Marketing involves planning and executing the conception, pricing, promotion, and distribution of goods and services. It is a process of understanding customer needs and communicating how a company's products and services can satisfy those needs better than competitors. There are different philosophies of marketing such as production concept, product concept, and marketing concept. The marketing concept holds that the key to achieving organizational goals is creating and delivering superior customer value relative to competitors. Marketing aims to manage demand by stimulating potential customers, developing latent demand, or remarketing to declining demand.

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

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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

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

5. Marketing is all Around Us
• Marketing can be
done:
Phone
Mail
Computer
Videotape
Doorstep

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The 4 Ps & 4Cs
Marketing
Mix
Product
Convenience
Price Promotion
Place
Customer
Solution
Customer
Cost
Communication

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The Marketing Mix
The conventional view of the marketing mix consisted of
four components (4 Ps): Product, Price, Place/
distribution and Promotion.
Generally acknowledged that this is too narrow today;
now includes ,
Processes,
Productivity [technology ]
People [employees],
Physical evidence

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Difference Between - Sales & Marketing ?
Sales
trying to get the customer to want what the
company produces
Marketing
trying to get the company produce what
the customer wants

9. Marketing Philosophy
• The Production Concept
• The Product Concept
• The Selling Concept
--------------------------------------------------------
• The Marketing Concept
• The Societal Marketing Concept

10. The Production Concept
•Products available and inexpensive
•Focus: achieving high production efficiency, low
costs, and mass distribution.
•It is useful when *
the demand for a product exceeds the supply;
•Examples: Standard Raw Materials and
Components, CD, LCD.

11. The Product Concept
• Quality
• performance
• Innovations features
• Focus: making superior products and improving
them over time.
• Examples: Digital Camera, CPU.

12. The Selling Concept:
Organizations should undertake aggressive
selling & promotion efforts.
Its Unsought goods.
And,build profit through quick turnover
Examples: encyclopedias, funeral plots, foundations
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13. The Marketing Concept
• The key to achieving its organizational goals consists of the
company being more effective than competitors in creating,
delivering, and communicating superior customer value to its
chosen target markets.
• Slogans We do it all for you (Toyota).
• Four pillars: target market, customer needs, integrated
marketing and profitability.

14. Figure 1.3: Contrasts Between the Sales Concept and the
Marketing Concept

15. The Customer Concept

16. The Societal Marketing Concept
• The organization’s task is to determine the needs, wants, and
interests of target markets and to deliver the desired
satisfactions more effectively and efficiently than competitors
in a way that preserves or enhances the consumer’s and
society’s well-being.
• Examples: Body Shop; HSBC; Johnson & Johnson’s Tylenol;
.

17. Demand States and Marketing Tasks
• Marketing managers are responsible for demand
management.
Negative Demand → Counter Marketing, e.g.
insurance.
No Demand → Stimulus, e.g. encyclopedias.
Latent Demand → Developing, e.g. iPod; 柴汽兩用
汽車; 克寧銀養奶粉.
Declining Demand → Remarketing, e.g. Arm &
Hammer’s baking soda → deodorizer; school.

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Who is a Customer ??
CUSTOMER IS . . . . .
Anyone who is in the market looking at a product /
service for attention, acquisition, use or consumption
that satisfies a want or a need

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How Do Consumers Choose Among
Products & Services?
Satisfaction - Based on a comparison of performance
and expectations.
Performance > Expectations => Satisfaction
Performance < Expectations => Dissatisfaction

20. Satisfying Customer Complaints
• Rate of complainant repurchase
Resolved Resolved
quickly
Major
complaints
34% 52%
Minor
complaints
52% 95%

21. Conclusion
Marketing concept is
more relevant than ever
as we enter the 2nd decade
of the 21st century

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THANK YOU….