Benefits - of - Market - Orientation

CEB Marketing Excellence Survey®
Benefits of Market Orientation

Course Workbook
This course will give you a basic understanding of what a market-oriented

company looks like and how you can help your company achieve the goal of being
a market-oriented organization.
To review this course, please visit: www.mes.executiveboard.com/Members/ResearchAndTools/AllTraining.aspx.
w w w. m e s . e x e c u t i v e b o a r d . c o m
© 2013 The Corporate Executive Board Company. All Rights Reserved.
MES5662013SYN
Table of Contents
Module 1 Module 3
Introduction and Fundamentals Creating a Market Orientation

Benefits of a Market Orientation..........................p. 1 Creating a Market-Oriented
Organization........................................................p. 10
Learning Objectives..................................................p. 1
Review of Key Attitudes
Market Orientation....................................................p. 2 for Market Orientation.....................................p. 10
Market IN Versus Product OUT.............................p. 2 Customer-Focused Behaviors.......................p. 11
Market Orientation Definition................................p. 3 Competitor-Oriented Behaviors...................p. 12
Examples of Market Orientation: Team Approach Behaviors.............................p. 13
Company A...................................................................p. 3
Pricing-Oriented Behaviors............................p. 14
Examples of Market Orientation:
Company B...................................................................p. 4 Profit-Oriented Behaviors...............................p. 15
The Right Behaviors, the Wrong Behaviors ...p. 4 Action Item Two.................................................p. 16
Market Orientation Assessment Tool.................p. 5 Review....................................................................p. 17
Action Item One.........................................................p. 5 Retention Quiz....................................................p. 18
Module 2 Course Review
Benefits of a Market Orientation Conclusion..............................................................p. 19

Benefits of a Market Orientation..........................p. 6

Glossary of Terms..........................................p. 20
Case Example: General Electric............................p. 6
Financial Benefits of a
Market-Oriented Organization..............................p. 7
A Good Attitude Pays Off.......................................p. 7
Review............................................................................p. 8
Retention Quiz............................................................p. 9
MES5662013SYN
Introduction and Fundamentals
module 1
Benefits of a Market Orientation
Market orientation is a business approach that
emphasizes paying close attention to:
• Customer needs;
• What your competitors are doing; and
Module 2
• What is going on in the market.
All of these components are essential for long-term
business success.
Module 3
Notes
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
Course review
__________________________________________________________________________________________________
Learning Objectives
By the end of this program, you’ll have the
knowledge and tools you need to start identifying
the market orientation of your group.
• You’ll understand what market orientation is.
• You’ll understand what a market-oriented
organization looks like.
• You’ll have the tools to quickly tell if your
company is market oriented and at what level.
• You’ll be able to help others in your company
do this kind of assessment.
Notes
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
MES5662013SYN benefits of a market orientation: Course Workbook 1
Market Orientation
What is market orientation?
module 1
• A matter of direction; it’s keeping your eye on
the horizon.
• Market-oriented companies are in tune with
their markets.
A market is just a group of customers or potential
customers.
Module 2
Market-oriented companies are customer focused.
They are in tune with customer needs.
• They have their eyes open for competitors
and strategies.
• They are aware of changing market conditions.
Notes
__________________________________________________________________________________________________
Module 3
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
Course review
Market IN Versus Product OUT
• A market-oriented organization takes all of the
information it has about the market to create
their products. Their philosophy would be
Market IN.
• A non-market-oriented organization starts
with the products that it has and focuses on
selling them to the market. Their philosophy
would be Product OUT.
Reflection Question
Is your company more “market in” or “product
Notes out”? Why?
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
Market Orientation Definition
Market orientation is not limited to the marketing
Module 1
department; it is the responsibility of the entire
company. It encompass not just customers and
competition but also the functional understanding
to make things happen.
You also need to have a focus on:
• Cross-functional teamwork,
Module 2
• Pricing, and
• Profitability.
NOTEs
__________________________________________________________________________________________________
Module 3
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
CouRse RevieW
Examples of Market Orientation: Company A
Company A—A high-tech computer and
accessories provider
Situation:
• Reorganized to become more customer focused
• Shifted its product-centric organization
to one driven by customer segments
Results:
• Engineers were encouraged to think more
broadly about their products and the whole
customer experience.
• Engineers started to respond to customer
surveys.
NOTEs
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
© 2013 The Corporate executive Board Company. All Rights Reserved.
Mes5662013sYN Benefits of a Market orientation: Course Workbook 3
Examples of Market Orientation: Company B
Company B—A computer components
Module 1
manufacturer
Situation:
• Difficult to quantify previous customer
feedback efforts
• Conducted interview sessions to probe
customers for desired outcomes not solutions.
Module 2
Results:
• Fueled idea and development processes that
met unknown needs of users
REFLECTION QUEsTIONs
What is your perception of how your company’s
product or service solves your customers’
problems?
Module 3
do you think your customers have the same
NOTEs perception? How can you go about finding out?
__________________________________________________________________________________________________
__________________________________________________________________________________________________
CouRse RevieW
__________________________________________________________________________________________________
__________________________________________________________________________________________________
The Right Behaviors, The Wrong Behaviors

