MRKT 310 Principles of Marketing
Week 2 Writing Assignment
Customer Satisfaction, Loyalty, Management and Empowerment
- Customer empowerment. Student can identify how their chosen product or service offering uses social networks to communicate and empower customers to be part of the marketing process.
- Customer satisfaction. Student can identify how customers communicate their satisfaction or dissatisfaction with the chosen product or service offering.
- Customer Relationship Management. Student can explain customer lifetime value and how a customer relationship management program can have a role in attracting and retaining most valuable customers.
- Refer to the product or service you selected last week. This week you want to take a closer look at the company’s website to identify how that company interacts with its customers. If they have Facebook pages or other social media, check them out as well and add that information to your research data.
- You may want to find a Most Valuable Customer of the product or service if you are not one yourself, or alternatively think like an MVC. What is the evidence of an MVC of your product or service. It isn't just that the customer regularly buys the product or service. It means that the customer is treated differently -- better -- than other customers. It means that the MVC represents about 20% of the company's revenues. These are the customers with whom the company regularly communicates, offers special deals, and other ways as outlined in the text and as you can find with just a little bit of googling on the internet.
- You may want to calculate the lifetime value of a most valuable customer. See the discussion of the lifetime value calculation in the week's reading, and calculate the LTV using this simple equation: LTV = (Price - cost to produce the product) * number of annual purchases * number of years expected to purchase - initial acquisition costs. For simplicity sake, you can assume your customer will have a relationship with you for ten years and you can make an educated guess as to how much the initial acquisition costs were to get him as a customer in terms of advertising or other types of promotion efforts. If you are not an MVC yourself, make and share your assumptions about your calculation. If you are not an MVC, you might want to find someone who is and ask them why they are loyal to the product or service and what they feel the company does for them that is special that they don't do for other customers.
- Prepare your assignment beginning with a title page with your name and product or service. Then answer the following four questions in order and number the beginning of your response to each question.
- Customer Empowerment. How does your product or service offering empower its customers as discussed in the course readings this week? In other word, how are customers part of the marketing for the company? Identify the feedback vehicles they may use, especially social media. Do the social media efforts seem to be creating buzz marketing? If not, what could they do to generate more ‘buzz’?
- Customer satisfaction. How does your product or service offering communicate ways for customers to express their dissatisfaction and if possible, outline what remedies the product or service may be taking to ensure satisfaction.
- Customer Relationship Management. Does it appear that your product has a customer relationship management strategy? In other words, do they treat the top tier of customers differently than other customers? If so, what is your evidence? If not, should they have a CRM strategy? Or, are there compelling reasons why your product or service should treat all customers the same? Refer to course content concepts in your response.
Be sure to follow all of the submission requirements outlined in the syllabus and provided below again for your easy reference:
• Prepare as a word processed document (such as Microsoft Word).
• Your assignment should be the equivalent of two pages of double-spaced text, approximately 1/2 page for each of the four questions.
• Be sure your name, writing assignment number, and the name of your product or service are on the first page of your writing assignment.
• Use a simple 12-point font such as Times New Roman. Use black ink for majority of your work and only use colors if it enhances your ability to communicate your thoughts.
• If the writing assignment requires external research, be sure to use footnotes and include a bibliography. You may use MLA or APA style, or any other college-level style guide. More information about using a style guide can be found in the UMUC's virtual library accessible from your LEO classroom or at umuc.edu/library.
• Upload your word processed document in your LEO assignments by the due date isn the LEO calendar.
Refer to the grading rubric associated with the assignments. Be sure to note that 20% of your grade on this assignment will be based on your grammar, composition, adherence to the submission requirements, and use of an appropriate college-level style guide for writing and referencing.
Any questions? Please post in the general discussion forum for Week 2.