1. © McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

2. OVERVIEW OF MARKETING
LEARNING OBJECTIVES
 What is the role of marketing in organizations?
 How do marketers create value for a product or
service?
 Why is marketing important both within and
outside the firm?
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3. Building Value Online
How do these companies
How do these companies
provide value?
provide value?
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4. What is Marketing?
Marketing is an organizational function and a set
of processes for creating, capturing,
communicating, and delivering value to customers
and for managing customer relationships in ways
that benefit the organization and its stakeholders.
© McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 1-4

5. What is Marketing?
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6. Marketing is about Satisfying
Customer Needs and Wants
 What group is Crest
targeting with this ad?
 What other benefits of
toothpaste might Crest
advertise?
 What groups might
these benefits appeal
to?
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7. Marketing Entails an Exchange
Goods/Services
Producers (Sellers)
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8. Marketing Requires Product,
Price, Place and Promotion Decisions
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9. Product: Creating Value
 The fundamental
purpose of Marketing
is to create value by
developing a variety of
offerings, including
goods, services, and
ideas, to satisfy
customer needs.
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10. Price: Capturing Value
 Price is everything a buyer gives up (money, time,
energy) in exchange for the product
 The key to determining prices is to figure out how
much customers are willing to pay and assess
whether a profit can be made at that point
© McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 1-10

11. Place: Delivering the Value
Proposition
 Place, or supply chain
management, describes
all activities necessary to
get the product to the
right customer when the
customer wants it
 Where would you find
this product in the store?
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12. Superior Service Ritz-Carlton
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13. Promotion: Communicating Value
 Promotion is
communication by a
marketer that informs,
persuades, and
reminds potential
buyers about a product
or service to influence
their opinions or elicit a
response
© McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 1-13

14. Marketing Can be Performed by
Individuals and Organizations
ETSY Website
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15. Marketing Impacts Stakeholders
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16. Marketing Helps Create Value
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17. Value-Based Marketing
“Pure Dark Chocolate
Light Exquisite Cookie”
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18. Value Driven Companies
 Share information
across their
organization
 Balance customer’s
benefits and costs
 Build relationships with
customers
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19. Value Based Marketing
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20. Target is Value Driven
Target Commercial
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21. Marketing and Society
Focusing on many factors
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22. Marketing Enriches Society
Oprah's Angel Network
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23. Ben & Jerry’s Product Mission
To make, distribute, and sell the finest quality all
natural ice cream and euphoric concoctions with a
continued commitment to incorporating
wholesome natural ingredients and promoting
business practices that respect the Earth and the
Environment
Ben & Jerry’s Website Ben & Jerry’s Commercial
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24. Glossary
Exchange is the trade of things of value between
the buyer and the seller so that each is better off
as a result.
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25. Glossary
Goods are items that you can physically touch.
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26. Glossary
Ideas include thoughts, opinions, and philosophies,
and intellectual concepts which can be marketed.
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27. Glossary
A supply chain is the group of firms that make and
deliver a given set of goods and services.
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28. Glossary
Value reflects the relationship of benefits to costs.
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29. Check Yourself
1. What is the definition of marketing?
2. Marketing is about satisfying ______ and
______ .
3. What are the four components of the
marketing mix?
4. Who can perform marketing?
5. What are the various eras of marketing?
© McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 1-29

30. Check Yourself
1. What are the two methods for increasing
value?
2. How can a firm become value driven?
© McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 1-30

31. Check Yourself
1. List five factors that emphasize the
importance of marketing.
2. A firm doing the right thing emphasizes
the importance of marketing to society
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