Value Based Marketing

2019-2020

Course Objective

Does marketing have a marketing problem? The influence of marketing in
organizations and boardrooms seems to be fading. Marketeers and
marketing researchers feel the need to show that marketing is not just
spending advertising dollars without knowing whether these investments
pay off.

This course aims to provide a comprehensive view on what it means to
create value through marketing and how marketing’s value to customers,
firms, shareholders, and other stakeholders is measured. Knowledge of
marketing as dealt with in the subjects Marketing I and II is further
deepened and related to other subjects (including Finance). The main
premise is that marketing, although often associated with customer value
only, has recently moved beyond the confines of customer orientation and
towards a more holistic stakeholder orientation. It is this stakeholder
view we assume, touching upon different forms of creating value for
these external entities as well as for the organization itself.

You will be actively encouraged to apply scientific knowledge in
practice and to evaluate the practice on the basis of scientific
insights (link with practice). To this end, you will learn to apply
quantitative instruments that provide insight into the financial effects
of choices in the process of value creation (quantitative skills) and to
read academic papers comprehensively and derive their practical
implications (academic skills, research skills). You will learn how
organizations interpret value creation processes and how they relate to
the social context (general development). Furthermore, you will work
together as a team and present your insights regularly to your peers,
stimulating discussions and feedback (social skills).

Course Content

How can marketing be valuable? This is the main question guiding our
perspective on value-based marketing. In this respect, we go beyond a
narrow definition of the term value-based marketing, which often focuses
on questions surrounding the marketing-finance interface ("How does
marketing create shareholder value?", "How can marketing activities’
financial value be made explicit?"). By contrast, we take a holistic
view on the term "value-based", linking it to customers (consumers,
companies), shareholders, partners, society – in short, numerous
stakeholders that might be affected by marketing’s value creation and
appropriation process. This so-called stakeholder orientation on
marketing is relatively new and trying to understand marketing’s impact
and responsibility beyond its traditional scope. Unfortunately,
marketing is all too often misunderstood and used to achieve results in
the short term or to pursue self-interests. In this course, we will see
that this one-sided view on marketing is very narrow-minded and often
counterproductive. Marketing can be especially valuable for all parties
involved if they understand how long-term value can be created (value
creation) and appropriated (value appropriation) from the firm. To this
end, we study relevant theories and concepts as well as the
implementation of value-based marketing in practice.

To this end, you will study relevant theories and concepts and get
acquainted with the implementation of Value-Based Marketing in practice.
You will learn the practice of VBM by (a) applying the theory in the
lectures, (b) solving cases prepared for class teaching, and (c)
applying the theory yourself in the tutorials in the form of group
assignments.

Teaching Methods

Interactive lectures, case discussions, tutorials

Method of Assessment

Individual written exam and group assignments

Literature

Lectures, academic articles, case studies

Target Audience

This is a challenging course intended for motivated students. The course
is intended for both students who are interested in Marketing as well as
students who choose other directions (such as Finance and Accounting).
If you want to understand how Marketing (often together with other
functions) can effectively create value and how to can measure this,
then this course is relevant to you.

Recommended background knowledge

Marketing I and II

General Information

Course Code E_EBE2_VBM
Credits 6 EC
Period P5
Course Level 300
Language of Tuition English
Faculty School of Business and Economics
Course Coordinator R. Sudmeijer MSc
Examiner R. Sudmeijer MSc
Teaching Staff

Practical Information

You need to register for this course yourself

Last-minute registration is available for this course.

Teaching Methods Seminar, Lecture, Instruction course
Target audiences

This course is also available as: