principles of marketing. Customer Value Q3 W3.pptx

principles of marketing

1. Customer Value Lesson 2.2 1 Principles of Marketing Accountancy, Business, and Management

2. What factors influence your purchasing decisions? 2

3. Is a reasonable price more important for you than quality? 3

4. 4 Customers have varied needs, wants, and preferences. They value products and services differently.

5. What is common among them is that they pay to receive an expected value or benefit in return. 5

6. 6 Consider a cake store that sells pineapple pastry. The price per slice is ₱125. The actual product is a cake with cream in the middle and pineapple pieces on top. However, customers were not returning or giving positive feedback about their pineapple cake experience. With this information, we can assume that the consumers may not be receiving the best value for their purchases. Piece of Cake

7. 7 The shop may consider the following options to improve the delivery of customer value: They can sell the product at a lower price. They can add more quality to the product and customer experience. For instance, the bakery can mix pineapple bits in the cream and add more pineapple slices on the top. If any of the two options increased sales and customer visits, the customers might have sensed more value in the product.

8. Based on the text, what factors affect the customer’s purchasing decisions? Do you think all customers look for the same value in every product? Why or why not? If you are selling something, how will you create the best customer value? 8 Questions to Ponder

9. Explain the value of customers (ABM_PM11-Ic-d-6). 9

10. 10 In this lesson, you should be able to do the following: Explain the concept of customer value. Determine the factors that affect customer value in a given scenario. Illustrate the importance of customer value to companies. Adapt business strategies in delivering customer value.

11. 11 What are effective ways to deliver value to customers?

12. determines the worth of a good or service compared to potential substitutes the perception of customers that they received fair value for the amount they paid Customer value What is Customer Value? 12

13. Customer Remorse the feeling of regret that customers get when the cost of a product is not worth the benefits 13 What is Customer Value?

14. You are going for lunch, and you are deciding between Company A and Company B. Company A offers coupons and discounts, but company B sticks to its original pricing. Company B's products range from freshly grilled burgers and fries to rice meals, while Company A focuses mainly on sandwiches. Which, do you think, offers a better customer value? Lunch Time! 14

15. It depends. Individuals have different wants and needs. Therefore, no two customers will place the same value on the same product or service. It applies to similar products as well. Some customers are ready to pay a premium for a high-quality product or service, while others believe that the same benefits are not worth the price. Lunch Time! 15

16. derived from the exact monetary value received and from the customer’s subjective opinion Factors Affecting Customer Value 16

17. Factors Affecting Customer Value 17

18. Factors Affecting Customer Value direct, one-on-one interaction between a customer and the company it depends on market offering and brand Customer Service 18

19. Factors Affecting Customer Value when customers frequently purchase a trusted brand significantly affects business performance (revenue, returns, costs) Product Quality 19

20. Factors Affecting Customer Value how customers view a company's entire personality incorporates the entire experience of customers Brand Image 20

21. Factors Affecting Customer Value draw in and repels clients related to the capacity of the company to cover costs of production Price 21

22. 22 competitive pricing penetration pricing Value-based pricing cost-plus pricing Pricing Techniques Price price skimming

23. Price Many businesspeople and consumers think that  cost-plus pricing , or mark-up pricing, is the only way to price. This strategy brings together all the contributing costs for the unit to be sold, with a fixed percentage added onto the subtotal. Dolansky points to the simplicity of cost-plus pricing: “You make one decision: How big do I want this margin to be?” Cost Plus Pricing 23

24. Price “If I’m selling a product that’s similar to others, like peanut butter or shampoo,” says Dolansky , “part of my job is making sure I know what the competitors are doing, price-wise, and making any necessary adjustments.” That’s competitive pricing strategy in a nutshell. Competitive Pricing 24

25. Price In value-based pricing, the perceived value to the customer is primarily based on how well it’s suited to the needs and wants of each customer. Dolansky says a company applying value-based pricing can gain an advantage over its competitors in a couple of ways: The price is a better fit with the customer’s perspective. The pricing brings more profit, allowing you to acquire more resources and grow your business. Value-based Pricing 25

26. Price Companies use price skimming when they are introducing innovative new products that have no competition. They charge a high price at first, then lower it over time. Dolansky says the manufacturer is “betting that the product will be desired in the marketplace long enough for the business to execute its skimming strategy.” This bet may or may not pay off. Price Skimming 26

27. Price Penetration pricing makes sense when you’re setting a low price early on to quickly build a large customer base,” says Dolansky . For example, in a market with numerous similar products and customers sensitive to price, a significantly lower price can make your product stand out. You can motivate customers to switch brands and build demand for your product.  Penetration Pricing 27

28. The brand image of an airline is associated with safe and budget travel for backpackers. Such an image is due to the type of destinations offered; low price, discounts, and promotions; ease in booking, rebooking, and refunds; comfortable take-offs and landings; games and fun activities on board, among others. This brand image may contrast with its main competitor, which specializes in business and luxury travel. The customer value is brought by a mix of product quality, customer service, price, and overall brand image. Safe and Budget Travel 28

29. How do the different factors contribute to customer value? 29 1 Answer area

30. Delivering Customer Value 30 2 3 4 5 1 Determine what drives value for your customers. Understand your value proposition. Determine which clients you can add greater value to Determine a win-win price Satisfied customers who see a lot of value in your service are usually more inclined to pay more, whereas dissatisfied customers will leave even if the price is low. Concentrate your investments in your most valued consumers. Since different audiences have different needs, the company allocates marketing efforts and resources according to those needs.

