Outline

Chapter 1 - (Principle of Marketing )

ng
Chapter 2 - (Company & Marketing)

Chapter 3 - (Analyzing the Marketing Environment)

Ki
Compare 2 brands (advatage,diferent selling points,USP,in same segments)
ad
M

Principle Of Marketing
Notes By
MadKing

1
 Chapter 1 - (Principle of Marketing )

1. Understanding the Marketplace and Customer Needs

what is marketing:
- Identify customer, telling , selling , satisfying customer needs , building strong relationship
with customer against the amount hey are paying in called Marketing

what is Brand
- A name term logo to recognized a specify company

what is customer:
- Every consumer have a customer every customer is not consumer

ng
what is consumer:
- The every consumer is also a customer

1. Marketing:
- Need: A necessity or requirement for something essential, like food or shelter.
Ki
- Want:A desire for something beyond basic needs, often influenced by culture or individual preferences.
- Demand: Want backed by purchasing power.

Example: People need food to survive (need), but they might want pizza because they crave it (want), and if
they have money and are willing to buy pizza, it becomes a demand.
ad
2. Market Offering:
- Product: Tangible goods like clothes or phones.
- Service: Intangible offerings like insurance or hairstyling.
- Experience: Emotions and perceptions tied to using a product or service.
M

Example: Apple sells products (iPhones), services (AppleCare), and an experience (sleek design, user-friendly
interface).

3. Customer Value and Satisfaction:

- Customer Value: Benefits a customer gains from a product or service.
- Satisfaction: Meeting or exceeding customer expectations.

Example: If a phone provides great features (value) and lasts long without issues (satisfaction), customers are
likely to remain loyal.

4. Exchange and Relationship:

2
 - Exchange: The act of obtaining desired objects by offering something in return.
- Relationship: Developing long-term connections with customers.

Example: Buying a product involves an exchange of money for the item. Building relationships keeps customers
coming back.

5. Market:
- A place or platform where buyers and sellers interact.

—--------------------------------------------------------------------------------------------------

ng
Ki
ad
M

3
2. Designing a Customer Value-Driven Marketing Strategy

1. Selecting Customers to Serve (STP):

- STP: Segmentation(Dividing the population into the sub groups is known as segmentation),
Targeting(Selecting one or more segment in know as target),
Positioning(Positioning is the mind of customer)
—dividing the market, choosing specific segments, and positioning products to meet their needs.
Example: Nike segments its market by targeting athletes (segmentation), focusing on runners with specialized
shoes (targeting), and positioning itself as a brand for high-performance athletes (positioning).

2. Choosing a Value Proposition:

- Bundle of benefits offered by a company to their customers.

ng
Example: Volvo focuses on safety, positioning itself as the safest car brand, which attracts customers
concerned about safety.

3. Marketing Management Orientation:

- Product Concept: Focus on product quality and features.
Ki
- Production Concept: Prioritizing mass production and low costs.
- Marketing Concept: Meeting customer needs and wants.
- Selling Concept: Aggressive selling and promotion.
- Societal Concept: Considering societal well-being alongside company profits(NGO’s).
ad
Example: Companies like Tesla embrace the marketing concept by prioritizing innovation and meeting
environmental concerns.

Potention Customer, Actual Customer, Loyal Customer, Advocate Customer

- Potential Customer: Who can be your customer.

M

- Actual Customer: Who are buying from you.

- Loyal Customer: who are buying again and again.
- Advocate Customer: Who argue positively for your brand.
Example: A potential customer browsing a clothing website becomes an actual customer by making a purchase.
With a good experience, they may become loyal, and if they refer friends, they become advocates.

Promotion
-Any activity which can increased sale is called promotion.

