Marketing week 1 quiz customer centricity

a performance measure used to evaluate the efficiency of an investment or to compare the efficiency of a number of investments

ROI

ways that McCormick pioneered customer-focused business practices

- moved production lines from NY to Chicago to be closer to customers, and in order to be closer to water/rail ways to cut costs (savings he passed to farmers) - importance of cutting costs - importance of quality and process improvement and need for building customer satisfaction and brand loyalty - making service a top priority - much of his advertising included testimonials - standard pricing, term payments, and money back guarantees

key to successful marketing

being able to understand what benefits customers are seeking, to translate those benefits into products and then communicate the product offering baack to the customer

what are the assets involved in brand equity

brand awareness, perceived quality, brand associations, brand loyalty, and intellectual property

The set of assets linked to a brand's name that adds to or substracts from the value of that product or service

brand equity

web 2.0: tech has shifted power from __ to ___

companies to consumers

study found that _________________ is the key to securing customer loyalty and generating superior, long-term financial performance

complete customer satisfaction

what are the 4 activities to build a customer centric culture

coordination, cooperation, capability, connector

the cost of funds used to finance a business

cost of capital

Drucker: it is the ____ who determines what a business is

customer

a proactive business strategy is

customer centric.. because without customers you don't have a business

studies have shown that _____ makes B2Bs more successful

customer centricity

group customer behaviors into categories of goals, activities and priorities

demand landscape

what is favorable points of difference approach and is it a good idea

does not convey the value of any highlighted differences. involves value presumption - assuming what is valuable to customer

retro marketing

exclusivity selective secrecy amplification entertainment

cost of capital is the cost of funds used to

finance a business

another perspective: _ and _ are the means to fully understanding a marketplace and its customers

humility and generosity

the components of an effective marketing strategy

marketing mix

Levitt: concentrate on ____ instead of ____

meeting needs, selling products

what is the all benefits approach and is it a good idea

no, benefit assertion risks losing point of differentiation (this method just lists out all the benefits)

key characteristics of B2B success

not product or tech centric - customer centric // deep customer insights // integrate branding into cusomter centricity // reward ees for customer-focused innovation // emphasis on delighting customers

read over what coordination cooperation capability and conncetion are

ok

marketers can raise CPV by raising benefit offerings or lowering costs or both, but the overall benefit - to -cost ratio is what remains of value to customers, and lowering costs at the expense of benefits could ruin the company's competitive advantage

ok re-read that a few times

instead of all benefits approach and favorable points of difference approach, what should we do?

resonance model - know the customer needs and highlight thefew elements that matter most

customer orientation

the set of beliefs that puts the customers' interests firsts, ahead of all those other stakeholders such as owners, managers, and ees

brand equity is the set of assets linked to a brand's name that adds to or substracts from ____

the value of that product or service

Drucker: there is only one business purpose

to create a customer

in developing a customer-centric strategy, above all, companies should provide

top-notch support services and highly responsive recovery process when something goes wrong

any point of contact between buyer and a seller

touch point

Levitt's famous question

what business are we really in?

customer centricity fits 3 ways into an org

1. as part of the KMS 2. as part of the development of strategic competence as a learning org (customer-centric culture) 3. foundation for corporate strategy development and execution (serving the customer)

customers attempt to maximize

CPV - greatest benefit at lowest possible cost

a model for managing a company's interactions with its current and future customers

CRM

the use of technology to organize, automate, and synchronize sales, marketing, customer service, and technical support

CRM