You can tell a market-oriented organization by the
types of behaviors you see. These behaviors are
driven by the attitudes of the organization.
NOTEs
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
Market Orientation Assessment Tool
Discover how marketing-oriented your company is. Please check one per question.
module 1
This Somewhat
This Sounds This Doesn’t Sound
Question Sounds Like
Like My Company. Like My Company.
My Company.
1 Customer retention is a major

priority for my organization.
Module 2
I know who our biggest
competitors are.
3 We have cross-functional teams that

work to create customer solutions.
4 Acquiring new customers is

our main focus.
Module 3
5 I recently had marketing
knowledge training.
6 We have no idea what our

customer retention rates are.
7 We are always worried
Course review
about next quarter’s sales.
Key
Count up the number of answers you have in the “This Sounds Like My Company” column. If you have:
1–3: Your company may have a Low Market Orientation
4–5: Your company may have a Medium Market Orientation
6–7: Your company may have a High Market Orientation
Note: For faster results, you can fill this out online on slide 10 of this course at: www.mes.executiveboard.com.
Action Item One:

Look at each question from the Market Orientation Assessment Tool above.
For the questions where you scored “This sounds like my company,” describe one thing your company
does to illustrate this.
Now take a look at the questions you scored “This doesn’t sound like my company” or “This somewhat
sounds like my company.” For just one of these questions, describe one thing your company could
change to make that question sound like your company.
Benefits of a Market orientation
Module 1
Benefits of a Market Orientation
Research shows that market-oriented companies
are more profitable than those which are not.
Benefits to running a market-oriented culture:
• Your company will not last very long without
Module 2
a good market orientation.
• The very survival of your business depends
on addressing changing customer needs and
competitive forces.
• If no one buys your product, the organization
will fail, so you need to listen to what
customers are saying.
Module 3
REFLECTION QUEsTION
What do you think you and your company have
NOTEs to gain by becoming more market oriented?
__________________________________________________________________________________________________
__________________________________________________________________________________________________
CouRse RevieW
__________________________________________________________________________________________________
__________________________________________________________________________________________________
Case Example: General Electric

