Marketing is defined as creating value for customers through an organization's products and services. It involves identifying customer needs, delivering products and services to meet those needs, and developing relationships to benefit both the customer and organization. Marketing management is the process of choosing target markets and attracting, retaining and growing customers through superior value. The goal of marketing is to understand customers so well that the product sells itself without needing sales. Marketing can promote a wide range of goods, services, ideas and organizations through communication channels and supply chains while addressing customer needs, wants and demands.

1. Defining Marketing
for the 21st
Century
Marketing Management, 13th
ed
1

2. 1-2 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall
What is Marketing?
Marketing is an organizational function
and a set of processes for creating,
communicating, and delivering value
to customers and for managing
customer relationships
in ways that benefit the
organization and its stakeholders.

3. 1-3 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall
What is Marketing Management?
Marketing management is the
art and science
of choosing target markets
and getting, keeping, and growing
customers through
creating, delivering, and communicating
superior customer value.

4. 1-4 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall
Selling is only the tip of the iceberg
“There will always be a need for
some selling. But the aim of marketing
is to make selling superfluous. The aim
of marketing is to know and understand
the customer so well that the product or
service fits him and sells itself. Ideally,
marketing should result in a customer
who is ready to buy. All that should be
needed is to make the product or
service available.”
Peter Drucker

5. 1-5 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall
What is Marketed?
GoodsGoods
ServicesServices
Events & ExperiencesEvents & Experiences
PersonsPersons
Places & PropertiesPlaces & Properties
OrganizationsOrganizations
InformationInformation
IdeasIdeas

6. 1-6 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall
Marketing Can Promote Ideas

7. 1-7 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall
Figure 1.1 Structure of Flows in a Modern
Exchange Economy

8. 1-8 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall
Figure 1.2 A Simple Marketing System
A.K.A. The Exchange Process

9. 1-9 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall
For an exchange to occur….
• 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 reject the
exchange offer.
• Each party believes it is appropriate or
desirable to deal with the other party.

10. 1-10 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall
Core Marketing Concepts
• Needs, wants, and
demands
• Target markets,
positioning,
segmentation
• Offerings and
brands
• Value and
satisfaction
• Marketing channels
• Supply chain
• Competition
• Marketing
environment

11. 1-11 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall
• Needs - states of felt deprivation including
physical needs for food, social needs for
belonging and individual needs for self-
expression. i.e. I am thirsty.
• Wants - form that a human need takes as shaped
by culture and individual personality. i.e. I want a
Coca-Cola.
• Demands - human wants backed by buying
power. i.e. I have money to buy a Coca-Cola.

12. 1-12 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall
New Consumer Capabilities
• A substantial increase in buying power
• A greater variety of available goods and
services
• A great amount of information about
practically anything
• Greater ease in interacting and placing and
receiving orders
• An ability to compare notes on products and
services
• An amplified voice to influence public opinion

13. 1-13 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall
Company Orientations
Production
Selling Marketing
Product

14. 1-14 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall
Figure 1.4 Holistic Marketing Dimensions

15. 1-15 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall
Figure 1.5 The Four P’s

16. 1-16 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall
Internal Marketing
Internal marketing is the task of
hiring, training, and motivating able
employees who want to serve
customers well.

17. 1-17 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall
Performance Marketing
• Financial
Accountability
• Social
Responsibility
Marketing
Social Initiatives
• Corporate social
marketing
• Cause marketing
• Corporate philanthropy
• Corporate community
involvement
• Socially responsible
business practices

18. 1-18 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall
Marketing Management Tasks
• Develop market strategies and plans
• Capture marketing insights
• Connect with customers
• Build strong brands
• Shape market offerings
• Deliver value
• Communicate value
• Create long-term growth

19. 1-19 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall
Marketing Debate:
Take a Position!
Does marketing shape consumer needs?
or
Does marketing merely reflect the needs
and wants of consumers?

20. 1-20 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall