Syllabus: SQA - Higher Course Spec Business Management
Module: Management of Marketing
Lesson: Customers

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Introduction

This section of the SQA Higher Business Management course focuses on the customer as a cornerstone of effective marketing management. The curriculum explores how understanding customer needs, expectations and behaviour drives decision-making and competitive advantage. Teaching this topic means helping students move beyond the theory to appreciate how customer insights shape real-world marketing strategies. It’s directly linked to the SQA assessment standards and underpins broader understanding of how businesses operate successfully in dynamic markets.

Key Concepts

Students are expected to understand and apply the following:

  • The importance of identifying and anticipating customer needs.

  • The role of market research in gathering customer data (quantitative and qualitative).

  • Customer satisfaction as a key indicator of business performance.

  • Methods used by businesses to gather customer feedback (surveys, focus groups, social media analysis).

  • How customer expectations vary depending on market segments (e.g. age, income, lifestyle).

  • The significance of customer loyalty and repeat purchase behaviour.

  • The impact of good and poor customer service on business reputation and profitability.

  • Methods businesses use to monitor and improve customer service (e.g. staff training, complaint procedures).

Real-World Relevance

Look at how brands like John Lewis or First Direct consistently top customer satisfaction rankings. Their success stems not from being the cheapest, but from anticipating what their customers value most – clarity, helpful service, and follow-through. In contrast, high-profile cases like British Airways’ IT failures show how quickly trust erodes when customer needs aren’t met. Real-world examples help students understand that marketing isn’t just promotion – it’s about building relationships that last.

How It’s Assessed

Students are assessed through the SQA question paper and assignment. Typical question formats include:

  • Explain how a business uses market research to understand its customers.

  • Describe the impact of poor customer service.

  • Compare two methods of gathering customer feedback.

  • Evaluate the effectiveness of customer service training.

Expect to see both short-answer and extended-response tasks. Marks are awarded for clear application of knowledge to business contexts, logical structure, and justified conclusions.

Enterprise Skills Integration

This topic lends itself well to developing:

  • Problem-solving: analysing why a business might lose customers and proposing solutions.

  • Decision-making: selecting appropriate research tools based on business needs.

  • Communication: interpreting customer data and presenting insights clearly.

  • Empathy: understanding customers’ perspectives to shape better service strategies.

Group projects that simulate responding to customer complaints or designing a feedback campaign can build these skills meaningfully.

Careers Links

Studying customers within marketing supports Gatsby Benchmarks 4, 5, and 6:

  • Relevant roles include customer insight analyst, marketing executive, brand manager, and service designer.

  • Career pathways span retail, hospitality, consultancy, and public services where customer interaction is central.

  • Use job descriptions or guest speakers to connect classroom content to real jobs.

Teaching Notes

Tips:

  • Start with students as customers. Get them to reflect on their own experiences – what made them stay loyal to a brand?

  • Use mini case studies from supermarkets, online retailers, or local businesses.

  • Role-play scenarios: responding to a complaint, designing a customer survey, analysing satisfaction data.

Common pitfalls:

  • Over-focusing on customer service without linking back to wider marketing objectives.

  • Confusing market research with general research – be clear about purpose and methods.

Extension ideas:

  • Analyse a brand’s Trustpilot or Google reviews and propose improvements.

  • Compare how two competing businesses tailor customer experiences differently (e.g. Aldi vs Waitrose).

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