• In 1896, GE was one of the 12 companies on
the original Dow Jones—and it’s the only
one still left on the list, 112 years later.
• GE believes that making its customers
successful is what ultimately drives good
returns for GE.
• Jack Welch (former CEO for GE), emphasized
the idea of orientation on the market as an
essential business practice.
• Bottom Line: No market orientation equals no
long-term business success.
NOTEs
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
Financial Benefits of a Market-Oriented Organization
Main benefit of actually having a good market-
Module 1
oriented culture is customer satisfaction.
• Long-term satisfied customers buy more and
higher margin products than dissatisfied ones.
• On average, it costs five times as much to acquire
a new customer as to keep an existing one.
• Long-term customers are more profitable.
Module 2
• Over the life of a customer, profitability increases
year over year.
• Keep good customers around for as long as you
can.
NOTEs
__________________________________________________________________________________________________
Module 3
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
CouRse RevieW
A Good Attitude Pays Off
Higher market-oriented attitudes lead to higher
average salaries.
• The attitude scores toward things like
customers, competition, teamwork,
profitability, and pricing are related to
advancement in job title and resulting salary.
• People with the highest market orientation
on average have higher salaries.
• Bottom Line: Improve your market attitude
and improve your standing and salary.
do you think that individuals in your company
think that being market oriented is important?
What information would you use to overcome

NOTEs their objections and get them on board?
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
Review
Benefits of a Market Orientation Review:
Module 1
• Market-oriented organizations focus on the
customer, the competition, and the market.
• Benefits of establishing a market-oriented
culture:
– Increased customer satisfaction leads
to customer retention
Module 2
– Increased customer lifetime value, customer
share of wallet, and lower marketing costs
• Customer satisfaction is an important metric
and indicates performance of a market-
oriented company.
NOTEs
__________________________________________________________________________________________________
Module 3
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
CouRse RevieW
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
Retention Quiz
Please circle one answer per question.
module 1
1. What are the benefits of customer retention?
a. Lower customer acquisition costs
b. Short-term gross margin improvement
c. Higher customer satisfaction results
d. Long-term customers are more profitable over time because they often buy higher-priced products
Module 2
2. A market-oriented Engineering department should:
a. Focus solely on internal specs and requirements.
b. Think narrowly about the product features they are working on.
c. Respond with creative solutions to customer requests.
d. Respond literally to customer requests for product features.
Module 3
3. If you are seeking to convince a colleague to adopt a market-oriented attitude, you might use the argument,
“A market-oriented attitude is correlated with…”
a. Higher salary
b. Higher job satisfaction
c. Lower job stress
Course review
4. What is a key metric in a market-oriented organization?
a. Quarterly profitability
b. Customer satisfaction
c. Short-term customer retention figures
d. Gross margin
5. Which is not one of the five market-oriented attitudes?

a. Customer focus
b. Quality focus
c. Team approach
d. Competitor orientation
e. Pricing orientation
f. Profit orientation
Note: To receive credit for this quiz and see an explanation of each correct answer,
take this quiz online in slide 25 of this course at www.mes.executiveboard.com.
Notes
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
Creating a Market orientation
Module 1
Creating a Market-Oriented Organization
We’ve covered the basics of market orientation;
now it’s time to talk about some of the key attitudes
and behaviors necessary to achieve a market
orientation in your organization.
We will cover:
Module 2
• Key attitudes needed to achieve a market
orientation with a case study example for each,
and
• Key actions you can take to help your company
achieve its goals.
Module 3
NOTEs
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
CouRse RevieW
__________________________________________________________________________________________________
Review of Key Attitudes for Market Orientation

Review of the five key attitudes which you need
to adopt to create a market-oriented organization:
• Customer focus
• Competitor orientation
• Team approach
• Pricing orientation
• Profit orientation
What behaviors does your company exhibit that
make them a high market-oriented company?
if you could change just one behavior in your

company, which one would you focus on that
NOTEs would create the most impact?
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
Customer-Focused Behaviors
Customers are key to market orientation and
Module 1
a core element of your market strategy. It’s easy
to become “product focused” instead of market
or customer focused.
Elements of customer-focused behaviors:
• Every customer interaction is treated as a
way to understand and improve the customer
experience to improve customer loyalty.
Module 2
• Customer complaints are used to learn and
change to better satisfy our customers.
• Customer feedback is shared all across the
organization.
• All employees are given customer training.
Module 3
NOTEs
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
CouRse RevieW
__________________________________________________________________________________________________
Customer focus in Practice

