1) Marketing involves creating, communicating, delivering, and exchanging offerings that have value for customers. There are various types of marketing such as influencer marketing, relationship marketing, viral marketing, green marketing, and keyword marketing.
2) Marketing management involves conducting consumer research, determining product and distribution policies, and making promotional decisions. The marketing management process includes conducting market research, developing a marketing strategy and marketing plan, and providing feedback and control.
3) The marketing mix, also known as the 4Ps, refers to the set of controllable tactical marketing tools - product, price, place, and promotion. It is the crux of marketing and must be constantly reviewed and adapted to changes in the external environment.
END RESULT ! Whether it is the end result of your audit or you want to audit the end result of the orgaization\'s activities - both are relevent ! Please view this presentation for a more clear understanding...
END RESULT ! Whether it is the end result of your audit or you want to audit the end result of the orgaization\'s activities - both are relevent ! Please view this presentation for a more clear understanding...
The Strategic Marketing Process - How to Structure Your Marketing Activities ...Moderandi Inc.
This guide defines a marketing process that you can use to put structure around your daily, monthly and annual marketing and sales activities.
The process covers more than just traditional marketing and ties together all go-to-market business activities: strategic planning, financial planning and measurement, creative development, marketing execution and sales, and customer retention.
DanyaShea Digital Marketing provides comprehensive market research for optimum online advertising effectiveness.
This is a SAMPLE overview of services offered.
This is notes of the chapter 3 of marketing management semester 2. it helps you to study batter and give you an experience of advanced learning. marketing is the evolving subject in this world which helps student batter understanding and real world experience. in this noteses it is easy to thought and remain it in your mind for long time period. thanks for you and keep learning . best of luck.
The Strategic Marketing Process - How to Structure Your Marketing Activities ...Moderandi Inc.
This guide defines a marketing process that you can use to put structure around your daily, monthly and annual marketing and sales activities.
The process covers more than just traditional marketing and ties together all go-to-market business activities: strategic planning, financial planning and measurement, creative development, marketing execution and sales, and customer retention.
DanyaShea Digital Marketing provides comprehensive market research for optimum online advertising effectiveness.
This is a SAMPLE overview of services offered.
This is notes of the chapter 3 of marketing management semester 2. it helps you to study batter and give you an experience of advanced learning. marketing is the evolving subject in this world which helps student batter understanding and real world experience. in this noteses it is easy to thought and remain it in your mind for long time period. thanks for you and keep learning . best of luck.
E- Marketing Strategies
A marketing strategy refers to a business' overall game plan for reaching prospective consumers and turning them into customers of the products or services the business provides.
Marketing strategy is a process that can allow an organization to concentrate its limited resources on the greatest opportunities to increase sales and achieve a sustainable competitive advantage. A marketing strategy should be centered on the key concept that customer satisfaction is the main goal. Fulfillment of wants of the prospects is one the important goals of marketing activities.
SCM, Value Chain, Objectives of SCM, Importanceprachimba
Supply Chain Management (SCM) refers to the strategic coordination and integration of all activities involved in the sourcing, procurement, production, logistics, and distribution of goods and services. It encompasses the planning and execution of processes to optimize the flow of materials, information, and finances across the entire supply chain network, from raw material suppliers to end customers.
Human Resource Management and Its Importanceprachimba
Human Resource Management (HRM) is a crucial function within organizations that focuses on managing the people who work for the organization. Its primary objective is to maximize employee performance to achieve the organization's goals effectively.
Global Supply Chain Management - Seekho Session.pptprachimba
This PPT details about various challenges and opportunities in Supply chain management. Also this entails various cultural live examples and how these cultural biasness creates issues in Logistics and SCM too.
The What, Why & How of 3D and AR in Digital CommercePushON Ltd
Vladimir Mulhem has over 20 years of experience in commercialising cutting edge creative technology across construction, marketing and retail.
Previously the founder and Tech and Innovation Director of Creative Content Works working with the likes of Next, John Lewis and JD Sport, he now helps retailers, brands and agencies solve challenges of applying the emerging technologies 3D, AR, VR and Gen AI to real-world problems.
In this webinar, Vladimir will be covering the following topics:
Applications of 3D and AR in Digital Commerce,
Benefits of 3D and AR,
Tools to create, manage and publish 3D and AR in Digital Commerce.
It's another new era of digital and marketers are faced with making big bets on their digital strategy. If you are looking at modernizing your tech stack to support your digital evolution, there are a few can't miss (often overlooked) areas that should be part of every conversation. We'll cover setting your vision, avoiding siloes, adding a democratized approach to data strategy, localization, creating critical governance requirements and more. Attendees will walk away with actions they can take into initiatives they are running today and consider for the future.
