marketing and the apple watch

1966 WordsMay 7, 20158 Pages
Marketing occurs within an organisation when consumers needs, wants and demands are met with the exchange of a product (Kotler & Armstrong, 1991). The concept is organisation wide, and particularly important when new products are introduced within a market. Customer value is an important aspect of marketing, as it aids in exploring what the consumers perceived needs and wants are. Customer value can be defined as the benefits gained, and sacrifices made in order to purchase a product. The main sources of value created by the organisation are functional/instrumental value, experiential/hedonic value, symbolic/expressive value and cost/sacrifice value. In this paper we will be looking towards the fore coming Apple Watch as an example.…show more content…
Apple have been carefully honing in on the customers needs and wants, and are finally ready to release the end product to expectedly enthusiastic consumers. Customer value essentially is the perceived benefits concluded by the customer, derived from obtaining the product held up against the sacrifices being made to acquire the product (Weinstein, 2012). Organisations creating value, furthermore customer value is progressively being seen as a fresh and up to date source of competitive advantage (Woodruff, 1997). Because of this, the creation of customer value is an incredibly significant central concept within marketing (Patterson & Spreng, 1997). However there is not one single agreed upon definition that may be used for customer value, as well as no distinct definitive theory or framework used to emphasize customer value (Weinstein, 2012). Adopting the way in which organisations are able to create value, Smith and Colgate (2007), have developed an innovative framework where four types of value created merely by the organisation are acknowledged - these being functional/instrumental value, experiential/hedonic value, symbolic/expressive value and cost/sacrifice value. Functional and instrumental value refers to the buyer purchasing the product and having it complete the function it is designed to do (Smith & Colgate, 2007). More so concerned with the
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