31-Aug-22

Principles of
Marketing

AEP Program 2022

DOÃN HOÀNG MINH, PhD, Marketing Faculty
National Economics University

Course learning outcomes

• Understand
• Fundamental marketing concepts and models, the role of marketing in a firm
• Major tasks in the marketing management process:
• Market research
• Marketing strategy and marketing mix (4P, 7P)
• Marketing organization, implementation and control
• Apply
• Into the reality of marketing for a product/service:
MARKET OPPORTUNITIES  MARKETING STRATEGY AND 4PS
 PERFORMANCE AND EVALUATION
• Recognize global and ethical trends
• Global marketing opportunity and challenges
• Ethical and social responsibility issues in marketing decisions

1
 31-Aug-22

CLASS TOPICS READINGS

Week 1 Defining Marketing and the Marketing process, customer value & engagement Chapter 1-2

Week 2-3 Analyzing the Marketing environment – Managing Marketing information Chapter 3 -4

Week 4 Connecting with customer: Consumer market and buyer behavior Chapter 5

Week 5 Competition analysis - Creating competitive advantage Chapter 18

Week 6 Marketing strategy: Creating value for Target customer Chapter 7

Week 7 Building customer value: Product, Service & Brand Chapter 8

Week 8 Developing new product – Managing the product life cycle and portfolio Chapter 9

Week 9 Pricing strategy: Capturing customer value Chapter 10, 11

Week 10 Marketing channels: Delivering customer value Chapter 12

Week 11-12 Value communication: Integrated marketing communication Chapter 14

Week 13 Final group project presentation Group project

Week 14 Global marketplace, marketing & ethics, contemporary issues Chapter 19-20

Week 15 Course review

3

Course materials

2
 31-Aug-22

Course book and reference

https://kerinmarketing.com/

Philip Kotler, Gary Armstrong, Marc Oliver Opresnik • https://www.brandsvietnam.com/

(2021) Principles of Marketing, 18th edition. Pearson

Other useful internet resources

• https://advertisingvietnam.com/
• VMCC - Vietnam Marketing &
Communications Group)
• https://sharktankvietnam.com/

3
 31-Aug-22

Course assessment
• Individual participation (class activities & contribution) 10%
• Group works: Analyse a product brand from a marketing approach
5 assignments (cumulative points) 20%
A market survey report 10%
A video wrap up 5-7 minutes 10%
• Final exam (open-book) 50%

o Starting point for individual participation is 2, every absence or missing due assignment will result in a penalty (-1), and
every effective contribution to class activities will receive a bonus (+1 or +2) in attendance score

Group project
Group of 5-7 students
Choosing a product
that you are a fan of A real product brand
and study:
 its marketing A series of 5 assignments
environment.
 its marketing A market survey
strategy and tactics
 Its performance
A video presentation 5-7 minutes
 Recommendations

4
 31-Aug-22

Week 1
 Visit Aeon Mall, Winmart, Top Market … choose a product category, explain the basic need that is
relevant, indicate different customer expectations, indicate major brands that are available
Week 2-3
 Analyze the product category’s marketing environment, the market size and major trends
Week 4
 Select a specific brand that your group is fan of, specify its logo, slogan (tagline), buyer’s motives
or incentives to purchase
 Develop a SWOT analysis for that brand
Week 5-6
 State the marketing strategy for that brand following the STP framework
 Draft a positioning map for the brand
Week 7-8-9-10
 Study the brand’s 4P decisions (product, price, place, promotion)
Week 11-12
 Conduct a market survey to get customer’s feedback on the brand’s 4P
Week 13 Video wrap up:
 What did you learn about the marketing of your product and the brand
 What changes would you recommend regarding any of the 4Ps

Communication channel

https://bit.ly/3wGYFEy

10

5
 31-Aug-22

Some important class rules

• Be focused: No electronic devices during class (smartphone, laptop,
headphone…) unless authorized by the lecturer
• Be on time: Late arrival (10 minutes) will be counted as an absence
• Be prepared: Ensure you have all relevant chapters read or homework
finished as required before each class
• Be active & collaborative: Effective contribution (discussion,
teamwork…) is important and needed for your score.
• Be respectful to each other: No private talking or work, no food during
class hours

11

Defining Marketing and the Marketing process, Session I

Customer value & engagement Chapter 1, 2

12

6
 31-Aug-22

Learning Objectives
Understand

1. What is marketing?

2. What is the role of marketing for a firm?

3. What is the customer-value other major concepts in

marketing?

4. How can the marketing process be defined?

13

1. What is marketing?

All Customers
Reality No 1 Differ

Principle 1: Selectivity and Concentration

14

7
 31-Aug-22

• Marketing relates to the art and science of choosing target markets

and getting, keeping, and growing customers through creating,
delivering, and communicating superior customer-value

• Marketing is 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

15

Reality No 2 All Competitors

React
Reality No 3 All Customers
Change

Principle 2: Differential Advantage

Principle 3: Value – Satisfaction - Loyalty

The twofold goal of marketing is to attract new customers by promising superior

value and to keep and grow current customers by delivering value and
satisfaction.