SMM Cheap - No. 1 SMM panel in the worldsmmpanel567
Boost your social media marketing with our SMM Panel services offering SMM Cheap services! Get cost-effective services for your business and increase followers, likes, and engagement across all social media platforms. Get affordable services perfect for businesses and influencers looking to increase their social proof. See how cheap SMM strategies can help improve your social media presence and be a pro at the social media game.
Top 3 Ways to Align Sales and Marketing Teams for Rapid GrowthDemandbase
In this session, Demandbase’s Stephanie Quinn, Sr. Director of Integrated and Digital Marketing, Devin Rosenberg, Director of Sales, and Kevin Rooney, Senior Director of Sales Development will share how sales and marketing shapes their day-to-day and what key areas are needed for true alignment.
Search Engine Marketing - Competitor and Keyword researchETMARK ACADEMY
Over 2 Trillion searches are made per day in Google search, which means there are more than 2 Trillion visits happening across the websites of the world wide web.
People search various questions, phrases or words. But some words and phrases are searched
more often than others.
For example, the words, ‘running shoes’ are searched more often than ‘best road running
shoes for men’
These words or phrases which people use to search on Google are called Keywords.
Some keywords are searched more often than others. Number of times a keyword is searched
for in a month is called keyword volume.
Some keywords have more relevant results than others. For the phrase “running shoes” we
get more than 80M relevant results, whereas for “best road running shoes for men” we get
only 8.
The former keyword ‘running shoes’ has way more competition from popular websites to
new and small blogs, whereas the latter keyword doesn’t have that much competition. This
search competition for a keyword is called search difficulty of a keyword or keyword
difficulty.
In other words, if the keyword difficulty is ‘low’ or ‘easy’, there won’t be any competition
and if you target such keywords on your site, you can easily rank on the front page of Google.
Some keywords are searched for, just to know or to learn some information about something,
that’s their search intention. For example, “What shoe size should I choose?” or “How to pick
the right shoe size?”
These keywords which are searched just to know about stuff are called informational
keywords. Typically people who are searching this type of keywords are top of a Conversion
funnel.
Conversion funnel is the journey that search visitors go through on their way to an email
subscription or a premium subscription to the services you offer or a purchase of products
you sell or recommend using your referral link.
For some buyers, research is the most important part when they have to buy a product.
Depending on that, their journey either widens or narrows down. These types of buyers are
Researchers and they spend more time with informational keywords.
Conversion is the action you want from your search visitors. Number of conversions that you
get for every 100 search visitors is called Conversion rate.
People who are at different stages of a conversion funnel use different types of keywords.
Financial curveballs sent many American families reeling in 2023. Household budgets were squeezed by rising interest rates, surging prices on everyday goods, and a stagnating housing market. Consumers were feeling strapped. That sentiment, however, appears to be waning. The question is, to what extent?
To take the pulse of consumers’ feelings about their financial well-being ahead of a highly anticipated election, ThinkNow conducted a nationally representative quantitative survey. The survey highlights consumers’ hopes and anxieties as we move into 2024. Let's unpack the key findings to gain insights about where we stand.
Unleash the power of UK SEO with Brand Highlighters! Our guide delves into the unique search landscape of Britain, equipping you with targeted strategies to dominate UK search engine results. Discover local SEO tactics, keyword magic for UK audiences, and mobile optimization secrets. Get your website seen by the right people and propel your brand to the top of UK searches.
To learn more: https://brandhighlighters.co.uk/blog/top-seo-agencies-uk/
Mastering Multi-Touchpoint Content Strategy: Navigate Fragmented User JourneysSearch Engine Journal
Digital platforms are constantly multiplying, and with that, user engagement is becoming more intricate and fragmented.
So how do you effectively navigate distributing and tailoring your content across these various touchpoints?
Watch this webinar as we dive into the evolving landscape of content strategy tailored for today's fragmented user journeys. Understanding how to deliver your content to your users is more crucial than ever, and we’ll provide actionable tips for navigating these intricate challenges.
You’ll learn:
- How today’s users engage with content across various channels and devices.
- The latest methodologies for identifying and addressing content gaps to keep your content strategy proactive and relevant.
- What digital shelf space is and how your content strategy needs to pivot.
With Wayne Cichanski, we’ll explore innovative strategies to map out and meet the diverse needs of your audience, ensuring every piece of content resonates and connects, regardless of where or how it is consumed.
How to Run Landing Page Tests On and Off Paid Social PlatformsVWO
Join us for an exclusive webinar featuring Mariate, Alexandra and Nima where we will unveil a comprehensive blueprint for crafting a successful paid media strategy focused on landing page testing.With escalating costs in paid advertising, understanding how to maximize each visitor’s experience is crucial for retention and conversion.
