What is Marketing?

Marketing is an organizational function

and a set of processes for creating,
communicating, and delivering value
to customers and for managing
customer relationships
in ways that benefit the
organization and its stakeholders.

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 What is Marketing
Management?

Marketing management is the

art and science
of choosing target markets
and getting, keeping, and growing
customers through
creating, delivering, and communicating
superior customer value.

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 Selling is only the tip of the
iceberg

“There will always be need for

some selling. But the aim of marketing
is to make selling superfluous. The aim
of marketing is to know and understand
the customer so well that the product or
service fits him and sells itself. Ideally,
marketing should result in a customer
who is ready to buy. All that should be
needed is to make the product or
service available.”
Peter Drucker
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 Obtaining Products

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 For an exchange to occur….

• There are at least two parties.

• Each party has something that might be
of value to the other party.
• Each party is capable of communication
and delivery.
• Each party is free to reject the exchange
offer.
• Each party believes it is appropriate or
desirable to deal with the other party.
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 What is Marketed?

• Goods (tangible) • Places (Cities, States,

• Services (intangible) Regions, Nations) and

• Events (time based— Properties (Intangible

rights of ownership of real
trade shows) and estate or financial properties)
Experiences (Walt • Organizations
Disney World’s Magic (Universities, Museums,
kingdom) Performing Arts Organization)
• Persons (Artists, • Information (Books,
Musicians, CEO, Schools, Magazines)
Physicians) • Ideas (Revlon sell hope)

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 Marketing Goods

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 Marketing Ideas:
Friends Don’t Let
Friends Drive Drunk

This is the watch

Stephen Hollingshead,
Jr. was wearing when
he encountered a drunk
driver.
Time of death 6:55 p.m.

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 Key Customer Markets

• Consumer markets (personal

consumption)
• Business markets (resale or used to
produce other products or services)
• Global markets (international)
• Nonprofit/Government markets
(Churches, Universities, Charitable
Organizations, Government Agencies)

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 Key Customer Markets
Consumer Markets Global Markets

Business Markets Nonprofit/ Government

Markets

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 Global Markets

Coke is represented at the

first China International
Beverage Festival in Beijing
in 2003

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 Corporate Social Initiatives

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 The marketplace isn’t what it used to be…

Changing
Changing technology
technology
Globalization
Globalization
Deregulation
Deregulation
Privatization
Privatization
Empowerment
Empowerment
Customization
Customization
Convergence
Convergence
Disintermediation
Disintermediation
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 Demand States
• Negative (dislike product
and may even pay a price to
avoid it)
• Nonexistent (unaware
of or uninterested in the
product)
• Latent (need that cannot
be satisfied by existing
product)
• Declining (buy the
product less frequently or
not at all)
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• Irregular (purchases vary
on a seasonal, monthly, weekly,
daily, or even hourly basis)
• Unwholesome (product
that have undesirable social
consequences)
• Full (adequately buying all
products put into the
marketplace)
• Overfull (more consumers
would like to buy the product
that can be satisfied)
 Company Orientations

• Production (consumers will prefer products that

are widely available and inexpensive)
• Product (consumers favor products that offer the
most quality performance, or innovative features)
• Selling (consumer and businesses, if left alone,
won’t buy enough of the organization’s products)
• Marketing (find the right product for the
consumers (i.e., satisfy the wants and needs of the
consumers)

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 The Four P’s

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 Marketing-Mix Strategy

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Marketing Mix and the Customer

Four Ps Four Cs
• Product • Customer
• Price solution
• Place • Customer cost
• Promotion • Convenience
• Communication

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 Core Concepts

• Needs, wants, and • Marketing channels

demands (communications,
• Target markets, distribution, and
service)
positioning (in mind
of target buyers), • Supply chain
segmentation • Competition
• Offerings (intangible • Marketing
benefit made physical) environment
and brands (offering • Marketing planning
from a know source)
• Value (set of benefits)
and satisfaction
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Marketing Management Tasks
• Developing marketing • Shaping market
strategies (strategic fit)
offerings
• Capturing marketing
insights (obtaining • Delivering value
information) • Communicating
• Connecting with value
customers • Creating long-
(relationships)
term growth
• Building strong brands
(positioning and
(understand strengths
and weaknesses) new-product
development)

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 New Consumer Capabilities
• A substantial increase in buying power (a click
away)
• A greater variety of available goods and
services (internet)
• A great amount of information about
practically anything (online)
• Greater ease in interacting and placing and
receiving orders (24/7)
• An ability to compare notes on products and
services (internet)
• An amplified voice to influence public opinion
(internet)
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 Holistic Marketing Concept
• Holistic marketing is an approach to marketing that focuses
on the development of a comprehensive, unified, and all-
encompassing marketing strategy.

