Republic of the Philippines

Department of Education
National Capital Region
DIVISION OF CITY SCHOOLS – MANILA
Manila Education Center Arroceros Forest Park
Antonio J. Villegas St. Ermita, Manila

PRINCIPLES OF MARKETING

Quarter 1 Week 3 Module 3

Learning Competency:
After going through this module, you are expected to:
1. define the value of customers; and
2. identify and describe “relationship development strategies”

ABM_PM11-Ic-d-6
 HOW TO USE THIS MODULE?
Before starting the module, I want you to set aside other tasks that will
disturb you while enjoying the lessons. Read the simple instructions
below to successfully enjoy the objectives of this kit. Have fun!
1. Follow carefully all the contents and instructions indicated in
every page of this module.
2. Write on your notebook the concepts about the lessons.
Writing enhances learning, that is important to develop and
keep in mind.
3. Perform all the provided activities in the module.
4. Let your facilitator/guardian assess your answers using the
answer key card.
5. Analyze conceptually the posttest and apply what you have
learned.
6. Enjoy studying!

PARTS OF THE MODULE

• Expectations - These are what you will be able to know after completing
the lessons in the module.
• Pre-test - This will measure your prior knowledge and the concepts to be
mastered throughout the lesson.
• Looking Back to your Lesson - This section will measure what learnings
and skills did you understand from the previous lesson.
• Brief Introduction- This section will give you an overview of the lesson.
• Activities - This is a set of activities you will perform with a partner.
• Remember - This section summarizes the concepts and applications of
the lessons.
• Check your Understanding - It will verify how you learned from the lesson.
• Post-test - This will measure how much you have learned from the entire
module.

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 LESSON
3
CUSTOMER VALUE

EXPECTATIONS

As we study and immerse ourselves in “Principles of Marketing” in the

process, it is necessary to know some Marketing Principles and Strategies. The
module is subjected to discuss Module 3 – Explain the Value of Customer.
Most Essential Learning Competency:
1. Define the value of customers; and
2. Identify and describe “relationship development strategies”

Let us start your journey in

learning thru a Pretest.
Smile and Enjoy!
PRETEST

Matching-Type. Directions: Match letters in the box below in the following

statements and write it in the space provided before the number.
____1. It is not just in the way that every company says that they do. Make sure that
every interaction you have with your customers shows them that they are valued.
____2. Encourage shoppers to return to stores where they frequently make purchases.
____3. Like a lot of what we’ve been mentioning, it comes back to interactions. While
electronic communication is great, and often preferred, having a face-to-face
meeting can help the customer feel valued.
____4. The act of taking care of the customer's needs by providing and delivering
professional, helpful, high quality service and assistance before, during, and
after the customer's requirements are met.
____5. All customers should be treated professionally, which means the use of
competence or skill expected of the professional. Professionalism shows the
customer they're cared for.

A. Professionalism
B. Loyalty Rewards
C. Face-To-Face Time
D. Customer Service
E. Cherish each Customer

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 LOOKING BACK TO YOUR LESSON

FILL-IN THE BLANKS

Directions: Read each statements or questions below carefully and fill in the
blanks with the correct answer.

__________________1. Involves creating, maintaining and enhancing strong

relationships with customers and other stakeholders. Increasingly,
marketing is moving away from a focus on individual transactions and
towards a focus on building value-laden relationships and marketing
networks.
__________________2. Trust and loyalty go hand in hand, and it is super beneficial for all
business. It will help prevent customers from turning to competitors.
__________________3. The salesperson sells the product and encourages the customer to
call whenever he or she has any questions or problems.
__________________4. Is the development of an ongoing connection between a company
and its customers. The relationship involves marketing
communications, sales support, technical assistance and customer
service. Customer relationship is a big part of marketing.
__________________5. the benefits are reaped both by the company and the customers. It
helps customers identify more with the company. Keeping your
communication lines open and keeping in touch with the customers
makes them feel like they are being valued. It will keep customers
coming in and build brand equity for the company in the long run.

