Post on 02-Jun-2018
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INTRODUCTION TO MARKETING
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It is the process of planningand executing theconception, pricing, promotionand distribution
of ideas, goods and services to create exchanges
that satisfy individual and organizational goals.
Management definition
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What is Marketing?
Marketing is meeting the needs profitablyboth of marketers and customers.
The aim of marketing is to know and
understand the customer so well that theproduct or service fits him and sells itself.
e.g. Waiting lines and customer full restaurants,
waiting period for the vehicles etc.
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3 Keys to Marketing
Understand
Provide
Communicate
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Nature Of Marketing
What is the Purpose of Marketing?
Satisfaction
Functional Satisfaction
Psychological Satisfaction
The Four Utilities
Consumer Problems
Providing Benefit Bundles
Offering a Total Consumption System Increments of Satisfaction
Facilitating Exchanges
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Simple Marketing System
Industry
(a collection
of sellers)
Market
(a collection
of Buyers)
Goods/services
Money
Information
Communication
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Market Placeis physical as when you shop in
a store
Market space - is digital as when you shop on
the internet
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Implications of marketing
Who are our existing / potential customers?
What are their current / future needs?
How can we satisfy these needs?
Can we offer a product/ service that the
customer would value?
Can we communicate with our customers?
Can we deliver a competitive product of
service? Why should customers buy from us?
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Successful marketing requires:
Profitable
Offensive (rather than defensive)
Integrated Strategic (is future orientated)
Effective (gets results)
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Needsare basic human requirements.
Wantsare needs directed to specificobjects/services that might satisfy the need.
Demandis the wants for specific products
backed by an ability to pay.
Need, Want & Demand
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Exchange & Transaction
Exchangeis get something (product /service) by
offering something in return. Eg. kind (barter)
or money (value ) . Exchange is a value creating
process because it leaves both parties better off
(winwin situation)
A transactionis an exchange between two
things of value on agreed conditions and a timeand place of agreement.
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Customer Satisfaction
&
Customer Delight
Customer delightis surprising a customer by exceeding
his/her expectations and thus creating a positive emotional
reaction. This emotional reaction leads to word of mouth.
Customer satisfactionmeasures the extent to which the
expectations of a customer are met
Customer value is the difference between the values the
customer gains from owing and using a product and the
costs of obtaining the product.
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The Scope Of Marketing
Marketers are involved with marketing tentypes of entities:
1. Physical Goods
2. Services3. Experiences
4. Events
5. Persons
6. Places
7. Properties
8. Organizations
9. Information
10. Ideas
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PHILOSOPHIES OF MARKETING
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The PRODUCTION CONCEPT
Holds that consumers will prefer products
that are widely available and inexpensive.
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The PRODUCT CONCEPT
Holds that consumers will favor those
products that offer the most quality,
performance, or innovative features
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The SELLING CONCEPT
Holds that consumers and businesses, willordinarily not buy enough of theorganizations products. The organizationmust therefore, undertake an aggressiveselling and promotion effort.
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The MARKETING CONCEPT
holds that the key to achieving itsorganizational goals consists of thecompany being more effective thancompetitors in creating, delivering,
and
communicating customer value to itschosen target markets.
.
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The SOCIETAL MARKETING
CONCEPT
holds that the organizations task is todetermine the needs, wants, and interests ofthe target markets and to deliver the desiredsatisfactions more effectively thancompetitors in a way that preserves theconsumers and societys well-being.
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Societal Marketing Concept
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Marketing management process
Analysis/Audit - where are we now?
Objectives - where do we want to be?
Strategies - which way is best? Tactics - how do we get there?
Implementation - Getting there!
Control - Ensuring arrival
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Why is marketing planning necessary?
Systematic futuristic thinking by management
better co-ordination of a companys efforts
development of performance standards forcontrol
sharpening of objectives and policies
better prepare for sudden developments
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MARKETING PROCESS
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The Marketing Process consists of
Analyzing Marketing Opportunities
Researching and Selecting Target MarketsDesigning Marketing Opportunities
Planning Marketing Programs
Organizing, Implementing, and Controllingthe Marketing Effort
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Marketing Process
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Marketing Strategy
Marketing Strategy is the marketing logic by
which the business unit hopes to achieve its
marketing objectives
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Marketing Strategy and the MarketingMix
Market segmentation is the division of a marketinto distinct groups of buyers who have distinctneeds, characteristics, or behavior and whomight require separate products or marketing
mixesMarket segment is a group of consumers who
respond in a similar way to a given set ofmarketing efforts
Market targeting is the process of evaluating eachmarket segments attractiveness and selectingone or more segments to enter
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Marketing Strategy
Market positioning is the arranging for a
product to occupy a clear, distinctive, and
desirable place relative to competing
products in the minds of the target
consumer
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Marketing Mix
Marketing mix is the set of controllable
tactical marketing toolsproduct, price,
place, and promotionthat the firm blendsto produce the response it wants in the
target market
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Marketing Strategy and the Marketing Mix
Developing an Integrated Marketing Mix
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Marketing Activities
Product:
Develop new products
Modify existing products
Test-market products
Select brand name Package product
Pricing:
Establish price objectives
Conduct cost analysis
Analyze competitors price
Set actual prices
Promotion:
Determine types of promotion
Design the advertising massage
Selecting advertising media
Schedule the advertisements
Distribution:
Select wholesalers and retailers
Establish procedures forhandling and moving products
Find the best locations forplants, warehouses and retailoutlets
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7 Ps of the Marketing Mix
People
Process
Physical Evidence
Product
Price
Place
Promotion