Amity Business

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School

Welcome to Marketing
Management

Sonali Banerjee
 Amity Business
Name of Institution
School

What is Marketing?
 What is Marketing?
Amity BusinessName of Institution
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• Personal Selling?
• Advertising?
• Making products available in stores?
• Maintaining inventories?
All of the above and much more!
 What is Marketing
Amity Business Name of Institution
School

• Marketing is about identifying and meeting

human needs.

• The Shortest Definition of Marketing is:

“ Meeting Needs Profitably.”

 What is Marketing
Amity Business Name of Institution
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• Social definition
A societal process by which individuals
and groups obtain what they need and
want through creating, offering and freely
exchanging products and services of value
with others
 What is Marketing?
Amity Business Name of Institution
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• Management definition
It is the process of planning and
executing the conception, pricing,
promotion and distribution of ideas,
goods and services to create exchanges
that satisfy individual and organizational
goals.
 American Marketing Association
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Definition

• Marketing is an organizational function

and a set of processes for creating,
communication an delivering value to
customers and for managing customer
relationships in in ways that benefit the
organization and its stakeholders.
 Amity Business
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• Marketing Management as the art and

science of choosing target markets and
getting, keeping and growing customers
through creating, delivering and
communicating superior customer value.
 Amity Business
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‘Marketing is the management process that

identifies, anticipates and satisfies
customer requirements profitably’

The Chartered Institute of Marketing

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‘The right product, in the right place, at

the right time, and at the right price’

Adcock et al
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‘Marketing is the human activity

directed at satisfying human needs
and wants through an exchange
process’

Kotler 1980
 Amity Business
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‘Marketing is a social and managerial

process by which individuals and
groups obtain what they want and
need through creating, offering and
exchanging products of value with
others’
Kotler 1991
 More simply Amity Business
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Marketing is the delivery of

customer satisfaction at a
profit.
 Purpose of Marketing
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• “To create customer”

Peter Drucker

• “To create , recreate ,hold and attract

the customer”
“ people don’t buy products, they buy
expectation of benefits……”
Theodore levitt
 Amity Business
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Marketing is managing profitable

customer relationships
 Amity Business
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The aim of marketing is to create value for

customers and capture value from
customers in return.
 Amity Business
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Marketing is satisfying
customer needs
 Amity Business
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If a marketer understands consumer needs,

develops products/services that provide
superior customer value, and prices,
distributes and promotes them effectively.
The Product or the service would sell
easily.
 Amity Business
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• Marketing is a social and a managerial

process by which individuals and
organizations obtain what they need and
want through creating and exchanging
value with others.
 Marketing Process
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Construct an
Understand the Design a
Marketplace and Integrated
customer-driven Marketing program
Customer needs Marketing That delivers
And wants. Strategy Superior value

Capture value
Build profitable
From customers
Relationships and
To create profits
Create customer
And customer
delight
equity

Create value for customers and build customer relationship

 Customer Needs, Wants and
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Demands School
• Needs: States of felt deprivation

• Wants: The form human needs take as

shaped by culture and individual
personality

• Demand: Human wants that are backed by

buying power.
 Amity Business
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• Market Offering: Some combination of

products, service, information or
experiences offered to a market to satisfy
a need or a want.
• Exchange: The act of obtaining a desired
object from someone by offering
something in return.
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• Market: The set of all actual and potential

buyers of a product or service.
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Company

Marketing
Suppliers Consumers
Intermediaries
Competitors

Major environmental Forces

Elements in Marketing System

 Marketing Management
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Orientations
• The Production Concept
• The product Concept
• The Selling Concept
• The Marketing Concept
• The Societal Marketing Concept
 Marketing Management
Amity Business
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Orientations School
• The Production Concept:
The idea that consumers will favor
products that are available and highly
affordable and that the organization should
therefore focus on improving production
and distribution efficiency.
 Marketing Management
Amity Business Name of Institution
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Orientations
• The Product Concept:
The idea that the consumers will favor products
that offer the most quality, performance and
features, and that the organization should
therefore devote its energy to making
continuous product improvement.
 Marketing Management
Amity BusinessName of Institution
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Orientations
• The Selling Concept:
The idea that the consumers will not buy
enough of the firm’s products unless it
undertakes a large scale selling and
promotion effort.
 Marketing Management
Amity Business
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Orientations
• The Marketing Concept:
The marketing management philosophy that
holds that achieving organizational goals
depends on knowing the needs and wants of
target markets and delivering the desired
satisfactions better than competitors do.
 Amity Business
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Starting Focus Means Ends
Point