BRIEF INTRODUCTION

CREATING

EXCHANGING VALUE COMMUNICATION

DELIVERING

According to Serrano, Relationship Marketing includes activities aimed at developing

and managing trusting and long-term relationships with larger customers. (Customer
profile, buying patterns and history of contacts are kept in a sales database)
Relationship marketing is a strategy designed for customer loyalty, interaction, and

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 Learning Module for Principles of Marketing

long-term engagement to be fostered. Customer Relationship focuses more on long-

term customer retention than acquiring large numbers of new and potentially
single-transaction customers.
Customer Value is the relationship between benefits and the costs including money,
stress, and time to sacrifice that is necessary to get those benefits. Or simply stated
in a mathematical equation: Benefits – Cost = Customer Value.

Importance of Customer Value

1. Designing and providing superior customer value are the keys to successful
business strategy in the 21st century.
2. Value reigns supreme in today’s marketplace and marketspace.
3. Customers will not pay more than a product is worth and will reward
excellence.
4. A customer-centric culture provides focus and direction for the organization,
ensuring that exceptional value will be offered to customers.
5. Designing and delivering superior customer value propels organizations to
market leadership positions in today’s highly competitive global markets –
absolute advantage.
6. Providing outstanding customer value has become a mandate for management.

Customer Relationship Marketing -will make earlier agents of change look

inadequate. The key facilitator is technology available to marketers. CRM weds the
individual customer and technology in ways that are unique. These fourth-wave
relationships, propelled by a confluence of technological advances, will themselves
change at geometric rates. (1) One-to-one marketing, (2) Database marketing, (3)
Integrated marketing, and (4) Interactivity.

9 Relationship Marketing Strategies and Tools

There are some actionable relationship marketing strategies that we hope will be
successful for you and your business from www.powerobjects.com .
1. Networking - Networking, online and off, can be a powerful relationship
marketing technique. This isn’t just for job seekers! Think about the interests that
you have as a business, and then join groups that share your affinities.
2. Cherish Each Customer - Not just in the way that every company says that they
do. Make sure that every interaction you have with your customers shows them
that they are valued.
3. Listen to Your Customers - Listen to your customers! Every business says they do,
but not all follow through or apply what they’ve heard. Even listening and responding
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 Learning Module for Principles of Marketing

to compliments can be beneficial. People love knowing they’ve been heard. Even
complaints can be a blessing in disguise. People often just want someone to share
their concerns with.
4. Build a Brand Identity - A memorable brand will make it easy for customers to
find you and your product(s). Customers will gravitate toward what they find that is
memorable.
5. Give Your Customers Free Information - What’s better than free? Not much. Your
customers are seeking information about your product(s). They have questions.
Give them answers! Identify the topics and interests your customers have.
6. Loyalty Rewards - Loyalty programs encourage shoppers to return to stores
where they frequently make purchases.
7. Communicate Often - Relationships are based on communication. Your
customers and users want to communicate with you, so be sure to communicate
with them often. Relationship marketing works well when you strive to be there for
your customers.
8. Special Events - Holding a special event for your existing or prospective
customers is a great way to build relationships.
9. Face-To-Face Time - Like a lot of what we’ve been mentioning, it comes back to
interactions. While electronic communication is great, and often preferred, having a
face-to-face meeting can help the customer feel valued.
Customer service is the act of taking care of the customer's needs by providing and
delivering professional, helpful, high quality service and assistance before, during,
and after the customer's requirements are met. Customer service is meeting the
needs and desires of any customer. Some characteristics of good customer service
include: Characteristics of Good Customer Service:
• Promptness: Promises for delivery of products must be on time. Delays and
cancellations of products should be avoided.
• Politeness: Politeness is almost a lost art. Saying 'hello,' 'good afternoon,' 'sir', and
'thank you very much' are a part of good customer service. For any business, using
good manners is appropriate whether the customer makes a purchase or not.
• Professionalism: All customers should be treated professionally, which means
the use of competence or skill expected of the professional. Professionalism
shows the customer they're cared for.
• Personalization: Using the customer's name is very effective in producing loyalty.
Customers like the idea that whom they do business with knows them on a
personal level.
Source: D365, Joe (2017, June 02). 9 Relationship Marketing Strategies and Tools – PowerObjects: Microsoft
Dynamics 365 Blog. Retrieved June 30, 2020, from https://www.powerobjects.com/blog/2015/07/16/9-
relationship-marketing-strategies-and-tools/

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 Learning Module for Principles of Marketing

ACTIVITIES

Directions: Answer the following questions below. Write your answer in yellow pad paper.
Activity 1: Is Customer Relationship Marketing differ from Relationship Marketing? Explain.