Definition: To surface new opportunities, CellTech1 interviews key constituencies to map their product usage
environment and their desired outcomes from product use.
Industry: Cellular Phones

Sales (Billions): More Than US$10
Headquarters: North America
The Problem: After a disappointing product launch in the early 1990s, CellTech’s handheld radio products
division began to reassess its product development process. Specifically, they sought to build a more robust
means for identifying the entire set of customer needs during the use of its products.
What Happened? CellTech built its new, comprehensive approach to customer learning using two key
processes. First, they mapped out the customer “ecosystem” for the use of a given product, identifying all
relevant stakeholders, their interconnections, and the conditions under which each comes into contact with
the product. Second, the division surfaced the complete set of these stakeholders’ desired “outcomes”—those
results they ultimately sought to gain from use of the product.
What Were the Results? By using constituency mapping and outcome-based interviewing, CellTech’s
handheld radio products division achieved a much deeper and more holistic view of customer needs. This
advanced understanding led to multiple successful new product introductions, and the enhancement
of existing product lines with new features that customers highly value. As a result, CellTech continues
to grow in its category.
1
Pseudonym.
Competitor-Oriented Behaviors
A healthy attitude toward competition means
Module 1
understanding how customers choose between
available options, benchmarking against
competitive products, and clearly understanding
how they are approaching the markets.
Elements of competitor-oriented behaviors:
• A wide-angle view of all forms of competition
and market trends contributes to growth a
Module 2
decline of customers
• Benchmarking against competitors in areas
like product quality and customer satisfaction
• Training employees to learn about competitors
• Maintaining customer storyboard that shows
competitors’ advertising, product positioning,
and value propositions
Module 3
NOTEs
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
CouRse RevieW
__________________________________________________________________________________________________
Competitor orientation in Practice

Definition: Deregulation in the European postal services market forces EuroPost 1 to face competition
for the first time.
Industry: Shipping/Logistics
Headquarters: Europe
The Problem: In early 2006, the European Commission passed measures to fully deregulate all postal
services operating under its jurisdiction by the year 2008. Therefore, for the first time in its history of
operation, several European nations’ postal operations were forced to compete in the free market.
What Happened? Realizing that it would soon be operating without governmental protection, EuroPost
underwent a significant transition to position itself to retain its market share and profitability when the
industry deregulated. Specifically, EuroPost developed a greater global focus, expanding its services into
international growth markets to account for the loss of domestic market share.
This initiative first required a substantial investment in product and service enhancement to ensure the
firm could attract global accounts. Firm executives reported that the company invested nearly $9 billion into
upgrading and expanding its services. This investment allowed EuroPost to extend its presence into new
markets; for example, the firm acquired Europe’s largest shipping logistics contract.
What Were the Results? Due to its efforts to expand business outside domestic markets, EuroPost
successfully developed a global presence, now generating more than 45% of its revenues internationally.
Firm executives report that the growth of international revenue serves to insulate the firm from domestic
deregulation, allowing the firm to protect its business among increasing competition.
1
Pseudonym.
Team Approach Behaviors
To create solutions that are customer focused, your
Module 1
organization needs to get out
of the functional box and start operating across
disciplines.
Elements of team approach behaviors:
• Cross-functional teams are formed to create
customer solutions.
• Teams are empowered to take ownership
Module 2
in the marketing strategies they develop.
• Performance is judged on the team’s
performance.
• Marketing plans are created by cross-
functional teams.
• Teams proactively share best practices with
Module 3
other teams across the organization.
NOTEs
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
CouRse RevieW
__________________________________________________________________________________________________
team approach in Practice

