Marketing and Challenges

8/8/2019 Marketing and Challenges

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MARKETINGy Marketing deals with identifying and meeting human

and social needs.

y MEETING NEEDS PROFITABLY

y When eBay recognized that people were unable to

locate some of the items they desired the most,they created an

ONLINE AUCTION CLEARINGHOUSE


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Thus Marketing is:

SOCIAL DEFINITION:It is a social process by which

individuals and groups obtain what they need

and want through creating, offering and freelyexchanging products and services of value withothers.

MANAGERIAL DEFINITIONMarketing is the art of meeting

demands profitably


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Marketing has often been described as THE ART OF

SELLING, but people are surprised when they hear that

the most important part of marketing is not selling..!!!

Selling is only the tip of the marketing ICEBERG

Thus the difference between Selling and Marketing

is.


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Marketing

Starts with the buyer & focuses

constantly on needs of the

buyer

Seeks to convert customers

needs into products

Views business as CustomerSatisfying Process

Consumer determines the price,

price determines the cost

Marketing is the central function

of the business

Views customers as the very

purpose of the business

SellingI. Starts with a seller & is

preoccupied with the needs of

seller

II. Seeks to quickly convert

product into cash

III.Views business as GoodsProducing Process

IV. Cost determines the price

V. Firms practicing Selling,

Production forms CENTRAL

FUNCTION of business

VI. Views customer as last link in

business


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y Needs, wants & demands

y Target market, positioning & segmentation

y

Offering & brandingy Value & satisfaction

y Marketing channels

y Market planning

y Market place, market space & meta-market

y

Exchange & transaction

CORE CONCEPTS of MARKETING


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Marketing Philosophiesy The Production Concept: oldest concept in business

which holds that consumers will prefer products that

are widely available & inexpensive

y The Product Concept: holds that consumers will favorthose products that offer the most quality,

performance, or innovative feature

y The Selling Concept: holds that consumers & business, if

left alone, will ordinarily not buy enough of the

organizations products. (aggressive selling &

romotional efforts


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y The Marketing Concept: this concept holds that the key

to achieving organizational goals consists of the

company being more effective than competitors in

creating, delivering, and communicating superior

customer value to its chosen target marketsy The Holistic Marketing Concept: this concept is based

on the development of marketing programs, processed,

and activities that recognizes their breadth and

interdependencies. Holistic marketing recognizes that

everything matters with marketing and that a broad,

integrated perspective is often necessary


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Another dimension..

i. PRODUCT CUSTOMERS SOLUTION

ii. PRICE COST

iii. PLACE CONVINIENCE

iv. PROMOTION COMMUNICATION


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What is MARKETED?y GOODS

y SERVICES

y

EVENTSy EXPERIENCES

y PERSONS

y PLACES

y PROPERTIESy ORGANIZATIONS

y INFORMATIONS

y

IDEAS


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Who MARKETS?

y MARKETERS & PROSPECTSA marketer is someone who seeks a response

(attention, a purchase, a vote, a donation) from

another party, called the prospect.If both parties are seeking to sell somethingto each other, we call them both marketers.


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y Negative Demand

y Non-existent Demand

y Latent Demandy Declining Demand

y Irregular Demand

y Full Demand

y Overfull Demand

y Unwholesome Demand

Demand States


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Marketing

Products Services


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PRODUCTS.y Products are the commodities offered for sale or

an artifact that has been created by someone or

some process.y It is basically something that can be

differentiated from services


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Products versus Services Products are tangible, services are intangible

Seller and buyer need not be present in case of sale of product,

while the presence of both is necessary in case of services Products can be stored in warehouse, while the services can not

be.

Uniformity in quality can be maintained in case of a product, but

not in case of a service. The service quality always differs.

Products are associated with 4 Ps (product, price, promotion &

place). While services are associated with 7 Ps, the 3 additional Ps

are PEOPLE, PHYSICAL EVIDENCE & PROCESS


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Marketing Mix for Product


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The 4 Psy Product: in this we consider product variety,

quality, brand name, features, returns, design,warranties & guarantees, packaging, sizes

y Price: under this we decide upon list prices,discounts, allowances, payment periods & creditterms

y Promotion: in this we consider sales promotion,advertising, sales force, public relation & directmarketing

y Place: channels, coverage, assortiment, locations,inventory & transport


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Service is an identifiable, intangible activity that ismain object of a transaction designed to providewant satisfaction to consumer.

y Services are something that can be characterizedwith 4 Is:

y Intangibility

y Inconsistency

y

Inseparabilityy Inventory

In your

SERVICE!


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Marketing Mix for Service


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PEOPLE.Forms an inevitable part ofservice industry, since HUMAN is

the very basic machinery providing

the services.They interact with the customers

and secure long term relationship

beneficial for the business

Plays major part in customers

satisfaction, and securing long term

business and wealth to the

enterprise


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PHYSICAL EVIDENCE.Tangbilizing the intangible is whatforms the part of this module.

Deals with problem when the

person rendering the service feelthat hes left with nothing by the

end.

The service are then associated

with physical entities that

customers can remember and even

retain with them


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PROCESS.Process refers to a systematic

organized way in which the service

provider undertakes transaction,

supplies information and provides

services in an acceptable way to the

consumer.

While designing a process, a

balance has to be maintainedbetween functionality, security,

aesthetics and ease of use by

customer. We need to empathize in

designing service process


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STATE BANK of INDIAy Largest public sector bank in INDIA

y

2nd

largest public sector bank in whole worldy Personal banking, corporate banking, ATM, mobile

banking, net banking, demat, agri/rural banking,

NRI service, SME services, loans, etc.

y SBI caters in various section and in quietly a

dominator in SERVICE INDUSTRY


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TATA MOTORS (product)y

A part of TATA group, TATA motors is Indiaslargest automobile company.

y Leader in commercial vehicles

y Subsidiary Brands are Tata Daewoo Commercial

Vehicle, Hispano Carrocera, Jaguar Cars and

Land Rover, Joint ventures

y Tata Nano, Tata Ace, etc

y Passenger cars and utility vehicles, Concept

vehicles, Commercial vehicles, Military vehicles


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Letspoundin

some!


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Thank you.

Marketing and Challenges

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