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PP T 0000003
PP T 0000003
MARKETING
MEANING OF MARKET
The term market appears to have its origin in Latin word Marcatus which means a place where business is conducted. Market may or may not be a place . It is a center about which , or an area in which the forces leading to exchanges of titles to a particular product operate and towards which and from which the actual goods tend to travel . According to clark and clark
MEANING OF MARKETING
Marketing , today , is regarded as the most important of all management functions in any business organization . Goods and Services cannot be sold by merely producting them , but they have to move from place of production to customers for consumption . Marketing is the performance of business activites that direct the flow of goods and services from producer to consumer or user . American marketing association
CONCEPT OF MARKETING
1 TRADITIONAL VIEW 2 MODERN VIEW
TRADITIONAL VIEW
In old days , marketing was defined as the process by which goods and services are exchanged and their values are determined in terms of money prices . The process of marketing will start after the goods have been produced . The needs of the customers are not taken into consideration . The product oriented definition is based on the assumption that whatever is produced is bound to be sold which does not hold goods . That is why the concept of marketing has undergone a change . Now it represents a philosophy of business and is consumer oriented in its approach . It includes all the activites concerned with determining and influencing the present and potential demand of the goods and services which will satisfy the demands of the consumers.
MODERN VIEW
Marketing is a consumer oriented activity. It analyses the need the need of the customers before the products are produced and offered to them. The customer oriented marketing involves selling of satisfaction rather than selling a product. Business must produce what the consumers want , in the quantity and quality they desire , at a price they are willing to pay , at the time they need and through the channels most convinent to them.
OBJECTIVES OF MARKETING On the analysis of definitions given above , the objectives of marketing can be discussed as below : (1) Integrated Organisation : Integrated organisation means that all the different departments of organisation , i.e.,production, finance, purchase, and planning must be tightly integrated with each other, keeping marketing at the centre. This is important because every function of organisation has an impact on customer and the objective should be to see that all the functions lead to a favourable impression on customer.
IMPORTANCE OF MARKETING
Business is marketing. It means no business can survive without marketing. It is a unique function of the business. Marketing is more than any other business function because it is the delivery of customer satisfaction at a profit. Sound marketing is critical to the success of every organisation, whether large or a small, for profit or not for profit, domestic or global.
FUNCTIONS OF MARKETING
(1) Exchange functions (2) Physical supply functions (3) Facilitating functions
(2)
SELLING :
TRANSPORTATION :
Transportation is the physical means of carrying goods from one place to another. It plays a vital role in marketing. (2) STORAGE : Storage refers to the holding and preservation of goods from the time of production until the time of consumption.
Facilitating functions
(1) STANDARDIZING :
Standardizing is the process of making goods perfectly identical to the model product. (2) BRANDING : Branding means assigning specific name, design, size, symbol, specialties to the product, so that it can be distinguished from the product of other firms. (3) PACKING : Packing refers to wrapping, crating, filling or compressing of goods to protect them from spoilage, pilferage, leakage, etc. (4)PACKAGING : Packaging means placing products in suitable packages for safe and easy handling storage and transportation .
SELLING
MEANING OF SELLING
Selling is as basic to any business organisation as blood is to our blood is to our life. It is only selling which generates revenue for the business and enhances the living standards of the society. Selling is not a recent phenomena but it is as old as mankind. SELLING IS THE HEART OF MARKETING
TYPES OF SELLING
(1) COUNTER SELLING :
This is a method which is followed by most of the business organisations. In this method, the salesman of the organisation sells products of the company. (2) DOOR STEP SELLING : In this method of selling, the salesman visits the prospective customer at their door step, residence or office, and demonstrates the products and gets the orders. (3) ACROSS THE TABLE SELLING : In this method of selling, prospective customers are called at some specific place at predetermined time and at that place, the customers are given demonstration of product and negotiate with them. (4) AUCTION SELLING : Under this method, advertisements are
SALES PROMOTION
To inform people of the availability of products so that they need not search out for them. To remind them of the continued existence of new and improved products. To stimulate demand by explaining special features of products. To educate customers in the right use of products.
Contests
AGGRESSIVE SELLING
Aggressive selling is concerned with the sales efforts made with the objective of selling more by expanding the market for the product of selling firm. Cash Allowance Extra Products Gifts Consumer Promotion Sampling
PERSONAL SELLING
Involves persuasion of customers : A salesman must have the ability to convince the people to buy his product. The customer is not to be pressurised, but influenced favourable by the salesman. Involves winning buyers confidence : Modern salesmanship aims at educating the customer and providing a solution to his problems.
(2)
(3)
Creative : It creates wants by showing to prospectiv e buyers how the new product or service will benefit them.
(4)
An interpersonal process :
Personal selling involves direct and personal contact between buyer and seller or his representative.
ADVERTISING
MEANING OF ADVERTISING
The word advertising has been derived from the Latin term advertere which means turn to or turning the attention towards thee product . Advertising is any paid form of non personal presentation or promotion of ideas , goods or services of an identified sponsor . - AMERICAN MARKETING ASSOCIATION
FEATURES OF ADVERTISING
Paid form of presentation Paid form of communication Presence of sponsor Presence of medium
NATURE OF ADVERTISING
Advertising is an essential part of commerce . A good business , today , to a large extent , depends on good advertising. A producers products may be good in quality ; but unless the purchasers know about them , the trading value of his products remains untested .
PUBLICITY
MEANING OF PUBLICITY
Publicity is the deliberate attempt to manage the publics perception of a subject. The subjects of publicity include people , goods and services , organizations of all kinds , and works of art or entertainment. From a marketing perspective, publicity is one component of promotion which is one component of marketing. Examples of promotional tactics include : 1 ART EXHIBITION 2 EVENT SPONSORSHIP 3 ARRANGE A SPEECH OR TALK 4 MAKE AN ANALYSIS 5 CONDUCT A POLL OR SURVEY 6 ISSUE A REPORT The advantages of publicity are low cost , and credibility. New technologies such as weblogs , web cameras , web affiliates , and convergence are changing the cost structure.