Definition: Creation of cross-functional teams helped ConnectCo1 develop more customer-focused solutions.
Industry: High Tech
The Problem: While ConnectCo prides itself on a long-standing tradition of intense focus on the
customer, the company realizes many of its efforts to solve customer problems are ultimately insufficient
or unsustainable. Attempts to solve problems that span multiple business units or functions too often lead
to only partial solutions, leaving underlying causes untouched. Business units’ “diving catches”—heroic,
one-off, resource-intensive efforts to rectify customer problems—earn customer admiration but are costly
and typically cannot be leveraged across multiple accounts.
What Happened? ConnectCo’s Customer Advocacy group creates a Customer Success Engineering (CSE)
team, charged with identifying and correcting the root causes of customer dissatisfaction across the entire
company. Team members are selected for deep technical expertise and, equally importantly, for change
management skills. After identifying core problem drivers, the CSE team partners with business units and
functional groups to develop and implement lasting changes.
What Were the Results? ConnectCo’s CSE team helps ensure enterprise-wide alignment in fixing large-scale
customer problems. Team engagements have driven leveraged, lasting changes to company processes that, in
turn, have boosted customer satisfaction levels to record highs. As well, the changes implemented have driven
significant cost savings; in one case, the team realized $500 million dollars in savings. Finally, the significant
value created by the CSE team for customers and internal groups is reflected by the steadily growing demand
for the team’s services.
1
Pseudonym.
Pricing-Oriented Behaviors
Pricing is a key area of focus for good marketing
Module 1
organizations. How your prices relate to value,
the competition, and cost and margin are all
important.
Elements of pricing-oriented behaviors:
• Pricing is market based and considers what our
customers value and our competitors provide.
• Cost margins are considered irrelevant.
Module 2
• Products are priced from top down.
• Price is positioned strategically to create
a reference price.
• Products are priced based on a customer’s
economic value, perceived value, and emotional
value.
Module 3
NOTEs
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
CouRse RevieW
__________________________________________________________________________________________________
Pricing orientation in Practice

Definition: Ship-a-Lot 1 uses codified pricing principles governing the provision of value-added services
to ensure recapture—either directly or through incremental business growth—of value created for customers.
Industry: Shipping/Logistics
The Problem: As Ship-a-Lot’s main product—small package delivery—became increasingly commoditized,
the company sought to differentiate its offering from competitors by offering additional consulting and
outsourcing services.
What Happened? Through the Ship-a-Lot’s Logistics unit, the additional offerings provided large-scale
supply-chain outsourcing services for major manufacturers, which leveraged Ship-a-Lot’s logistical strength
to create a new profit center. As Ship-a-Lot developed its fee-based consulting services, the company struggled
to communicate with its existing customer base, which received the same services at no charge. Because the
company expected existing customers to resist attempts to shift their services to fee-based pricing, Ship-a-
Lot continued to provide these customers with free, bundled services while charging new customers. After
establishing a revenue stream from new customers, Ship-a-Lot Professional Services developed new, fee-based
service offerings for both new and existing customers. Ship-a-Lot communicated the potential value of its
services by providing reasonable revenue estimates from services based on comparable consulting companies’
prices and employing activity-based costing to ensure that accounts remained profitable when the company
began offering bundled services to key accounts through CRGs .
What Were the Results? Adhering to its rigid pricing parameters, Ship-a-Lot continues to provide new
value to customers, strengthening customer relationships without generating excessive costs. Ship-a-Lot’s
principled provision of services pays off in terms of revenues as well; accounts using Ship-a-Lot’s services
grow at three times the pace of those that don’t.
1
Pseudonym.
Profit-Oriented Behaviors
It is important to think about long-term financial
Module 1
performance. A market-oriented company is
always looking to create value for the long term.
Elements of profit-oriented behaviors:
• Valuable customers and non-valuable
customers are identified.
• Marketing profits and marketing ROI for all
of our products are measured.
Module 2
• Customer satisfaction and loyalty are tracked
and considered as important as any financial
metric.
• Service, product, and brand performance are
tracked to understand how each contributes
to profitability.
Module 3
NOTEs
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
CouRse RevieW
__________________________________________________________________________________________________
Profit orientation in Practice