Activity 2: Can you site or illustrate businesses who use customer service strategy? How
this help the business? Explain.

REMEMBER

Customers are very important to companies. They provide competitive advantage.

Because of customers companies can achieve High market share lead which means
high sales in terms of volume and pesos. Customers are also influencers and
models for they spread good things about your company and your services. Also,
they are the reason for the company’s existence. Finally, customers can make or
break a company.

CHECK YOUR UNDERSTANDING

MODIFIED TRUE OR FALSE:

Directions: Write Correct if the statement regarding customer value is true and correct
but write the correct word/s if the statement is false.

__________________1. SSimply stated in a mathematical equation: Benefits – Cost

= Customer Satisfaction.
__________________2. PPyramiding, online and off, can be a powerful relationship
marketing technique. This isn’t just for job seekers!
Think about the interests that you have as a business,
and then join groups that share your affinities.
__________________3. LLoyalty Rewards - Loyalty programs encourage shoppers
to return to stores where they frequently make
__________________4. purchases
CCustomer service is the act of taking care of the
customer's needs by providing and delivering
professional, helpful, high quality service and assistance
__________________5. before, during, and after the customer's requirements
are met.
PPromptness is using the customer's name is very effective
in producing loyalty. Customers like the idea that whom
they do business with knows them on a personal level.

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 Learning Module for Principles of Marketing

POST-TEST

Fill-in the Blanks

Directions: Read each statement below carefully and fill in the blanks with the
correct answer.
__________________1. It is almost a lost art. Saying 'hello,' 'good afternoon,' 'sir', and
'thank you very much' are a part of good customer service. For any
business, using good manners is appropriate whether the customer
makes a purchase or not.
__________________2. It is the relationship between benefits and the costs including
money, stress, and time to sacrifice that is necessary to get those
benefits.
__________________3. It is the act of taking care of the customer's needs by providing
and delivering professional, helpful, high quality service and
assistance before, during, and after the customer's requirements are
met. Customer service is meeting the needs and desires of any
customer.
__________________4. It includes activities aimed at developing and managing trusting
and long-term relationships with larger customers.
__________________5. Relationships are based on communication. Your customers and
users want to communicate with you, so be sure to
communicate with them often.
Relationship marketing works well when you strive to be there for your customers.

Customer Value Customer Relationship Marketing Professionalism

Communicate Often Customer Service Politeness

REFLECTIVE LEARNING SHEET

During the current COVID-19 pandemic, global markets are severely disrupted. Businesses
are forced to explore innovative solutions to overcome the growing negative implications of
this unprecedented crisis.
Business environment are affected, and few had close because of this pandemic situation.
Due to various quarantine measures imposed by the government. The existing business
continuity plans may not be enough to address the fast-changing variables presented by
COVID-19 pandemic.
Source: Roxas-Divinagracia, M. T. (n.d.). Responding to the potential business impacts of COVID-19 (Deals and
Corporate Finance). Retrieved June 30, 2020, from https://www.pwc.com/ph/en/advisory/deals-
advisory/responding-to-the-potential-business-impacts-of-covid-19--deals-.html

Reflective Question. Can businesses still use concept of Customer Value despite of
this pandemic situation? Explain.
_____________________________________________________________________________________
_____________________________________________________________________________________
_____________________________________________________________________________________

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 Learning Module for Principles of Marketing

E-SITES

To further explore the concept learned today and if it possible to connect the internet,
you may visit the following links:
Topic: Creating Customer Valuelink: https://www.youtube.com/watch?v=9I2baWR-rqg

