1D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

Principles and Practice of MarketingDavid Jobber

Chapter 1Marketing in the Modern Firm

2D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

Marketing Concept

The achievement of corporate goals through meeting and exceeding customer needs better than the competition

The Marketing Concept

Customer orientation

Corporate activities are focused upon providing customer satisfaction

Integrated effort

All staff accept the responsibility for creating

customer satisfaction

Goal achievement

The belief that corporate goals can be achieved

through customer satisfaction

3D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

The Marketing Concept

Customer orientation

Corporate activities are focused upon providing customer satisfaction

Integrated effort

All staff accept the responsibility for creating

customer satisfaction

Goal achievement

The belief that corporate goals can be achieved

through customer satisfaction

Marketing concept

The achievement of corporate goals through meeting and exceeding customer needs better than the competition

4D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

Marketing Concept

The achievement of corporate goals through meeting and exceeding customer needs better than the competition

The Marketing Concept

Integrated effort

All staff accept the responsibility for creating

customer satisfaction

Goal achievement

The belief that corporate goals can be achieved

through customer satisfaction

Customer orientation

Corporate activities are focused upon

providing customer satisfaction

5D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

Marketing Concept

The achievement of corporate goals through meeting and exceeding customer needs better than the competition

The Marketing Concept

Customer orientation

Corporate activities are focused upon providing customer satisfaction

Goal achievement

The belief that corporate goals can be achieved

through customer satisfaction

Integrated effort

All staff accept the responsibility for

creating customer satisfaction

6D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

Marketing Concept

The achievement of corporate goals through meeting and exceeding customer needs better than the competition

The Marketing Concept

Customer orientation

Corporate activities are focused upon providing customer satisfaction

Integrated effort

All staff accept the responsibility for creating

customer satisfaction

Goal achievement

The belief that corporate goals can be achieved through customer satisfaction

7D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

Production Orientation

Customers

Production capabilities

Manufacture product

Aggressive sales effort

8D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

Marketing Orientation

Customer needs

Potential market

opportunities

Marketing products

and services

Customers

9D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

Efficiency and Effectiveness

Ineffective Effective

Inefficient Goes out ofbusiness quickly Survives

Efficient Dies slowlyDoes wellThrives

10D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

Market-driven Management

Shared values and

beliefs

Customer focus

Market-led strategy

Structure and

systems

Implementation

Market intelligence

11D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

Market-driven Management

Customer focus

Market-led strategy

Structure and

systems

Implementation

Market intelligence

Shared values and beliefs customer first

12D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

Market-driven Management

Shared values and

beliefs

Customer focus

Market-led strategy

Structure and

systems

Implementation

Market intelligence

Skills in understanding and

responding to customers

13D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

Market-driven Management

Shared values and

beliefs

Customer focus

Market-led strategy Implementation

Market intelligence

Structure and systems

structure based on strategy

team work

14D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

Market-led strategy

Linking distinctive competencies to market opportunities

Competitive advantage the driving force

Market-driven Management

Shared values and

beliefs

Customer focus

Structure and

systems

Implementation

Market intelligence

15D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

Implementation people incentives communications persuasion

Market-driven Management

Shared values and

beliefs

Customer focus

Market-led strategy

Structure and

systems

Market intelligence

16D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

Creating Customer Value

Product benefits Service benefits Relational benefits Image benefits

Monetary costs Time costs Energy costs Psychological costs

Customer value

Perceived benefits

Perceived sacrifice

Positive Negative

17D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

Creating Customer SatisfactionDelight

Neutral

DissatisfactionAbsent Fulfilled

Presence of the characteristic

Cus

tom

er s

atis

fact

ion

‘Delighters’

‘More is better’

‘Must be’

18D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

An Effective Marketing Mix

Effective marketing

mix

Matches customer needs

Creates a competitive advantage

Well balanced

Matches corporate resources

19D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

Marketing Mix and Customer Needs

Customer needs

Key customer requirements

Competitive advantage

Marketing mix

20D Jobber, Principles and Practice of Marketing, © 1998 McGraw-Hill

Product Price Promotion Place

Marketing mix

Marketing Mix and Customer Needs

Competitive advantage

PsychologicalEconomic

Customer needs

Performance Availability Reliability Durability Productivity

Self-image Quiet life Pleasure Convenience Risk reduction