Principles of marketing - Wikiversity
Market segmentation means dividing a market into To build profitable relationships, marketers. The 7 Basic Principles That Dictate Content Marketing Success high potential ROI, and relationship with other online marketing campaigns. What makes a good customer relationship management strategy in the arts? We put our heads together and came up with these 7 principles for a foolproof.
Still, I want to attempt this feat. If you're new to the content marketing game, or if you're trying to wrap your head around the most important fundamentals of the strategy, these are the seven basic principles that dictate content marketing success: First, your content needs to be original. On a basic level, this means not plagiarizing your competitors, but on a higher, more conceptual level, this means distinguishing yourself in the content field in some way.
If you're writing on topics that have already been done, people won't be interested in reading yours--and you probably won't stand out in any news feeds. There are many possible ways to develop more original content; for example, you can target a new niche, provide a unique angle on older topics, or push your way into new kinds of research.
Just make sure you're offering something new. This should go without saying, but your content must also offer some kind of value to your users. The term "value" is intentionally ambiguous, because there are many ways to offer value to your readers.
For example, you could give them practical tips, tutorials, and how-to guides that help them do things they otherwise wouldn't be able to do.
But on the other hand, you could offer them some level of entertainment, making them laugh or otherwise emotionally connecting with them. This value is less tangible, but every bit as real. Every reader should walk away with something more than they came in with.
What is relationship marketing and what are its benefits?
If you want your readers to become more passionate and your customers to become more loyal, you need to be consistent in how you present your brand and how you publish and syndicate your content. That means maintaining a consistent brand voice that fits in with your ideals and brand personality, and publishing at regular, consistent intervals. If you break this consistency, people won't know what to expect from you, and they may lose interest in your brand or fail to develop a recurring interest in your brand in the first place.
There's a common misconception that if you develop high-quality content, people will naturally gravitate toward it. While there is a grain of truth to this especially at higher levels of search optimizationthe starker reality is that you need to work to make your content visible before you can start reaping the benefits of having "good" content.
If you simply post it to your blog, people won't have a reason to seek it out, so you need to find syndication channels that will allow you to push those posts to a wider, more attentive audience. Relationship marketing has also migrated back into direct mail, allowing marketers to take advantage of the technological capabilities of digital, toner-based printing presses to produce unique, personalized pieces for each recipient through a technique called " variable data printing ".
Marketers can personalize documents by any information contained in their databases, including name, address, demographics, purchase history, and dozens or even hundreds of other variables. The result is a printed piece that ideally reflects the individual needs and preferences of each recipient, increasing the relevance of the piece and increasing the response rate.
Scope[ edit ] Relationship marketing has also been strongly influenced by reengineering. According to process reengineering theory, organizations should be structured according to complete tasks and processes rather than functions.
That is, cross-functional teams should be responsible for a whole process, from beginning to end, rather than having the work go from one functional department to another. Traditional marketing is said to use the functional or 'silo' department approach. The legacy of this can still be seen in the traditional four P's of the marketing mix.
Pricingproduct managementpromotionand placement. According to Gordonthe marketing mix approach is too limited to provide a usable framework for assessing and developing customer relationships in many industries and should be replaced by the relationship marketing alternative model where the focus is on customers, relationships and interaction over time, rather than markets and products. In contrast, relationship marketing is cross-functional marketing.
It is organized around processes that involve all aspects of the organization. In fact, some commentators prefer to call relationship marketing "relationship management" in recognition of the fact that it involves much more than that which is normally included in marketing.
Because of its broad scope, relationship marketing can be effective in many contexts. As well as being relevant to 'for profit' businesses, research indicates that relationship marketing can be useful for organizations in the voluntary sector  and also in the public sector.
Satisfaction[ edit ] Relationship marketing relies upon the communication and acquisition of consumer requirements solely from existing customers in a mutually beneficial exchange usually involving permission for contact by the customer through an " opt-in " system.
The 7 Principles of CRM for the Arts | Spektrix
Although groups targeted through relationship marketing may be large, accuracy of communication and overall relevancy to the customer remains higher than that of direct marketing, but has less potential for generating new leads than direct marketing and is limited to Viral marketing for the acquisition of further customers.
Research by John Fleming and Jim Asplund indicates that engaged customers generate 1. According to Buchanan and Gilles,  the increased profitability associated with customer retention efforts occurs because of several factors that occur once a relationship has been established with a customer.
The cost of acquisition occurs only at the beginning of a relationship, so the longer the relationship, the lower the amortized cost. Account maintenance costs decline as a percentage of total costs or as a percentage of revenue. Long-term customers tend to be less inclined to switch, and also tend to be less price sensitive.
This can result in stable unit sales volume and increases in dollar-sales volume. Long-term customers may initiate free word of mouth promotions and referrals.
Long-term customers are more likely to purchase ancillary products and high margin supplemental products.
Customers that stay with you tend to be satisfied with the relationship and are less likely to switch to competitors, making it difficult for competitors to enter the market or gain market share.
Regular customers tend to be less expensive to service because they are familiar with the process, require less "education", and are consistent in their order placement. Increased customer retention and loyalty makes the employees' jobs easier and more satisfying. In turn, happy employees feed back into better customer satisfaction in a virtuous circle.
- Recommended reading
- Channels to do relationship marketing
- What is relationship marketing?
Relationship marketers speak of the "relationship ladder of customer loyalty ". It groups types of customers according to their level of loyalty. The ladder's first rung consists of "prospects", that is, people that have not purchased yet but are likely to in the future.
This is followed by the successive rungs of "customer", "client", "supporter", "advocate", and "partner".
Principles of marketing
The relationship marketer's objective is to "help" customers get as high up the ladder as possible. This usually involves providing more personalized service and providing service quality that exceeds expectations at each step.
Customer retention efforts involve considerations such as the following: Customer valuation — Gordon describes how to value customers and categorize them according to their financial and strategic value so that companies can decide where to invest for deeper relationships and which relationships need to be served differently or even terminated.
Customer retention measurement — Dawkins and Reichheld calculated a company's "customer retention rate". This is simply the percentage of customers at the beginning of the year that are still customers by the end of the year. This ratio can be used to make comparisons between products, between market segments, and over time.
Determine reasons for defection — Look for the root causes, not mere symptoms. This involves probing for details when talking to former customers. Other techniques include the analysis of customers' complaints and competitive benchmarking see competitor analysis.
Develop and implement a corrective plan — This could involve actions to improve employee practices, using benchmarking to determine best corrective practices, visible endorsement of top management, adjustments to the company's reward and recognition systems, and the use of "recovery teams" to eliminate the causes of defections. A technique to calculate the value to a firm of a sustained customer relationship has been developed.