LOGO

Nguyen Thi Hong An,

An, MBA 1
 Lecture outline

1 • Define marketing

2 • Describe the four Ps of marketing

3 • The marketing research process

4 • The marketing environment

• Consumer market
5
• Business-to-Business market
6
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What is marketing?

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 What is marketing?

Marketing Defined:
“Marketing is a social and managerial process by which
individuals and groups obtain what they need and want
through creating and exchanging value with others”

Or “The activity, set of institutions and processes for

creating, communicating, delivering, and exchanging
offerings with value for customers, clients, partners, and
society at large”

Marketing is about managing profitable customer
relationships
 Attracting new customers
 Retaining and growing current customers
Examples: companies being
successful in marketing:
 Apple
 Double Mint
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 FOCUS of CONTEMPORARY
MARKETING

• Marketing today involves helping the buyer buy

through:
- Websites that help buyers find the best price,
identify product features, and question sellers.

- Blogs and social

networking sites that
cultivate consumer
relationships.

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 FOUR ERAS of U.S MARKETING

• Production Era

• Selling Era

• Marketing Concept Era

• Customer Relationship
Era

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 The PRODUCTION and
SELLING ERAS
• The general philosophy was
“Produce what you can because
the market is limitless.”
Business owners were mostly farmers,
carpenters, and trade workers. They
need to produce more and more, so
their goals centered on production.
• By 1920s, business had
developed mass production
techniques, and production
capacity often exceeded the
immediate market demand =>
turned from producing to selling
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 The MARKETING CONCEPT ERA

• After WWII, a consumer spending boom

developed.
• Businesses knew they needed to be responsive
to consumers if they wanted their business.

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 APPLYING the
MARKETING CONCEPT

• The Marketing Concept includes three parts:

1. Customer Orientation -- Finding out what
customers want and then providing it.
2. Service Orientation -- Making sure everyone in an
organization is committed to customer
satisfaction.
3. Profit Orientation -- Focusing on the goods and
services that will earn the most profit.

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 The CUSTOMER
RELATIONSHIP ERA
• Customer Relationship Management (CRM) -- Learning
as much as you can about customers and doing what you
can to satisfy or exceed their expectations.
• Organizations seek to enhance customer satisfaction
building long-term relationships.
• Today firms like Priceline and Travelocity use CRM that
allow customers to build a relationship with the suppliers.
• In Vietnam, the concepts of CRM were import same time
with other countries in 1995. TRV (Technology Resource
Vietnam) whose majors were selling and consulting
software solution, was one of the first companies to use
CRM

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Marketing in Vietnam then

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Marketing in Vietnam now

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 NONPROFIT MARKETING

• Nonprofit marketing tactics include:

- Fundraising
- Public Relations
- Special Campaigns
- Ecological practices
- Changing public opinions and
attitudes
- Increasing organizational
membership

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 MARKETING STRATEGIES for
NONPROFITS

• Nonprofit marketing strategies include:

- Determine the firm
firm’’s goals and objectives.
- Focus on long
long--term marketing.
- Find a competent board of directors.
- Exercise strategic planning.
- Train and develop long
long--term volunteers.
- Carefully segment the target market.

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 Marketing mix

The marketing mix is

the set of tools (four Ps)
the firm uses to
implement its marketing
strategy. It includes
product, price,
promotion, and place.

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 Develop a Product

• Product -- A good, service, or

idea that satisfies a consumer’
consumer ’s
want or need.

• Test Marketing -- Testing product

concepts among potential product
users.

• Brand Name -- A word, letter, or a

group of words or letters that
differentiates one seller’
seller ’s goods
from a competitor’
competitor ’s.

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Product: made in Vietnam

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Product marketing

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Service marketing

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 Pricing a Product

• Pricing products depends on

many factors:
- Competitors
Competitors’’ prices
- Production costs
- Distribution
- High or low price strategies

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Pricing: discount is
most prefered

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 Promotion the Product

• Promotion -- All the techniques sellers use to inform

people about their products and motivate them to
purchase those products.
• Promotion includes:
- Advertising
- Personal selling
- Public relations
- Viral marketing
- Sales promotions

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Promotion: all media

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 Distribution channel
• Middlemen are important in place strategies
because getting a product to consumers is critical.

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Modern trades so far

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Vietnam goes online

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Traditional Marketing

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Digital era consumerism

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Key challenges in Vietnamese
enterprises

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 SEARCHING for INFORMATION

• Marketing Research -- Analyzing markets to determine

challenges and opportunities, and finding the
information needed to make good decisions.

• Research is used to identify products consumers have

used in the past and what they want in the future.

