Marketing and the Customer Value Chain: Integrating Marketing and Supply Chain Management

351 Pages·2022·6.025 MB·English

by  Thomas Fotiadis, Dimitris Folinas, Konstantinos Vasileiou, Aggeliki Konstantoglou

Marketing and the Customer Value Chain
Marketing and supply chain management have a symbiotic relationship within any
enterprise, and together they are vital for a company’s viability and success. This book
offers a systemic approach to the integration of marketing and supply chain
management. It examines the strategic connections and disconnections between
supply chain and operations management and marketing by focusing on the factors
that constitute the extended marketing mix, including product, price, promotion,
people, and processes.
Key aspects of supply chain management are discussed in detail, including material
handling, unit load, handling systems, and equipment, as well as warehousing and
transportation, design, and packaging. The book then goes on to explore the marketing
functions of intangible products (services), followed by a focus on B2B markets.
Throughout, there is a strong emphasis on the optimization and maximization of the
value chain through the development of a systems approach with a market-orientation.
Pedagogy that translates theory to practice is embedded throughout, including
theoretical mini-cases, chapter-by-chapter objectives, and summaries.
Marketing and the Customer Value Chain will help advanced undergraduate and
postgraduate students appreciate how front-end marketing can interface with the
back-end operations of supply chain management.
Thomas Fotiadis is Associate Professor of Marketing and Director of the Marketing
Laboratory, Department of Production and Management Engineering, Polytechnic
School, Democritus University of Thrace, Greece.
Dimitris Folinas is Professor in the Department of Logistics at the Technological
Educational Institute of Central Macedonia, Greece.
Konstantinos Vasileiou is Assistant Professor of Pharmaceutical Marketing in the
Department of Pharmacy at the University of Patras, Greece.
Aggeliki Konstantoglou has a PhD in Industrial Marketing from the Democritus
University of Thrace, Greece.

Marketing and the Customer
Value Chain
Integrating Marketing and Supply
Chain Management
Thomas Fotiadis, Dimitris Folinas,
Konstantinos Vasileiou, and
Aggeliki Konstantoglou
Cover image: © Getty Images
First published 2022
by Routledge
4 Park Square, Milton Park, Abingdon, Oxon OX14 4RN
and by Routledge
605 Third Avenue, New York, NY 10158
Routledge is an imprint of the Taylor & Francis Group, an informa business
© 2022 Thomas Fotiadis, Dimitris Folinas, Konstantinos Vasileiou, and Aggeliki
Konstantoglou
The right of Thomas Fotiadis, Dimitris Folinas, Konstantinos Vasileiou, and
Aggeliki Konstantoglou to be identified as authors of this work has been asserted
in accordance with sections 77 and 78 of the Copyright, Designs and Patents
Act 1988.
All rights reserved. No part of this book may be reprinted or reproduced or utilised
in any form or by any electronic, mechanical, or other means, now known or
hereafter invented, including photocopying and recording, or in any information
storage or retrieval system, without permission in writing from the publishers.
Trademark notice: Product or corporate names may be trademarks or registered
trademarks, and are used only for identification and explanation without intent to
infringe.
British Library Cataloguing-in-Publication Data
A catalogue record for this book is available from the British Library
Library of Congress Cataloguing-in-Publication Data
Names: Fotiadis, Thomas, author. | Folinas, Dimitris, 1970- author. |
Vasileiou, Konstantinos (Author of Marketing and the customer value chain),
author. | Konstantoglou, Aggeliki, author.
Title: Marketing and the customer value chain : integrating marketing and supply
chain management / Thomas Fotiadis, Dimitris Folinas, Konstantinos Vasileiou,
Aggeliki Konstantoglou.
Description: Milton Park, Abingdon, Oxon; New York, NY : Routledge, 2022. |
Includes bibliographical references and index.
Identifiers: LCCN 2021040613 (print) | LCCN 2021040614 (ebook) | ISBN
9781138394476 (hardback) | ISBN 9781138394490 (paperback) | ISBN
9780429684883 (ebook) Subjects: LCSH: Business logistics. | Marketing.
Classification: LCC HD38.5 .F68 2022 (print) | LCC HD38.5 (ebook) | DDC
658.7--dc23
LC record available at https://lccn.loc.gov/2021040613
LC ebook record available at https://lccn.loc.gov/2021040614
ISBN: 978-1-138-39447-6 (hbk)
ISBN: 978-1-138-39449-0 (pbk)
ISBN: 978-0-429-68488-3 (ebk)
DOI: 10.4324/9780429684883
Typeset in Times New Roman
by MPS Limited, Dehradun
“To my (already rising) star, Hermie 11”
Thomas Fotiadis
“To my family”
Dimitris Folinas
“To Poly, Aggeliki, and Zois”
Konstantinos Vasileiou
“To Mia, Konstantinos, and Haris”
Aggeliki Konstantoglou
“The authors would like to express their appreciation to Efthymios
Kokmotos for his help”

