Marketing

Creating and Capturing Customer Value

W. Rofianto

Marketing Defined

The process by which companies create value for

customers and build strong customer relationships in

order to capture value from customers in return.(Kotler & Amstrong, 2012)

Needs - states of felt deprivation

Including physical needs for food, social needs for belonging and

individual needs for self-expression. i.e. I am thirsty.

Wants - form that a human need takes

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.

Needs, Wants, and Demands

Need Is A Very Subjective Word

Marketing Management Orientations

Production

concept

Product

concept

Selling

concept

Marketing

concept

Societal

concept

production

and

distribution

efficiency

continuous

product

improvements

large scale

selling and

promotion

effort

Make and Sell

Selling and Marketing Concepts Contrasted

The Societal Marketing Concept

Consumer

Short-run Wants

Vs Consumer

Long-run Welfare

The societal marketing concept holds that marketing strategy

should deliver value to customers in a way that maintains or

improves both the consumer’s and society’s well-being.

Perceived Value

Customer’s evaluation of the difference

between benefits & costs.

The relationship between benefits and sacrifice necessary to obtain those benefits.

Customers often do not judge values and costs accurately or objectively.

Customer Value

• The feeling that a product met or exceeded

the customer’s expectations.

• Product’s perceived performance relative to

customer’s expectations.

Customer Satisfaction

The Changing Marketing Landscape

The Uncertain Economic Environment

Rapid Globalization

Sustainable Marketing

The Growth of Not-for-Profit Marketing

The Digital Age

What is Marketing?

Marketing is 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’s official definition of marketing,

Approved July 2013)

Marketing Defined Revisited

Marketing Strategies and the Marketing Mix

Marketing Strategies and the Marketing Mix

The Four Cs

Business has only two basic functions

marketing and innovation.

(Peter Drucker )

rofianto@gmail.com