Example: Coca-Cola's advertising campaigns promoting its drinks to create brand awareness and increase sales.
—--------------------------------------------------------------------------------------------------

4
3. Preparing an Integrating Marketing Plan

1. Marketing Mix:
- 7 P's: Product, Price, Place, Promotion, People, Process, Physical Evidence.
- 4 A's: Acceptability, Affordability, Accessibility, Awareness.
Absolutely! Here's a concise breakdown:

7 P's of Marketing:

1. Product: What a company offers—its features, quality, and packaging.

2. Price: The amount customers pay, influenced by competition and value.
3. Place: Where and how customers access the product or service.

ng
4. Promotion: Communication strategies to create awareness and demand.
5. People: Staff and employees influencing customer experiences.
6. Process: Systems ensuring efficient product/service delivery.
7. Physical Evidence: Tangible aspects shaping customer perceptions.
Ki
4 A's of Marketing:

1. Acceptability: Ensuring the product meets target market needs.

2. Affordability: Setting prices within customers' financial reach.
3. Accessibility: Making products/services easily available.
ad
4. Awareness: Creating brand visibility and informing customers.

Example: McDonald's utilizes the marketing mix by offering various products (burgers, fries), setting affordable
prices, placing stores in accessible locations, and promoting through advertisements.

—--------------------------------------------------------------------------------------------------
M

5
4. Managing Customer Relationships and Capturing Value from Customers

1. CRM (Customer Relationship Management):

- Strategies and technologies to manage interactions with current and potential customers.
Example: Salesforce's CRM software helps companies track customer interactions, preferences, and purchases
for better relationship management.

2. Relationship Building Blocks:

- Trust, commitment, communication, reciprocity, satisfaction.
Example: Amazon builds trust by ensuring secure transactions and commits to customer satisfaction through
responsive customer service.

ng
3. Customer Perceived Value:
- The customer's assessment of a product's value based on perceived benefits and costs.
Example: Netflix offers a vast library of content at a reasonable price, creating a high perceived value for
Ki customers.

4. Customer Relationship Levels:

- Basic Relationship: Transactional, one-time interactions.
- Full Partnership: Long-term, mutually beneficial relationships.
Example: A basic relationship is a customer buying a single book. A full partnership is a book subscription
service where the company provides ongoing value.
ad
5. Customer Engagement Marketing:
- Strategies to actively involve customers in the brand experience.
Example: LEGO engages customers by encouraging them to share their creations on social media platforms,
fostering a community around its products.
M

6. Customer Generation Marketing and Partner Relationship Marketing:

- Customer Generation: Attracting new customers through marketing efforts.
- Partner Relationship: Collaborating with partners for mutual benefits.

Example: Airbnb engages in partner relationship marketing by partnering with local businesses to offer unique
experiences to its customers.

—--------------------------------------------------------------------------------------------------

6
5. Capturing Value from Customers

1. Creating Customer Loyalty and Retention:

- Building strong relationships to retain customers and encourage repeat purchases.

Example: Starbucks' loyalty program rewards frequent customers, fostering loyalty and retention.

2. Customer Lifetime Value:

- Predicting the total value a customer will bring to a company over their lifetime.

Example: Amazon calculates customer lifetime value to tailor personalized recommendations and services.

ng
3.. Growing Share of Customer:
- Increasing the share of a customer's purchases from the company.

*Example: Apple increases its share of customer by offering a range of products like iPhones, iPads, and
MacBooks.
Ki
4. Building Customer Equity:
- Creating strong brand perceptions and customer loyalty to increase a brand's value.

Example: Nike's strong brand image and loyal customer base contribute to its high customer equity.
ad
5. Building Right Relationships with Right Customers:
- Focusing on relationships that generate the most value for the company and the customers.

Example: Luxury brands like Rolex maintain exclusive relationships with high-value customers through
personalized services.
M

—--------------------------------------------------------------------------------------------------

7
 Chapter 2 - (Company & Marketing)

Chapter 2: Company & Marketing Strategy

2.1 Strategy Planning

1. Steps in Strategy Planning:

1. Defining the Company Mission:

- Articulating the company's purpose, values, and goals, providing a framework for decision-making.

ng
- Example: Google's mission to "organize the world's information and make it universally accessible and useful."

2. Setting Company Objectives and Goals:

- Establishing specific, measurable, achievable, relevant, and time-bound (SMART) objectives that align with the
mission.
Ki
- Example: Coca-Cola setting objectives to increase market share by 5% within the next two years.