Definition: FinanceCo1 uses customized profitability triggers across the spectrum of its current customers
to raise overall customer profitability.
Industry: Financial Services
The Problem: FinanceCo approaches credit card marketing differently than its competitors. It has a larger
number of service offerings and products, acquires customers more aggressively and, consequently performs
better than its competitors. FinanceCo takes a multiple year perspective on customer value, and its customer
profitability segmentation strategy is based on net present value (NPV), as opposed to return on equity (ROE),
the industry standard. Consequently, FinanceCo targets customers differently than its competitors.
What Happened? FinanceCo receives and analyzes data from thousands of purchased lists (motor vehicle
records, immigration records, subscriptions, etc.) and archived test mailings to uncover behavioral differences
among seemingly identical customers. Because the company believes that profitable customers are “made, not
born,” it uses information from its analyses to develop customized triggers across the profitability spectrum,
raising overall customer profitability. FinanceCo proactively deploys hundreds of customized price promotions
and special offers against high-value (and low-value) customers to boost loyalty and card usage. Although
FinanceCo always attempts to preempt customer defections with tailored retention offers, if customers prove
to be continually unprofitable, they will proactively exit the relationship.
What Were the Results? FinanceCo had a 39.7% revenue growth rate between 1994 and 1997 and an average
ROE of 21.2% over the same period. The other top 15 credit card issuers only experienced 26.9% and 16.9%
respectively over the same period. In addition, FinanceCo experienced a compound annual growth rate
(CAGR) of 50.26% on it stock price compared to the S&P 500 Composite CAGR of 28.3%.
1
Pseudonym.
Action Item Two:
Examine these two key attitudes of a market-oriented company more closely: Customer Focus and Team
module 1
Approach.
Customer Focus: Identify three customer touch points where you would like to improve.
1. Pick three touch points that you would like to see improved to create a better customer experience
or to get better customer information (point of purchase, ads, customer service calls, etc.) Ask a
colleague for help if you get stumped.
Module 2
2. Come up with one change or improvement for each touch point.
Touch Point Improvement Idea
Example: Corporate Web site Make it easier for customer to find products.
Module 3
2
Course review
Team Approach: Describe the unique perspectives that each member of a cross-functional team
brings to solve a customer satisfaction challenge.
1. Read Scenario: Big Satellite TV Company wants to improve its customer satisfaction. They form a
cross-functional team to tackle the challenge. Some of the different members of the team are listed
on the table below.
2. What unique perspective does each of these team members bring?
Team Member Team Member Perspective
Sales Representative Example: Firsthand experience with the dealers.
Customer Service Manager
Product Manager
Market Researcher
Review
The five attitudes needed to create a market-
Module 1
oriented organization are:
• Customer,
• Competitor,
• Team,
• Price, and
• Profit.
Module 2
NOTEs
__________________________________________________________________________________________________
Module 3
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
CouRse RevieW
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
Retention Quiz
Match the behavior with the correct attitude.
module 1
1. A customer-focused attitude is best expressed by which behavior?
a. More focus on products
b. No attention to customer turnover
c. Focus on short-term profitability
d. Focus on customer satisfaction
Module 2
2. In a market-oriented company, customer complaints are used to and to better
satisfy customers.
a. learn, change
b. grow, profit
c. share, change
d. learn, profit
Module 3
3. Market-oriented companies take a view of all forms of competition.
a. strategic
b. positioning
c. short, focused
d. wide-angle
Course review
4. Cross-functional teams help coordinate focused solutions.
a. business unit–
b. customer-
c. strategic-
d. marketing-
5. Products should be priced based on a customer’s value, perceived value, and value.
a. pricing, top down
b. top down, economic
c. emotional, economic
d. competitive, emotional
6. In a profit-oriented sense, customers should be identified as to whether they are or .

