Contents

PAGE

About the Authors I-5

Preface to second edition I-7
Acknowledgement I-9

UNIT I
INTRODUCTION TO MARKETING

1
BASICS OF MARKETING

u What is Marketing? 4
u Definitions 4
u Nature of Marketing 6
u Scope of Marketing 8
u Importance of Marketing 10
u Evolution of marketing concepts 13
u Difference between selling and marketing 14
u Marketing Mix 18
u Discussion Questions 21
u Case Study on Britannia 21

2
MARKETING ENVIRONMENT

u Need for environment analysis 26

I-11
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u The company’s micro-environment 26
u The company’s macro-environment 28
u Discussion Questions 33
u Case Study on Nestle 33

UNIT II
MARKET SELECTION

3
CONSUMER BEHAVIOUR

u Need to study consumer behaviour 40

u Consumer buying process 41
u Factors influencing consumer buying decisions 44
u Discussion Questions 52
u Case study on Gillette 52

4
MARKET SELECTION: SEGMENTATION,
TARGETING AND POSITIONING

u Target marketing process 58

u Segmentation 58
u Basic segmentation 61
u Bases for segmenting consumer markets 61
u Bases for segmenting business markets 67
u Benefits of segmentation 69
u Attributes of effective market segmentation 69
u Market Targeting 70
u Selecting target market segments 71
u Factors affecting the choices for targeting 72
u Positioning 73
u Why Positioning? 76
u Positioning Errors 77
u Bases of positioning 77
u Repositioning 80
u Differentiating 81
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PAGE
u How differentiation helps? 82
u Bases of differentiation 82
u Discussion Questions 86
u Case study on Airtel 87

UNIT III
MARKETING DECISIONS RELATED TO PRODUCT

5
PRODUCT DECISIONS

u Levels of product 94
u Product Classifications 95
u Product-mix decisions 99
u Product Decisions 102
u Branding 103
u Brand Building 104
u Benefits of branding 105
u Building strong brands 105
u Strategies for brand name selection 107
u Brand sponsorship 109
u Brand development strategies 111
u Packaging 112
u Importance of packaging 113
u Functions of packaging 113
u Package policies and strategies 115
u Criticisms of packaging 116
u Labelling 116
u Product support services 118
u Discussion Questions 119
u Case study on Patanjali 119

6
NEW PRODUCT DEVELOPMENT

u The new product development process 130

u Product Life Cycle 137
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u Discussion Questions 141
u Case study on Toyota 142

UNIT IV
MARKETING DECISIONS RELATED TO
PRICING AND DISTRIBUTION

7
PRICING DECISIONS

u Significance of pricing 147

u Factors affecting price of a product 148
u Major pricing methods 153
u Pricing policies and strategies 156
u Price Adjustment strategies 159
u Ethical Issues in Pricing 161
u Discussion Questions 163
u Case study on Starbucks 163

8
DISTRIBUTION DECISIONS

u Meaning of distribution channel 166

u Importance of distribution channels 167
u Types of distribution channels 169
u Factors affecting choice of distribution channel 172
u Identifying major distribution strategies 174
u Distribution Logistics meaning 176
u Importance of distribution logistics 177
u Tasks in distribution logistics 179
u Discussion Questions 182
u Case study of Pepsi International 182

9
RETAILING

u Meaning 187
u Types of retailing- Store based 187
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u Non-Store based retailing 191
u Management of retailing operations: An overview 194
u Retailing in India: changing scenario 197
u Discussion Questions 198
u Case study on BPCL 199

UNIT V
MARKETING DECISIONS RELATED TO PROMOTION
AND NEW DEVELOPMENTS

10
PROMOTION DECISIONS

u Communication process 208

u Nature and Importance of promotion 210
u Promotion mix 212
u Factors affecting promotion mix decisions 214
u Advertising 215
u Nature and scope of advertising 216
u Importance of advertising 218
u Personal Selling meaning and features 221
u The personal selling process 222
u Sales promotion meaning and features 223
u Sales promotion tools 224
u Public relations and publicity 225
u Direct marketing 225
u Integrated Marketing Communication 226
u Growth of IMC 227
u Factors affecting growth of IMC 228
u Discussion Questions 230
u Case study on Maggi 230

11
SERVICES MARKETING

u Characteristics of services 233

u Classification of goods and services 237
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u A Continuum of product attributes 239
u Services marketing mix 241
u Discussion Questions 246
u Case study on Apollo hospitals 246

12
RELATIONSHIP MARKETING

u Transactional vs Relationship marketing 250

u Dimensions of customer relationship 252
u Scope of relationship marketing 254
u Relationship marketing: A collaborative approach 255
u Relationship customers 255
u Discussion Questions 256
u Case study 256

13
CONTEMPORARY ISSUES IN MARKETING

u Ethics in marketing 258

u Evolution of green marketing 262
u The four P’s of green marketing 263
u Nature of rural marketing 265
u Difference between rural and urban marketing 267
u Factors Influencing behaviour of rural consumers 268
u Marketing mix strategy in rural market 270
u Digital marketing 273
u Discussion Questions 275
u Case study 276