PRINCIPLES OF

MARKETING
 “Customers are always right.” You may have
heard of this popular catchphrase, and while it
may not always be true, businesses strive to
please their customers. If a customers is
unhappy with a product or service, chances
are the customer will not be coming back for
another transaction.
Many companies strive to please their
customers by continuously improving
customer services.
RELATIONSHIP MARKETING
To be more competitive in the market, a lot of
companies now focus their efforts on relationship
marketing. Relationship Marketing is a strategy
that concentrates on keeping and improving
relationships with existing customers. It focuses
on ensuring that prospective and current
customers maintain a long, profitable relationship
to keep the customers loyal, but also encourage
an increase in consumption of the company’s
products.
BIG IDEA

Companies that focus on relationship

marketing implement strategies that
concentrate on retention and
enhancement of customer relationships,
rather than on acquisition of new
customers.
Customer Value, Satisfaction, and Retention
Customers are the lifeblood of every business. As the marketplace
becomes saturated with more products, customer are faced with
more choices for their needs. A company must offer superior value
to satisfy its customers in order to turn them into loyal customers.

CUSTOMER
VALUE

CUSTOMER
SATISFACTION
CUSTOMER
RETENTION
 CUSTOMER CUSTOMER CUSTOMER
VALUE SATISFACTION RETENTION

The customer’s The customer’s The

perception of the evaluation of company’s
benefits that he or the effort to
she is getting from performance of maintain
a product, in the product in loyalty of
relation to the price relation to his customers.
paid to obtain those or her
benefits. expectations.
BIG IDEA

If a customer sees the value of a product and

is satisfied with the benefits obtained from
using it, a company has a higher chance of
keeping that customer loyal.
There are many reasons why companies want loyal customers.
Among which are as follows:

1. Loyal customers buy more products. If a customer trusts a

company, he or she will buy more products from it, even if these
are newly launched products.
2. They are less price-sensitive. Customers usually will not mind
price increases or premium prices of a product if it meets their
needs. For loyalty-driven product categories such as skincare
products, customers tend to be loyal to a product as long as it
provides solution to a particular skincare problem.
3. They spread positive word of mouth. loyal customers usually
spread positive feedback about a product or a brand. they may
either share their positive experiences about a product or brand to
their circle of friends or post them on their social media accounts.
Do you have a favorite store that you
always buy from? What makes you
go back to buy again from that store?