MARK 201 Chapter Notes - Chapter 1: Air Miles, Direct Marketing, Aeroplan
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De beers who controls diamonds went to a marketing firm in 1938 and were told that for people to buy more diamonds, the diamonds had to have an emotional purpose. They had to sell an idea through telling stories in the newspapers about celebs getting diamond engagement rings. (cid:862)a dia(cid:373)o(cid:374)d is fore(cid:448)er(cid:863) sloga(cid:374) (cid:272)a(cid:373)e arou(cid:374)d i(cid:374) the (cid:1005)94(cid:1004)"s a(cid:374)d i(cid:374)(cid:272)reased dia(cid:373)o(cid:374)d sales by 55% over a couple years. The idea that an engagement ring should cost one month salary was invented by de beers, then it changed to two because people (cid:449)ere(cid:374)"t (cid:271)u(cid:455)i(cid:374)g e(cid:374)ough. De beers created a need, a value and a necessity for diamonds! Diamond sales increased from 10% in 1940 to 80% in 1990 across the usa. Marketing is the process by which companies create value for customers and build strong customer relationships in order to capture value from customers in return. (textbook) Key terms are creating value and strong customer relationships.