• Research uncovers market trends and attitudes held by

company insiders and stakeholders.

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 FOUR STEPS in the MARKETING
RESEARCH PROCESS

1. Defining the problem or opportunity and determining

the present situation.

2. Collecting research data.

3. Analyzing the data.

4. Choosing the best solution and implementing it.

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 DEFINING the PROBLEM or
OPPORTUNITY

• What
What’’s the present situation?

• What are the alternatives?

• What information is needed?

• How should the information be

gathered?

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 COLLECTING SECONDARY
RESEARCH DATA

• Secondary Data -- Existing data that has previously

been collected by sources like the government.

• Secondary data incurs no

expense and is usually easily
accessible.
• Secondary data doesn
doesn’’t always
provide all the needed
information for marketers.

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 COLLECTING PRIMARY
RESEARCH DATA
• Primary Data -- In
In--depth information gathered by
marketers from their own research.

• Telephone, online and mail surveys, personal

interviews, and focus groups are ways to collect
primary data.

• Focus Group -- A group of people who meet under the

direction of a discussion leader to communicate opinions.

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 ANALYZING the DATA and
IMPLEMENTING the DECISION

• Marketers must turn data into useful information.

• Must use their analysis to plan strategies and

make recommendations.

• Finally, marketers
must evaluate their
actions and
determine if further
research is needed.

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• Why should we do marketing
research? What benefits do
we get?

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 KEY BENEFITS of MARKETING
RESEARCH

• Analyze customer needs and satisfaction.

• Analyze current markets and opportunities.
• Analyze the effectiveness of marketing strategies.
• Analyze marketing process and tactics currently
used.
• Analyze the reasons for goal achievement or
failure.

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 SCANNING the MARKETING
ENVIRONMENT
• Environmental Scanning -- The process of
identifying factors that affect marketing success.

• Factors involved in the environmental scan

include:
- Global factors
- Technological factors
- Sociocultural factors
- Competitive factors
- Economic factors

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The marketing environment

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 PROGRESS ASSESSMENT

• What are the four steps in the marketing research

process?

• What
What’’s environmental scanning?

• What factors are included in environmental

scanning?

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 Marketing to Consumer market

• The size and diversity of the consumer market forces

marketers to decide which groups they want to serve.

• Market Segmentation -- Divides the total market into

groups with similar characteristics.

• Target Marketing -- Selecting which segments an

organization can serve profitably.

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 SEGMENTING the CONSUMER MARKET

• Geographic Segmentation -- Dividing the market by cities,

counties, states, or regions.

• Demographic Segmentation -- Dividing the market by age,

income, education, and other demographic variables.

• Psychographic Segmentation -- Dividing the market by

group values, interests, and opinions.

• Benefit Segmentation -- Dividing the market according to

product benefits the customer prefers.

• Volume (Usage) Segmentation -- Dividing the market by

the volume of product use.

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 MARKETING to
SMALL SEGMENTS

• Niche Marketing -- Identifies small but profitable

market segments and designs or finds products for
them.

• One-
One-toto--One
Marketing--
Marketing --
Developing a unique
mix of goods and
services for each
individual consumer.

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 MASS MARKETING vs.
RELATIONSHIP MARKETING

• Mass Marketing -- Developing

products and promotions to please
large groups of people.

• Relationship Marketing--
Marketing-- Rejects
the idea of mass production and
focuses toward custom-
custom-made
goods and services for customers.
customers.

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 STEPS in the CONSUMER
DECISION-MAKING PROCESS

1. Problem recognition

2. Search for information

3. Evaluating alternatives

4. Purchase decision

5. Postpurchase evaluation

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 CONSUMER DECSION MAKING
PROCESS AND OUTSIDE INFLUENCES

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 KEY FACTORS in CONSUMER
DECISION-MAKING

• Learning

• Reference Groups

• Culture

• Subcultures

• Cognitive Dissonance

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 BUSINESS-to-BUSINESS
MARKET (B2B)

• B2B marketers include:

- Manufacturers
- Wholesalers and retailers
- Hospitals, schools and charities
- Government

• Products are often sold and resold several times

before reaching final consumers.

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 B2B MARKET DIFFERENCES

• There are relatively few customers.

• Customers tend to be large buyers.
• Markets are geographically concentrated.
• Buyers are more rational than emotional.

• Sales are direct.

• Promotions focus heavily
on personal selling.

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 PROGRESS ASSESSMENT

• Define the terms consumer market and business

business--to
to--
business market.

• Name and describe five ways to segment the consumer

market.

• What
What’’s niche marketing and how does it differ from one
one--
to
to--one marketing?

• What are four key factors that make B2B markets

different from consumer markets?

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