Session 1 

: Introduction to Marketing

« The aim of marketing is to know and understand the customer so well that the product or
service fits him and sells itself.
Peter Drucker

What is Marketing?
The process by which companies engage customers, build strong customer relationships and
create customer value in order to capture value in return

Difference between sales and marketing

Selling concept:
Focusses on existing products and heavy selling1
Aim2 is to sell what the company makes rather than making what the customer wants
1: Vente massive 2: L’objectif

Marketing concept:
Focusses on satisfying customer needs to make a profit

Business and Customer needs

What Marketing delivers3 :

3 : Ce que le marketing apporte

What Businesses want and need:

- Good customer relationships
- Competitive advantage
- Profit

What customers want and need:

- Ideas
- Products
- Services
- Experiences
Core Marketing Principles1
1: Les principes fondamentaux du marketing

Customer value and satisfaction:

Customer perceived expectations about the delivered value and satisfaction

Growing valuable relationships:

Marketers2 encourage a constant exchange of value through maintaining relationships
2: Commerçants

Markets:
Set of all actual and potential buyers of a product or service

What’s a market?
A group of individuals3 or organizations having the willingness and ability4 to buy goods or
services to satisfy a particular class5 of wants or needs
3 : Particuliers 4 : Volonté et Capacité 5 : Catégorie particulière

What’s an industry?
A group of firms that offer a product or class of products that are similar and are close
substitutes for one another

A modern marketing system

Suppliers: Fournisseurs

How influencers have changed modern marketing systems

David Beckham is an ambassador for UNICEF and partners with Dbeyerwear and Tudor
watch amongst other brands as an influencer through Instagram
Evolution of marketing concepts

Production Concept
Large production, wide availability at low price

Product Concept
Performance, good quality, innovative features

Selling Concept
Large scale selling effort

Marketing Concept
Meeting consumers needs and wants delivering satisfaction

Social Marketing Concept

Delivering value, contributing to both consumers and society’s well-being
Societal marketing balances 3 considerations in setting marketing strategy:
Company profits, customer wants and society interests

B2B and B2C

B2B B2C
The Marketing Process
Marketing Process in an organization

1: Corporate Strategy
Setting marketing objectives, mission, values, SWOT

2: Environmental Scan
Market and competitor analysis, SWOT, BCG matrix

3: Segmentation, Targeting and Positioning

Identify market segments, target suitable segment, position in minds of customers

4: Marketing Mix
4PS: Design product, price, distribution and promotion strategies based on STP

5: Implementation and Control

Implement, monitor and evaluate marketing strategy

Marketing Mix
Marketing: Product, Place, Price, Promotion

Implications of Marketing Process

Which market are we in?
What is our objectives, mission and competitors?
Who are our existing / potential customers?
What are their current / future needs?
How can we satisfy these needs?
How can we offer a product/ service that the customer will value?
How do we communicate and promote our product/service with our target customers?
How can we set a price that customers want to pay?
Why should customers buy from us (instead of from our competitors)?

Marketing Trends
1: Rise in Digital
Online, mobile, social media marketing, big data and AI

2: Globalisation post Covid 19

Global competition from fast growing markets

3: Not for profit

Marketing is playing more of a role in not-for-profit organizations

4: Sustainable Marketing
Call for more environmental and social responsibility

5: Relationship Marketing
Customers find value in have close relations with companies
Rise in Digital

Digital Usage
Population online: 66% global population use mobile
Countries: In Europe have internet usage at more than 90%
Active users: On social media in Europe

Mobile Marketing:
- Online orders: 30% customers
- Advertising spends on mobile: 50% companies
- Bring mobile into the bathroom: 75% people

Big data and artificial intelligence (AI)

- Big data: Marketers can now acquire masses of data
- AI: machines that think and learn in a way that looks and feels
human but with more analytical capacity
- Virtual Assistants: Google home, Amazon Alexa, better connection
companies and customers
- Chatbots: A chatbot is an artificial intelligence (AI) program that can
simulate a conversation (or a chat) with a user in natural language
through messaging applications

Globalisation post Covid 19

Travel Sector:
Expected to be boosted post-covid. Hospitality and airlines sectors will benefit

Humanity:
The world may well be becoming more globalized in terms of the flow of ideas and solutions,
if not necessarily products

Disruption of Global Supply Chains:

Shopping, manufacturing and sourcing locally could decentralize from Asian big players

Cross border Collaboration:

In health, medicine and science which could boost global solutions

The Growth in not-for-profit Marketing

Sustainable Marketing

As the worldwide consumerism and environmentalism movements mature, today’s

marketers are being called to develop sustainable marketing practices
Few companies can ignore:
Corporate Ethics
Social Responsibility
Customers expect companies to deliver value in a socially and environmentally responsible
way
It is estimated that there will be even stricter demands on companies in the future

Sustainable Marketing: Socially and Environmentally responsible marketing that meets the
present needs of consumers and businesses while also preserving or enhancing the ability of
future generations to meet their needs

Companies move towards sustainable marketing

Relationship Marketing
The Customers spend a greater part of their income on services Eg. travel, entertainment,
leisure, restaurants, personal health / grooming
Growth in services has implications for relationship marketing:
There is often direct contact between company and customer when services offered
Customer’s desire to have closer relationships with companies for convenience
Co-creation; customers co-create value with brands/companies