Chapter
1
-‐
Creating
and
capturing
customer
value
Marketing:
managing
profitable
customer
relations,
aim
is
to
create
value
for
customers
in
order
to
capture
value
from
customers
in
return
Marketing
management:
as
the
art
and
science
of
choosing
target
markets
and
building
profitable
relationships
with
them.
Marketing
process
Understand
Design
a
Construct
an
Build
Capture
value
the
customer-‐‑ integrated
profitable
from
marketplace
driven
marketing
relationships
customers
to
and
customer
marketing
program
that
and
create
create
profits
needs
and
strategy
delivers
customer
and
customer
wants
superior
value
delight
equity
Understanding
the
marketplace
and
customer
needs
• Customer
needs,
want
and
demands
o Needs:
states
of
felt
deprivation
(physical,
social,
individual)
o Wants:
the
form
human
needs
take
as
they
are
shaped
by
culture
and
individual
personality
o Demands:
human
wants
that
are
backed
by
buying
power
• Market
offerings
–
products,
services
and
experience
o Market
offerings:
some
combination
of
products,
services,
information,
or
experiences
offered
to
a
market
to
satisfy
a
need
or
want
o Marketing
myopia:
mistake
of
paying
more
attention
to
the
specific
products
a
company
offers
than
to
the
benefits
and
experiences
produced
by
the
products
• Customer
value
and
satisfaction
o Customers
form
expectations
about
value
and
satisfaction
that
various
market
offerings
will
deliver
and
buy
accordingly
§ Expectations
too
low
à
satisfy,
but
don’t
attract
enough
customers
§ Expectations
too
high
à
dissatisfy
• Exchanges
and
relationships
o Exchange:
the
act
of
obtaining
a
desired
object
from
someone
by
offering
something
in
return
§ Marketing
consists
of
actions
taken
to
create,
maintain
and
grow
desirable
exchange
relationships
1
1
-‐
Creating
and
capturing
customer
value
Marketing:
managing
profitable
customer
relations,
aim
is
to
create
value
for
customers
in
order
to
capture
value
from
customers
in
return
Marketing
management:
as
the
art
and
science
of
choosing
target
markets
and
building
profitable
relationships
with
them.
Marketing
process
Understand
Design
a
Construct
an
Build
Capture
value
the
customer-‐‑ integrated
profitable
from
marketplace
driven
marketing
relationships
customers
to
and
customer
marketing
program
that
and
create
create
profits
needs
and
strategy
delivers
customer
and
customer
wants
superior
value
delight
equity
Understanding
the
marketplace
and
customer
needs
• Customer
needs,
want
and
demands
o Needs:
states
of
felt
deprivation
(physical,
social,
individual)
o Wants:
the
form
human
needs
take
as
they
are
shaped
by
culture
and
individual
personality
o Demands:
human
wants
that
are
backed
by
buying
power
• Market
offerings
–
products,
services
and
experience
o Market
offerings:
some
combination
of
products,
services,
information,
or
experiences
offered
to
a
market
to
satisfy
a
need
or
want
o Marketing
myopia:
mistake
of
paying
more
attention
to
the
specific
products
a
company
offers
than
to
the
benefits
and
experiences
produced
by
the
products
• Customer
value
and
satisfaction
o Customers
form
expectations
about
value
and
satisfaction
that
various
market
offerings
will
deliver
and
buy
accordingly
§ Expectations
too
low
à
satisfy,
but
don’t
attract
enough
customers
§ Expectations
too
high
à
dissatisfy
• Exchanges
and
relationships
o Exchange:
the
act
of
obtaining
a
desired
object
from
someone
by
offering
something
in
return
§ Marketing
consists
of
actions
taken
to
create,
maintain
and
grow
desirable
exchange
relationships
1