• It considers the broader impact of marketing activities on

various stakeholders, including customers, employees, and
the larger society, rather than solely focusing on traditional
marketing elements like product, price, place, and promotion
(the 4Ps).

• It considers all the different parts of a business as one single

entity. It is based on the concept that the whole is greater than
the sum of its parts.
 Holistic Marketing Concept
• It ensures that each person in every department
work together towards one common goal.

• Holistic marketing means thinking about the

whole experience for customers, from the
product quality to how it's promoted and how the
company behaves in society. It's about creating
a complete and positive relationship with
customers, employees, and the world, not just
selling a product.
 Holistic Marketing Dimensions

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 Internal marketing
• Internal marketing involves focusing on your company's
employees. It means making sure your employees understand
and believe in the company's mission, values, and goals.

• When employees are engaged and motivated, they become

effective brand advocates and provide better customer
service.

• It's about keeping your employees happy and aligned with the
company's values because they are the ones who directly
interact with customers and represent your brand.

• Internal marketing is the task of hiring, training, and

motivating able employees who want to serve customers well.
 Integrated marketing
• Integrated marketing is all about ensuring that your marketing
efforts are consistent and coordinated across various channels
and touchpoints. It aims to present a unified brand message to
customers.

• Think of it as making sure that your website, social media,

advertisements, and even your in-store experience all tell the
same story about your product or service.

Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1-27

 Relationship marketing
• Relationship marketing emphasizes building long-
term, mutually beneficial relationships not only with
customers, but also with employees, marketing
partners, financial partners.

• Rather than just selling a product and moving on,

relationship marketing is like making friends with
your customers. You want them to come back, trust
you, and recommend you to others.

Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1-28

 Social Responsibility Marketing
• This dimension focuses on a company's commitment
to being socially responsible. It includes initiatives
like sustainability efforts, ethical business practices,
and contributions to the community.

• It's about showing that your company cares about

more than just making money. You're also concerned
about the environment, ethics, and the well-being of
society.

Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1-29

 Performance Marketing
• Performance marketing is
about measuring and
evaluating the effectiveness
of your marketing campaigns
and strategies. It relies on
data and key performance
indicators (KPIs) to make
informed decisions.
• Financial Accountability—building band
and growing the customer base.
• Social Responsibility Marketing—must
consider ethical environment, legal, and
social context on activities.
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• Social Initiatives
• Corporate social marketing —
supporting behavior change
campaigns
• Cause marketing —promoting
social issues through sponsorships,
licensing agreements, and
advertising
• Corporate philanthropy—making
gifts, goods, or time
• Corporate community
involvement—in kind or volunteer
service
• Socially responsible business
practices—to protect environment
and human and animal rights
 I want it, I need it…

5 Types of Needs
• Stated needs (inexpensive)
• Real needs (low operating
cost)
• Unstated needs (good
service)
• Delight needs (extras)
• Secret needs (savvy
consumer)

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• Stated Needs:
• These are the needs that customers express
explicitly. They are the most apparent and
straightforward requirements. For example, a
customer might state that they want a car that is
inexpensive. Stated needs are usually easy to identify
because customers directly communicate them.

• Real Needs:
• Real needs are the actual underlying needs that
customers may not explicitly express. In the context
of a car purchase, a customer stating they want a low
operating cost is expressing a real need. Real needs
often require a deeper understanding of the
customer's situation and preferences to uncover.
• Unstated Needs:
• These are the needs that customers have but don't
articulate. Unstated needs can be uncovered through
observation, feedback, or by closely studying customer
behavior. For instance, a customer may value good
service but not explicitly mention it when discussing
their needs.

• Delight Needs:
• Delight needs go beyond meeting basic expectations;
they involve surprising and delighting the customer
with something extra. This can be in the form of
unexpected features, superior quality, or excellent
customer service. Delight needs are about exceeding
customer expectations and creating a positive
emotional impact.
• Secret Needs:
• Secret needs are often associated with customers who are
very knowledgeable or experienced in a particular domain.
Savvy consumers may have needs that are not commonly
expressed or understood by the general public. Identifying
and addressing these secret needs can be a way to cater to
a more specialized and discerning customer base.

• Understanding and addressing these different types of needs is

essential for businesses to develop products, services, and
marketing strategies that truly resonate with their target
audience. By going beyond the stated needs and considering
the real, unstated, delight, and secret needs, companies can
build stronger relationships with customers and offer products
and experiences that set them apart from competitors.
THANK YOU….