1. Marketing Today and Tomorrow
Marketing Chapter 1

2. Page 2
Newsline

3. Section 1-1
What is Marketing?

4. Why Study Marketing? Where does Marketing Take Place?
Marketing includes:
Advertisements in all types of media
Products being transported by truck, train and airplane
Market researches surveying shoppers in the mall

5. Why Study Marketing? Everyone makes marketing decisions everyday
Whether to use cash or a debit card
To buy at the store or have it shipped to your house
Bring your lunch or buy at school

6. What is Marketing? The 9 Marketing Functions: Market Planning
Product and Service Management
Distribution
Pricing
Promotion
Selling
Marketing-Information Management
Financing
Risk Management

7. The Marketing Functions
Market Planning—identifying and understanding the markets a company wants to serve and developing effective marketing strategies for each market
Does Hollister want to go after year olds?

8. The Marketing Functions Cont…
Product and Service Management—Assisting in the design and development of products and services to meet the needs of prospective customers
Apple combined an iPod, a cell phone and an internet browser to create the iPhone

9. The Marketing Functions Cont…
Distribution—determining the best methods and procedures to be used so prospective customers are able to locate, obtain, and use the products and services of an organization
Rental car companies, led by Hertz, made it so people can reserve a vehicle and pick it up when arriving at the airport

10. The Marketing Functions Cont…
Pricing—Establishing and communicating the value of products and services to prospective customers
Instead of cutting prices a store offers a free product when a certain amount is spent at the store

11. The Marketing Functions Cont…
Promotion—Communicating information to prospective customers through advertising and other promotional methods to encourage them to purchase the organization’s products and services. (this is the most well known to most people)
Companies send CDs and brochures to
people at their homes to try and get them
to purchase the product or service

12. The Marketing Functions Cont…
Selling—Direct, personal communication with prospective customers in order to assess needs and satisfy those needs with appropriate products and services
Lawyers, accounts and banks have people who have the job of attracting new clients

13. The Marketing Functions Cont…
Marketing-Information Management—Obtaining, managing and using marketing information to improve decision making and the performance of marketing activities
A grocery store uses the bar scanner to track
what has been purchased and what needs
to be reordered

14. The Marketing Functions Cont…
Financing—Budgeting for necessary financing and providing financial assistance to customers to assist them with purchasing products and services
Car companies offer financing directly from the company to get people to purchase vehicles

15. The Marketing Functions Cont…
Risk Management—Providing security for products, personnel, and customers and reducing the risk associated with marketing activities and activities
The loss control people at stores like Target and Best Buy that check bags as you leave
Security Tags on clothing

16. Page 8
Judgment Call

17. Activity
Using the 9 Marketing Functions create a visual to help show all functions. See Page 8 for an example
This can be done using paper and crayons/markers or it can be done on the computer. Turn in when complete.

18. Define Marketing
Old definition—the performance of business activities that direct the flow of goods and services from producer to consumer or user
New definition—the creation and maintenance of satisfying exchange relationships

19. New Definition of Marketing
The creation and maintenance of satisfying exchange relationships
Creation—suggests that marketing is involved from the beginning as products and services are being developed
Maintenance—means that marketing must continue to be used as long as a business or organization is operating
Satisfaction of both the business and the customer is an important goal of marketing
Exchange relationship applies the definition to any exchange where people are giving and receiving something of value

20. Section 1-2
Business Needs Marketing

21. Email your responses to ferrer01@southredford.net
Activity
Think of 3 things you have purchased (or services you have used ) that you were not what you expected. Why did you make the purchase in the beginning and what did you do when you were dissatisfied. How could the business do a better job satisfy customers?
your responses to

22. The Need for Marketing
Ever since people began exchanging things with each other there has been a need for marketing

23. The Development of Marketing in Business
Self-sufficient—you do not need to rely on other for the things you need to survive
This is very difficult to do and takes a lot of hard work.
Bartering—exchanging products and services with other by agreeing on their values. This was the first example of marketing
A hunter would trade meat with a farmer to get grain

24. The Development of Marketing in Business
Specialization of Labor—concentrating on one thing or a few related activities so that they can be done well
A farmer focuses only on growing corn because they do it well
Money system—established the use of currency as a recognized medium of exchange
Allowed people to obtain goods and services even if they do not have something to exchange
Central market—a location where people bring products to be conveniently exchanged.
Towns and cities formed at these locations

25. The Function of Business
Production—creates and obtains products for services and sale
Merchandising—offering products produced or manufactured by others for sale to customers
Operations—ongoing activities designed to support the primary function of a business and keep it operating efficiently
Equipment operated and maintained, products must be obtained, transported and store, paperwork must be kept

26. The Function of Business Cont…
Accounting and Finance—plans and manages financial resources and maintains records and information related to a business’s finances.
Management—involves developing, implementing and evaluating the plans and activities of a business

27. Page 16
Virtual Marketing

28. Section 1-3
Understanding the Marketing Concept

29. The Marketing Concept Satisfying Customer Needs
Marketing Concept—using the needs of customers as the primary focus during the planning, production, pricing, distribution, and promotion of a product or service.
Identify the needs of customers
Develop and market products or services
Operate a business profitably
Identify Needs
Develop and Market
Operate profitably

30. The Marketing Concept Cont…
When Customer Needs are NOT Satisfied
If customer needs are not met, products are not sold
Car companies that do not build cars that people want/need will not sell them
Poorly made products will be returned or not sold.

31. Implementing the Marketing Concept
Identify the Market
Market—a description of a unique group of prospective customers a business wants to serve and their location

32. What is the Target Market?

33. Developing a Marketing Mix
4 Ps of Marketing
Product—anything offered to the market by the business to satisfy needs (products, services, ideas)
Place (Distribution)—locations and methods used to make the product available to customers
Price—amount that customers pay and the methods of increasing the value of the product
Promotion—methods used and information communicated to encourage customers to purchase and to increase their satisfaction

34. The Kindle