Introduction of marketing management

1. 1
Chapter 1

2. Introduction of Marketing
By- Anjali Sharma
Business
Administration 2

3. Do You Know?
3

4. 4

5. 5
What is Marketing?
 Marketing is “Meeting needs Profitably.”
 Marketing is the delivery of customer
satisfaction at a profit.
 Marketing is the performance of business activities
that direct the flow of goods and services
from the producer to the consumer.

6. Definition of Marketing
According to American Marketing Association,
“Marketing is an organisational function and a set of
processes for creating, communicating & delivering
value to the customers and for managing customers
relationships in way that benefit the organisation
and its stakeholders.”
6

7. Marketing Defined
 Marketing is the activity, set of instructions, and
processes for creating, communicating, delivering,
and exchanging offerings that have value for
customers, clients, partners, and society at large.
7
Making a sale—
“telling and selling”
Satisfying
customer needs

8. Features of Marketing
Marketing is:-
Business Activity
Total System
Managerial Activity
Four P’s
Subject Matter- Products, Services and Ideas
Customer want satisfaction
Goal of Marketing Operation is (Present customer +
Prospective customer)
Universal in nature
An Art
8

9. Cont.…
 Creation of Utilities
 Ongoing or Dynamic process
 Matching Process
 Integrated Process
 Encompasses all activities of exchange
 Continuous process
 Process of Planning & Executing
 Not Selling
 Viewpoint
9

10. Marketing’s task: satisfying
consumer needs
10

11. 11
Simple Marketing System
Industry
(a collection
of sellers)
Market
(a collection
of Buyers)
Goods/services
Money
Communication
Information

12. 12
The Goal of Marketing is:
 To attract new customer by promising
superior value.
 Keep current customers by delivering
satisfaction.

13. Why is Marketing Important?
 Shifting Business Paradigms
13
Sellers’ markets
Buyers’ markets

14. Core Concepts of Marketing
14
Needs,
Wants &
Demands
Products
&
Services
Value &
Satisfac-
tion
Exchange
&
Transac-
tion
Markets

15. Needs, Wants, and
Demands
Need: State of felt deprivation including physical,
social, and individual needs.
 Physical needs: Food, clothing, shelter, safety
 Social needs: Belonging, affection
 Individual needs: Learning, knowledge, self-
expression
Want: Form that a human need takes, as shaped by
culture and individual personality.
 Wants + Buying Power = Demand
15

16.  Need – food ( is a must )
 Want – Pizza, Burger, French fry's
(translation of a need as per our experience )
 Demand – Burger ( translation of a want as
per our willingness and ability to buy )
 Desire – Have a Burger in a five star hotel
16

17. Products & Services
Product:
 Anything that can be offered to a market to satisfy a
need or want.
 The concept of product is not limited to physical
objects – anything capable of satisfying a need can
be called a product.
Services:
 In addition to tangible goods, products also include
services, which are activities or benefits offered for
sale that are essentially intangible and do not result
in the ownership of anything.
17

18. Values, Satisfaction &
Quality
 Customer value: Difference between the values that the
customer gains from owning and using a product versus the
costs of obtaining the product.
• Customer satisfaction: The extent to which a product’s
perceived performance in delivering value matches a buyer’s
expectations.
• Quality: the characteristics of a product or service that bear
on its ability to satisfy stated or implied customer needs.
18

19. Exchange, Transactions,
and Relationships
Exchange :
 The act of obtaining a desired object from someone by
offering something in return
Transaction :
 A trade between two parties that involves at least two things
of value, agreed – upon conditions a time of agreement,
and a place of agreement.
Relationship marketing :
 The process of creating, maintaining, and enhancing strong,
value – laden relationships with customers and other
stakeholders
19

20. What is Marketed ? (Needs & wants are
fulfilled through a Marketing Offering):
20
Ideas Services
Organisations Experiences
Places
Information Events
Properties Persons
Products

21. Goods
 Major things or entities. It include like food, cars, refrigerators,
television sets, machines etc.
21

22. Services
 Activities, benefits & satisfaction. It include Healthcare,
Airlines, Hotels, Barbers, Beauticians, Transport,
Professionals and Etc.
22

23. Events
 Launching a new product or conducting Companies Function.
It include major trade shows, artistic performances,
companies anniversaries etc.
23

