1. INTRODUCTION TO MARKETING

2. WHAT IS MARKETING
Marketing is a social and managerial process whereby individuals and groups obtain what they need and want through creating and exchanging products and value with others.
Kotler & Armstrong
Goals: To attract new customers by promising superior value
To keep current customers by delivering satisfaction.

3. CORE MARKETING CONCEPT
Needs, wants
&
demands
Core
Marketing
Concepts
Markets
Products
&
services
Exchange &
relationships
Value, satisfaction
&
quality

4. Needs, Wants & Demand Need A state of felt deprivation. Physical needs
Social needs
Individual needs
Wants Human needs which are shaped by culture and individual personality.
Demands Human wants that are backed by buying power.

5. Products & Services
Product Anything that can be offered to a market to satisfy a need or want.
Tangible Goods
Services
Experiences
Persons
Places
Organizations
Information
Ideas

6. Customer Value, Satisfaction & Quality
Customer Value The difference between the values the customer gains from owning/using a product and the costs of obtaining the product.
Satisfaction The extent to which a product’s perceived performance matches a buyer’s expectation.
Quality The totality of features and characteristics of a product or service that bear on its ability to satisfy needs.
TQM – Programs for quality improvement

7. Exchange & Relationships
Exchange The act of obtaining the desired object from someone by offering something in return.
Relationship The process of creating, maintaining Marketing and enhancing strong relationships with customers and stakeholders.

8. (A collection of sellers) (A collection of buyers)
Markets
A market is the set of actual and potential buyers of a product or service.
A Simple Marketing System
Industry
(A collection of sellers)
Products-services
Market
(A collection of buyers)
Money
Information

9. Main actors & forces in a modern marketing system
Suppliers
Company
(marketer)
Marketing
intermediaries
End user
market
Competitors
Environment

10. STAGES OF MARKETING PRACTICE
Entrepreneurial Marketing
Stage 2
Formulated Marketing
Stage 3
Intrepreneurial Marketing

11. MARKETING MANAGEMENT PHILOSOPHIES
Production concept
Product concept
Selling concept
Marketing concept
Societal marketing concept

12. 1) The Production Concept
The production concept holds that consumers will favor products that are available and highly affordable.
Management should focus on improving production and distribution efficiency.
Useful in two types of situations –
Basic necessity goods
Unfulfilled demand

13. 2) The Product Concept
The product concept holds that consumers will favor products that offer the most in quality, performance and innovative features.
Management should focus on product improvements continuously.

14. 3) The Selling Concept
The selling concept holds that consumers will not buy enough of the organization’s products unless it undertakes a large-scale selling and promotion effort.
Useful in three situations –
With unsought goods
Overcapacity
Increasing competition

15. 4) The Marketing Concept
The marketing concept holds that achieving organizational goals depends on determining the needs and want of target markets and delivering the desired satisfactions more effectively and efficiently than competitors do.

16. Difference between Selling & Marketing concept
Starting
point
Focus
Means
Ends
Selling
&
promoting
Existing
products
Profits through
sales volume
Factory
The Selling concept (Inside-out)
Profits through
Customer
satisfaction
Customer
needs
Integrated
Marketing
Market
The Marketing concept (Outside-in)

17. 5) The Societal Marketing Concept
The societal marketing concept holds that organization must follow the marketing concept in a way that maintains or improves the consumer’s and the society’s well being.
Society
(Human welfare)
Societal marketing concept
Consumers
(Want satisfaction)
Company
(Profits)

18. MARKETING MIX DECISIONS IMPLEMENTATION & CONTROL
MARKETING PROCESS
SITUATION ANALYSIS
MARKETING STRATEGY
MARKETING MIX DECISIONS
IMPLEMENTATION & CONTROL

19. 1) Situation analysis 5C analysis Company Customers Competitors
Collaborators
Climate
PEST analysis
Political
Economic
Societal
Technological
SWOT analysis
Strengths
Weaknesses
Opportunities
Threats

20. 2) Marketing strategy Market segmentation
Dividing the market into distinct group of buyers
Market
targeting
Selecting one or more segments to enter
Market
positioning
Arranging for a product to occupy a clear, distinctive and desirable place in target consumers’ mind

21. 3) Marketing mix decision (4Ps)
Product
Variety
Quality
Design
Features
Brand name
Packaging
Services
Price
List price
Discounts
Allowances
Payment period
Credit terms
Target customers
Promotion
Advertising
Personal selling
Sales promotion
Public relations
Intended positioning
Place
Channels
Coverage
Assortments
Locations
Inventory
Transportation
Logistics

22. Seller’s point of view Buyer’s point of view
4Ps
Product
Price
Place
Promotion
Buyer’s point of view
4Cs
Customer solution
Customer cost
Convenience
Communication

23. 4) Implementation and Control
Preparing marketing plan
Launching the product
Monitoring continuously
Making change, if necessary