PRINCIPLES

OF
MARKETING
2020
2021

Professor : Elias Abdelkefi

What is marketing ?
 WHAT IS MARKETING ?

•Marketing is not selling and advertising.

• Advertising and selling are just the tip

of the iceberg of marketing.
 WHAT IS MARKETING ?

Selling and advertising are part of a large

and sophisticated set of marketing tools
(marketing mix).
 Activity time
(Advertising & selling)
Who was the first
Marketer ?
Then the serpent said to
the woman, “You will not
surely die. For God knows
that in the day you eat of
it your eyes will be opened,
and you will be like God,
knowing good and evil.”

Genesis 3:4-5
Who wrote the first
marketing books ?
 Who wrote the first
marketing books ?

-Physicists ?
-Chemists ?
-Sociologists ?
 The answer is :

Disillusioned economists

Price Demand
Adam Smith, Thomas Malthus,
David Ricardo, Alfred Marshall
WHAT IS MARKETING ?

Marketing is a set of activities related

to creating, communicating, delivering,
and exchanging offerings that have
value for others
WHAT IS MARKETING ?
“The process by which companies
engage customers, build strong
customer relationships, and create
customer value in order to capture
value from customers in return.”
(Kotler & Armstrong, 2018, p. 29).
WHAT IS THE FUNCTION OF MARKETING ?

Marketing brings value to customers,

whom the business seeks to identify,
satisfy, and retain.
THE MARKETING PROCESS
MARKETPLACE CONCEPTS :
1) Needs and wants
2) Market offerings (products, services,
and experiences)
3) Value and satisfaction
4) Exchanges and relationships
5) Markets
THE ROLE OF MARKETING
 Activity time

- What is the difference between

needs and wants ?

- What is the difference between

products and services ?
WHAT IS THE DIFFERENCE BETWEEN
NEEDS AND WANTS ?

Needs : states of felt deprivation.

Wants : the form human needs take as

they are shaped by culture and
individual personality.
NEEDS
NEEDS

Needs can be triggered by multiple

stimuli such as : commercials, friends,
etc.
NEEDS

Maslow's Hierarchy of Needs

PRODUCT VS SERVICE
PRODUCT VS SERVICE

Product : a tangible item that is put on

the market for acquisition or
consumption.

Service : an intangible item, which

arises from the output of one or more
individuals.
 PRODUCT VS SERVICE
Products are :
- Countable
- Touchable
- Visible
- A consumer can assess its durability by
examining it.
 PRODUCT VS SERVICE

A product can be stored and tested (e.g. :

a buyer can take the car for a drive to
test it before deciding to buy it).
 PRODUCT VS SERVICE

A customer can participate in the

production process of a service
(e.g. : hairstyle).
 PRODUCT VS SERVICE

A service is produced, sold, consumed

simultaneously.
 VALUE AND SATISFACTION

Customers form expectations about the

value and satisfaction that various
market offerings will deliver and buy
accordingly.
 VALUE AND SATISFACTION

Satisfied customers buy again and tell

others about their good experiences.
 VALUE AND SATISFACTION

Dissatisfied customers often switch to

competitors and disparage the product
to others.
VALUE AND SATISFACTION

Consumer’s Company’s
Marketing
feedback
effort
VALUE AND SATISFACTION

Create superior customer value and

satisfaction.
=
Long term relationship with customers.
 CUSTOMER VALUE

A customer buys from the firm that

offers the highest customer-perceived
value.
 CUSTOMER VALUE
•The customers do not evaluate the
difference between all the benefits and
all the costs of a market offering
“accurately” or “objectively.”

•They act on perceived value.

 CUSTOMER VALUE

•To some consumers, value might mean

sensible products at affordable prices.

•To other consumers, however, value

might mean paying more to get more.
 Avoid Marketing Myopia

Focusing only on existing wants and

losing sight of underlying consumer
needs
CUSTOMER VALUE
Detect and anticipate changing
preferences and new trends

Stay up to date
 Activity time

What are the steps you follow (buying

process) in order to :
- Get a smartphone
-Buy a car
- Purchase a pair of shoes
-Make a registration in a private university