Customer Value Marketing

Vanguard has a track record of analyzing internal processes in the areas of corporate finance and human resources. One measurement that is often discussed is the Customer Lifetime Value, which is the net profit attributed to the future relationship with a customer. This metric is used in budgeting and allocating investment dollars throughout the firm. There was a

quality products and services is also what makes customers want to come back to an organization.

The methodology section deals with the means of preparation of this report and the processes that we have followed.

Dodds, B. (2003). Managing Customer Value: Essentials of Product Quality, Customer Service, and Price Decisions. Colorado: University Press of America.

Marketing principles made a fast swift from the conventional methods to the modern marketing. From the literature, we can marked the shift from product centric view to customer centric view .i.e. from” inside-out to outside-in”. This made an outstanding shift from Mc Carty’s 4p concept to value based marketing. Emphasising this shift the Piercy(2009)imprint that marketing is a set of management activities that define ,create and deliver value to the customers.

Marketing is a management function which involves creating, communicating and delivering value for an organisation’s customers (Kotler, Brown, Burton, Deans & Armstrong (2010). Although many earlier academics define marketing as merely a process of satisfying customer needs in order to gain profits, more recent developments of the definition include its inherent connection with delivering superior value to customers in order to maintain ongoing relationships (Webster, 1992).

In today’s world marketing can be define in many ways. It has been changed in way of its market but definition rarely states the same. Marketing can also be defined as the process of creating value for customers in order to building

Today, in this world of advanced technology, an unhappy customer will tell "a million of their closest strangers”.2 Present marketing world is very competitive and dynamic. However, promoting competition in the markets directly or indirectly serves consumers through protecting consumer interests and increased economic efficiency. In this situation, every organization anticipates competitors’ moves and tries to capture the market over the competitors. Products or brands by themselves do not automatically usher in customer loyalty or strengthen customer relations. In today’s world, customers look for products that best suit their needs and purpose in terms of price, features, quality and appearance. They expect to be treated as "kings" and to receive sales and service support, along with definite solutions to problems from retailers, dealers or channel partners. From customer point of view, the company or brand exists only to create value for them and to provide them with results. In the fast-changing global economy, the focus must be on the way in which the nature of value is changing, involving new ways to determine price of goods, innovation and emotion. The implication of these new forms of exchange is a transfer of power from the producer to customer.

1. Value is the customer's perception of all of the benefits of a product or service weighed against all the costs of acquiring and consuming it. The mileage of a car would be considered as a(n):

To be successful in business, "a consumer does not buy a whole of physical components of the product but it is usefulness, function, satisfaction of consumer's needs, solving the problem, etc" (Dubrouski, , p.1). "That is why the product is a whole of tangible and intangible components which means satisfaction of consumer's needs and desires, solving the problem"(Dubrouski, p.1). Companies and managers must learn to utilize marketing research, as well as, strategy skills to fulfill customers' satisfaction. Management has to focus on exclusive marketing challenges presented by the new era of the 21st century. Management has to be able to utilize inventive, dominant, and cost effective marketing techniques that will support the future success of the organization. Companies must meet,"the increasing importance of services as part of a product (offer, offering package) which cannot be neglected" (Dubrouski, p.1). Exploring the purpose of market research, as well as, evaluating the importance of such research, facilitates managers in realizing the importance of marketing to an organization's success and to be globally competitive.

ANSWER:MARKETING AND CUSTOMER VALUE Marketing involves satisfying consumers’ needs and wants. The task of any business is to deliver customer value at a profit.

1, What is meant by CV? In general, what do customers truly value in: (a) the marketplace and (b) the marketspace? Provide an example of how a specific retailer and an e-tailer create value for their customers.

According to Sheth et al (1991), the customer perceived value has five dimensions including functional, conditional, social, emotional, and epistemic values. This value derived from the behaviour of the customer and overall purchasing criteria. Furthermore, this dimension clearly illustrates the ability of the customer to choose whether to continue buying the product or vice versa.

As many other big companies, losing profitable customers can dramatically affect a firm’s profits. The cost of attracting a new customer is estimated to be five times the cost of keeping a current customer happy, so Hilton was using CRM to retaining customers. As famous brand, Hilton give the best quality for their customers. Quality is the totality of features and characteristics of a product or service that bear on it’s ability to satisfy stated or implied needs. For achieving high levels of total quality so that firms remain solvent and profitable, Hilton marketers play a key role. Marketing managers must calculate customer lifetime values of their customer base to understand their profit implications. They must also determine ways to increase the value of the

The process of communicating the value of a product or service to customers, for the main purpose of selling that product or service is known as marketing. The science of choosing target markets through market segmentation and analysis, and understanding consumer behavior while providing superior customer value to the customers is termed as Marketing Management. It can be looked at as one of the most important of the organizational functions and a set of processes for creating, communicating and delivering the value to their customers or potential customers, and a customer relationship management that benefits the organization in a variety of ways.