This document provides an overview of key marketing concepts including: 1) It defines marketing as the process of planning, pricing, promoting and distributing goods and services to create value for individuals and organizations. 2) It explains the evolution of marketing concepts from production to marketing orientation and highlights the importance of understanding customer needs. 3) It distinguishes between selling and marketing, noting marketing involves understanding customer requirements while selling focuses on persuading customers.

1. UNIT-1
INTRODUCTION
NATURE & SCOPE OF MARKETING;
IMPORTANCE OF MARKETING AS A BUSINESS FUNCTION;
MARKETING CONCEPT- TRADITIONAL & MODERN;
SELLING VS MARKETING;
MARKETING MIX;
MARKETING ENVIRONMENT.
Presentation By:-
Aijaz Ahmed Rather
I.K.G P.T University

2. What is a market?
“A market consists of all the potential
customers sharing a particular need or want
who might be willing and able to engage in
exchange to satisfy that need or want”
(Philip Kotler).

3. What is Marketing…??
• Selling?
• Advertising?
• Promotions?
• Making products available in stores?
• Maintaining inventories?
• All of the above, plus much more!

4. Marketing = ?
•Marketing is the process of planning and executing the
conception, pricing, promotion, and distribution of ideas,
goods, services to create exchanges that satisfy
individual and organizational goals
• American Marketing Association

5. Marketing = ?
•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.

6. NATURE OF MARKETING
• Marketing Activities
– Buying
– Selling
– Transporting
– Storing
– Financing
– Researching
– Risk taking
– Grading and valuing

7. NATURE OF MARKETING
• Cost of Marketing
• Role of Marketing
• Market Determination
– Whom to serve
– Where to serve
– Identifying target markets

8. Scope – What do we
market
 Goods
 Services
 Events
 Experiences
 Personalities
 Place
 Organizations
 Properties
 Information
 Ideas and concepts

9. •Marketing stimulates demand
•Consumers get better informed, more selective and
more efficient
•Establishment of effective channels of
communication
•Complaints can be resolved more easily and favorably
•Strong impact on people’s beliefs and lifestyles
•Improves quality of life
9

10. A SIMPLE MARKETING SYSTEM

11. MARKETING CONCEPTS
Production Concept
Product Concept
Selling Concept
Marketing Concept
Societal Marketing Concept
• Consumers favor products that are
available and highly affordable
•Improve production and distribution
•Consumers favor products that offer
the most quality, performance, and
innovative features
•Consumers will buy products only if
the company promotes/ sells these
product
•Focuses on needs/ wants of target
markets & delivering satisfaction
better than competitors
•Focuses on needs/ wants of target
markets & delivering superior value
•Society’s well-being

12. SELLING VS MARKETING
SELLING MARKETING
When a product is not designed and
made according to a customer’s
exact requirements.
Involves gauging a customer’s
requirements & designing & making
a product or service to serve that
requirement.
A customer has to be persuaded to
believe that the product or service
meets his requirements.
A product designed & made
according to the customer’s
requirement only needs to be made
available to the customer.

13. 13
Production
Orientation
Sales
Orientation
Marketing
Orientation
Late 19th century: efficient production of goods
allowed firms to meet strong customer demand.
Mid-1920s–early 1950s: weakened demand required
that products would have to be “sold” (personal
selling, advertising, and distribution became the
focus).
Early 1950s–2000s: adopting a customer focus
means a commitment to researching and
responding to customer needs.

14. Products
and
Services
Value, satisfaction,
and quality
Needs,
wants,
and
demands
Exchange,
transactions,
and relationships
Markets
Core
Marketing
Concepts

15. 15
What Motivates a Consumer
to Take Action?
Needs - state of felt deprivation for basic items such as food and
clothing and complex needs such as for belonging. 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.

16. 16
How Do Consumers Choose
Choose Among Products and
Services?
Customer Value - benefit that the customer
gains from owning and using a product
compared to the cost of obtaining the
product.
Customer Satisfaction - depends on the
product’s perceived performance in
delivering value relative to a buyer’s
expectations.

17. 17
How do Consumers Obtain
Products and Services?
Exchanges - act of obtaining a desired
object from someone by offering
something in return.
Transactions - trade of values between
parties. Usually involves money and a
response.
Relationships - building long-term
relationships with consumers,
distributors, dealers, and suppliers.

18. 18
Who Purchases Products
and Services?
Market - buyers
who share a
particular need
or want that can
be satisfied by a
company’s products
or services.
Actual
Buyers
Potential
Buyers