Factory Existing Selling and Profits through

Products Promoting Sales volume
The Selling Concept

Customer Integrated Profits through

Market Customer
Needs Marketing
satisfaction

The Marketing Concept

 Marketing Management
Amity Business Name of Institution
School
Orientations
• The Societal Marketing Concept:
The idea that a company’s marketing decisions
should consider consumer’s wants, the
company’s requirements, consumers’ long run
interests, and the society’s long run interest.
Societal Marketing Concept
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Society
(Human Welfare)

Societal
Marketing
Concept

Consumers Company
Want Satisfaction Profits
 Building Customer Relationships
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• Customer relationship management is the

overall process of building and maintaining
profitable customer relationships by
delivering superior customer value and
satisfaction.
• It deals with all aspects of acquiring,
keeping and growing customers.
 Customer Value and Satisfaction
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• Customer Value:
Customer buys from the firm that offers
the highest customer perceived value. The
customers’ evaluation of the difference
between all the benefits and all the costs
of the market offering relative too those of
competing offers
 Customer Value and Satisfaction
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• Customer Satisfaction:
The extent to which a products’ perceived
performance matches the buyers
expectations.
 Michael Porter’s Value-Chain
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• Developed in 1985 by Michael E. Porter in

Competitive Advantage
• Highlights cost advantages and
distinctive capabilities--the value
processes
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• Value Chain allows alignment of

processes with customers. This generates
a quality advantage.
• Value Chain focuses cost management
efforts.
• Value Chain provides for efficient
processes which improves the timeliness
of operations.
 Value Chain Benefits
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• Identifies value processes

• Identifies areas for cost improvement

 Value Chain Model
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Firm Infrastructure (General Management)

Support
Human Resource Management
Activities
Technology Development

Procurement

Inbound Ops. Outbound Sales & Service and

Logistics Logistics Marketing Support

Primary Activities
 Strategic Planning
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• The managerial process of creating and

maintaining a fit between the
organization’s objectives and resources
and evolving market opportunities.
 Strategic Planning
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RESOURCES & OBJECTIVES

+
EVOLVING MARKET OPPORTUNITIES
=
LONG RUN PROFITABILITY AND
GROWTH
 Planning Amity Business
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• The process of anticipating future events

and determining strategies to achieve
organizational objectives in the future.
 The Marketing Plan
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• A written document that acts as a

guidebook of marketing activities for the
marketing manager.
 Why Write a Marketing Plan?
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 Provides a basis for comparison of actual and expected

performance

 Provides clearly stated activities to work

toward common goals

 Serves as a reference for the

success of future activities

 Allows entry into the

marketplace with awareness
Marketing PlanAmity Business Name of Institution
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Process
Business Mission
Statement

Objectives

Situation or SWOT
Analysis

Marketing Strategy

Target Market
Strategy

Marketing Mix
Product Distribution

Promotion Price

Implementation
Evaluation
Control
 Defining the BusinessAmity
Mission
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• Answers the question,

“What business are we in
and where are we going?”

• Focuses on the market(s)

rather than the good or service

• Strategic Business Units may

also have a mission statement
AMA’s Mission Statement
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 PepsiCo’s Mission Statement
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• “PepsiCo’s overall mission is to increase the value of

our shareholders’ investment. We do this through
sales growth, cost controls and wise investment of
resources. We believe our commercial success
depends upon offering quality and value to our
consumers and customers; providing products that are
safe, wholesome, economically efficient and
environmentally sound; and providing a fair return to
our investors while adhering to the highest standards
of integrity.”
 Marketing Objective
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A statement of what is to be accomplished

through marketing activities.
 Marketing Objectives
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Marketing Objectives Example:

Must Be: “Our objective is to
• Realistic increase market share
by 40% and to obtain
• Measurable customer satisfaction
ratings of at least 90%
• Time specific in 2013”

• Consistent with
Organization’s
Priorities
Examples of Marketing Objectives
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 Marketing Plan Objectives
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• Communicate marketing management

philosophies

• Provide direction

• Serve as motivators

• Clarify thinking

• Provide basis for control

 Amity Business
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For Queries Mail

spbanerjee@amity.edu
sonali15aug@amity.edu
or Call
+91 9818150960