This session will dive into the methodologies for executing and analyzing landing page tests within paid social channels, offering a blend of theoretical knowledge and practical insights.
The Pearmill team will guide you through the nuances of setting up and managing landing page experiments on paid social platforms. You will learn about the critical rules to follow, the structure of effective tests, optimal conversion duration and budget allocation.
The session will also cover data analysis techniques and criteria for graduating landing pages.
In the second part of the webinar, Pearmill will explore the use of A/B testing platforms. Discover common pitfalls to avoid in A/B testing and gain insights into analyzing A/B tests results effectively.
Mastering Local SEO for Service Businesses in the AI Era is tailored specifically for local service providers like plumbers, dentists, and others seeking to dominate their local search landscape. This session delves into leveraging AI advancements to enhance your online visibility and search rankings through the Content Factory model, designed for creating high-impact, SEO-driven content. Discover the Dollar-a-Day advertising strategy, a cost-effective approach to boost your local SEO efforts and attract more customers with minimal investment. Gain practical insights on optimizing your online presence to meet the specific needs of local service seekers, ensuring your business not only appears but stands out in local searches. This concise, action-oriented workshop is your roadmap to navigating the complexities of digital marketing in the AI age, driving more leads, conversions, and ultimately, success for your local service business.
Key Takeaways:
Embrace AI for Local SEO: Learn to harness the power of AI technologies to optimize your website and content for local search. Understand the pivotal role AI plays in analyzing search trends and consumer behavior, enabling you to tailor your SEO strategies to meet the specific demands of your target local audience. Leverage the Content Factory Model: Discover the step-by-step process of creating SEO-optimized content at scale. This approach ensures a steady stream of high-quality content that engages local customers and boosts your search rankings. Get an action guide on implementing this model, complete with templates and scheduling strategies to maintain a consistent online presence. Maximize ROI with Dollar-a-Day Advertising: Dive into the cost-effective Dollar-a-Day advertising strategy that amplifies your visibility in local searches without breaking the bank. Learn how to strategically allocate your budget across platforms to target potential local customers effectively. The session includes an action guide on setting up, monitoring, and optimizing your ad campaigns to ensure maximum impact with minimal investment.
Digital Money Maker Club – von Gunnar Kessler digital.focsh890
Title One is a comprehensive examination of the impact of digital technologies on
modern society. In a world where technology continues to advance rapidly, this article delves into the nuances and complexities of the digital age, exploring Its implications across various sectors and aspects of life.
The digital marketing industry is changing faster than ever and those who don’t adapt with the times are losing market share. Where should marketers be focusing their efforts? What strategies are the experts seeing get the best results? Get up-to-speed with the latest industry insights, trends and predictions for the future in this panel discussion with some leading digital marketing experts.
Digital Commerce Lecture for Advanced Digital & Social Media Strategy at UCLA...Valters Lauzums
E-commerce in 2024 is characterized by a dynamic blend of opportunities and significant challenges. Supply chain disruptions and inventory shortages are critical issues, leading to increased shipping delays and rising costs, which impact timely delivery and squeeze profit margins. Efficient logistics management is essential, yet it is often hampered by these external factors. Payment processing, while needing to ensure security and user convenience, grapples with preventing fraud and integrating diverse payment methods, adding another layer of complexity. Furthermore, fulfillment operations require a streamlined approach to handle volume spikes and maintain accuracy in order picking, packing, and shipping, all while meeting customers' heightened expectations for faster delivery times.
Amid these operational challenges, customer data has emerged as an important strategy. By focusing on personalization and enhancing customer experience from historical behavior, businesses can deliver improved website and brand experienced, better product recommendations, optimal promotions, and content to meet individual preferences. Better data analytics can also help in effectively creating marketing campaigns, improving customer retention, and driving product development and inventory management.
Innovative formats such as social commerce and live shopping are beginning to impact the digital commerce landscape, offering new ways to engage with customers and drive sales, and may provide opportunity for brands that have been priced out or seen a downturn with post-pandemic shopping behavior. Social commerce integrates shopping experiences directly into social media platforms, tapping into the massive user bases of these networks to increase reach and engagement. Live shopping, on the other hand, combines entertainment and real-time interaction, providing a dynamic platform for showcasing products and encouraging immediate purchases. These innovations not only enhance customer engagement but also provide valuable data for businesses to refine their strategies and deliver superior shopping experiences.
The e-commerce sector is evolving rapidly, and businesses that effectively manage operational challenges and implement innovative strategies are best positioned for long-term success.
