This document provides an overview of key concepts in marketing, including definitions, classifications, and frameworks. It defines marketing as managing profitable customer relationships through planning and executing the conception, pricing, promotion, and distribution of goods and services. The document outlines five basic marketing concepts: needs and wants, products and services, value and satisfaction, exchange and transactions, and markets. It also discusses four classifications of marketing philosophy: production, product, sales, and societal marketing. The overall purpose is to introduce foundational topics in marketing.

1. PREPARED BY:
MOHAMMAD NAIM ISMAIL
CHAPTER 1
WHAT IS MARKETING?

2. At the end of this chapter, students will be able to:
Learning Outcomes
•Define the meaning of marketing
•Identify and explain the five basic concepts in marketing
•Define the meaning of marketing management
•Identify and explain the five types of marketing
•Discuss customer relationship management
TOPICS

3. WHAT IS MARKETING
IS IT ABOUT SALES
1.1 Definition of Marketing
TOPICS
IS IT ABOUT PROMOTION
IS IT ABOUT ADVERTISING

4. INTRODUCTION
WHY MARKETING IS
IMPORTANT IN BUSINES

5. Fig. 1
Marketing is managing profitable
customer relationship
TOPICS
1.1 Definition of Marketing

6. Fig. 1
Marketing is a process of planning & executing the
conception, pricing, promotion & distribution of
ideas, goods & services to create exchanges that
satisfy the objectives of individuals & organizations’
goals.
1.1 Definition of Marketing

7. Advertisement
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8. Advertisement
Fig. 1
MAGAZINE ADS ADS

9. 1-1: Definition of Marketing
Fig. 1
BILLBOARD ADS ADS

10. 1-1: Definition of Marketing
NEWS PAPER ADS ADS

11. 1-2: Basic Concepts in Marketing
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Needs,
Wants &
Demands
Products &
Services
Value,
Satisfaction
& Quality
Exchange,
Transaction
&
Relationship
Market

12. 1-2: Basic Concepts in Marketing
1.2.1. Needs, Wants & Demands
Basic
Concepts

13. 1-1: Basic Concepts in Marketing
1.2.2. Products & Services
Basic
Concepts

14. 1-2: Basic Concepts in Marketing
Value: The difference between the benefit a person gained from a
product and the costs incurred in obtaining the product.
Satisfaction: The difference between a product’s perceived performance
in delivering value relative to a buyer’s expectation before a product is
purchased.
If perceived performance <
>
=
Buyer expectations = dissatisfied buyer
If perceived performance Buyer expectations = satisfied buyer
If perceived performance Buyer expectations = delighted buyer
1.2.3. Value, Satisfaction & Quality
Basic
Concepts

15. 1-2: Basic Concepts in Marketing
The act of obtaining
a desired object
from someone by
offering something
in return.
1.2.4. Exchange, Transaction & Relationships
Basic
Concepts

16. 1-2: Basic Concepts in Marketing
Fig. 5
1.2.5. Market
A Market is the set of
actual and potential
buyers of a product.
Basic
Concepts

17. 1-3: Marketing Management
“Marketing management is the process
of planning and executing the
conception, pricing, promotion, and
distribution of ideas, goods, and services
to create exchanges that satisfy
individual and organizational goals. ”
1.3. Marketing Management
Basic
Concepts

18. 1-4: Classification of Marketing
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1.4. Philosophy of Marketing Management
PRODUCTION
PRODUCT
SELLING SOCIETAL
MARKETING
MARKETING

19. 1-4: Classification of Marketing
❖The oldest concepts in
business
❖The production concept
holds that people will
prefer products that are
available and reasonably
priced.
❖ Dominant era: 1870 to
1920s coincides with
‘industrial revolution’
in United States
1.4.1. The Production Philosophy

20. 1-4: Classification of Marketing
❖The products concept holds that consumers will
favour products that offer the most in quality,
performance, and innovative features.
❖Product quality is an important part of most
marketing strategies.
❖ Dominant era: Around the time of production
concept
1.4.2. The Product Philosophy

21. 1-4: Classification of Marketing
❖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.
❖Such goods are insurance, funeral plot,
encyclopaedias, and blood donation.
❖This concept is practised with unsought
goods.
1.4.3. The Sales Philosophy

22. 1-4: Classification of Marketing
An idea that an
organization should try to
satisfy customer’s needs
through coordinated
activities that also allow it
to achieve its own goal.
Fig. 12
1.4.4. The Marketing Philosophy

23. 1-4: Classification of Marketing
The societal marketing
concept holds that the
organization’s task is to
determine the needs, wants,
and interests of target
markets and to deliver the
desired satisfactions more
effectively and efficiently
than competitors in a way
that preserves or enhances
the consumer’s and the
society’s well-being.
1.4.5. The Societal Marketing Philosophy