a. focused, unfocused
b. important, unimportant
c. good, not good
d. valuable, nonvaluable
Note: To receive credit for this quiz and see an explanation of each correct answer,
take this quiz online in slide 41 of this course at www.mes.executiveboard.com.
Notes
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
Conclusion
Module 1
Remember some of these key things you can do
to get going:
1. Complete a market orientation assessment
and ask colleagues to do the same.
2. Identify three customer touch points where
you would like to improve.
Module 2
3. Describe the unique perspectives that each
member of a cross-functional team brings
to solve a customer satisfaction challenge.
NOTEs
Module 3
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
CouRse RevieW
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
__________________________________________________________________________________________________
Glossary of Terms
module 1
Brand—A name, symbol, image, or mark associated with a specific product or service to which
customers attach emotional or psychological meaning, activating past associations with function,
image, or experience
Customer—The actual or prospective purchaser of products or services
Module 2
Customer Retention—The percentage of customer retained from one period of time to another
Customer Satisfaction—Measure of how satisfied or dissatisfied customers are with a company,

product/service or a part of the product/service
Commodity—A convenience product that is bought often and consumed routinely, often poorly
Module 3
differentiated, and sold primarily on the basis of price
Market—A group of customers or potential customers
Market IN—A market-oriented organization that takes all of the information it has about the market
to create their products
Course review
Market Orientation—Companies which have a focus on customers, competition, and the market
Product Line—A group of products with similar characteristics marketed by an organization to one
general market
Product OUT—A non-market-oriented organization that starts with the products that it has and focuses
on selling them to the market
Congratulations! You have finished this training course. Now head back to the MES Web site listed
below and look for more courses to grow your marketing knowledge:
www.mes.executiveboard.com/Members/ResearchAndTools/AllTraining.aspx.
CEB marketing Excellence Survey®

MES5662013SYN 20

Benefits - of - Market - Orientation

Uploaded by

Document Information

Original Description:

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Benefits - of - Market - Orientation

Uploaded by

Copyright:

Available Formats

CEB Marketing Excellence Survey®

Benefits of Market Orientation

This course will give you a basic understanding of what a market-oriented

To review this course, please visit: www.mes.executiveboard.com/Members/ResearchAndTools/AllTraining.aspx.

Introduction and Fundamentals Creating a Market Orientation

 Market Orientation Assessment Tool.................p. 5  Review....................................................................p. 17

 Action Item One.........................................................p. 5  Retention Quiz....................................................p. 18

Module 2 Course Review

Benefits of a Market Orientation Conclusion..............................................................p. 19

 A Good Attitude Pays Off.......................................p. 7

Market orientation is not limited to the marketing

The Right Behaviors, The Wrong Behaviors

1 Customer retention is a major

3 We have cross-functional teams that

4 Acquiring new customers is

6 We have no idea what our

7 We are always worried

Action Item One:

Case Example: General Electric

What information would you use to overcome

5. Which is not one of the five market-oriented attitudes?

Review of Key Attitudes for Market Orientation

if you could change just one behavior in your

Customer focus in Practice

Industry: Cellular Phones

Competitor orientation in Practice

team approach in Practice

Pricing orientation in Practice

Profit orientation in Practice

Touch Point Improvement Idea

Team Member Team Member Perspective

Sales Representative Example: Firsthand experience with the dealers.

Customer Service Manager

6. In a profit-oriented sense, customers should be identified as to whether they are or .

Customer—The actual or prospective purchaser of products or services

Customer Satisfaction—Measure of how satisfied or dissatisfied customers are with a company,

Market—A group of customers or potential customers

CEB marketing Excellence Survey®

You might also like

Market Orientation Assessment Tool.................p. 5 Review....................................................................p. 17

Action Item One.........................................................p. 5 Retention Quiz....................................................p. 18

A Good Attitude Pays Off.......................................p. 7