AI-Powered Personalization: Principles, Use Cases, and Its Impact on CROVWO
In today’s era of AI, personalization is more than just a trend—it’s a fundamental strategy that unlocks numerous opportunities.
When done effectively, personalization builds trust, loyalty, and satisfaction among your users—key factors for business success. However, relying solely on AI capabilities isn’t enough. You need to anchor your approach in solid principles, understand your users’ context, and master the art of persuasion.
Join us as Sarjak Patel and Naitry Saggu from 3rd Eye Consulting unveil a transformative framework. This approach seamlessly integrates your unique context, consumer insights, and conversion goals, paving the way for unparalleled success in personalization.
3. 3
Marketing is the activity, set of institutions, and processes for
creating, communicating, delivering, and exchanging offerings
that have value for customers, clients, partners, and society at
large.
Types of Marketing
Influencer Marketing- In influencer marketing, rather than
marketing directly to a large group of consumers, a brand
inspires or compensates influencers (which can include
celebrities, content creators, customer advocates, and
employees) to get the word out on their behalf.
Relationship marketing refers to strategies and tactics for
segmenting consumers to build loyalty.
4. 4
Viral marketing is a marketing phenomenon that facilitates and
encourages people to pass along a marketing message.
Nicknamed “viral” because the number of people exposed to a
message mimics the process of passing a virus or disease from one
person to another.
Green marketing refers to the development
and marketing of products that are presumed to be environmentally
safe.
Keyword Marketing- Keyword marketing involves placing
a marketing message in front of users based on the
specific keywords and phrases they are using to search.[1]
A key advantage of this method is that it gives marketers the ability
to reach the right people with the right message at the right time. For
many marketers, keyword marketing results in the placement of
an ad when certain keywords are entered.
5. 5
Guerilla Marketing- Guerilla marketing describes an unconventional
and creative marketing strategy intended to get maximum results from
minimal resources.
6. 6
Scope of Marketing
Consumer Research: Research is the process of gathering, recording and
analyzing relevant facts about any problem. Marketing research is concerned
with all those factors that have impact on the marketing of products and
services. It deals with product planning and development, pricing policies,
advertisement and sales promotion, distribution structure, strengths and
weaknesses of competition, buyer’s behaviour, etc. By conducting research,
the risk of loss can be reduced in purchasing, pricing, forecasting and in
facing competition.
Determination of Product Policies: Product planning is the starting point of
the entire marketing activities of a concern. It refers to establishing a product,
which is in line with market needs. Product development begins with the
conception of idea to its successful commercialization.
7. 7
Determination of Distribution Channel: A channel of distribution for a
product is the route taken by which the title of the goods moves from
producer to consumer. The determination of distribution channel is very
important in marketing management. It is a bridge to cover the gap
between producers and consumers.
Promotional Decisions: One of the important requirements of modern
marketing is promotional decisions regarding product without which it is
difficult to sell the product in the market.
9. 9
The marketing management process goes through various stages to
ensure the success of a product in an organization. A company is
generally in the blind about any new product. In a tough
business environment, with a customer who knows everything beforehand
because of the presence of online portals and websites, it is tough to plan
and launch a new product or a marketing strategy.
1) Conduct market research- The very first step in the marketing
management process starts with conducting a market research. As
previously mentioned, if a product is a new launch, then the company is
likely to be in the blind for the future propects of the product. They do not
know what product the market needs, should they go for a new product or
do a product extension, what will be the expected turnover increase from
the new product, etc. Such questions are answered by market research.
Thus, to even start thinking of launching a new product, market research
is necessary.
10. 10
2) Develop a marketing strategy -Before making a marketing strategy, you
need to know the market. As market research has already been done,
marketing strategy forms the second step in marketing management process.
The marketing strategy takes several points in consideration.
Simple things such as segmentation, targeting and positioning are a part of
Marketing strategy. However, tough things like deciding the marketing mix as
well as getting the positioning strategy right are also involved. Core
competencies like financials and production are also to be analysed during the
marketing strategy stage. Taking all these things in consideration, a marketing
strategy is formed.
3) Make a marketing plan- After marketing strategy, a written marketing
plan is made. This is the third and a very important step in marketing
management process. A written marketing plan is made to analyse where the
company is and where it wants to reach in a given time period. The marketing
plan actually puts the plan on paper and the marketer can anytime refer to the
marketing plan to analyse whether he is on track or not.
