Benefits for Customers and Firms

Both parties in the customer firm relationship can benefit from customer retention.This is,it is not only in the best interest of the organization to build and maintain a loyal customer base,but customers themselves also benefit from long term associations.

Benefits for Customers:

Assuming they have a choice,customers will remain loyal to a firm when they receive greater value relative to what they expect from competing firms.Value represents a trade off for the consumer between the components.

Confidence Benefits:

Confidence benefits comprise feeling of trust or confidence in the provider along with a sense of reduced anxiety and comfort in knowing what to expect.One customer described his confidence that resulted from having developed a relationship with a service provider.

Social Benefits:

Over time,customers develop a sense of familiarity and even a social relationship with their service providers.These make it less likely that they will switch,even if they learn about a competitor that might have better quality or a lower price.This customer's description of her stylist in a quote from the research just cited illustrates the concept of social benefits.

Special Treatment Benefits:

Special treatment includes getting the benefit of the doubt,being given a special deal or price,or getting preferential treatment as exemplified by the following quotes from the research.

Benefits for Firms:

The benefits to organization of maintaining and developing a loyal customer base are numerous.In addition to the economic benefits that a firm receives from cultivating close relationships with its customers,a variety of customer behavior benefits and human resource management benefits are also often received.

Economic Benefits:

Research reveals that over the long run,relationship-oriented service firms achieve higher overall returns on their investments than do transaction oriented firms.These bottom line benefits come from a variety of sources,including increased revenues over time from the customer,reduced marketing and administrative costs,and the ability to maintain margins without reducing prices.

Customer Behavior Benefits:

The contribution that loyal customers make to a service business can go well beyond their direct financial impact on the firm.The first and maybe the most easily recognized,customer behavior benefit that a firm receives from long term customers is the free advertising provided through world of mouth communication.

Human Resource Management Benefits:

Loyal customers may also provide a firm with human resource management benefits.First,loyal customers may,because of their experience with and knowledge of the provider,be able to contribute to the co-production of the service by assisting in service delivery.often the more experienced customers can make the service employees job easier.

 

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Perception in Service Marketing

As a marketer he/she should keep in mind that perceptions are always considered relative to expectations.Because expectations may also shift overtime from person to person and culture to culture.We will be focusing on the perceived service box in in the gaps model.What is considered quality service or the things that satisfy customers today may be different tomorrow.Also keep in mind that the entire discussion of quality and satisfaction is based on customers perceptions of the service.

"Customer perceive service in terms of the quality of the services and how satisfied they are overall with their experiences."   ==>Valarie,A Zeithaml & Mary Jo Bitner

"Perception is the process by which sensations are selected, organized and interpreted." ==> Solomon

"Perception is the process by which an individual selects organizes and interprets into a meaningful and coherent picture of the world." ==> Schiffman and Kanuk

Finally we can say,a marketer should keep in mind that perceptions are always considered relative to expectations.Expectation may also shift over time from person to person and from culture to culture.

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Importance of Strategic Marketing

Strategic plans designed to meet the broad objectives of the organization to implement the mission that provides the unique reasons for organization's existence.Now point for the importance of strategic marketing:

1.Defining the company mission
2.Determining objectives&methods
3.Determining business portfolio
4.Analyzing the business portfolio
5.Making model based decision
6.Identifying and filling gaps
7.Determining strengths&weakness
8.Determining threats&opportunities
9.Strategy formulation
10.Providing consistent guidelines
11.To make good decisions
12.To anticipate problems
13.To develop functioning
14.Determining profit volume
15.To face competition.

Finally we can say,Strategic planning plays key role in achieving a balance between the short and the long term.

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Importance of Service

Services are activity,benefits or satisfactions which are offered for sale or provided in connection with the sale of goods.Importance of service are given below:

1.Creating employment opportunities

2.Improvement standard of living

3.Change in life-style

4.Improvement of technologies and equipment

5.Increasing leisure time

6.Increasing awareness about education,health&fairness

7.Investment, saving & security

8.Quick communication and exchange of information

9.Higher wages

10.Optimum utilization of unused resources

11.Expanding global marketing concept

12.Increasing per-capita income

13.Attractive wage.

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Marketing Management is Demand Management

Date                :19-07-2010 ,20-07-2010                                

Presenter      : MD.SHOFIKUL ISLAM                        

Lecture          : 3 , 4

Marketing managers seek to influence the level, timing and composition of demand to meet the organization's objectives.

1. Negative demand and tasks of marketing management: Consumers deslike the product and avoid it.

2. No demand and tasks of marketing management : Consumers may be unaware or uninterested in the product.

3. Latent demad and tasks of marketing management  : Consumers can not be satisfied by an existing product.

4. Falling demand and tasks of marketing management : Consumers begin to buy the product less frequently.

5. Irregular demand and tasks of marketing management : Consumers purchases vary on seasonal, monthly, weekly, daily or even hourly basis.

6. Full demand and tasks of marketing management : Consumers are adequately buying all products 

7. Overful demand and tasks of marketing management : More consumers would like to buy the product.

8. Unwholesome demand and tasks of marketing management : Consumers may be attracted to products that have undesirable social consequences.

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What is Marketing Management?

Date                :12-07-2010                                

Presenter      : MD.SHOFIKUL ISLAM   
College          : Dhaka Commerce College              

Lecture          : 1

Marketing management is the art and science of choosing target markets and getting, keeping and growing customers through creating, delivering, communicating superior customer value.Marketing management is the process of scanning the environment, analyzing market opportunities, designing marketing strategies and then effectively implementing and controlling marketing practices.

"Marketing management is the art and science of choosing target markets and getting,keeping and growing customers through creating,delivering and communicating superior customer value."

                                                                                                        < Philip Kotler & Kevin Lane Keller

"Marketing management is the process of planning,organizing,implementing and controlling marketing strategies."

                                                                                                        <Steven J.Skinner

Marketing management is the process of planning, organizing, implementing and controlling marketing activities to facilitate and expidite exchanges effectively and efficiently.Marketing management is the process of planning, organizing, implementing and controlling marketing strategies. Marketing management is the process of planning, executing and controlling marketing activities to attain marketing goals and objectives effectively and efficiently.

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