3. Designing the Business Portfolio:

- Selecting and managing a set of products or services to maximize the company's value.
- Example: Procter & Gamble managing a diverse portfolio of brands like Tide, Pampers, and Gillette.
ad
4. Planning Marketing and Other Functional Strategies:
- Aligning marketing strategies with the overall business goals and coordinating them with other functional
areas like finance, operations, and HR.
- Example: Apple's marketing strategy integrated with product innovation and supply chain management.
M

—--------------------------------------------------------------------------------------------------

8
2.2 Designing the Business Portfolio

1. Analyzing the Current Portfolio:

- Assessing the existing product lines or services in terms of market growth, market share, and profitability.
- Example: General Electric using the GE-McKinsey Matrix to analyze its portfolio and allocate resources
accordingly.

2. Growth Strategies:
- Determining approaches for portfolio growth, such as market penetration, market development, product
development, or diversification.
- Example: Amazon's expansion from e-commerce into cloud services (AWS) and entertainment (Prime Video).

ng
3. Partnering within Company Departments' Value Chain:
- Collaborating with different departments to enhance value creation and delivery.
- Example: Microsoft partnering with its R&D, marketing, and sales teams to launch new products like Windows
Ki and Office suites.

4. Partnering within Marketing System Value Delivery Network:

- Forming alliances or partnerships within the marketing system to improve product delivery and customer
satisfaction.
- Example: Nike partnering with retailers and logistics companies to ensure efficient product distribution
globally.
ad
—--------------------------------------------------------------------------------------------------
M

9
(Important)
3. Marketing Strategy and Marketing Mix

Customer-Driven Marketing Strategy:

1. Segmentation: Dividing customers into groups based on things like age, where they live, or what they like.
Starbucks, for example, looks at who likes fancy coffee versus who wants a quiet place to study.
2. Targeting: Picking which of these groups to focus on. Starbucks might pay more attention to young
professionals who want quick coffee or students who need a hangout spot.
3. Differentiation (USP - Unique Selling Proposition): Figuring out what makes a company special compared to
others. Starbucks stands out for its cozy feel and quality coffee compared to other places.
4. Positioning: Creating a unique image in customers' minds. Starbucks wants you to think of it as a great place

ng
for good coffee and meeting friends.

Marketing Mix (4 P's and 4 A's):

1. Product: What a company sells, like burgers at McDonald's. They always come up with new stuff to keep
customers interested.
Ki
2. Price: How much customers pay for things. McDonald's has deals that give you lots of food for less money.
3. Place: Where customers can get products or services. McDonald's puts their restaurants where lots of people
can easily reach them.
4. Promotion: How companies tell people about their stuff. McDonald's uses ads, special offers, and social
media to get people excited about their food.
ad
4 A's (Acceptability, Affordability, Accessibility, Awareness):

1. Acceptability: Making sure customers like what's offered. McDonald's listens to what people want and
changes their menu based on that.
2. Affordability: Keeping prices fair for customers. McDonald's has deals that are cheap so everyone can enjoy a
M

meal there.
3. Accessibility: Making it easy for people to get what they want. McDonald's puts their restaurants in places
where it's easy for everyone to go.
4. Awareness: Making sure people know about the stuff a company offers. McDonald's advertises a lot so
everyone knows about their yummy food and deals.

Companies like Starbucks and McDonald's use these strategies to make sure they understand customers, offer
what they want, and make it easy for everyone to enjoy their products or services.

—--------------------------------------------------------------------------------------------------

10
Use the example of the Pakistani brand "Khaadi" to explain how they manage their market efforts:

1. Market Analysis for Khaadi:

- SWOT Analysis:
- Strengths: Khaadi has a strong brand identity known for its quality, unique designs, and use of natural fabrics.
They have a wide range of products from clothing to accessories.
- Weaknesses: They may face competition from local and international brands. They might need to adapt to
changing fashion trends quickly.
- Opportunities: They can expand internationally, tap into online sales, and introduce new product lines.
- Threats: Economic fluctuations and changing consumer preferences can impact their sales.

2. Planning for Khaadi:

ng
- Develop Strategies Plan:
- Khaadi might decide to focus on sustainable fashion and expand their online presence to reach a wider
audience. They could also invest in marketing campaigns to highlight their unique selling points.
- Develop Marketing Plans:
- They could plan specific campaigns for new product launches or seasonal collections. For example, they
Ki might have a marketing plan for their winter collection, targeting both online and in-store customers.