11. 11
4) Feedback and control- Once a product is in the market, customers might
give further ideas for the improvement of the product. These ideas are
usually considered by the marketing department and a market research is
conducted to find the validity of the ideas. If the idea is valid, another product
can be developed or another marketing strategy implemented. On the other
hand, if the product is not received positively, then the control mechanism
needs to fall in place and implement an alteration process for the product or
in the worst case scenario – take the product out of the market before it
affects the brand.
12. 12
Concept of Marketing Mix
The marketing mix refers to the set of actions, or tactics,
that a company uses to promote its brand or product in the
market. The 4Ps make up a typical marketing mix - Price,
Product, Promotion and Place.
Price: refers to the value that is put for a product. It depends
on costs of production, segment targeted, ability of the
market to pay, supply - demand and a host of other direct
and indirect factors. There can be several types of pricing
strategies, each tied in with an overall business plan. Pricing
can also be used a demarcation, to differentiate and
enhance the image of a product.
Product: refers to the item actually being sold. The product
must deliver a minimum level of performance; otherwise
even the best work on the other elements of the marketing
mix won't do any good.
13. 13
Place: refers to the point of sale. In every industry, catching the eye of the
consumer and making it easy for her to buy it is the main aim of a good
distribution or 'place' strategy. Retailers pay a premium for the right location.
In fact, the mantra of a successful retail business is 'location, location,
location'.
Promotion: this refers to all the activities undertaken to make the product or
service known to the user and trade. This can include advertising, word of
mouth, press reports, incentives, commissions and awards to the trade. It can
also include consumer schemes, direct marketing, contests and prizes.
14. 14
•Marketing mix is the crux of marketing process:Marketing mix
involves many crucial decisions relating to each element of the mix. The
impact of the mix will be the best when proper weightage is assigned to
each element and they are integrated so that the combined effect leads to
the best results.
•Marketing mix has to be reviewed constantly in order to meet the
changing requirements:The marketing manager has to constantly review
the mix and conditions of the market and make necessary changes in the
marketing mix according to changes in the conditions and complexity of
the market.
•Changes in external environment necessitate alterations in the
mix:Changes keep on taking place in the external environment. For many
industries, the customer is the most fluctuating variable of environment.
Customers’ tastes and preferences change very fast. Brand loyalty and
purchasing power also change over a period. The marketing manager has
to carry out market analysis constantly to make necessary changes in the
marketing mix.
Nature of Marketing Mix:
15. 15
Applicable to business and non-business organization:Marketing mix is
applicable not only to business organizations but also to non-business
organizations, such as clubs and educational institutions. For instance, an
educational institution is expected to provide the right courses (product),
charge the right fees (price), promote the institution and the courses, and
provide the courses at the right place.
Concentrates on customers:A thorough understanding of the customer is
common to all the four elements. The focus point of marketing mix is the
customer, and the marketing mix is expected to provide maximum customer
satisfaction
16. 16
Understanding Marketing Environment
A company’s marketing environment consists of the actors and forces outside of
marketing that affect marketing management ability to build and maintain
successful relationships with target customers”. – Philip Kotler
The marketing environment is made up of the internal and external environment
of the business.
Internal Environment
The internal environment of the business includes all the forces and factors
inside the organisation which affect its marketing operations. These components
can be grouped under the Five Ms of the business, which are:
Men: The people of the organisation including both skilled and unskilled
workers.
Minutes: Time taken for the processes of the business to complete.
Machinery: Equipment required by the business to facilitate or complete the
processes.
Materials: The factors of production or supplies required by the business to
complete the processes or production.
Money: Money is the financial resource used to purchase machinery, materials,
, and pay the employees.
17. 17
External Environment-The external environment constitutes factors and
forces which are external to the business and on which the marketer has
little or no control. The external environment is of two types:
Micro Environment
Macro Environment
The micro-component of the external environment is also known as the task
environment. It comprises of external forces and factors that are directly
related to the business. These include suppliers, market intermediaries,
customers, partners, competitors and the public.
18. 18
• Suppliers include all the parties which provide resources needed
by the organisation.
• Market intermediaries include parties involved in distributing the
product or service of the organisation.
• Partners are all the separate entities like advertising agencies,
market research organisations, banking and insurance companies,
transportation companies, brokers, etc. which conduct business with
the organisation.
• Customers comprise of the target group of the organisation.
• Competitors are the players in the same market who targets similar
customers as that of the organisation.
• Public is made up of any other group that has an actual or potential
interest or affects the company’s ability to serve its customers.
19. 19
Macro Environment-The macro component of the marketing environment is also
known as the broad environment. It constitutes the external factors and forces
which affect the industry as a whole but don’t have a direct effect on the business.
The macro-environment can be divided into 6 parts.
Demographic Environment-The demographic environment is made up of the
people who constitute the market. It is characterised as the factual investigation
and segregation of the population according to their size, density, location, age,
gender, race, and occupation.
