Course objective
The overall objective of the course is to introduce the fundamental concepts of Marketing and it also aims to make students understand the strategic role of Marketing and develop the ability to define and analysis the Marketing problems dealt with by Marketing Manager.
The contents……… Unit 1 --- Marketing concepts Unit 2 --- Marketing Planning Unit 3 --- Sales Forecasting and
Marketing Research Unit 4 --- Consumer Behavior Unit 5 --- Dealing with Competition Unit 6 --- Market Segmentation Unit 7 --- Market Evaluation and
Control Unit 8 --- Physical Distribution
UNIT 1- MARKETING CONCEPTS
Definition of MarketingMarketing is the performance of business activities
that direct the flow of goods and services from producer to consumer.
Marketing is the economic process by which goods and services are exchanged between the maker and the user and their values determined in terms of money prices.
Marketing is a total system of interacting business activities designed to plan promote and distribute need satisfying products and services to existing and potential consumers.
It is the creation and the delivery of a standard of living to the society- Paul Mazur
Definition of Marketing“ Marketing is an organizational function and a
set of processes for creating , communicating, and delivering value to the customers and managing customer relationship in ways that benefit the organization and its stakeholders”
American Marketing Association
“ Marketing Management is an art and science of choosing target market and getting , keeping and growing customer through creating, delivering and communicating superior customer value”
Exchange the core concept of
marketing………There are at least two partiesEach party has some thing that might be of value
to the other partyEach party is capable of communication and
deliveryEach party is free to accept or reject the
exchange offerEach party believes it is appropriate or desirable
to deal with the other party.
What is marketed?GoodsServicesEventsExperiencesPersonsPlacesPropertiesOrganizationsInformationideas
Marketing provides …….Form utilityRaw Material Finished
goods
Person UtilityMarketer
Customers
Exchange UtilitySeller Buyers
Place UtilityDistribution Channel Buyers
Time UtilityWarehousing
Customers
Functions of MarketingFunctions of Exchange:Buying functionAssembling functionSelling function
Functions of Physical DistributionTransportation Inventory managementWarehousingMaterial handling
Functions of FacilitiesFinancingRisk takingStandardizationAfter sales services
Marketing as a process It is an Exchange ProcessSatisfaction of buyer and sellerLong-term satisfying relationshipProfit MaximizationThe needsThe wantsThe demands
Marketing Process
Core concepts of Marketing The Exchange Orientation•Exchange of product between seller and buyer
•Medium is money
•Marketing mix, marketing strategy has forgotten
•The Product Orientation•If the product has quality, features customer will satisfy
•This ignore needs and desires.
•Marketing myopia ( short sightedness)
Core concepts of MarketingThe production OrientationCompany sell what it can make
Product line is narrow
Concentration on production cost
Less emphasis on promotion
Useful in sellers market only
Consumers interested in product availability in low prices
Efficient production and intensive distribution
Core concepts of MarketingThe sales OrientationConcentration on increasing sales volume
Aggressive advertising, intensive sales promotion
No consideration of consumer needs and wants
The Marketing Concept•Importance to the customer
•Needs and wants
•Research and then production
•Importance of market segmentation
DIFFERENCE BETWEEN Marketing AND selling
Selling Marketing*Manufacture first and then sell . *Determines customers needs and
wants and then sell it to customer
*Management is sales volume oriented. * Management is profit oriented
It is short term It is long term
*Stresses needs of the seller *Stresses needs and wants of buyer
*Views business as a goods producing Views business as consumer
Process. satisfying Process.
Emphasis on staying existing technology Emphasis on innovation in every
and reducing cost. sphere, on providing better
value to the customer with new
technology
Cost determine price consumer determine price
Marketing Mix“To serve the marketing segment the marketer has to formulate some devices or types of marketing activities that are integrated into a single marketing progamme to reach a particular target or market segment. The combination of these marketing methods or device is known as marketing mix”
4Ps of Marketing
Product
Price
Promotion
Place
Marketing MixProduct Mix
Brand
Style
Colour
Design
Product line
Package
Warranty
Service
Marketing MixPrice Mix
Pricing policy
Basic price
Terms of credit
Discounts
Allowances
Payment period
Credit terms
Marketing MixPromotion mix
Personal selling
Advertising
Publicity
Sales promotion
( dealer aids, consumer aids)
Direct marketing
Public relations
Marketing MixPlace mix
Distribution channels
1. Wholesalers
2. Retailers
3. Mercantile agents
Physical distribution
1. Transport
2. Warehousing
3. Inventory
4c’s of MarketingCustomer value ( Product)
Cost to the customer ( Price)
Convenience for the buyer ( Place)
Communication ( Promotion)
Marketing in the Present MillenniumSeamless global Society Internet reduced the gapEmergence of global society Importance of Time factorCost structure globally competitiveValue to the customerDevelopment in telecommunication
GlobalizationChanged concept of nationCulture of openness and transparency Information technology become a weaponKnowledge management- a key
Marketing in the Present MillenniumDeregulation of IndustriesGreater competition and growth opportunity.Conventional marketing management will not be deliver.No role to play for mediator
Product life cycle will be shorterDifferentiating of product is the imp. today
Virtual EnterprisesDifferent websites of businessSize and location of enterprise no role to playEra of digital Darwinism
Marketing in the Present Millennium
Heightened CompetitionCompetition from domestic and foreign brandsRising promotion cost and shrinking profit margin. Importance to the local brands
Customer- A ware house of information Internet- huge bank of informationChallenge of marketing for develop marketing mixStandardization replaced by mass customization
The role of distribution ChannelsConventional dealer and distributor will no longer thereEmergence of e-commerce websites, brick-and-click retailers
The Poor as a Market Segment•Gap between the poor and rich nation
•Large segment to be served•Price is the main factor for this segment
•Environment Protection•Eco friendly hotels ,watches etc
•Retail Transformation•Retailers facing competition from direct marketing
•Retailers building entertainment in their stores•Creating marketing as an experience rather than purchasing
Marketing orientationConsumer Orientation
Integrated Approach to Exploiting Market Opportunities
( integration of marketing mix)
Futuristic Approach ( money spent on marketing as in investment)
Highly Developed Marketing System ( test marketing, customer feedback, CRM's-CRM)
Marketing Culture
Speed
Thank You