REFERENCES
Armstrong, Gary (2013). Marketing: An introduction 11th, Global ed. Harlow, England: Pearson
Attar, Asiyeh, (2019) CONTEMPORARY TYPES OF MARKETING, Retrieved from
https://blog.ubrik.com/types-of-marketing
Garrovillas, Eduardo P ( 2007), Out of the Box Marketing Principles, that work and make
sense. Books Atbp. Publishing Corp
Go, Josiah (1996). Contemporary Marketing Strategy in the Philippine Setting, Manila: National
Bookstore
MEDINA, ROBERTO G. (2008), Principles of marketing revised edition REX Bookstore.
Microsoft Dynamics 365, (2015, July 16). RELATIONSHIP Marketing Strategies and
tools Retrieved from https://www.powerobjects.com/blog/2015/07/16/9-relationship-
marketing-strategies-and-tools/
Serrano, Angelita C. (2019) Principles of Marketing, published by Unlimited Books Library
Services & Publishing Inc, ISBN: 978-971-9654-30-8.
Singh, Deepesh (2013, September 11). 6 Market Models of Relationship Marketing Retrieved
from https://topbullets.com/2013/09/11/six-markets-model-relationship-marketing-
crm/
Williamson, Will (2020), Traditional Vs Contemporary Marketing Strategies, Retrieved from
https://blog.jdrgroup.co.uk/digital-prosperity-blog/traditional-vs-contemporary-
marketing-strategies

Acknowledgements
Development Team of the Module
Writers: Jupiter Q. Whiteside, MBA
Mark Vincent B. Emit, PhD
Editor: Isabel A. Gumaru, DBA
Evaluator: Ellaine Dela Cruz, DBA
Validators & Reviewers:
Remylinda T. Soriano, EPS, Math
Angelita Z. Modesto, PSDS
George B. Borromeo, PSDS
Management Team:
Maria Magdalena M. Lim, CESO V,
Schools Division Superintendent-Manila
Aida H. Rondilla, Chief Education Supervisor
Lucky S. Carpio, EPS
Lady Hannah C. Gillo, Librarian II-LRMS

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 Learning Module for Principles of Marketing

ANSWER KEY

PRETEST:

1. E. 2. B 3.C 4. D 5.A

LOOKING BACK TO YOUR LESSON:

(1) Relationship Marketing, (2) Prevent negative transitions, (3) Reactive (4)
customer relationship, and (5) Identification with the company
ACTIVITIES:
Activity 1: Is Customer Relationship Marketing differ from Relationship Marketing?
Explain.

Customer Relation Marketing will make earlier agents of change look inadequate.
The key facilitator is technology available to marketers. CRM weds the individual
customer and technology in ways that are unique. These fourth-wave relationships,
propelled by a confluence of technological advances, will themselves change at
geometric rates. (1) One-to-one marketing, (2) Database marketing, (3) Integrated
marketing, and (4) Interactivity while Relationship marketing is a strategy designed
for customer loyalty, interaction, and long-term engagement to be fostered. Customer
Relationship focuses more on long-term customer retention than acquiring large
numbers of new and potentially single-transaction customers. Relationship Marketing
is designed to develop strong connections with customers by providing them with
information directly suited to their needs and interests by promoting open
communication.

Activity 2: Can you site or illustrate businesses who use customer service strategy?
How this help the business? Explain.

Answer: the learners are expected to answer actual businesses who use customer
service strategy to help their business.
Rubrics for Grading the Essay:

5- If the paragraph consists of 5 or more sentences with correct and complete

Information.
4- If the paragraph consists of 3 to 4 sentences with correct information.
3- If the paragraph consists of 2 to 3 sentences with correct information.
2- If the paragraph consists of 2 sentences with correct information
1- if the paragraph consists of only one sentence with correct information.

CHECK YOUR UNDERSTANDING:

MODIFIED TRUE OR FALSE: (1) Customer value, (2) Networking, (3) Correct, (4)
Correct, and (5) Personalization.
POSTTEST

Fill-in the Blanks (1). Politeness (2) Customer Value, (3) Customer Service, (4)
Relationship Marketing, and (5) Communicate often.
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