Les 1: 23 september
Chapter 1: Marketing principles and practice
What is the primary goal of marketing?
→Understand and meet customer needs to create value
B2b market: business to business
B2c market: business to consumers
1.1. What is marketing?
Marketing is a social and managerial process by which individuals and groups obtain
what they need and want through creating and exchanging products and value with
others.
= build and maintain profitable customer relationships with stakeholders
What does marketing apply to?
1. Physical products: mnm
2. Services: netflix
3. Retail: only sell goods to consumers, amazon
4. Experiences: theme parks, …
5. Events: olympic games
6. Film , music and theater
7. Places: Antwerp, …
8. Ideas: BOB campaign
9. Charity and non-profit
10. People: election campaigns
→ marketing applies anywhere “buyers” have a choice
,1.2. Difference between customers and consumers
The customer buys the product and the consumer is the one who uses it.
Consumers’ buying roles:
Role Description Marketing implications and
Initiator Initiates idea Target initiators by emphasizing how
a product addresses their needs
Influencer Influences decision E.g., collaborate with influencers
(by providing
information)
Decider Ultimate buying Facilitate decision-making process
decision (e.g., detailed product information)
Buyer Actual purchase Ensure smooth purchasing process
Payer Pays Offer various payment methods
User Consumes Provide user support, gather
feedback
Gatekeeper Controls access of Communicate effectively with
product information gatekeepers
, 1.3. Market orientation
= an organization gathers information about current and future customer needs,
shares this information across all departments, and responds to it by creating
products that deliver customer value and meet both existing and (latent) hidden
needs.
Three components of market orientation (pwp 40)
1) Customer orientation: understand what customers want by developing and
redeveloping offerings to meet customer needs
2) Competitor orientation: understand the competition and find a way to do it
better
3) Interfunctional coordination: All departments working together to respond
effectively for long-term profit growth
Goal: creating greater customer value and achieving better long-term performance
Customer centricity = you put the customer at the centre of everything you do
→ try NOT to please ALL customers because it is impossible
,1.5. Difference between marketing and sales
● Sales: product push (=short term satisfaction of customer needs), just buy
● Marketing: Product pull (= stimulating demand), long term you want long term
customers
Marketing Sales
Long-term satisfaction Short-term satisfaction
Greater input into customer design of Lesser input into customer design of
offering offering
High focus on stimulation of demand Low focus on stimulation of demand
More focused on meeting existing
demand
Customer satisfaction ⇒ put realistic expectations so you don't have dissatisfied
customers
Acquisition (=gaining new customers) vs retention (=keeping existing customers)
Acquisition is more expensive than retention
Tip of the iceberg
We as consumers only see the advertising and sales and a little bit of the pricing and
market research (when we fill in a survey). All the rest we don’t see.
1.6. What do marketers do?
Placing the customer at the center of a company’s operations and decision-making
processes
- Generate customer insights
- Develop marketing strategy
,Marketing within organizations
● Enhancing a firm’s relationships with its customers
● Pits customers first
● Marketers do not control all the marketing mix elements
● Marketing is present in all aspects of an organization: all departments play
a role in creating, delivering and satisfying customers
Marketers within organizations:
CEOs with a marketing background outperform CEOs from nearly all other backgrounds when it
comes to being socially responsible, inclusive, and having a strong strategy and long - term
vision
1.7. Marketing as exchange
Exchange creates value → core of marketing
Exchange: the act fo obtaining a desired object from someone by offering something in
return
- there have to be two parties
- Each party must hold something of value to offer and
- they must want to deal with each other.
Ex: the retailer offers a product and the customer gives money
Er zijn talloze soorten uitwisseling tussen koper en verkoper in marketing.
a) Detailhandelaar - fabrikant (manufacturer - retailer):
In dit geval koopt de detailhandelaar goederen van de fabrikant via een
kredietfaciliteit, hij verwacht dat er beschadigde goederen zijn zodat hij die
kan retourneren. In ruil daarvoor verbindt de detailhandelaar zich ertoe een
groothandelsprijs te betalen.
b) Fabrikant - koper (retailer - customer):
Een koper stapt bijvoorbeeld jumbo binnen en koop daar goederen aan. Hier
betaalt hij met cash of met een credietkaart.
c) Detailhandelaar - koper (manufacturer - customer):
De groothandel verkoopt het goed meteen aan de koper (dus niet via een een
fabrikant (retailer)). Een voorbeeld hiervan is Dell; een computermaatschappij die
hun goederen direct aan hun klanten verkoopt via website’s.
,d) De politie - koper (The police - customer):
In dit geval gaat over de bescherming die de politie biedt aan de ‘kopers’
terwijl de koper hen supportert door bv. Petities te tekenen.
e) Liefdadigheidsfonds – donors (charity – donors):
De donors donneren en de liefdadigheidsfondsen vervullen hun diensten door
een derde partij te helpen.
f) Universiteit – student (university – student):
De universiteit biedt opleidingen aan studenten in ruil voor betalingen.