1

PRINCIPLES OF MARKETING

2 PRINCIPLES

Fundamental norms, rules or values

That represent

What is desirable and positive for a person, group, organization or community.

It helps in identifying what is right or what is wrong

3 ATTITUDE

Alphabet #

A 1

T 20

T 20

I 9

T 20

U 22

D 4

E 5

Total 100

BE POSITIVE

4

WINNER DON’T DO DIFFERENT THINGS

THEY DO THINGS DIFFERNTLY

5

MARKETING CONCEPT & EVOLUTION

6 CONTENTS

Marketing Concept

Needs, Wants & Demand

Product & Services

Value Cost & Satisfaction

Exchange & Transaction

Market

Marketing

Evolution of Marketing

7MARKETING

CONCEPTS

What you can learn

The marketing concept

The difference between customers and consumers

What a market is and how it can be described

The four Ps of the marketing mix

8IMPORTANCE OF MARKETING

CONCEPT

How To Focus On Needs And Wants

Improve Product

Be Competitive

Increase Sales

9 BASIC CONCEPT

Satisfy Needs

and Wants

Get More Profit

10 NEEDS & WANTS

Need- something you have to have .This is basic human requirement

Want -Something you would like to have that satisfy your need

Phy Need

Sec Need

SocNeed

Marketers do not create need they influence wants

11 DEMAND

Describes a consumer’s desire and willingness to pay a price for a specific good or serviceWants for specific product backed by an ability to pay

Businesses often spend a considerable amount of money in order to determine the amount of demand that the public has for its products and services. Incorrect estimations will either result in heavy losses

12CUSTOMER &

CONSUMER/USERS

Customers buy a product.

Consumers/users use the product.

Example: Parents who buy video games from retailers are customers. The kids who play the video games are the consumers.

13TYPES OF

CONSUMERS/USERS

Current Users with high frequency( Keep them associates)

Current user with low frequency ( Make them regular users)

Laps Users ( Make them users again)

Non Users ( Make them aware/Induce trail)

14 INDUSTRY

Industry

Manufacturing

Product

Services

Services

Concept

Product/Service

15PRODUCTS/SERVICES/

CONCEPT

Product is defined as a "thing produced by labor or effort In Marketing a product is anything that can be offered to a market that might satisfy a want or need

Tangible •Having physical entity can be touched•Computer, Soft drink, Soap etc

Intangible/Services

•Non Physical product•Insurance policy, Bank, Marketing research companies, education

Concept•Latin word means combination of ideas. Ideas is a Greek word means a Unique thought

16 PRODUCT

Product

FMCG

Tea, Soap, Shampoo, Cream, Detergent

Non FMCG

Electronic Appliances, Auto, Mobile,

Computer, Paint

17 PRODUCT(GOOD SERVICES & IDEAS)

Three main components

of Product

Goods

Services/Benefits

Ideas

Good Services Ideas

Car Transportation To move speedily/secure

Microwave Cooking Save time

Cell Phone Communication Quick flow of communication

Marketing Myopia: Emphasize more on the benefits instead of concentrating on the physical features of the product as people own product to enjoy the benefits of the products

18PRODUCT

CATEGORY

S. No Category Types

1 Oral Care Toothpaste, Toothpowder, Mouth Wash etc

2 Oil & Fat Oil, Ghee, Butter, Margarine, cheese

3 Fuel CNG, Diesel, Petrol

4 Detergent Washing powder, Soap/Bar, Liquid, flakes

5 Shoe Polish Liquid, Cream, Shiner, Spray

6 Milk Powder, Pasteurized Milk, Tetra pack milk, flavored milk

19VALUE, COST & SATISFACTION

Value: The capacity of product to satisfy the needs & wants

Product Capacity Satisfaction

Bi Cycle Less safe Economical

Car More Safe Less economical

Customer has to decide which product will deliver the most total satisfaction

20EXCHANGE &

RELATIONSHIP

To develop long term relationship with the customers, suppliers, distributors etc

Company Customer

CustomerA. Quality productB. Fair priceC. On time deliveryD. After sale services

CompanyA. Good price of

good soldB. On time paymentC. Good word of

mouth

21 MARKET

A public place where buyers and sellers make transaction directly or via intermediaries

Market is a place where exchange take place between buyers and sellers where buyers are willing to buy and seller are willing to sell their product over a price

22 MARKETING

Marketing has been defined by the AMA as an organizational

function and a set of processes for

Creating

Communicating

Delivering Values

To customers and for managing customer relationships in

ways that benefit the organization and its stakeholders

23 MARKETING

Marketing is a social and managerial process by

which individuals and groups obtain

What they need & want

through

creating, offering and exchange products of value with others

24 THINGS IN THE MARKET

25THE MARKETING MIX

o The marketing mix comprises four basic marketing strategies known as the four Ps:

o Product

o Place

o Price

o Promotion

26THE MARKETING MIX

Product strategies include what product to make, how to package it, what brand name to use, and what image to project.

Place strategies deal with how and where a product will be distributed.

27THE MARKETING MIX

Price strategies should reflect what customers are willing and able to pay.

Promotion strategies deal with how potential customers will be told about the new product, what the message will be, when and where it will be delivered, and with what inducements to buy.

28 TARGET MARKET

Target marketing is focusing all marketing mix decisions on the specific group of people you want to reach

Based upon different factors

Gender, Age, Education, Income, SEC etc

TARGET MARKET – 1

Young Adults15 to 18 YearsCollege going

TARGET MARKET – 2

Young executives Often 18 to 30Having new Job

31 TARGET MARKET – 3

Middle Age AdultsMarried30+Children 3+ yearsSEC A-E

32MARKETING

CONCEPT

The Marketing Concept

Consumers

Marketing Research Marketing Segmentation

Product Price Place Promotion

Graphic OrganizerGraphic Organizer

33

HISTORY OF MARKETING

34PRODUCTION

CONCEPT

A production concepts holds that consumer will favor products that are widely available and low in cost.

“If somebody makes a product, somebody else will want to buy it". This orientation rose to prominence in an environment which had a shortage of manufactured goods relative to demand, so goods sold easily.

Effective where demand is high than the supply

Need to reduce the cost to expand market

35 PRODUCTION CONCEPT

Implications of this orientation include

Narrow product-line(s)

Pricing based on the cost of production and distribution

Packaging designed primarily to protect product

Minimal Promotion and advertising, limited to raising awareness of the existence of the product

Consumers more interested in simply obtaining the product, and less in its quality

36 PRODUCT CONCEPT

A product concepts holds that consumer will favor products that offer the high quality, performance or innovative features

The drawback of this concept is that sometimes company launch the product without taking the opinion of customers as they thought they can understand customer needs better

37SELLING CONCEPT/ SALES

CONCEPT

The Selling Concept holds that customers showed resistance in buying the things.

Company should aggressively go for effective selling and promotional tools to stimulate more buying

More related where people are not very interested to buy like insurance,

More concentrate on selling rather than building a long term relationship

Company interested in selling concept if they have over capacity production

38MARKETING

CONCEPT Marketing concept hold that to achieve the organization

goals company should be more effective than its competitors in marketing activities and to satisfy the needs and wants of target market

4 Pillars of Marketing concept are

Profitability

Integrated Marketing

Customers Needs

Target Market

Find out the right product for the customers rather than find the right customer for your product

39MARKETING CONCEPT

PILLARS

Target Market

Target Market Male, Female, age, education, occupation, health, income, SEC

Customer Needs Focus on the needs

Integrated Market Different department work together or the customer satisfaction

Profitability Ultimate objective of an organization

40

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