The value approach to marketing consists of creating, communicating, delivering and exchanging. It is argued that this approach is more holistic than the 4 Ps and more accurately defines and represents marketing activities. The underlying principle of the value approach are the benefits that customers receive. It is based on the personal value equation:
Value = benefits received – [price + hassle]
Similarly to the traditional 4 Ps marketing mix, the value approach also consists of four elements. These elements are: creating, communicating, delivering and exchanging. Creating “involves collaboration with suppliers and customers in order to generate offerings of value to customers” (Tanner, & Raymond, 2011, p.5). It can be argued that this has some similarities to the ‘product’ ...
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...oach to marketing is likely to be market orientated, meaning that they follow the marketing concept of meeting (and exceeding) customers’ wants and needs. This contrast with a firm which may undertake the traditional marketing approach (4ps), and is likely to be more product orientated, meaning that the focus is more on product innovation rather than customer needs and wants.
To surmise, there are two different approaches to marketing: the 4 Ps marketing mix and the value approach. Each comprises of 4 elements: product, price, promotion and place, and creating, communicating, delivering and exchanging. There are similarities between the two approaches but the key difference between them is the heavy focus on maximising value for the customer. The value approach is one that is being more commonly undertaken by firms as they work to remain competitive in this era.
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