Economic Environment-The economic environment constitutes factors which
influence customers’ purchasing power and spending patterns. These factors
include the GDP, GNP, interest rates, inflation, income distribution, government
funding and subsidies, and other major economic variables.
Physical Environment- The physical environment includes the natural
environment in which the business operates. This includes the climatic conditions,
environmental change, accessibility to water and raw materials, natural disasters,
pollution etc.
20. 20
Essential For Planning-An understanding of the external and internal
environment is essential for planning for the future. A marketer needs to be
fully aware of the current scenario, dynamism, and future predictions of the
marketing environment if he wants his plans to succeed.
Understanding Customers-Thorough knowledge of the marketing
environment helps marketers acknowledge and predict what the customer
actually wants. In-depth analysis of the marketing environment reduces
(and even removes) the noise between the marketer and customers and
helps the marketer to understand consumer behaviour better.
Tapping Trends-Breaking into new markets and capitalizing on new
trends requires a lot of insight about the marketing environment. The
marketer needs to research about every aspect of the environment to
create a foolproof plan.
Threats And Opportunities-Sound knowledge of the market environment
often gives a first-mover advantage to the marketer as he makes sure that
his business is safe from future threats and taps the future opportunities.
Importance Of Marketing Environment
21. 21
Organizational Buying Behavior:
Meaning and Features
The behavior of an organization shown in buying goods or services is called
organizational buying behavior. The organizations buy goods or services for
business use, resale, produce other goods or provide services. Business
and industrial organizations buy goods to use in business or produce other
goods. Resellers buy goods for reselling them at profitable price. Similarly,
government bodies buy goods for office and conducting development
program. Non-governmental organizations, hospitals, educational institutes,
social organizations, religious organizations etc. buy goods to provide
services to their followers or customers.
“Organizational buying behavior is the decision making process by which a
buying group establishes the needs for goods and services and identifies,
evaluate, and chooses among alternative brand and suppliers.”
22. 22
Features of Organizational Buying
Behavior
1. Few buyers-As organization itself become buyer, organizational buyers are
few in number. But they buy in huge quantity. Organization buyers live scattered
in different places.
2. Close relationship-Organizational buyers and suppliers have close relations.
It may be long lasting. Such relation has positive effect on future buying.
Generally all organizational buyer and suppliers have close relation.
3. Rational buyers-Buyer becomes rational in organizational buying.
Professional and trained buyers are involved in buying. So, buying decision
becomes rational.
4. Direct channel-As organizational buyers buy a huge quantity, they buy goods
directly from producer. So, marketing channel becomes direct. But
some organizations buy goods through intermediaries or agencies.
5. Purchase policy-The buying method of organization and persons become
different. An organization makes certain policy for buying and buys goods
according to the policy. Buying through quotation, buying through tender, buying
through contract etc. are the major buying policies of organizations.
24. 24
1. Need recognition-Organizational buying process starts from need
recognition. In an organization, a certain person recognizes need of certain
goods and after buying the needed goods, need is fulfilled. Needs in
organization can be recognized in two ways. They are: external stimuli and
internal stimuli. If a company decides to produce new goods, it is internal
stimuli. It needs to buy new goods and equipments. Similarly, when a
buyer observes trade exhibition, s/he may make his/her idea to buy
new goods. Such idea is external stimuli, because this idea is made from
outer environment and materials should be purchased for this.
2. Need description-After the need is recognized, the buyers
should describe need. This task is completed in the second stage of
organizational buying process. While describing need, features of needed
goods and needed quantity should be described. If the goods have
standard, this task becomes easy; if otherwise, it becomes complicated.
Help of engineers, users and consultants should be taken for complex
goods.
25. 25
3.Product specification-The task of preparing specific description of
goods is the third stage of organizational buying process. In this stage,
description performance of goods is prepared to solve the problems.
Technician’s help should be taken for this task. In this stage, the value of
goods is analyzed.
4. Supplier search-At this stage of organizational buying process, the
buyer searches proper suppliers or sellers. Buyer prepares a list of
suppliers to select good and proper suppliers. This list is prepared by
looking at trade directory, searching in Internet, asking other companies for
suggestions etc. If the goods to be bought are new, complicated and costly,
it needs long time to search suppliers.
5. Proposal solicitation-Proposal solicitation is the fifth stage of
organizational buying process. At this stage, buyer calls best suppliers for
submitting proposal. As the reaction, some send catalog or sellers to the
organization. If the product is costly and complicated, the buyer demands
detailed proposal, and if the product is technical, business
organization calls for presenting the product itself.
