Marketing is an organisational function
And a set of processes
For creating, communicating, and delivering
Value to customers
And for managing customer relationships
In ways that benefit the organisation and the
The social side of it
A societal process
Individuals or groups obtain their needs and wants
Create, offer and freely exchange
Products and services of value
It is an art as well as science.
Choosing target markets.
Get, keep and grow customers.
Create, deliver and communicate superior
Exchange & Transaction
The act of obtaining a desired object from
someone by offering something in return
5 Conditions for an exchange to happen:• Existence of two parties
• Each party must have something of value to the other
• Each party is capable of communication & delivery
• Each party is free to accept or reject the offer
• Each party believes that it is appropriate to deal
with the other party
Exchange & Transaction
Two parties are in the process of exchange
when they negotiate
When they mutually agree on the terms and conditions
it becomes a transaction, an event
Needs, Wants & Demands
Need:• Basic human requirements like food, clothing and shelter
• Can also include needs like education and recreation
• Find out types of needs
Want:• Need directed to specified object
• Is shaped by culture and individual
• Might satisfy the need
Demand:• Wants backed by purchasing power
Value & Satisfaction
Value:• Reflects perceived tangible & intangible benefits & costs
• Usually combination of quality, service and price
Satisfaction:• Customer’s comparative judgment of expectation and
Customer Expectation=Performance =>Satisfaction
Customer Expectation>Performance => Dissatisfaction
Customer Expectation<Performance => High Satisfaction
Offering & Branding
Offering:• Needs are addressed by value proposition
• Set of benefits offered to satisfy needs
• Value proposition is made physical by an offering
Branding:• An offering from a known source
• All companies strive to build a strong, favourable and
Buyers and Sellers meet
Key customer markets:1.
Marketer is someone who
seeks a Response from a
party , referred as
Skilled in stimulating demand.
Responsible for demand
management, i.e., identify
the demand state and
determine plan for it.
There are eight
Demand States of a consumer
which need to be identified.
Negative Demand: Customers dislike the product and may even pay
a price to avoid it.
Non-existent Demand: Customers may be unaware or uninterested
in the product.
Latent Demand: Consumers may have a strong need that cannot be
satisfied by an existing product.
Declining Demand: Consumers buy the product less frequently or
not at all.
Irregular Demand: Purchases vary on a seasonal, monthly, weekly
or even daily.
Full Demand: Customers buy in adequate amount products
available in market.
Overfull Demand: Many consumers would like to buy the product
that can be satisfied.
Unwholesome Demand: Consumers may be attracted towards
products having undesirable social consequences.