Marketing involves identifying and satisfying customer needs in a profitable manner. The marketing process discovers unfulfilled customer needs and brings products to market to meet those needs. This process can be modeled as a sequence of steps. Marketing also involves using a mix of promotion, price, place, and product to target different market segments that are often defined by geographic, demographic, psychographic, and behavioral factors. When developing new products and services, organizations must consider characteristics like intangibility, inseparability, heterogeneity, and perishability that are core to services. The new product development process progresses through different stages as well.

1. MARKETING

2. Introduction ‘ Marketing is the management process that identifies, anticipates and satisfies customer requirements profitably’ ( The Chartered Institute of Marketing) ‘ 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’ (Kotler,1991)

3. Marketing Process Under the marketing concept, the firm must find a way to discover unfulfilled customer needs and bring to market products that satisfy those needs. The process of doing so can be modeled in a sequence of steps:

4. Con’t Medium of Marketing Mass Media Electronic ( Internet, Social Media etc.) Printed (News paper, Magazine, Billboard etc.)

5. Con’t Marketing Mix Product (Nature of product) Price (Value for the product) Promotion (Advertising) Place (Distribution)

6. Market Segmentation Geographic Segmentation (nations, states, regions, cities) Demographic Segmentation (gender, income, age, occupation) Psychographic Segmentation (social class, lifestyle, personal characteristic) Behavior Segmentation (knowledge, use, respond) (Kotler, Bowen, and Makens, 2006)

7. Developing New Product and Services Product Product Item Product Line Product Mix A specific version of an organization’s products. A group of closely-related product items. All products that an organization sells.

8. Con’t Characteristic of Service Intangibility Inseparability Heterogeneity Perishability cannot be touched, seen, tasted, heard, or felt in the same manner as goods. A characteristic of services that allows them to be produced and consumed simultaneously. A characteristic of services that makes them less standardized and uniform than goods. A characteristics of services that prevents them from being stored, warehoused, or inventoried.

9. Con’t Stages in New Product Development