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Marketing Creating Value for Customers Gilbert A. Churchill, Jr. Irwin/McGraw-Hill J. Paul Peter © The McGraw-Hill Companies, Inc., 1998 Marketing Chapter 1 Marketing: Creating Value for Customers Gilbert A. Churchill, Jr. Irwin/McGraw-Hill J. Paul Peter © The McGraw-Hill Companies, Inc., 1998 Slide 1-1 Table 1.1 Major Types of Marketing TYPE DESCRIPTION EXAMPLE Product Marketing designed to create exchange for tangible products Strategies to sell Gateway computers Service Marketing designed to create exchanges for intangible products Strategies by Hertz to rent cars to travelers Person Marketing designed to create favorable actions toward persons Strategies to get votes for Bill Clinton Place Marketing designed to attract people to places Strategies to get people to vacation in Puerto Rico Cause Marketing designed to create support for ideas or issues or to get people to change socially undesirable behaviors Strategies to get people to stop using illicit drugs Organization Marketing designed to attract donors, members, participants or volunteers Irwin/McGraw-Hill Strategies to increase membership in the National Rifle Association © The McGraw-Hill Companies, Inc., 1998 Slide 1-2 Figure 1.1 Stakeholders in Marketing Activities at Organizational Activities Irwin/McGraw-Hill Govt. Agencies Marketing Activities © The McGraw-Hill Companies, Inc., 1998 Slide 1-3 Figure 1.3 Creating Value for Customers Irwin/McGraw-Hill © The McGraw-Hill Companies, Inc., 1998 Slide 1-4 Figure 1.4 The Consequences of Superior Customer Value Superior Customer Value Irwin/McGraw-Hill Customer Satisfaction and Delight Customer Loyalty Long Term Profitable Relationships © The McGraw-Hill Companies, Inc., 1998 Slide 1-5 Target Market Target Market The portion of a market that an organization attempts to serve with its marketing mix Irwin/McGraw-Hill © The McGraw-Hill Companies, Inc., 1998 Slide 1-6 Marketing Mix Product Price Placement Promotion The strategic tools a firm uses to create value for customers and achieve organizational objectives Irwin/McGraw-Hill © The McGraw-Hill Companies, Inc., 1998 Slide 1-7 Marketing Mix - Product Product Price Target Market Placement Promotion Something offered by marketers to customers for exchange Irwin/McGraw-Hill © The McGraw-Hill Companies, Inc., 1998 Slide 1-8 Marketing Mix - Price Product Price Target Market Placement Promotion The amount of money or other resources required to exchange for products and services Irwin/McGraw-Hill © The McGraw-Hill Companies, Inc., 1998 Slide 1-9 Marketing Mix - Placement Product Price Target Market Placement Promotion The channels of distribution used to get products and services to market Irwin/McGraw-Hill © The McGraw-Hill Companies, Inc., 1998 Slide 1-10 Marketing Mix - Promotion Product Price Target Market Placement Promotion The personal and impersonal means used to inform, persuade and remind customers about products and services Irwin/McGraw-Hill © The McGraw-Hill Companies, Inc., 1998