26. 26
6. Supplier selection-At the sixth stage of organizational buying process,
buyers assess the proposal and select one or more suppliers. For selecting
the suppliers, a list is prepared and rating is made on the basis of their
attribute and importance. Then the best supplier is selected. Analysis of the
suppliers is done in the following ways.
7. Order routine specification-After the best suppliers have been selected,
the buyer prepares final order. In this order, all the matters such as attribute
of goods, quantity, specification, time for supply, warranty, method of
payment, service after sale etc. should be clearly mentioned.
8. Performance review-This is the last process of organizational buying. At
this stage, the buyer reviews suppliers’ performance. This type of review
helps to take decision whether to continue relation with the supplier or
change or end the relation. If the performance of the supplier is satisfactory,
the relation can be continued; if it is somewhat defective, if partial correction
is made and the relation is maintained. But if the performance
is disagreeable, it is broken.
27. 27
Buying behaviour is the decision processes and acts of people/prospective
customers involved in buying and using products.
It helps in understanding:
•Why consumers make the purchases that they make?
•What factors influence consumer purchases?
• The changing factors in our society.
Stages of the Consumer Buying Process:
Problem/need recognition-This is often identified as the first and most
important step in the customer’s decision process. A purchase cannot take
place without the recognition of the need. The need may have been triggered
by internal stimuli (such as hunger or thirst) or external stimuli (such as
advertising or word of mouth).
Consumer Buying Behavior
28. 28
Information search-Having recognised a problem or need, the next
step a customer may take is the information search stage, in order to
find out what they feel is the best solution. This is the buyer’s effort to
search internal and external business environments, in order to identify
and evaluate information sources related to the central buying decision.
Your customer may rely on print, visual, online media or word of mouth
for obtaining information.
Evaluation of alternatives- As you might expect, individuals will
evaluate different products or brands at this stage on the basis of
alternative product attributes – those which have the ability to deliver
the benefits the customer is seeking. A factor that heavily influences this
stage is the customer’s attitude. Involvement is another factor that
influences the evaluation process. For example, if the customer’s
attitude is positive and involvement is high, then they will evaluate a
number of companies or brands; but if it is low, only one company or
brand will be evaluated.
29. 29
Purchase decision-The penultimate stage is where the purchase takes
place. Philip Kotler (2009) states that the final purchase decision may be
‘disrupted’ by two factors: negative feedback from other customers and the
level of motivation to accept the feedback. For example, having gone
through the previous three stages, a customer chooses to buy a new
telescope. However, because his very good friend, a keen astronomer, gives
him negative feedback, he will then be bound to change his preference.
Furthermore, the decision may be disrupted due to unforeseen situations
such as a sudden job loss or relocation.
Post-purchase behaviour-In brief, customers will compare products with
their previous expectations and will be either satisfied or dissatisfied.
Therefore, these stages are critical in retaining customers. This can greatly
affect the decision process for similar purchases from the same company in
the future, having a knock-on effect at the information search stage and
evaluation of alternatives stage. If your customer is satisfied, this will result
in brand loyalty, and the Information search and Evaluation of alternative
stages will often be fast-tracked or skipped altogether.
On the basis of being either satisfied or dissatisfied, it is common for
customers to distribute their positive or negative feedback about the
product. This may be through reviews on website, social media networks or
word of mouth. Companies should be very careful to create positive post-
purchase communication, in order to engage customers and make the
30. CONSUMER BUYING
BEHAVIOR
• The individual consumers buy
goods and services for ultimate
use or satisfy their needs. The
buying purpose of such
consumers is not to earn profit by
reselling the goods and services.
• The organizations buy goods and
services for their business needs.
The buying purpose of them is to
earn profit by using and reselling
the goods and services.
ORGANIZATIONAL
BUYING BEHAVIOR
DIFFERENCE BETWEEN CONSUMER
BUYING BEHAVIOR AND
ORGANIZATIONAL BUYING BEHAVIOR
30
31. CONSUMER BUYING
BEHAVIOR
• Although consumers buy various
kinds of goods, the quantity of
goods remains small. They buy
only the necessary quantity of
goods, which they need for
regular use.
• Organizational buying is done in
large quantities. There are
several reasons
why organizations must buy the
goods they need in bulk. In the
first place, they use large
quantities of each item and must
maintain inventories at a level
high enough that they will not run
out of stock. Secondly, it is
cheaper and more efficient to
make large-volume purchases.
ORGANIZATIONAL
BUYING BEHAVIOR
31
32. CONSUMER BUYING
BEHAVIOR
• Consumer buying takes
decision by consumers
themselves. Sometimes they
can consult
with family members and
friends. They need not fulfill any
formality like organizational
buying.