24. Experiences
 Also called Experiential marketing. Like Disney World,
Haunted house etc.
24

25. Persons
 Celebrity marketing. Business firm engage a famous film star
or Personality for the publicity or brand ambassador for its
product.
25

26. Places
 It include country, states, regions, cities etc. It attract Tourists,
Factories, Company Headquarters and new Residents.
26

27. Properties
 Intangible rights of ownership of either real property or
financial property.
 Real property- Real estate
 Financial property- Stocks & Bonds
27

28. Organizations
 These are engaged in building a strong, favorable, image in the
mind of the customers & spend a lot of money on Corporate
Identity Advertisements. For example, Reliance Industries
Ltd. It may include universities, museums, non profit
organizations etc.
28

29. Information
 Famous Colleges, Universities & Schools provide information in
their Prospectus, on the basis of these information students
decide in which school or college they should take admission.
29

30. Ideas
 LIC of India sale its Idea in the following form: “Jindgi ke
sath bhi, Jindgi ke baad bhi”. Such Idea helps to the LIC in the
marketing of his products & services.
30

31. Marketing Mix
31

32. 32
The 4 Ps & 4Cs
Marketing
Mix
Product
Price Promotion
Place
Customer’s
Need
Customer’s
Cost
Communication
Convenience
What to Sell ?
At what
Price ?
Where to
sell ?
What to
communicate?

33. Difference between Selling &
Marketing
33
Point Selling Marketing
Emphasis Product Customer’s Want
Start with the Seller Buyer
First makes/
determine
Product Consumer's Want
Views
business as a
Goods producing process Customer satisfying process
Approach Push approach Pull approach

34. 34
Point Selling Marketing
Centre Seller Buyer
Management Sales-volume-oriented Customer satisfaction oriented
Pre-occupied
with
Seller’s need Consumer’s need
Planning Short-run-oriented Long run oriented
Stressed Needs of Seller Needs of Buyer
Customer is Last link in the business Core of the business
Emphasis Saleable surplus Needs of Customer
Exchange
activity
Without Value Satisfaction With the Value Satisfaction
Who
determine
the Price
Cost Customer
Focus on Somehow selling Integrated Selling

35. Marketing Concept
versus
Selling Concept
35
Starting Point Focus Means Ends
The Marketing Concept
The Selling Concept
Market Consumer need Integrated Marketing Profit through consumer
satisfaction
Factory Product Sell & Promote it Profit through sales volume

36. 36

37. 37
The philosophy that consumers will favor
products that are available and
highly affordable and that
management should therefore focus on
improving production and
distribution efficiency.
Production Concept

38. Product Concept
38
The philosophy that consumers will
favour products that offer the most
quality, performance, and
innovative features.

39. Selling Concept
39
The idea that consumers will not buy
enough of the organization’s products
unless the organization undertakes a
large – scale selling and
promotion effort.

40. Marketing Concept
40
The marketing management philosophy that holds that
achieving organizational goals depends on determining
the needs and wants of target markets and
delivering the desired satisfactions more
effectively and efficiently than competitors do.

41. Societal Marketing Concept
41
The idea that the organization should
determine the needs, wants, and interests of
target markets and deliver the desired
satisfactions more effectively and efficiently
than competitors in a way that maintains or
improves the consumer’s and society’s
well – being.

42. Three Considerations
Underlying The Societal
Marketing
42
Societal
marketing
concept
Society
(Human welfare)
Company
(Profits)
Consumers
(Want satisfaction)

43. 43
Markets
 A market is a collection of buyers & sellers to buy.
 The set of all actual and potential buyers of a product or
service.
A simple marketing system
Industry
(a collection
of sellers)
Market (a
collection of
buyers)
Communication
Products / Services
Money
Information

44. Assignment
 “Marketing is everywhere” How ?
 What do you mean by marketing and elaborate the
importance of marketing ?
 Explain the entities of marketing which are
marketed ?
 What do you mean by marketing mix and Explain the
concept of 4 p’s.
 Categories the different concepts of marketing in
chart form.
 Whai is the difference between selling and marketing
concept ?
44

45. Assignment
 Create a list of 10 new products
with concepts and Tag lines.
 Identify the difference between 2 or
more Advertisement of same
product.
45