Marketing value creation

1. How does a company create value?

 Micro
 Community- the company you keep
 Content- Convey a brand`s role in culture and in society
 Curation- Convey brand taste
 Collaborations
 Macro
 Expand the size of addressable market-Build awareness beyond your target group
 Provide long-term differentiation- Brands do not tell products, they sell stories
 Ensure strategic growth
 Protect price and market share
 De-risk the company- be aligned with customers
2. Coca-Cola Marketing graph
 Culture- the norms and values it promotes
 Physique- what makes the product recognisable physically- shape, logo
 Relationship- the relationship it has with customers
 Personality- what emotions are prevalent in its marketing
 Reflection
 Self-image- how it presents its messages
3. Value proposition
 Gain creators- Gains
 Products and services- Jobs to be done
 Pain relievers- Pains
4. Satisfaction- the consumer`s response to the evaluation of the perceived discrepancy
between a prior experience(some other norm) and the actual performance of the product as
perceived after its consumption
5. What the customer/marketplace needs, wants and demands
 Needs- States of deprivations- Physical(food, warmth, safety), Social( belonging and
affection), Individual(knowledge and self-expression)
 Wants- Desires to satisfy needs in specific ways based on cultural and individual
personality
 Demand- the desire for products + the resources necessary to obtain them
 Benefits- the outcome that satisfies the customer and promotes buying behaviour
6. Customer
 The recipient of a good, idea, product or service from another party via a transaction
of either money or some other valuable
7. Steps for designing a customer-driven market strategy
 Segmentation- divide market into smaller segments
 Targeting- select the segments which can enter
 Differentiation- differentiate the market offering to create superior customer value
 Positioning- position the market offering on target groups minds
8. Creating value for customers
 Template
 Core- creating value and profitable relationships
9. How do you create value- 4ps- Product, Promotions, Place, Price
10. Product
  Anything that can be offered in a market for attention, acquisition, consumption or
usage that satisfies a need or desire
 Three levels of a product
 Core product/ Core customer value- the core problem-solving services and benefits
the customer obtains when buying the product
 Actual product- the physical good or delivered service that you actually get
 Augmented product- additional services and benefits
11. Services and product: degrees of tangibility
 Graph in presentation
12. What is a service?
 Any activity that one party offers to another which is intangible and does not result
in ownership
 Service characteristics
 Intangibility- the customer cannot perceive the service before buying it
 Variability- the quality of the service depends on the qualifications of the provider
 Perishability- a service cannot be stored
 Inseparability- services cannot be separated from their providers
13. Product: degrees of durability
 Durable- used over an extended period of time
 Non-durable- consumed quickly
14. Classification based on type of customer
 Consumer products- bought by final consumers for personal use
 Industrial- bought by individuals or organisations to be used in conducting business
15. Types of consumer products
 Convenience(e.g. food)- cheap, bought nearly daily, found everywhere
 Shopping(e.g. clothes, electronics)- medium price, bought a few times a month,
designated shops
 Specialty(e.g. cars, houses)- expensive, a few times a year, specialised outlets
 Unsought(life insurance, charity)- only in special circumstances
16. Types of industrial products
 Materials and parts
 Capital items- installations, equipment
 Supplies and services
17. Production decisions
18. Individual product decisions
 Product attributes- Features, quality, design
 Branding- Name, symbol, logo, design
 Packaging
 Labelling- Grade, Describe, Promote product
 Product- support services- they augment the product