3. **Implementation and Organization at Khaadi:

- Carry Out the Plans:**
- Khaadi would ensure that the strategies and marketing plans are put into action. This includes tasks like
ad
creating promotional materials, setting up online campaigns, and organizing in-store displays.

4. Control for Khaadi:

- Measure Results:
- Khaadi would track the performance of their marketing efforts. They might use metrics like sales
figures,website traffic, and customer feedback to evaluate the effectiveness of their campaigns.
M

- Evaluate Results:
- After gathering data, Khaadi would analyze it to see what worked well and what could be improved. They
might find that certain marketing channels or strategies were more successful than others.
- Take Corrective Measures:
- If some aspects didn't meet their expectations, Khaadi might adjust their strategies. For instance, if a
particular online campaign didn't generate the expected traffic, they might refine their approach or
explore different channels.

By following these steps, Khaadi manages its market efforts effectively. This ensures that they stay competitive
in the fashion industry while continuing to meet the preferences of their customers.
—------------------------------------------------------------------------------------------------

11
 Chapter 3 - (Analyzing the Marketing Environment)

What is Marketing enivroment

1. mirco enviroment
2.marco eniviroment
whichi marketing enviroment effect to this companies ( J. , khaadi , sapphire )?

The marketing environment refers to the external factors and forces that can directly or indirectly influence a company's
marketing activities and its ability to build and maintain successful customer relationships. There are typically
two main components of the marketing environment:

ng
1. Microenvironment:
It includes all the actors and forces that effect the company directly and controllable .
It consists of elements such as suppliers, customers, competitors, intermediaries (like distributors and retailers), publics
(media, financial, government), and the company itself.

2. Macro Environment:
Ki
It includes all the actors and forces that effect the company indirectly and uncontrollable. Factors in the macroenvironment
include demographic, economic, socio-cultural, technological, political, and natural forces (often referred to as
PESTEL analysis).

When considering companies like J., Khaadi, and Sapphire, which operate in the fashion retail industry, their marketing
environments might be influenced by various factors:
ad
Microenvironment:

- Suppliers: Access to quality raw materials, supply chain disruptions, and relationships with suppliers can impact their
product quality and availability.
- Customers: Changing preferences, buying behavior, and demands for sustainability and ethical practices influence their
marketing strategies.
M

- Competitors: Competitive actions, pricing strategies, and product innovations in the fashion industry affect how these
companies position themselves.
- Intermediaries: Relationships with distributors, retailers, and other intermediaries play a crucial role in reaching
customers effectively.

Macroenvironment:

- Demographic factors:
Shifts in population demographics, such as age, income levels, and cultural diversity, impact their target markets and
product offerings.
- Economic factors:

12
 Economic conditions, inflation rates, and consumer spending patterns affect purchasing power and overall demand for
fashion products.
- Socio-cultural factors:
Changing fashion trends, societal values, and lifestyle choices influence consumer preferences and buying behavior.
- Technological factors:
Advancements in technology impact distribution channels, online retail, and customer engagement through digital
platforms.

- Political and legal factors:

Government regulations, trade policies, and labor laws can affect operations, sourcing practices, and international
expansion.
- Environmental factors: Growing concerns about sustainability, eco-friendly practices, and ethical sourcing influence

ng
consumer perceptions and brand reputation.

Each of these elements in the micro and macro environments can impact the marketing strategies, operations, and overall
success of companies like J., Khaadi, and Sapphire within the fashion retail industry. These companies need
to continually assess and adapt their strategies to navigate and leverage the influences of their marketing
environment effectively.
Absolutely, let's dive into the micro and macro marketing environments and how they affect companies like J., Khaadi, and
Ki Sapphire.

—--------------------------------------------------------------------------------------------------
ad
> J., Khaadi, and Sapphire in the Micro Environment:

1. Suppliers: These fashion brands rely on suppliers for raw materials like fabrics, dyes, and accessories. Changes in
supplier prices or availability can affect production costs and product availability. For example, a shortage of
high-quality cotton might impact Khaadi's production of premium clothing.

2. Customers: Understanding customer preferences and behaviors is crucial. For instance, J. might focus on high-end
M

traditional wear, while Khaadi may target a broader range of customers with its fusion of traditional and
contemporary styles. Sapphire, known for its trendy designs, might cater to a younger audience. Changes in
customer tastes and purchasing power directly impact these brands' strategies and product lines.