• Organizational purchasing is a
rational process because the
purchasing behavior
of organizations is guided by
objective factors having to do
with production and distribution.
It takes long time than
consumer buying.
ORGANIZATIONAL
BUYING BEHAVIOR
32
33. CONSUMER BUYING
BEHAVIOR
• Most of the consumers may not
have adequate knowledge and
information about market
situation, available goods and
services, etc. The educated
customers may be aware and
have knowledge about market
and goods.
• Organizational purchase criteria
are specifically defined.
Organizational buyers usually
have fewer brands to choose
from than do individuals, and
their purchases must be
evaluated on the basis of
criteria that are specific to the
overall needs of the
organization. The
organizational buyers have full
knowledge of market and
suppliers.
ORGANIZATIONAL
BUYING BEHAVIOR
33
34. CONSUMER BUYING
BEHAVIOR
• Consumers buy many goods to
use to satisfy personal
or family needs.
• Consumer buying behavior is
effected by age, occupation,
income level, education, gender
etc. of consumers.
• Organizational buyers buy
limited goods to use
to conduct business.
• Many individuals are involved in
the buying process. Within
large organizations, rarely is
one individual solely
responsible for the purchase of
products for the purchase of
products or services. Instead,
many individuals and
departments may be involved
and departments may be
involved in the buying process.
ORGANIZATIONAL
BUYING BEHAVIOR
34
35. CONSUMER BUYING
BEHAVIOR
• The consumer buying process
is very simple. No need to fulfill
any formality. There is also no
need to maintain extensive
contact with sellers.
• Buyers and sellers in the
organizational market must
maintain extensive contact.
ORGANIZATIONAL
BUYING BEHAVIOR
35
36. 36
Demand Forecasting
It is a technique for estimation of probable demand for a product or
services in the future. It is based on the analysis of past demand for that
product or service in the present market condition. Demand forecasting
should be done on a scientific basis and facts and events related to
forecasting should be considered.
Usefulness of Demand Forecasting
Demand plays a vital role in the decision making of a business. In
competitive market conditions, there is a need to take correct decision
and make planning for future events related to business like a sale,
production, etc. The effectiveness of a decision taken by business
managers depends upon the accuracy of the decision taken by them.
Demand is the most important aspect for business for achieving its
objectives. Many decisions of business depend on demand like
production, sales, staff requirement, etc. Forecasting is the necessity of
business at an international level as well as domestic level.
37. 37
Demand forecasting reduces risk related to business activities and helps it to take
efficient decisions. For firms having production at the mass level, the importance
of forecasting had increased more. A good forecasting helps a firm in
better planning related to business goals.
Demand forecasting provides reasonable data for the
organization’s capital investment and expansion decision. It also provides a way
for the formulation of suitable pricing and advertisement strategies.
Types of Forecasting- There are two types of forecasting:
• Based on Economy
• Based on the time period
38. 38
Based on Economy- There are three types of forecasting based on the
economy:
• Macro-level forecasting: It deals with the general
economic environment relating to the economy as measured by the Index of
Industrial Production(IIP), national income and general level of employment,
etc.
• Industry level forecasting: Industry level forecasting deals with the demand
for the industry’s products as a whole. For example demand for cement in
India, demand for clothes in India, etc.
• Firm-level forecasting: It means forecasting the demand for a particular
firm’s product. For example, demand for Birla cement, demand for Raymond
clothes, etc.
39. 39
Based on the Time Period-
Forecasting based on time may be short-term forecasting and long-term
forecasting
Short-term forecasting: It covers a short period of time, depending upon the
nature of the industry. It is done generally for six months or less than one year.
Short-term forecasting is generally useful in tactical decisions.
Long-term forecasting casting: Long-term forecasts are for a longer period of
time say, two to five years or more. It gives information for major strategic
decisions of the firm. For example, expansion of plant capacity, opening a new unit
of business, etc.
Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.
Example of Channel Conflicts
What is a Advertising Budget?
The AIDA concept was developed by American businessman Elias St. Elmo Lewis in 1898. Lewis was an advertising advocate who wrote and spoke often about advertising’s potential. This model describes a series of steps or stages that customers follow when making purchasing decisions. The AIDA stages are:
Awareness: Customers are made aware of a product, brand, or service. Awareness typically comes from advertising.
Interest: Customer interest grows as prospects learn more about what benefits the product has to offer and how it fits with their lifestyle.
Desire: The customer develops a connection with the product and moves from being interested to wanting or “needing” it.
Action: Customers decide to interact with the product or service, by downloading a trial version, creating an account, subscribing to an email, or making a purchase.