Sagar Pathania and his family are traveling 80 km by car to attend a wedding. The schedule for the wedding includes refreshments at 7:30pm, the barat procession at 8:30pm, and dinner at 11:00pm. Marketing involves identifying and meeting human and social needs. Marketers influence wants by suggesting products that satisfy needs like social status, and aim to make products attractive, affordable, and available to influence demand. Products provide services that satisfy wants and needs.

1. A critical analysis of Basic
concepts of marketing
Dr.Ambrish Sharma
IBM (MU)

2. Sagar pathaniya (ASM) and family
on the way to His friends wedding the Party at
5:30PM
Major points of attention:
Mode of transport: Own Car
Family size: Mrs. & Mr. Pathania and 5 years old
baby
Distance of venue : 80 kms. (Non -Highway) semi urban
city
Party schedule
Welcome of Barat and Refreshment:7:30 Pm
Barat chaddht: 8:30 PM
Dinner:11:00 PM

3. Marketing and its objectives
• Marketing is identifying and meeting human and
social needs.
• In short, marketing is “meeting needs profitably.”
• Philip Kotlar, “Marketing is a social and
managerial process by which individuals and
groups obtain what they need and want through
creating and exchanging products and value with
others.”
• Objectives: To satisfy needs, wants, and demand
of consumer and business.

4. NEEDS,WANTS, DESIRES AND DEMAND
• A human need is a state of felt deprivation of
some basic satisfaction. People require food,
clothing, shelter, safety, belonging, esteem and a
few other things for survival. (These needs are
not created by their society or by marketers; they
exist in the very texture of human biology and the
human condition.)
• Wants are satisfiers of these deeper needs. For
example, one feels hungry and wants food
(Human wants are continually shaped and
reshaped by social forces and institutions)

5. Contd..
• Desires are the specific brand or kind of product
which satisfy his /her needs . For example pizza
of a particular brand ,
• Demands are those desires for specific products
that are backed up by an ability and willingness to
buy them. For example, many people desire to
buy a luxury car but they lack in purchasing
power. Companies must therefore measure not
only how many people like their products, but,
how many would actually be willing to buy and
finally able to buy it.

6. • Marketers do not create need, they simply
influence wants. They suggest to consumers that
a particular product or brand would satisfy a
person’s need for social status.
• They do not create the need for social status but
try to point out that a particular product would
satisfy that need.
• They try to influence demand by making the
product attractive, affordable, and easily
available.

7. This cup belongs to Which company ?

8. “More than Just a Cup of Coffee”
• What is more than a coffee?
• Do I really need more than a coffee?*
?
?
YES/NO

9. Product
• Product can be defined as anything that can be offered
to someone to satisfy a need or want. The word product
brings to mind a physical object, such as T.V., Car, and
Camera etc.
• Brain storming/Feedback questions:
Q1.Are these products satisfying your needs and Wants?
Q2. Are you consuming TV, camera or Car?
Q3. What do we do with such products?
Q4. On dated July 02, 2015 Hema Malini met an accident
what was the brand of car in which she was travelling ?
Q5. What do you actually purchase when you pay for a
camera?

10. Contd..
• The expression products and services are used
distinguish between physical objects and
intangible ones. The importance of physical
products does not lie in owning them rather
using them to satisfy our wants. People do not
buy beautiful cars to look at, but because it
supply transportation service. Thus, physical
products are really vehicles that deliver
services to people.

12. The 5 product levels
Potential product – it is the final product that is available on
the market and that the consumers can buy. This includes all
the additional values and augmentations that the company
finally included in the product to differentiate it from the
competitors’ products.
Augmented product – those attributes of the product that
can differentiate it from the competitors’ products and might
provide a slight advantage over them for the consumers.
These may include the brand name, the design, the
packaging, the overall quality, the additional functions (apart
from the basic features), the installation, the after-sale
service, the warranty, the home delivery and the possibility to
accept credit from the consumers.

13. Expected product – the properties that the
product has and that are absolutely necessary for
the consumer to think about buying the product.
Basic product – the basic product that might
satisfy the inner needs of the consumer. On this
stage the product only contains those values that
are totally necessary for it to function.
Core benefit – the inner need that urges the
consumers to buy something, no matter if it is a
product or a service. The main aim of consumers
is to satisfy this inner urge.

14. Gaps
• In each progressive level customer /
consumer experiences some Gaps
• Means again feeling of deprivation== NEED

15. What is marketed?
IBM MU
• Goods e.g. cars, machines, watches, cosmetics
• Services e.g. restaurants
• Events e.g. world cup, Olympics
• Experiences e.g. amusement park, water park
• Persons e.g. celebrity marketing
• Places e.g. incredible India campaign
• Properties e.g. real estate
• Organizations e.g. Philips “sense and simplicity”
campaign
• Information e.g. schools, labs
• Ideas e.g. AIDS awareness, discourage smoking

16. Exchange, transactions and relationships
• People have needs and wants and can place
value on products ,Exchange emerges when
people decide to satisfy needs and wants
through exchange.
• There are three other way (What are
these?*)but The fourth way is exchange.
When Needy/ Hungry people can approach
others and offer some resource in exchange,
such as money,

17. CONTD…
Marketing arises from this last approach to acquire
products. Exchange is the act of obtaining a desired
product from someone by offering something in
return. For exchange to take place, five conditions must
be satisfied:
• There are at least two parties.
• Each party has something that might be of value to the
other party.
• Each party is capable of communication and delivery.
• Each party is free to accept or reject the offer.
• Each party believes it is appropriate or desirable to
deal with the other party.

18. CONTD..
Transaction :Two parties are in agreement. If an agreement is
reached, we say that a transaction takes place.
Relationship: Transaction marketing is a part of longer idea,
that of relationship marketing. Smart marketers try to build
up long term, trusting, ‘win-win’ relationships with
customers, distributors, dealers and suppliers.
Q. How to confirm smooth exchange by creating a platform
of relationship ?*
Brain storming/Feedback questions:
Q1. Is there any need to strengthen the relationship? From
customer point of view
Q2. Is there any need to strengthen the relationship? From
marketer’s point of view

19. Summary
• Marketing is the business function that identifies unfulfilled
needs and wants, define and measures their magnitude,
determines which target market the organization can best
serve, decides on appropriate products, services and
programmes to serve these markets, and calls upon
everyone in the organization to think and serve the
customer.
• Marketing is the force that harnesses a nation's industrial
capacity to meet the society's material wants. It uplifts the
standard of living of people in society.
• Authentic marketing is not the art of selling what you make
but knowing what to make. It is the art of identifying and
understanding customer needs and creating solutions that
deliver satisfaction to the customers, profit to the producers,
and benefits for the stakeholders.