1. The document discusses 10 concepts for creating customer value, satisfaction, and loyalty, using examples from marketing and the medical field. 2. Key concepts include ensuring product and service quality to meet customer needs, understanding how customer satisfaction depends on experience versus expectations, and gaining customer loyalty through consistent quality over time. 3. Maintaining a customer database allows customizing marketing and medical services to individual customers based on their past experiences and needs.

1. Chapter 5: Creating Customer Value, Satisfaction and Loyalty The Top Ten Concepts: With RP Medical Applications Victoria Lorelie “ Girlie” M. Tan V49 Marketing Management April, 2010 www.victorialoreliemtan.blogspot.com

2. Chapter 5 Outline Definition of Terms ( Quality, Loyalty & Satisfaction ) How do we build Customer Value, Satisfaction and Loyalty? Summary

3. Concept 1: Product and Service Quality means The Ability to satisfy Needs. ? SOFTDRINKS COLD CUSTOMER NEEDS FEATURES OF PRODUCTS SATISFY Definition 3 WATER

4. Concept 1: Product and Service Quality means The Ability to satisfy Needs. Kotler: GE Local : Ayala Land Projects/Malls RP Medical Application: Doctor curing a patient Medicines effectiveness/quality Medical Professional Capability Definition 4

5. Concept 2: Customer Satisfaction will depend on Experience vs. Expectations EXPERIENCE EXPECTATIONS VS. Definition 5

6. Concept 2: Customer Satisfaction will depend on Experience vs. Expectations Kotler: Joie de Vivre Hotels Local : Ayala Land Projects/Malls RP Medical Application: Medical Specialists Aesthetic Doctors Medical Tourism Definition 6

7. Concept 3: Customer Loyalty is being “ TRUE-BLUE” TRUE-BLUE TOYOTA COLGATE Definition 7

8. Concept 3: Customer Loyalty: “ TRUE-BLUE” Kotler: Volvo Local : Ateneo, La Salle, Colgate RP Medical Application: 3 rd Generation Doctor – Patient Medical City, St. Lukes, Belo Medical Definition 8

9. Concept 4: Customers on TOP Business Model is the best. CUSTOMERS Customer Oriented business model Value from Customers Competitive Advantage How 9 CUSTOMERS

10. Concept 4: Customers on TOP VS. Traditional Model CUSTOMERS VS. How 10

11. Concept 4: Customers are on TOP!!! Kotler: Cisco Systems – “ Customers - Center of Culture” Local : HP & Canon Customer Service RP Medical Application: Listening to patients concerns Customer Feedbacks Providing contact information How 11

12. Concept 5: Customer Perceived Value (CPV) = Benefit - Cost? CUSTOMER COSTS CUSTOMER BENEFITS PRODUCTS VS. SERVICES PERSONNEL IMAGE MONETARY TIME ENERGY PSYCHOLOGICAL How 12

13. Concept 5: Steps in Customer Value Analysis. IDENTIFY major attributes/ benefits ASSESS quantitative importance COST RANK BENEFITS RAN K PRICE 6 QUALITY 9 TIME 8 SERVICES 7 ENERGY 5 PERSONNEL 4 IMAGE 8 PSYCHOLOGICAL 8 TOTAL 27 TOTAL 28 How 13

14. Concept 5: Steps in Customer Value Analysis. Assess Company vs Competitors Performance Assess vs. Customer Value COST BENEFITS COMPANY 27 28 COMPETITORS 32 20 CUSTOMER 32 32 How 14

15. Concept 5: Steps in Customer Value Analysis. Examine Specific Segment Rate Monitor Costumer Value over time EXAMINE PRICE & MONITOR How 15

16. Concept 5: Customer Perceived Value (CPV) = Benefit - Cost? Kotler: Caterpillar vs. Komatsu Local : PAL vs. Cebu Pacific RP Medical Application: China vs. US/Japan Equipment GP vs Specialist Generic vs. Branded How 16

17. Concept 6: Customer Profitability: Net Positive Value REVENUES COSTS Revenues > Costs Customer Profitability Analysis Activity Based Costing Labor Cost Materials Overhead How 17

18. Concept 6: Customer Profitability: Net Positive Value Kotler: Classifying Customers – Platinum,Gold, Silver Local : PAL Miles, Golf Club Memberships RP Medical Application: HMO’s Medical Insurance Clinic Packages/ Memberships Cards How 18

19. Concept 7: Customer Relationship Mgt.: Managing customer touch points COSTS SPEED CUSTOMER FEEDBACK LISTEN U How 19

20. Concept 7: Customer Relationship Mgt.: Managing customer touch points Kotler: Microsoft unified billing Local : BDO extended banking hours RP Medical Application: Providing play area for children Personal Touch of Doctors Mixing of Medicines How 20

21. Concept 8: Customer Relationship Mgt.: Retention Dynamics IDENTIFY POTENTIALS ? GOOD BAD 1 ST TIME REPEATS CLIENTS PARTNERS MEMBERS How 21

22. Concept 8: Customer Relationship Mgt.: Retention Dynamics Kotler: Citizens Bank “lollipop” Local : Itallianis Membership Card RP Medical Application: Clinics Membership Card Asian Hospital Membership Privileges How 22

23. Concept 9: Customer Relationship Mgt.: Personalizing Marketing CLIENTS R’ INDIVIDUALS TECHNOLOGY INSTITUTIONAL TIES WIN - BACK How 23

24. Concept 9: Customer Relationship Mgt.: Personalizing Marketing Kotler: Apple “user” groups Local : PLDT DSL computer packages RP Medical Application: Medical Packages Tie up with Companies for APE How 24

25. Concept 10: Customer Database: Uses in Marketing PATIENT DATA CUSTOMER DATABASE COMPUTER SYSTEM How 25

26. Concept 10: Customer Database: Uses in Marketing Kotler: UK Supermarket “TESCO” Local : HSBC Banks, Online Banking RP Medical Application: Hospital Patient Database Doctor Patients Records Medical Packages HMO database Philhealth How 26

27. Summary: Customer is No. 1 Adopt a Customer Oriented Organization Use Customer Relationship Mgt. Analyze the Benefits vs. Costs Meet Customer Satisfaction Build Customer Loyalty Lead to Customer Profitability Summary 27

28. Chapter 5: Creating Customer Value, Satisfaction and Loyalty The Top Ten Concepts: With RP Medical Applications Victoria Lorelie M. Tan V49 Marketing Management April, 2010