Marketing a group of activities designed to expedite transactions by creating, distributing, pricing and promoting goods, services and ideas

The Marketing Concept

The idea that an organization should try to satisfy customers’ needs through coordinated activities that also allow it to achieve its own goals

• Walmart’s slogan “Save Money, Live Better”

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Customer-Contact Employees

Must know what customers want

• They are not selling goods and services, but:
• Ideas
• Benefits
• Philosophies
• Experiences
• Customers’ perception of value = Level of success

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Marketing Goals

Customer satisfaction

• Achieve business objectives
• Boost productivity
• Reduce costs
• Capture market share

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Netflix Gives Consumers What They Want

Netflix has been very successful at providing customers with what they want

• Recommendations feature helps customize the experience for every customer
• Constantly developing new initiatives that add to perceived value and enhance Netflix’s competitive advantage
• Treats every interaction as a personal one

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Evolution of the Marketing Concept

Production Orientation

• 19th Century
• Manufacturing efficiency

Sales Orientation

• Early 20th Century
• Supply exceeds demand; a need to “sell” products exists

Market Orientation

• 1950s
• First determine what customers want
• New technologies are helping to improve communication and are helping companies learn what customers want

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Market Orientation

An approach requiring organizations to gather information about customer needs, share information across the firm and use information to build long-term relationships with customers

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