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Understand marketing definitions & concepts
Aware roles of marketing
LEARNING OBJECTIVES
After learning chapter 1, student should be able to:
Understand Marketing Mix
Aware need of marketing in an
organization
Know functions of marketing department
Know relationship of marketing with others
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2
3
4
5
6 3Chapter 1_Market & Marketing
WHAT IS MARKETING ?
You may be a Marketing Expert
• Experience in many buying decisions
• May be involved in selling decisions
1-4
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FIGURE 1-1 Four different orientations in the
history of American business
Production Era
Sales Era
Marketing Concept Era
Customer Relationship Era
HISTORY OF
MARKETING
5Chapter 1_Market & Marketing
Definitions of marketing
“Marketing is the management
process that identifies, anticipates
and satisfies customer
requirements profitably”
The Chartered Institute of Marketing
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INNOVATION AND MARKETING AT 3M
DISCOVERING & SATISFYING STUDENT STUDY NEEDS
+
Felt Tip Highlighters
=
3M product that
will combine
Post-it® Notes or
Post-it® Flags and
Highlighters
3M Post-it® Notes or
Post-it® Flags
7Chapter 1_Market & Marketing
Other definitions of marketing
“The right product, in the right
place, at the right time, and at
the right price”
Adcock et al
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Marketing definition
“Marketing is the human activity
directed at satisfying human
needs and wants through an
exchange process”
Philip Kotler 1980
9Chapter 1_Market & Marketing
Marketing Seeks to:
Exchange
• Discover Needs and Wants of Customers
• Satisfy Them
WHAT IS MARKETING?
DELIVERING BENEFITS
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“Marketing is a social and managerial
process by which individuals and groups
obtain what they want and need
through creating, offering and
exchanging products of value with
others”
Philip Kotler 1991
Marketing definition (cont.)
11Chapter 1_Market & Marketing
Roles of marketing
• Who are our existing / potential
customers?
• What are their current / future needs?
• How can we satisfy these needs?
• Can we offer a product/ service that the
customer would value?
• Can we communicate with our customers?
• Can we deliver a competitive product of
service?
• Why should customers buy from us?
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5Cs and Marketing Mix
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Company
Customer Collabora-
tor
Context Competitor
Ingredients of Marketing Mix
What price do you sell
your product at?
How do you intend to
promote your product?
How do you intend to
distribute the products?
Describe the product
you are selling. What
need are you meeting?
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Structure of the marketing plan
• The executive summary
• Table of contents
• Situational analysis and target market
• Marketing objectives
• Marketing strategies
• Marketing tactics
• Schedules and budgets
• Financial data and control
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FIGURE 1-2 A marketing department in an
organization of a typical manufacturing firm
Chief Marketing Officer (CMO)
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Chief Marketing Officer (CMO)
Annie Young-Scrivner
CMO of Starbucks
Jack Pitney
CMO of BMW
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FIGURE 1-3 A marketing department relates to many
people, organizations, and environmental forces
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FIGURE 1-4 Marketing decisions basing to ethical
and legal relationships
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FIGURE 1-5 Three concepts of social responsibility
25Chapter 1_Market & Marketing
