This document provides an overview of marketing concepts including the evolution of marketing, the marketing mix, market segmentation, and various promotional strategies. It discusses how marketing has shifted from a production focus to being more customer-oriented over time. The key elements of the marketing mix are identified as product, price, place, and promotion. Various promotional tools like advertising, personal selling, public relations, and sales promotions are also summarized.

1. Course : MGMT6256 – Introduction to
Management & Business
Marketing: Helping Buyers Buy
Session 23-24

2. Learning Outcomes
• LO 2: Explain challenges for the global manager, the decision making
process, setting goals and plans, competitive strategies and
mechanistic and organic structure, production processes, marketing
and financial management
• LO 3: Analyze goals and plans, the strategic management process,
contemporary organizational design, the changing workplace, group
development, leadership, type of control, marketing mix and financial
management
• LO 4: Apply innovation process, workplace diversity, effective teams,
contemporary theories of leadership and tools for measuring
organizational, different markets, financial planning and function of
securities markets

3. What is Marketing?
Marketing -- The activity, set of institutions and
processes for creating, communicating, delivering, and
exchanging offerings with value for customers, clients,
partners, and society at large.

4. The Evolution of Marketing (1)
• Production Era and Selling Era
 The general philosophy was “Produce what you can
because the market is limitless.”
 After mass production, the focus turned from production to
persuasion.
• Marketing Concept Era
 After WWII, a consumer spending boom developed.
 Businesses knew they needed to be responsive to
consumers if they wanted their business.

5. The Evolution of Marketing (2)
• Marketing Concept Era
 The Marketing Concept includes three parts:
1.Customer Orientation -- Finding out what
customers want and then providing it.
2.Service Orientation -- Making sure everyone in
an organization is committed to customer
satisfaction.
3.Profit Orientation -- Focusing on the goods and
services that will earn the most profit.

6. The Evolution of Marketing(3)
• Customer Relationship Era
 Customer Relationship Management (CRM) –
process of learning as much as possible about
present customers and doing everything you can
over time to satisfy customers or even to exceed
their expectations with goods and services.
 The idea is to enhance customer satisfaction and
stimulate long-term relationships and loyalty

7. The Marketing Mix
1. Product; designing a want satisfying product
2. Price; setting a price for the product,
3. Place; putting the products in a place where people
will buy it
4. Promotion; promoting the product.

8. Designing a Product to Meet Customer Needs
 Product -- A good, service, or idea that
satisfies a consumer’s want or need.
 Test Marketing -- Testing product concepts
among potential product users.
 Brand Name -- A word, letter, or a group of
words or letters that differentiates one seller’s
goods from a competitor’s.

9. Setting an Appropriate Price
•Pricing products depends
on many factors:
 Competitors’ prices
 Production costs
 Distribution
 High or low price
strategies
Getting the product
to Right Place
 Middlemen are
important in place
strategies
because getting a
product to
consumers is
critical.

10. Developing an Effective Promotional Strategy
•Promotion -- All the techniques sellers use to
inform people about their products and motivate
them to purchase those products.
•Promotion includes:
 Advertising
 Personal selling
 Public relations
 Viral marketing
 Sales promotions

11. Providing Marketers
with information
 Marketing Research -- Analyzing markets to
determine challenges and opportunities, and
finding the information needed to make good
decisions.
 Research is used to identify products consumers
have used in the past and what they want in the
future.
 Research uncovers market trends and attitudes
held by company insiders and stakeholders

12. The Marketing Research
Process
1.Defining the problem or opportunity and
determining the present situation.
2.Collecting research data.
3.Analyzing the data.
4.Choosing the best solution and
implementing it.

13. The Marketing Environment
•Environmental Scanning -- The process of
identifying factors that affect marketing success.
•Factors involved in the environmental scan
include:
1. Global factors
2. Technological factors
3. Sociocultural factors
4. Competitive factors
5. Economic factors

14. Figure 13.5. The Marketing Environment

15. The Customer Market
•Consumer Market –
All the individuals or households that want goods and
services for personal use and have the resources to
buy them.
 The size and diversity of the consumer market forces marketers to
decide which groups they want to serve.
 Market Segmentation -- Divides the total market into groups with
similar characteristics.
 Target Marketing -- Selecting which segments an organization
can serve profitably.

16. Segmenting The Customer Market
 Geographic Segmentation -- Dividing the market
by cities, counties, states, or regions.
 Demographic Segmentation -- Dividing the market
by age, income, education, and other demographic
variables.
 Psychographic Segmentation -- Dividing the
market by group values, interests, and opinions.
 Benefit Segmentation -- Dividing the market according
to product benefits the customer prefers.
 Volume (Usage) Segmentation -- Dividing the market
by the volume of product use

17. Reaching Smaller Market Segments
 Niche Marketing -- Identifies small but profitable
market segments and designs or finds products
for them.
 One-to-One Marketing-- Developing a
unique mix of goods and services for each
individual consumer.

18. Building Marketing
Relationships
 Mass Marketing -- Developing products and
promotions to please large groups of people.
 Relationship Marketing-- Rejects the idea of
mass production and focuses toward custom-
made goods and services for customers.