Contents
Introduction 1
1 Marketing mix elements: (P)roduct: Delimitation and integrative
approach with SCM 2
1.1 Product design and operations planning within the supply chain
context 2
1.2 Definition and classification of products 4
1.3 Decisions concerning the product mix, brand, packaging, and
labeling of a product 9
1.4 The new product development process 11
1.5 Product life cycle 21
1.6 Inventory management 29
1.7 Demand forecasting 37
2 Elements of the marketing mix (price): Conceptual and integrated
approach to supply chain management 46
2.1 Pricing in the context of the supply chain 47
2.2 Introduction to pricing 47
2.3 Factors affecting pricing 49
2.4 Pricing methods 70
2.5 Pricing strategies for new products 77
2.6 Pricing strategies for product mix 79
2.7 Price- adjustment strategies 80
2.8 Price- change strategies 84
2.9 Pricing of logistics services 87
3 Marketing mix elements: (P)romotion: Delimitation and integrative
approach with SCM 93
3.1 Integrated marketing communications within the supply chain
context 94
viii Contents
3.2 Introduction to integrated marketing communications 94
3.3 Integrated marketing communications within a constantly
changing environment 96
3.4 The communication process 98
3.5 Development of effective plans for integrated marketing
communications 100
3.6 Setting out the overall integrated marketing communications
mix 110
3.7 Product packaging for promotion 134
4 Marketing mix elements: (P)eople: Delimitation and integrative
approach with SCM 143
4.1 Main features of services (the 4 “I”s) 144
4.2 Classification of services 146
4.3 The importance of human resources in the provision of
high-quality services 147
4.4 Challenges faced by frontline employees 152
4.5 Human resource management in the provision of high-value
services 157
4.6 Supplementary foundations for the effective provision of
high-value services 168
4.7 Human resource management within services supply chain
context 170
5 Extended marketing mix elements: (P)hysical Evidence: Delimitation
and integrative approach with SCM 173
5.1 Introduction to the physical evidence of services 174
5.2 Strategic roles of servicescape 178
5.3 Types of servicescape 181
5.4 Theoretical models of the impact of the service environment 183
5.5 Dimensions of the service delivery environment 188
5.6 Servicescape design strategy in the context of supply chain 195
5.7 Location problem 198
5.8 Layout approaches 202
6 Extended marketing mix elements: (P)rocesses: Delimitation and
integrative approach with SCM 206
6.1 Introduction to the service processes design 206
6.2 The interconnection between operations management and
marketing 207
6.3 Key components and blueprinting of service processes 209
6.4 Service processes design 218
Contents ix
6.5 Design of processes in the context of service supply
chains – outsourcing 227
7 Transportation management 238
7.1 Transportation means 238
7.2 Combined transportation 241
7.3 Transportation of dangerous goods 243
7.4 International transportation 245
8 Crisis management and SCM 248
8.1 Challenges involved in modern supply chains 248
8.2 Case studies of supply chain risks 249
8.3 Conceptual approach of crisis management in supply chains 253
8.4 Crisis management in supply chain 257
9 Delimitation of industrial markets: Features, significance, and synergies 262
9.1 Introduction to industrial marketing in the context of supply
chain management 262
9.2 Classification of industrial products 264
9.3 Industrial buyers and distribution networks 267
9.4 Characteristics of industrial markets 272
9.5 Materials handling 279
9.6 Storage 283
10 Emerging trends 294
10.1 Auto-ID technologies 294
10.2 Modern logistics and supply chain technologies 302
10.3 Green marketing and green supply chain management 307
References 309
Index 330