• Marketing ?

• Identifying and meeting human and social

needs.
• Meeting needs profitably.
• Flow of goods and services from
producers to customers.
• The term was first academically defined in
1937 when the newly born
American Marketing Association (AMA)
asserted:
– “Marketing consists of those activities
involved in the flow of goods and services
from the point of production to the point of
consumption.[2]"
• Adding to Kotler's and Norris' definitions,
the Chartered Institute of Marketing's
(CIM) definition claims marketing to be the
"...management process of anticipating,
identifying and satisfying customer
requirements profitably .
• For a marketing plan to be successful, the
mix of the four "Ps" must reflect the
desires of the consumers in the
target market
 Types of markets
• Consumer markets.
• Business markets.
• Global markets.
• Non-profit and governmental markets.
 Marketing mix

product price promotion place

 Core marketing concepts.
• Market segmentation.
• Market place.
• Market space.
• Meta market.
Seven p’s
 In addition to the traditional four p’s
three more p’s are added by Booms
and Britner.
 people
 process
 physical evidence
 Eighth p
• packaging
• People:
all people that are directly or indirectly involved
in the consumption of a service.
e.g.: knowledge workers, employees
,management.
process :
procedures ,mechanisms and flow of activities
by which the flow of services is consumed
physical evidence
the ability and environment in which service is
delivered.
• Segmentation based on demographic,
physiographic and behavioral
differences among buyers.
• Market place is physical – shopping in a
store.
• Market space is digital – shopping on
the internet.
• Meta market – is a cluster of
complementary goods and services.
e.g.: automobile –insurance ,loan
,accessories, dealers.
• Needs ,wants and demand.
• Brand image.
• Offering.
• Marketing channels.
• Competition.
• Needs become wants when they are
directed to specific objects that satisfy the
need.
• Wants are shaped by the one’s society.
• Demands are wants for specific products
backed by an ability to pay.
• E.g.: many people want mercedez .
• Competition-
• Brand competition.
• Industry competition.
• Form competition.
• Generic competition.
• Offering – combination of products,
services, information, experience.
• E.g. :offer from the Mercedes Benz
• Brand competition :a company sees
its competitors as other companies that
offer similar products and services to
the same customers at similar prices.
• E.g.: wagon r from Maruti and santro
from Hyundai.
• Industry competition : a company
sees its competitors as all companies
that make the same product or class of
products.
• MARUTI AGAINST HYUNDAI
• Form competition : a company sees its
competitors as all companies that
manufacture products that supply the
same service.
• Generic competition:
a company sees its competitors as all
companies that compete for the same
consumer group.
e.g. :Volkswagen would see itself
competing with companies that sell major
consumer durables , foreign vocations,
new homes.
 Stages in marketing .
Entrepreneurial marketing.
Formulated marketing.
Intrepreneurial marketing.
The scope of marketing.
• The scope of marketing.
marketing people are involved in marketing
10 types of entities.
 goods.
 services.
 experiences.
 events.
 persons.
 places.
 properties.
 Organizations.
 Information.
 Ideas.
• Ideas.
Every market offering includes a basic
idea at its core.
e.g.: Charley Revson of Revlon: in the
factory we make cosmetics in the store we
sell hope.
Marketing management ?
• Marketing management ?
• Is the process of planning and executing
the conception, pricing , promotion and
distribution of ideas , goods ,services , to
create exchanges that satisfy individual
and organizational goals.
Evolution of marketing.
 The stage of barter.
 The stage of money economy.
e.g. :pricing
 The stage of industrial revolution.
 The stage of competition .
 The emergence of marketing .
 Three stages in the evolution of
marketing.

 Product – orientation stage.

 Sales – orientation stage.
 Market – orientation stage.
 Product orientation stage.
Focused on the quality, design and
quantity of the product.
 sales orientation stage.
consumer had limited resources and
selling equipped more place through
advertisement efforts.
 Market orientation stage.
In this stage companies identify what the
customers want and accordingly they will
shape their products.
Orientation of management
towards marketing.
The five distinct concepts of
marketing
• The exchange concept.
• The production concept.
• The product concept.
• Marketing myopia.
• Sales concept.
• The exchange concept.
product exchange buyer-seller.
distribution, pricing concepts lies .
• The production concept..
focused on mass production and least
price.
• The product concept.
improved products , new products
Focused on the quality, design and
quantity of the product
• Marketing myopia.
excessive preoccupation with the product ,
production or selling , ignoring the
customer.
• Sales concept..
as promotional methods are having more
importance ,advertising, personal selling,
discounts ,sales promotion , public
relations etc lies on this.
Selling and marketing
• Selling revolves around the interests of
seller whereas marketing around the
buyer.
• Views as a goods producing process.
Whereas mktg views as a customer
satisfying process.
• Firm must make the product and figures
how to sell it whereas mktg shape its
products on the customers demand.
The marketing concept
• The key to achieve the organizational
goals consists of the company being more
effective than its competitors in creating ,
delivering and communicating customer
value to its chosen target markets.
• Meeting needs profitably.
• “You’re the boss” (united airlines).
• “putting people first ” (British airways).
• “Have it your way” . (burger king )
The marketing concept

Target Integrated
Customer
market marketing
needs

Profits through
Customer
satisfaction
• Integrated marketing.
when all the company’s department work
together to serve the customer’s interests
the result is integrated marketing.
e.g. :sales dept, advertising , customer
service , product mgmt, marketing
research.
 Top
• Traditional management
organization chart
Middle
management

Front-line
people

customers
 customers
• Modern customer –
oriented organization
chart Front –line people

Middle management

Top management
• E.g. of companies practice marketing
concept..
• Mc Donald's, P&G , Wal- Mart
Limitations of marketing
concept.
• Proper attention is not there for employees
and suppliers.
• It gives priority to customer satisfaction
secondary how to compete , how to
perform marketing activities.
Value driven marketing
• Value driven marketing is an orientation for
achieving objectives by developing superior
value to customers.
• An extension of marketing orientation that
attempts to overcome the problems of marketing
orientation refers to value driven marketing.
• Six principles lies for value driven marketing.
 Customer principle.
•
Competitor principle.
•
Proactive principle.
•
Cross-functional principle.
•
Continuous improvement principle.
•
Stakeholder principle
•
• Customer principle: focus marketing
activities on creating and delivering
customer value. (direct & indirect )
• Competitor principle: offers customers
superior value to competitive
alternatives. (icici bank ).
• Proactive principle : change
environments to improve the chances
for success when appropriate.
• Cross-functional principle :.use cross
functional teams (bring people from
other business functions i.e. finance ,
r&d ) when they improve efficiency and
effectiveness of marketing activities.

• Continuous improvement principle:

continuously improve marketing
planning , implementation and control.
• Stakeholder principle :
Stakeholders are individuals and groups
who are influenced and can influence
marketing decisions.
e.g. : customers, employees, suppliers ,