16

8
 31-Aug-22

Formal definition of marketing

https://www.ama.org/the-definition-of-marketing-what-is-marketing/

17

2. What is the role of marketing for a firm?

Marketing
Makes sure right goods &
services are produced
Production
Making Goods
Performing Services

…and delivered to
target customer
LONG
TERM
GROWTH

Maintains Customer Satisfaction

18

9
 31-Aug-22

Societal orientation
External focus Value orientation
Do the things customer values most

Customer orientation

Sale orientation

Product orientation
TIME

Production orientation Do the things you know best

MARKETING
Internal focus ROLE
RECOGNITION

19

Giám đốc Mar

https://hbr.org/2017/07/why-cmos-never-last

20

10
 31-Aug-22

• Different views and

consideration by practitioners
• Different ways of organization
• Marketing as a function vs
Marketing as a philosophy (a
way of doing business)

21

3. Customer-value and other major concepts

1 The value of an offering as seen by the customer, NOT

by the producer.

Customer 2 The perception of worth of possible alternatives by the

customer
value
3 Worth means whether the customer feels s/he or he got
benefits over what s/he paid

22

11
 31-Aug-22

Some other core marketing concepts

Marketing is the process of

creating satisfaction

to individual needs and wants

with offering (products and services)

that are exchanged

in the market

on a « Superior customer-value » basis

23

• Needs: the basic human requirements such as for Need

food, shelter, entertainment Existing products

Want
Income
• Wants: form that needs take as they are shaped by
culture and individual personality Demand

• Demands: wants for specific products backed by an

Market
ability to pay

24

12
 31-Aug-22

Market offerings: a
combination of products,
services, information, and
Value proposition: a set of experiences
benefits that a company offers
to satisfy customer’s needs

25

Market: set of actual and potential buyers of a product.

Industry: collection of providers or sellers that target a market need

Competitor: all the actual and potential rival offerings and substitutes a
buyer might consider

26

13
 31-Aug-22

27

Exchange
The act of obtaining a desired object from someone by offering something in return
Relationship
Marketing actions try to create, maintain, grow exchange relationships.
Satisfaction (dissatisfaction):
A person’s judgment of a product’s perceived value as compared to expectations

28

14
 31-Aug-22

Product/service consumption

Perceived value Expectation

Are you satisfied with NEU/AEP? Why?

29

Satisfaction  Loyalty
….product/service consumption….

Perceived value Expected value

………..

Loyalty: a deeply held commitment to re-buy a preferred product or

service in the future >< switching behavior.

30

15
 31-Aug-22

Loyalty  Engagement
Customer-engagement marketing fosters direct and continuous customer
involvement in shaping brand conversations, brand experiences, and brand
community.
Customer-engagement marketing goes beyond just selling a brand to
consumers. Its goal is to make the brand a meaningful part of consumers’
conversations and lives.
Customer brand advocacy: satisfied customers initiate favorable interactions
with others about a brand.
Share of customer: is the percentage of a given customer’s purchases in a
category over time

31

Customer life-time value & customer equity

Customer life-time value (CLV)
• Lifetime value of a customer is how much profit a firm will make on a customer
• The net present value of the stream of future profits expected over the customer’s
lifetime purchases

Customer equity
• The total combined customer lifetime values of all of the company’s current
and potential customers

32

16
 31-Aug-22

Interact closely with customers

Develop loyalty programs

Fostering
engagement
Create institutional ties

Building brand communities

33

4. Three layers of marketing process

ACTION
(4Ps decision)

STRATEGY
(STP process)

INFORMATION
(Market opportunity analysis)

34

17
 31-Aug-22

Layer 1: Market Opportunity Analysis

Chưa đc đáp ứng
Identifying Unmet and/or Underserved Customer Needs
• Is there any potential unmet need?
• How can we improve our customer’s
satisfaction?
Evaluate market opportunities
• Can we deliver the value better than
any actual or potential competitors?
• Will the financial rate of return meet or
exceed our required threshold for investment?

(1) Understanding customer needs and wants

35

Layer 2: Marketing Strategy

Segmentation Targeting Positioning

S T P
36

18
 31-Aug-22

Most companies are in a position to serve some segments of

customers better than others

Marketing
segmentation Positioning

Market
targeting

(2.1) Selecting customers to serve (2.2) Choosing a value proposition

37

Layer 3: Marketing Action (4Ps-7Ps)

(3) Preparing an Integrated Marketing Plan and Program

38

19
 31-Aug-22

The marketing management process

Understand Construct an Capture

Design Build profitable
the integrated value from
customer relationships
marketplace marketing customers to
value-driven and create
and customer program that create profits
marketing customer
needs and delivers and
strategy delight
wants superior value customer
equity

Create value for customers and build

customer relationships Capture value from customers
in return

39

Can you answer to these questions?

1. What is marketing?

2. What is the position of marketing in a firm?

3. What is the customer-value, and other major

concepts in marketing?

4. How can the marketing process be defined?

40

20