Study Guide
Study Guide for Exam 1
Unit 1 – The Marketing Process
Define marketing.
Process by which companies create value for customers and build strong customer relationships to capture value from customers in return
Know the five steps in the Marketing Process.
Understand the marketplace and customer needs/wants
Design a customer-driven marketing strategy
Construct a marketing program that delivers superior value
Build profitable relationships and create customer delight
Capture value from customers to create profits and customer quality
Define needs, wants and demands, marketing offerings and exchange.
Needs-states of deprivation
Wants- the form that needs take as they are shaped by culture and individual personality
Demand- needs and wants backed by buying power
Market offerings- some combination of products, services, info, or experiences offered to a market to satisfy a need or want
Exchange- the act of obtaining a desired object from someone by offering something in return
Understand the following terms: lifetime value of a customer, share of customer and customer equity.
Lifetime value of a customer-the value of the entire stream of purchases that the customer would make over a lifetime of patronage
Share of customer- the portion of the customers purchasing that a company gets in its product categories
Customer equity- the total combined customer lifetime values of all of the company’s customers
Be able to recognize the five different Marketing Management Orientations – including Production, Product, Selling, Marketing and Societal Marketing concepts. production- the idea that consumers will favor products that are available and affordable-focus is on improving production and distribution efficiency product- the idea that consumers will favor products that offer the most quality, performance and features- focus is on product innovation and continuous improvements selling- the idea that consumers will not buy enough of the firms products
Unit 1 – The Marketing Process
Define marketing.
Process by which companies create value for customers and build strong customer relationships to capture value from customers in return
Know the five steps in the Marketing Process.
Understand the marketplace and customer needs/wants
Design a customer-driven marketing strategy
Construct a marketing program that delivers superior value
Build profitable relationships and create customer delight
Capture value from customers to create profits and customer quality
Define needs, wants and demands, marketing offerings and exchange.
Needs-states of deprivation
Wants- the form that needs take as they are shaped by culture and individual personality
Demand- needs and wants backed by buying power
Market offerings- some combination of products, services, info, or experiences offered to a market to satisfy a need or want
Exchange- the act of obtaining a desired object from someone by offering something in return
Understand the following terms: lifetime value of a customer, share of customer and customer equity.
Lifetime value of a customer-the value of the entire stream of purchases that the customer would make over a lifetime of patronage
Share of customer- the portion of the customers purchasing that a company gets in its product categories
Customer equity- the total combined customer lifetime values of all of the company’s customers
Be able to recognize the five different Marketing Management Orientations – including Production, Product, Selling, Marketing and Societal Marketing concepts. production- the idea that consumers will favor products that are available and affordable-focus is on improving production and distribution efficiency product- the idea that consumers will favor products that offer the most quality, performance and features- focus is on product innovation and continuous improvements selling- the idea that consumers will not buy enough of the firms products