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ESSENTIALS
OF

MARKETING
MANAGEMENT
SIMS e-Primer2022
 MARKETING MANAGEMENT
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The American Marketing Association offers this managerialdefinition:

Marketing management (or management of marketing) is the process of setting marketing goals for an
organization (considering internal resources and market opportunities), the planning and execution of activities
to meet these goals, and measuring progress toward their achievement.

In short Marketing is a process of:

Identifying Needs of the people
Making Products Accordingly
Offering them through an Exchange Process

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 CORE MARKETING CONCEPTS
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NEED/ WANT/ DEMAND:

⚫ Need: are the basic human requirements that’s is required to survive e.g.-
food, clothing, safety, shelter.

⚫ Want: These needs become wants when they are directed to specific objects
that might satisfy the need e.g. One person may like a burger or hot-dog
another might like French fries or rich.

⚫ Demand: Want for a specific product backed up by ability and willingness to

buy. E.g.- One may wants a Mercedes but he/she should have the ability and
willingness to pay for it to become a demand.

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 CORE MARKETING CONCEPTS
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VALUE AND SATISFACTION:

⚫ Value: value is represented by the ratio of perceived benefits to price paid.

Customer perceived value

=
Benefits deriving from a product/ Cost of acquiring the product

⚫ Satisfaction: Satisfaction is a person’s feelings of pleasure or disappointment resulting from comparing a

product’s perceived performance in relation to his or her expectations.

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 CORE MARKETING CONCEPTS
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SEGMENTATION, TARGETING, POSITIONING (STP)

⚫ Segmentation: The process of splitting a market into smaller groups with similar product needs or identifiable

characteristics, for the purpose of selecting appropriate target markets.

⚫ Targeting: An organization’s proactive selection of a suitable market segment (or segments) with the intention of
heavily focusing the firm’s marketing offers and activities towards this group of related consumers.
⚫ Positioning: Positioning is the target market’s perception of the product’s key benefits and features, relative to
the offerings of competitive products.

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 LEVELS OF MARKET SEGMENTATION
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Mass Marketing

In Segmentation, Mass marketing refers to the strategy of targeting the entire potential
customer market by means of a single marketing message.
The marketing strategy used in this segmentation does not target the specific requirements or
needs of customers.

An example of mass marketing strategy is of Baygon cockroach spray or Mortein mosquito

repellent coils that target all its potential customers through a single marketingmessage.

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 LEVELS OF MARKET SEGMENTATION
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Segment Marketing

Segment marketing refers to a strategy where the company divides its

target audience into different segments based on their unique needs and
requirements.
This way the company targets different messages to different segments,
appealing them towards the unique features the product offers.

The example of segment marketing within clothing industry may be men,

women, casual, fashionable and business clothing segments.

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 LEVELS OF MARKET SEGMENTATION
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Niche Marketing

This strategy of marketing focuses on a narrower customer segmentation. A

niche market is a small part of a larger market that has its own specific needs,
which are different from the larger market in some way.

For example, the market for computers is huge but there are niche markets for
student computers and gaming computers, which include different types of
system requirements depending on the needs of the customer.

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 OTHER MARKETING TERMS
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Marketing Myopia

In 'Marketing Myopia,' many companies incorrectly take a short-sighted approach to marketing, viewing it as
merely a tool for selling products. Instead, he argued that companies should look at marketing from the consumer's
point of view.

For example, a company that sells hiking boots should not define its marketing in terms of sales of hiking boots,
but market itself as a company concerned with outdoor exploration and adventure.

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 OTHER MARKETING TERMS
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Digital marketing

Digital marketing refers to advertising delivered through digital channels such as search engines, websites, social
media, email, and mobile apps.
It is the promotion of products or brands via one or more forms of electronic media. For example, promotional
efforts made via the Internet, social media, mobile phones and electronic billboards, as well as via digital and
television and radio channels.

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 COURSES
REC O M M E N D E D 11

Introduction to Marketing Essentials – Offered by IIM Bangalore

https://swayam.gov.in/nd2_imb19_mg11/preview

Marketing management - NPTEL

https://nptel.ac.in/courses/110/104/110104068/

Fundamentals of Digital marketing – By Google

https://learndigital.withgoogle.com/digitalunlocked/course/digital-marketing

Google analytics for beginners – By Google

https://analytics.google.com/analytics/academy/

Note: These courses are free of cost and are recommended to be completed.
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 TEST YOUR KNOWLEDGE
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● Question1: What are needs and wants?

● Question2: What is STP?

● Question3: What is Marketing Myopia?

● Question4: What are the 4 P’s ofMarketing?

● Question 5: What are the various mediums used in Digital marketing?

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 REFERENCES
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Books
● Marketing Management 15th Edition by Philip Kotler and Keven Lane Keller
● MBA Marketing by Ailsa Kolsaker and MalcolmMcDonald

Website
● https://hbr.org/2016/08/a-refresher-on-marketing-myopia
● https://economictimes.indiatimes.com/definition/niche-marketing

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