Analyzing the Relationship Between Marketing and Customer Value

This essay explores the intricate relationship between marketing and customer value, emphasizing how marketing serves as a pivotal business process for building customer relationships and maintaining a competitive edge. It defines marketing as both an art and science focused on creating and del...Read More

The Scholarship of Marketing

Scholarship of marketing
Marketing
It has been analyzed that marketing is considered as the business process that helps in
creating relationships with the customers. It is one of important factor that should be considered
by the company to maintain the organizational operations. Also, to survive in the highly
competitive market, the company has to maintain the customer value (Weinstein, 2016). In this
paper, the discussion will be made on the concept of marketing and customer value and the link
between marketing and customer value will be explained.
According to Baker (2016) , Philip Kotler “Marketing is known as science and art of
exploring, creating and offering the value that help in fulfilling the needs of the target market by
attaining profits”. Marketing plays an important role in boosting the growth of the business in the
highly competitive market. Without marketing it is not possible for the companies to enhance the
sales or to compete with the competitors present in the market. One of the importances of
marketing relates with raising and maintaining the living standard of the community. By offering
products and services to the customers at a reasonable price, it can be said that marketing
emphasizes on raising and maintaining the living standards of the community. Due to latest
marketing techniques, even the poorer areas of the society have achieved a reasonable standard
of living.
Marketing also focuses on generating employment. It is a complex process that involves
many individuals in managing the activities such as buying, selling, financing and warehousing.
In the present era, it has been estimated that 40% of the total population is directly or indirectly
dependent on the process of marketing. Huegy and Mitchell has righty pointed out that “ in order
to maintain the process of production the marketing should be done on a continuous basis, then
only the employment can be sustained and the activities of the business can be continued”. So, it
can be stated that marketing positively impact in offering employment to the individuals (Kotler
& Armstrong, 2015).
Marketing is also useful in development of an economy. It has been stated by Adam
Smith that “nothing can take place in the country unless the individuals sell the products or the
services in the market”. Marketing is known as the key pin that helps in revolving the economy.
Marketing is important in maintaining the stable economy as it emphasizes on rotating money in
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Scholarship of marketing
the market. Therefore, it can be stated that if there is less stress on marketing function then
economy will be weaker.
The concept of marketing is one of the less expensive sources of informing the customers
about the new products and services launched in the market. It saves the cost of company and
also provides a platform to the customers to be aware about the products and services that exist
in the market. Social media channels and email campaigns assisted the companies to reach the
customers in less cost or it can be stated as a financial friendly possibility. It is examined that
smart marketing can also help the companies to compete with the competitors present in the
market. It helps the company to maintain the high profit ratio by promoting the products through
convenient sources such as social media channels which are Face book and Twitter. Therefore, it
can be stated that marketing is known as the less expensive medium that assist the companies to
provide the accurate information of the activities (Kotler, Burton, Deans, Brown & Armstrong,
2015).
The next concept relates with customer value in which satisfaction of the customer has an
important role. The customer value is the satisfaction level of the customers that is attained after
they make purchase of the products and services. The customer value can also be related with the
perception of what the products or the service is worth to, which means that what benefits can be
attained by the customers. It can also be considered as an incremental advantage that is attained
by that is achieved after consuming the product (Homburg, Jozić & Kuehnl, 2017).
The term “value” relates with the advantage that is availed by the customers after paying
a certain amount of the product. The customer value depends on the three aspects such as
Quality, service and price and when these three comes together then it forms “customer value
traid”. It is important for the companies to focus on offering the quality products so that it could
be easy to boost the satisfaction level in the highly competitive market. The customer value
relates with the different parameters such as cost, quality, and service, social, marketing and past
experience. These parameters influences the satisfaction level of the customers towards the
services or the products offered to the customers. Therefore, to achieve growth or success in the
highly competitive market it s important for the companies to focus o offering customer value so
that it could be easy to attain set goals and objectives in the market (Waheed, Yang, Ahmed,
Rafique & Ashfaq, 2017).
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Scholarship of marketing
(Source: Mbaskool, 2019).
Link between customer value and marketing
It is analyzed that the concept of customer value and marketing are interlined with each
other. To boost the satisfaction level of the customer by offering them higher value can be
considered as the primary purpose of the company. But this can only be done when the concept
of marketing is taken into consideration. Marketing helps to maintain the customer value as it is
the source through which the companies can identify the needs and demands of the customers
and according to that designing of the products and services is done that caters their needs to
satisfy the customers. To identify and deliver the customer value can be considered as the key
success and also it helps the company to survive for the long time in the competitive market (Wu
& Li, 2018).
The customer value is linked with the marketing concept. According to the American
Marketing Association “Marketing is the term that is known as the set of the activity and process
that emphasize on creating, communicating, delivering and enhancing the offers through which
the customers or the clients can be valued”. By this definition it can be said that marketing helps
to boost the customer value as it offers information to the clients. It is examined that marketing
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Scholarship of marketing
helps in improving the standard of living of the individuals by offering products and services in a
proper manner, so can be stated that marketing bring improvisation in the living standard of the
individuals that directly enhance the customer value in the competitive market (Kumar &
Reinartz, 2016).
Customer value is important to be maintained by the companies as it provides a platform
to compete with the competitors that are present in the market but it can only be done when the
companies offers some benefits to the customers. Marketing is the concept that helps to save the
extra cost of the companies and through this the companies can promote the products in fewer
prices as compared to the competitors. So, it will help in boosting the customer value and also it
will assist in saving the extra cost that is incurred by the companies (Payne, Frow & Eggert,
2017).
It is concluded that marketing and customer value is known as one of the important
factors that should be considered by the companies so that it could be easy to attain goals and
objectives in the competitive market. Marketing offers a platform for the companies to promote
the products but on the hand it also provides the opportunity to maximize the customer value.
Through marketing, the customers can be aware of the products and services offered in the
market. Therefore, it can be stated that marketing and customer value is important to be
controlled by the companies.
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Scholarship of marketing
References
Baker, M. J. (2016). What is marketing?. In The Marketing Book (pp. 25-42). Routledge.
Homburg, C., Jozić, D., & Kuehnl, C. (2017). Customer experience management: toward
implementing an evolving marketing concept. Journal of the Academy of Marketing
Science, 45(3), 377-401.
Kotler, P., & Armstrong, G. (2015). Principles of Marketing-Global Edition. Pearson.
Kotler, P., Burton, S., Deans, K., Brown, L., & Armstrong, G. (2015). Marketing. Pearson
Higher Education AU.
Kumar, V., & Reinartz, W. (2016). Creating enduring customer value. Journal of
Marketing, 80(6), 36-68.
Mbaskool (2019). Customer value. Retrieved from: https://www.mbaskool.com/business-
concepts/marketing-and-strategy-terms/1816-customer-value.html
Payne, A., Frow, P., & Eggert, A. (2017). The customer value proposition: evolution,
development, and application in marketing. Journal of the Academy of Marketing
Science, 45(4), 467-489.
Waheed, A., Yang, J., Ahmed, Z., Rafique, K., & Ashfaq, M. (2017). Is marketing limited to
promotional activities? The concept of marketing: A concise review of the literatur. Asian
Development Policy Review, 5(1), 56-69.
Weinstein, A. (2016). Superior customer value: Strategies for winning and retaining customers.
CRC Press.
Wu, Y. L., & Li, E. Y. (2018). Marketing mix, customer value, and customer loyalty in social
commerce: A stimulus-organism-response perspective. Internet Research, 28(1), 74-104.
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