3. Competitors: Each brand faces competition within the fashion industry. J., Khaadi, and Sapphire constantly monitor their
competitors’ strategies, pricing, and product offerings to maintain their market position. For example, if Khaadi
launches a new line of eco-friendly clothing, Sapphire might respond with a similar sustainable collection to
retain customers interested in ethical fashion.

4. Intermediaries: These brands rely on distributors, retailers, and online platforms to reach their customers. Changes in
these channels, such as a shift towards online shopping or the emergence of new retail partners, impact their

13
 distribution strategies. For instance, J. might focus on luxury malls for its brick-and-mortar stores, while
Khaadi might explore pop-up shops in trendy neighborhoods to reach a younger audience.

5. Publics: Publics encompass various groups—media, financial, government, and local communities. Public perception
matters, especially in the fashion industry where trends and social influence are significant. For instance, an
endorsement from a popular celebrity can significantly boost a brand's image and sales. Conversely, negative
publicity or controversies might affect consumer trust and brand loyalty.

Macro Environment:
The macro-environment involves larger societal forces that are beyond a company's control, including economic,
technological, political, social, environmental, and legal factors.

> Impact on J., Khaadi, and Sapphire:

ng
1. Economic Factors:Fluctuations in the economy impact consumer spending. For example, during an economic
downturn, consumers might opt for more affordable clothing, affecting sales of luxury brands like J.
Conversely, during economic upswings, these brands might experience increased sales as disposable income
rises.

2. Technological Factors: Advancements in technology influence these brands' operations, marketing, and product
Ki development. For instance, adopting e-commerce platforms and leveraging social media marketing has
become essential for reaching a wider audience and enhancing customer engagement.

3. Political and Legal Factors: Changes in government policies, trade regulations, or labor laws can impact these
companies. For example, shifts in import-export tariffs can affect the cost of raw materials, potentially
ad
impacting the pricing strategy of these brands.

4. Social and Cultural Factors: Fashion is heavily influenced by societal trends, cultural preferences, and values. For
example, a growing awareness of sustainability might prompt these brands to incorporate eco-friendly
practices into their production processes or promote ethical sourcing of materials.

5. Environmental Factors: Increasing environmental consciousness influences consumer behavior. Brands like J., Khaadi,
M

and Sapphire might implement eco-friendly practices, such as using sustainable materials or reducing carbon
footprint, to align with consumer values and regulatory demands.

—--------------------------------------------------------------------------------------------------

14
 Compare 2 brands (advatage,diferent selling points,USP,in same segments)
Khaadi:
Advantages:
- Wide variety of designs from casual to formal wear, appealing to diverse customer tastes.
- Strong brand recognition both locally and internationally.
- Uses cool traditional methods to make clothes.
- Makes lots of different styles for everyone..

Different Selling Points:

- Cares a lot about the environment and how clothes are made.
- Makes clothes that mix old-school and new-school styles.
- Uses pretty colors and special designs.

ng
USP (Unique Selling Proposition):
- Khaadi is all about cool, handcrafted designs and colorful clothes that celebrate Pakistan's heritage.

Sapphire:
Advantages:
- Known for its high-quality fabrics and sophisticated designs.
Ki
- Strong presence across multiple cities in Pakistan and expanding internationally.
- Makes fancy clothes that young people really like.
- Lots of stores in Pakistan and getting popular outside too

Different Selling Points:

- Integrates Western trends with Pakistani cultural elements, creating a fusion of styles.
ad
- Focuses on super trendy clothes for younger folks.
- Mixes Western and Pakistani styles for a cool look.

USP (Unique Selling Proposition):

- Sapphire stands out for making stylish clothes that mix modern fashion with Pakistani vibes, perfect for special occasions.

Comparison:
M

- Advantages: Both brands excel in offering quality clothing with a distinct style.
- Different Selling Points: Khaadi emphasizes sustainability and traditional craftsmanship, while Sapphire focuses on
modern trends with a touch of cultural fusion.
- USP: Khaadi's uniqueness lies in its artisanal approach and vibrant heritage, while Sapphire's strength lies in its
contemporary designs and versatile appeal to younger audiences.

—--------------------------------------------------------------------------------------------------

15