer equity.
Understanding customers is essential in marketing. Customers have needs, wants, and demands, and
companies try to respond to these by creating value propositions, which are promises of value that
satisfy those needs. This is done through market offerings such as products, services, and
experiences. When customers feel satisfied, they are more likely to engage in repeat purchases and
build long-term relationships with the company. Marketing is therefore based on exchange
relationships, where both the company and the customer receive value.
Companies can approach marketing in different ways depending on their orientation. Some focus on
production efficiency and low prices, others on product quality and innovation, and others on
aggressive selling. However, the most effective approach is the marketing concept, which focuses on
understanding and satisfying customer needs better than competitors. A more modern approach is
the societal marketing concept, which also considers long-term social and environmental well-being
alongside company goals. This reflects the importance of sustainable marketing practices.
Customer relationship management plays a central role in modern marketing. It involves building and
maintaining strong, profitable relationships by delivering superior customer value and satisfaction.
Companies also use customer engagement strategies to involve customers more actively in brand
experiences and communication. The goal is to increase customer lifetime value and customer equity
by creating loyal customers who repeatedly choose the brand and recommend it to others.
The marketing environment is constantly changing due to major forces such as the digital age,
economic changes, globalization, and sustainability pressures. Digital and social media marketing
have transformed how companies communicate and engage with customers through platforms like
social media, mobile apps, and online content. Mobile marketing allows companies to reach
consumers anytime and anywhere, making marketing more personal and immediate.
Economic changes, especially after the recession, have made consumers more careful and value-
focused in their spending. Companies must now emphasize value for money and adapt their
strategies accordingly. At the same time, marketing is increasingly used by not-for-profit organizations
such as hospitals and charities to attract support and funding, showing that marketing is not limited
to commercial businesses.
3
