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MODEL-BASED GOVERNANCE FOR SMART ORGANIZATIONAL FUTURE
BSLab-SYDIC International Workshop- Roma, 2017
ISBN: 9788890824258
BOOK OF ABSTRACTS
169
About Marketing Process Model and
Relationship Marketing
Maia Seturi
Asistant Professor of Economics and Business Faculty of Iv. Javakhishvili Tbilisi State
University, Georgia.
e-mail: maia.seturi@tsu.ge Corresponding author
Ekaterine Urotadze
Assistant Professor of Economics and Business Faculty of Iv. Javakhishvili Tbilisi State
University, Georgia.
e-mail: ekaterine.urotadze@tsu.ge.
Abstract
Marketing is about identifying and meeting human and social needs. One of the shortest
good definitions of marketing is “meeting needs profitably” (Kotler & Keller, 2012, p.5).
Marketing process model consists of five parts. The first four steps direct one’s attention to
creating something valuable for consumer, while the fifth one operates to get something valuable
from the consumer (Kotler & Armstrong, 2015, p. 6).
A profitable relationship with consumers is being established by: clarifying buyers’ wants,
creating the buyer-orientated marketing strategy, creating and starting the marketing programs
that are necessary to get the best values. The establishment of relationship with buyers
includes the management of this process. Consumer relationship management means the
whole process of offering them the best values and achieving their satisfaction.
Those companies, which consider it important to create the facilitating conditions for buyers’
satisfaction, have to clarify the meaning of the value perceived by the buyer. The following helps
us figure out what we mentioned above: We have to ascertain the difference between the benefit
the buyer gets and the price the buyer pays for the product.
Usually, we determine the buyer’s value towards competitors. The consumer buys the product
of the company that (in his/her opinion) will give the most benefits to him/her. The buyer can
make a mistake in the evaluation of the product, of course. Instead of the actual value, the
MODEL-BASED GOVERNANCE FOR SMART ORGANIZATIONAL FUTURE
BSLab-SYDIC International Workshop- Roma, 2017
ISBN: 9788890824258
BOOK OF ABSTRACTS
170
perceived value of the product determines, whether one will buy it or not. Therefore, the correct
positioning of the product on the market is very important. The company must convince the
buyer that its product is superior to other analogous products.
Fig.1. Marketing process simple model
The buyer’s satisfaction index is obtained by the balance between one’s expectation and
perception towards the product. When the quality of value, received by the process of using the
product does not meet the expectations, the buyer gets dissatisfied. Therefore, the experienced
companies make such promises that they can fulfill. (Doyle & Stern, 2007, p. 65). Sometimes,
they offer more value than they promise and inspire the buyers this way. Relationship marketing
is the creation of customer loyalty. Organizations use combinations of products, prices,
distribution, promotions, and service to achieve this goal. Relationship marketing is based on the
idea that important customers need continuous attention. (Futrell, 2011, p.53).
It’s important to determine the buyers’ satisfaction index. If this index gets worse, it’s
necessary to determine its reasons, which is not a simple process. The reasons may vary in:
reducing the product’s quality, the increase in buyers’ expectation level and etc.
Georgian companies lead their relations with buyers to these levels:
I. Clarifying
consumers wants
II. Creating a customer
-orientated marketing
strategy
III. Processing the
marketing programs
(In order to create the
best values)
V. Receiving valuables
from buyer in the forms of
profit and buyers capital
IV. Establishing the
profitable relations with
customers and achieving
their satisfaction
MODEL-BASED GOVERNANCE FOR SMART ORGANIZATIONAL FUTURE
BSLab-SYDIC International Workshop- Roma, 2017
ISBN: 9788890824258
BOOK OF ABSTRACTS
171
As food stores, as well as non-food stores usually establish the basic relationship with
buyers. They set up their relations using web-sites, discounts, stimulate events;
Companies, which have a low number of buyers, but receives a big profit, it establishes a
partnership with them. This often happens between producers and retailers. For example,
some companies reward their loyal and frequent consumers for buying their products in
high quantities (Loyalty cards). This method of approach is widely used in the big
supermarkets and pharmacies (Newspaper “24Saati”, 2010).
The third way of establishing the relationship with buyers is to add a structural
connection with them.
Thus Companies approach the different types of buyers in different ways. The
manufacturers often try to establish relationships with more profitable buyers, however, the buyer
with a low-income can become a very profitable in the future. Therefore, dividing buyers in two
types mentioned above is risky.
Keywords: Marketing process, Customer loyalty, Relationship marketing.
REFERENCES
Doyle P., Stern P. Marketing Management and Strategy (4th ed.). Translate in Russion. (2007).
Sankt Peterburg, Piter Publishing
Futrell, Charles, M.(2011). Fundamentals of Selling. (12thed.).Texas. Published by McGraw-
Hill/Irwin, A & M University.
Kotler, P., & Armstrong, G. Principles of Marketing (14thed.). Translate in Georgian. (2015).
Tbilisi, Sulakauri Publishing.
Kotler, P., & Keller, K.L. (2012). Marketing Management (14thed.). Boston. Prentice Hall, Pearson.
Newspaper“24 Saati”,24 october (2010). Loyalty cards boom in Georgia, http://www.24saati.ge/
Newspaper “24 Saati”, 31 october (2011). "The Unicard" offers consumers a pleasant news
http://www.24saati.ge/
