The SIVA-Need model has the following operating procedures:
The SIVA-Need model has the following operating procedures: Weighting analysis is performed of the various attributes in the model to measure the key attributes of customers’ needs and wants, which is followed by the allocation of resources in accordance with the measured weights. The next step is to draft an action plan for the marketing strategy based on the allocation of resources and analysis of the internal and external environment. After the action plan has been implemented for a certain period of time, its performance must be assessed, which will allow the evaluation of whether the performance of the key attributes derived from customers’ needs and wants has been improved. As soon as the performance of the key attributes has been improved, this indicates that satisfied, repeat customers have been created. A marketing strategy MADA model of this type can provide marketing managers with an effective measurement tool for use in the practical operation of marketing strategies, and can precisely measure the key attributes of customers’ needs and wants. Such a model can achieve substantial benefits during the planning of marketing strategies, and its use is not limited to merely providing theoretical knowledge of the positive correlation between customers’ needs and customer satisfaction. The findings of this study consequently have both theoretical and practice importance for researchers and managers.
5.2 Conclusions The active influence of marketing strategies on performance has already been
verified by numerous studies [8, 54, 111, 112], and research has also shown that customer-focused marketing can provide a competitive advantage [54, 113]. However, much of the past research concerning customer-focused marketing strategies has sought
Tsuen-Ho Hsu, Sen-Tien Her, Yung-Han Chang and Jia-Jeng Hou 57
to chiefly investigate the causal relationships and correlations between marketing strategy variables [e.g., 54, 113, 114], or the result of different marketing strategies on a company’s financial situation [112]. Although these studies concerning marketing strategies are based on a customer-focused perspective, their findings lack the theoretical basis that could be used to construct an evaluation model able to measure customers’ true inner needs and wants. And without any way to determine customers’ needs and wants, marketing managers will be without any means of effectively planning marketing strategies.
In light of SIVA matrix’s focus on deepening customer thinking and the inclusiveness of Maslow’s hierarchy of needs, this study adopted these two theoretical foundations and constructed an inclusive, innovative, and customer-focused marketing strategy MADM model—SIVA-Need model. Dimensions and attributes in the model could well represent the essences of internal thinking about product or service needs during consumption. As the products or services provided by any industry will eventually go to the customers, SIVA-Need model is a feasible and consistent evaluation foundation for marketing strategy planning as it enables an extensive evaluation on strategies.
Drawing on the SIVA-Need model, research findings based on the analysis of the case study company showed that the dimension—customer value—had the highest weight among the four. Of the 20 attributes in the model, brand community value had the highest weight and was found to be the critical attribute in SIVA-Need model. While brand community value was seen by the participants as the most crucial element, customers of Apple products and services place high value on brand community value. When planning marketing strategies, company executives should prioritize the improvement of brand community value and allocate marketing resources accordingly.
5.3 Management implication SIVA-Need model provides a consistent evaluation foundation for marketing
executives to plan for marketing strategies. By adopting the model, companies could come up with effective marketing plans based on the calculated weights on target customers and allocate resources efficiently in order to create satisfied and repeat- purchase customers and achieve high performance.
Given that, Apple company may allocate marketing resources and design effective marketing strategies based on the relative weights of attributes, which helps to bring marketing thinking and activities closer to customer needs. Among the four dimensions, customer value was found with the highest weight. Company executives should be mindful of customer value and customer thinking, be responsive to customers’ feedback and understanding of customers’ needs and feelings in order to create a positive total benefit perceived by customers after weighing against the total cost paid. Among the 20 attributes, brand community value was found with the highest relative weight. Muniz and O’guinn [104] suggested that brand stories increase the community value and instill positive beliefs in customers. Investments on the improvements of brand community value often generates high cost-effectiveness. For example, Algesheimer, et al. [115] mentioned that many marketing professionals believed that building brand communities are both cost-effective and powerful in today’s hostile marketing environment. Accordingly, when designing marketing strategies, it is suggested that managers should prioritize brand marketing. By elevating brand image and strengthening brand community value, companies may create more satisfied and repeat-
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purchase customers and improve business performance as customers identify themselves as members of the brand community and feel rewarded with total benefits higher than total costs. The importance of brand community value could be summarized in a quote from Muniz and O’guinn [104, P412]: “Brand communities are participants in the brand’s larger social construction and play a vital role in the brand’s ultimate legacy.” In brief, by improving brand community value, executives also increase the brand value, which eventually brings mutual benefits by creating a virtuous circle.