31. collect data to learn what is essential to your consumers and how you might assist them Delivering Customer Value 31 Determine What Drives Customer Value

32. the brand's promise, particularly the mix of benefits or values that satisfies the customer's needs Delivering Customer Value 32 Understand Your Value Proposition

33. target the people who will likely connect with your brand and purchase your products Delivering Customer Value 33 Determine Which Customers You Can Add Greater Value To

34. customers are usually more inclined to pay more for better quality dissatisfied customers will leave even if the price is low Delivering Customer Value 34 Determine a “Win-Win” Price

35. marketing efforts should be focused on attracting that specific audience Delivering Customer Value 35 Concentrate Your Investments in Your Most Valued Consumers

36. improves customer satisfaction and experience boosts customer loyalty, business market share, and enhances efficiency 36 Importance of Customer Value

37. A famous brand for luxury watches remains unfazed even though its competitors moved towards producing and selling more affordable versions of their products. The said company maintained that its brand image is luxury, pride, and prestige. Its target audiences are the elite and the affluent, so people buy their product because it makes them part of an exclusive group. Sticking with Luxury 37

38. Lowering the selling price is not the only way to deliver customer value. Companies must determine their target audience and most valued customers and then develop the strategy to create customer value. Sticking with Luxury 38

39. 39 Choose a product or service you want to sell, identify a target audience and determine how to create customer value. 2 Answer area

40. All online jewelry retailers admirably get the basics right, offer beautiful designs, and provide excellent customer service. However, how can an online jewelry firm distinguish itself and establish itself as a powerful brand with great consumer perceptions? Customer Perception on a Jewelry Store 40 Clootrack, “Customer Perception Case Study,” https://clootrack.com/knowledge_base/customer-perception-case-study/ , last accessed on February 21, 2022.

41. CT used artificial intelligence to conduct an in-depth analysis of social media talks. The study is based on user feedback and online interactions in the segment. The analytical results offered are entirely objective and do not rely on any human judgment. User dialogues available openly online, such as public forums and social media, were used as the raw data for the research. Customer Perception on a Jewelry Store 41 Clootrack, “Customer Perception Case Study,” https://clootrack.com/knowledge_base/customer-perception-case-study/ , last accessed on February 21, 2022.

42. CT tracked talks across several platforms, including online forums, social media groups, internal data such as customer service tickets, chatbot extracts, emails, and other internally managed forums. The firm wanted to understand what its customers and prospects think of the brand and to study perception factors for online jewelry companies. CT studied six online jewelry businesses and identified the top 5 customer impression determinants based on 20,883 online consumer chats input. Customer Perception on a Jewelry Store 42 Clootrack, “Customer Perception Case Study,” https://clootrack.com/knowledge_base/customer-perception-case-study/ , last accessed on February 21, 2022.

43. CT was able to identify the top five customer impression determinants based on online consumer conversations: trust, range, pricing, delivery options, and returns. The following customer perception drivers, derived from a thorough consumer conversation analysis, will provide Brand Managers and Chief Marketing Officers (CMOs) with much-needed guidance for all of their brand strategy and marketing operations. Customer Perception on a Jewelry Store 43 Clootrack, “Customer Perception Case Study,” https://clootrack.com/knowledge_base/customer-perception-case-study/ , last accessed on February 21, 2022.

44. 44 Customers have different needs, wants, and preferences that influence their purchasing decisions. What is common among them is that they purchase a product or a service expecting a particular value of benefits in return.

45. 45 Customer value is the customer's opinion on how much a product or service is worth compared to the alternatives. Products or services have higher value when customers believe their benefits outweigh their costs.

46. 46 Customer value doesn't only consider the actual value or the selling price of a product or service. It also depends on several factors such as customer service, product quality, brand image, and price.

47. 47

48. 48 To deliver customer value, businesses: determine what drives customer value understand their value proposition determine which customers they can add greater value to determine a “win-win” price concentrate their investments in their most valued consumers

49. 49 Creating customer value improves customer satisfaction and experience. Customers directly affect business performance; it is considered part of a company’s lifeblood.

50. Identify what is being described. It is the customer's opinion on how much a product or service is worth compared to other alternatives. 50 Answer area

51. Identify what is being described. It is a factor in customer value that involves the direct, one-on-one interaction between a customer and a representative of the company. 51 Answer area

52. Identify what is being described. It is a critical factor in customer value that influences a brand performance and helps develop brand reputation in client marketplaces. 52 Answer area

53. Identify what is being described. It captures how customers view a company's entire personality. 53 Answer area

54. Identify what is being described. It is a factor in customer value that determines if the company can cover the costs of creating and delivering its products. 54 Answer area

55. Examine the following statements and feedback submitted by customers. Determine whether each customer perceives value in excellent service, reasonable price, or quality product. Explain your answer. Sample: “I want a company that will not leave me once they get my money.” 55 Based on the statement, the customer perceives value in excellent customer service. The customer wants the company to assist and help them with their needs continuously.

56. "I'm willing to pay ₱3000 for a pair of sneakers since they last a long time. I don't comprehend those who spend ₱1000 on a pair of shoes every six months." 56 Answer area

57. "I won't shop at those places; they're too congested and crowded. I love to buy my clothes from specialty boutiques. They are calmer, more pleasant to be in, and allow you to take your time and comfortably try on things." 57 Answer area

58. Do the following tasks. Perform a short skit about the importance of customer value. 58 Answer area

59. Do the following tasks. Think of your product or service and create a five-item (5) list of what you will do to maintain or improve customer value. 59 Answer area

60. Laptop cart store online , by mohammed_hassan is free to use under Pixabay license via Pixabay .