19. STEPS in the CONSUMER
DECISION-MAKING PROCESS
1.Problem recognition
2.Search for information
3.Evaluating alternatives
4.Purchase decision
5.Post purchase evaluation

20. The CONSUMER DECSION MAKING
PROCESS AND OUTSIDE INFLUENCES

21. KEY FACTORS in CONSUMER DECISION-MAKING
 Learning
 Reference Groups
 Culture
 Subcultures
 Cognitive Dissonance

22. Business to Business Market
•Business-to-Business (B2B) -- Individuals and
organizations that buy goods and services to use in production
or to sell, rent, or supply to others.
•B2B marketers include:
 Manufacturers
 Wholesalers and retailers
 Hospitals, schools and charities
 Government
•Products are often sold and resold several times before
reaching final consumers.

23. Case : Using the 4ps at Energizer

24. USING EFFECTIVE
PROMOTIONS

25. Promotion and The Promotion Mix
 Marketing Intermediaries -- Organizations that
assist in moving goods and services from
businesses to businesses (B2B) and from
businesses to consumers (B2C).
 They are called intermediaries because they’re in
the middle of a series of firms that distribute
goods.

26. Promotion Mix -- The combination of promotional tools
an organization uses; the traditional mix includes:
Promotion and The Promotion Mix

27. INTEGRATED MARKETING COMMUNICATION
(IMC)
Integrated Marketing Communication (IMC) --
Combines the promotional tools into one
comprehensive strategy. IMC is used to:
 Create a positive brand image.
 Meet the needs of consumers.
 Meet the strategic marketing and
promotional goals of the firm.

28. STEPS in a
PROMOTIONAL CAMPAIGN
1. Identify a target market
2. Define objectives
3. Determine a promotional budget
4. Develop a unifying message
5. Implement the plan
6. Evaluate the plan

29. ADVERTISING : Informing, Persuading,
and Reminding
•Advertising -- Paid, non-personal
communication through various media by
organizations and individuals who are in
some way identified in the message.
•Major goals of advertising:
-Inform
-Persuade
-Remind

30. POPULAR ADVERTISING MEDIA
 TV advertising is still the dominant media.
 Digital Video Recorders (DVRs) challenge TV
advertising because viewers can skip them.
 Product Placement -- Advertisers pay to put
their products into TV shows and movies
where the audience will see them.

31. INFOMERCIALS and
ONLINE ADVERTISING
 Infomercial -- A full length TV program devoted
exclusively to promote a particular product.
 Online ads are attempts to get potential
customers to a website to learn about a product.
 Interactive Promotion -- Allows marketers to
open a dialogue between buyers and sellers
and let them work together to create a
beneficial exchange.

32. GLOBAL ADVERTISING
 Requires marketers to develop a
single product and promotional
strategy to implement worldwide.
 Problems can arise in global
markets with using one advertising
campaign in all countries -
especially bad translations.

33. PERSONAL SELLING
 Personal Selling -- The face-to-face
presentation and promotion of a product,
including the salesperson’s search for new
prospects and follow-up service.
 Salespeople need to listen to customer
needs, help reach a solution and do
everything possible to make the transaction
as simple as possible.

35. STEPS in the B2C
SELLING PROCESS

36. USING PUBLIC RELATIONS in PROMOTION
•Public Relations (PR) -- Evaluates public attitudes,
changes policies and procedures in response to the
public, and executes a program of action and
information to earn public understanding and
acceptance.
•3 steps of a good PR program:
1.Listen to the public
2.Change policies and procedures
3.Inform people you’re responsive to their needs

37. PUBLICITY
•Publicity -- Any information about an
individual, product or organization that’s
distributed to the public through the media and
is not paid for or controlled by the seller.
•Advantages of Publicity:
Free
Reaches people who would not look at an
advertisement
More believable than advertising

38. SALES PROMOTIONS
•Sales Promotion -- The promotional tool
that stimulates consumer purchasing and
dealer interest by means of short-term
activities.
•Categories of Sales
Promotions:
1.B2B Sales
Promotions
2.Consumer Sales
Promotions

39. USING WORD- of- MOUTH
PROMOTION
•Word-of-Mouth Promotion -- People tell others
about products they have purchased.
•Word-of-Mouth is important for products like:
 Restaurants
 Daycare and Eldercare
 Car Repair Shops
 Hair Stylists
 Hotels

40. EMERGING
PROMOTIONAL TOOLS
 Viral Marketing -- Paying customers to say
positive things on the Internet or setting up
multiple selling schemes whereby consumers get
commissions.
 Blog -- Short for web log; an online diary that
looks like a webpage but is easier to create and
update by posting text, photos, videos, or links.
 Podcasting -- A way to distribute audio and video
programs via the Internet.
 Email promotions increase brand awareness
among commercial suppliers.

41. Promotional Strategies
 Push Strategy -- Producers use advertising,
personal selling, sales promotion, and other
tools to get their products stocked on shelves.
 Pull Strategy -- Directs heavy advertising and
sales promotions efforts towards consumers
and gets the public to request their products
from retailers.
 Pick Strategy -- Refers to consumers who
pick out their products from online outlets.

42. • William G. Nickels, James M. McHugh, and Susan M.
McHugh. 2016.Understanding Business, eleventh
Edition. Mc Graw Hill.
ISBN : 978-981-4670-37-1
References