5.4 Contributions Most past research on marketing strategy evaluation models has sought to
investigate the causal relationships and correlations between marketing strategy variables [e.g., 8, 10, 53, 54], and there has been very little research on the use of MADM models to investigate the key elements of marketing strategies. In addition, there have been even fewer attempts to use MADM models constructed entirely on a customer-focused basis to investigate the key elements of marketing strategies, and the attributes in the very few MADM models constructed in past research simultaneously embody customer-focused and company-focused perspectives [e.g., 27, 28], which made it difficult to precisely measure the key attributes of customers’ needs and wants. Many studies concerning SIVA have pointed out that a focus on customers’ needs can facilitate the co-creation of value with customers, which will lead to enhanced customer satisfaction [e.g., 69, 71-73]. Even though Dev and Schultz [29] combined SIVA and 4P in a 4×4 decision matrix, which they used to analyze customer problems [116, 117], this and other studies did not consider the customer’s hierarchy of needs, and in spite of their breadth, were therefore lacking in depth. This study consequently employed SIVA and Maslow’s hierarchy of needs to construct a marketing strategy MADM model based on a customer-focused perspective and possessing both breadth and depth.
This study contributes to marketing theories and practices in four aspects. First, this study combines the dimensions from SIVA marketing mix and Maslow’s hierarchy of needs, and derives attributes based on conceptualization, which offers an alternative perspective in terms of research instruments development. Second, the innovative fully customer-focused marketing strategy MADM model constructed in this study—SIVA-Need—provides 20 index attributes for future researchers in the marketing strategy field. It is believed that the innovative model could lead to various applications and generate more useful information. Third, this study takes Apple company as the case study company and calculates the relative weights of 20 attributes. The results may be used by the management as a consistent evaluation foundation for extensive strategic marketing assessments in their future marketing practices. Fourth, this study proposes the innovative concept of brand community value. According to Muniz and O’guinn [104], a brand community comprises a group of brand lovers, who form a series of structured social relationships beyond the constraints of time and space. Findings of this study suggest that besides the existence of the structured social relationship, there is a value judgement made by the customers of the structured social relationship. Being part of a brand community, customers expect to gain a benefit higher than the cost, which is the primary concern of customers when making purchases. The concept of brand community value reminds researchers in relevant research field that, apart from the formations of brand communities [e.g., 118], the effect of brand community on brand loyalty [e.g., 119, 120], and integration in a brand community [e.g., 121, 122, 123], brand community value is also worth further study. Moreover,
Tsuen-Ho Hsu, Sen-Tien Her, Yung-Han Chang and Jia-Jeng Hou 59
brand community value may provide the marketing managers an alternative perspective to plan marketing strategies.
5.5 Suggestions for future studies 1. This study chose Apple company as the case study company. As an icon in the
technology industry which invests in brand marketing, the findings based on Apple may not be applicable to other industries. To know the differences, future studies on other industries are needed. 2. As a famous brand, whether Apple’s emphases on its brand image led to the result of brand community value being the crucial attribute awaits further comparative studies with other companies. 3. Future studies may consider explore the dimensions embedded in the brand community value. A closer examination of the concept might help marketing managers have solid brand community value classifications for weight analysis, marketing resources allocation, and marketing strategies planning in future brand community strategic marketing assessments.
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