Fundamentalna of Marketing

Aneta Aleksander Phd,Eng

30% ćwiczenia, wykład-nie ma zaliczenia z wykładu 70%- z egzaminu-

ustny

Peter Ferdinand Drucker - prekursor zarządzania

Marketing- orgins and the essence

Marketing comes from English word ,,market”-pol. Rynek
Narrow and broad approach to marketing
the concept of marketing ha appeared only at the beginning of the twentieth centtury
• Narrow – combines marketing activities in
Marketing as a philosophy of doing business hasspun off in the 50s. of XX century.
enterprises and organizations operating for
Creator of the concept – Mr. Philip Kotler - American economist.
profit (with the aim of achieving profit)
• Broad – encompasses marketing activities in
Conditions of the environment that give foundations of marketing concept
companies, as well as in non-profit institutions
today’s environment is the environment that is dynamic turbulent it is characterized by
(politics, culture, science, health care).
• continuous changes of products and it the products,
• changing order of competitors
• the unpredictability of the authorities of countries,
MARKETING
• lignnificant technical and technology innovation
in classical perspective marketing means an approbate
• changes in the system of values,
planning, coordination and control of all buissnes
• changes in the behavior of the population
activities aimed at current and potential market

homework Industrial Revolution 4 machines

in contemporary perspective it takes as a starting point
the idea that the pursuit for satisfaction of exchange
partner is the guiding principle of marketing conduct
MŚP= MSMEs
around which all decisions and operations for its
MMŚP- mikro małe średnie przedsiębiorstwo
realization and focused.
mikro 10 osób
małe 10-49 osób
american marketing association Marketing is the
średnie 50- 249 osób
activity set of institutions and processes of creating
najważniejszą osobą w firmie jest klient
communication

Definitions of marketing

• American Marketing Association (AMA):

“Marketing is the activity, set of institutions, and processes for creating, communicating, delivering,
and exchanging offerings that have value for customers, clients, partners, and society at large.”

(Marketing jest procesem planowania i urzeczywistniania koncepcji cen, promocji, oraz dystrybucji
idei, dóbr i usług w celu doprowadzenia do wymiany satysfakcjonującej jednostki i organizacje.)
 • “Marketing is the social process by which individuals and groups obtain
what they need and want through creating and exchanging products and • Ph. Kotler: Marketing jest procesem społecznym i zarządczym,
value with others.” — Philip Kotler dzięki któremu konkretne osoby i grupy otrzymują to czego
• “Marketing is not only much broader than selling; it is not a specialized potrzebują i pragną osiągnąć poprzez tworzenie, oferowanie i
activity at all. It encompasses the entire business. It is the whole business wymianę posiadających wartość produktów.
seen from the point of view of the final result, that is, from the customer’s • Marketing jest procesem, dzięki któremu organizacja jest
point of view. Concern and responsibility for marketing must therefore powiązana z rynkiem w sposób twórczy, produktywny i zyskowny.
permeate all areas of the enterprise.” — Peter Drucker • Marketing jest sztuka kształtowania i zaspokajania klienteli z
• “Marketing is any contact that your business has with anyone who isn’t a zyskiem
part of your business. Marketing is also the truth made fascinating. • Marketing to dostarczanie właściwych towarów i usług właściwym
Marketing is the art of getting people to change their minds. Marketing is ludziom, we właściwych miejscach, o właściwym czasie, po
an opportunity for you to earn profits with your business, a chance to właściwiej cenie i przy użyciu właściwych środków komunikacji i
cooperate with other businesses in your community or your industry and a promocji
process of building lasting relationships.” — Jay Conrad Levinson
• Marketing is “The management process responsible for identifying,
anticipating and satisfying customer requirements profitably.” —The
Basic notions of marketing
Chartered Institute of Marketing
• Needs
• Wants
• Demand
Dynamic concept of marketing • Supply
• The central position of the consumer and the buyer in the • Products
marketing concept; • Value
• Dynamic view of market processes; • Price
• Examination and anticipation of demand and preferences; • Satisfaction
• Market segmentation and target market selection, as • Exchange
the basis for the company's marketing activities; • Transaction
• Subordination of the objectives of the activity of a • Market
company and its business strategy to the composition • Target market
of demand of specific consumer segment • Market participants

Evolution of marketing orientation

(according to Ph. Kotler)

Production orientation

Production orientation
• One of the oldest
Sales orientation
• In this concept, consumers will favor products that are widely available
and have a low price. Managers of production-oriented organization focus
on achieving high productivity and wide distribution.
Product orientation
• It exists in at least two cases:
1) Demand for a product exceeds its supply (often in the Third World

Marketing orientation Countries)

2) The cost of production of the goods is high and must be reduced by the
increased efficiency.
Social responsible marketing orientation
Sales orientation
• Based on the claim that customers left alone will not buy
enough products of the company. The organization must, therefore, run aggressive
sales and promotional activities.
• This concept assumes that typical behaviour for consumersis inaction or even
resistance to buy, so they must be skillfully persuaded. To achieve this, the company
has at its disposal a whole range of effective tools for sales and promotion.
• Sales orientation is used most often with the goods less
sought after, which the purchaser would not normally buy(insurance, encyclopedias),
but also goods sought (eg. cars).
• Most companies use marketing concept in the case of
overproduction. Product orientation
• Based on the assumption that consumers prefer products that provide them with
the highest quality, best performances or innovative features. Managers in
organizations focused on the product, direct their activities on the development of
Marketing orientation products with unique features and continuous improvement of them.
• Based on the assumption that the key to achieving the • Underlying this concept is the belief that the buyers can appreciate the unique
goals of the organization lies in defining the needs and characteristics and quality of the product.
requirements of target markets and delivering the • The product orientation leads to the "marketing shortsightedness", focusing on the
desired satisfaction more effectively and efficiently product and not on the customer needs.
than competitors.
• Marketing concept (orientation) is based on four main
pillars: the target market, customer needs, Socialy responsible marketing orienantion
coordinated marketing and profitability. • Under this concept, the task of the organization is to determine the needs,
• The starting point is a well-defined market. Then requirements and interests of target markets and delivering the desired satisfaction
company focuses on customer needs, coordination of more effectively and efficiently than competitors, simultaneously maintaining or
all activities related to the client and the realization of increasing the welfare of consumers and the society.
profit by achieving customer satisfaction. • The concept of social responsible marketing requires from people involved in
marketing activities to balancethe three elements in determining the marketing
policy: company’s profit, meeting the requirements of consumers and the public
interest.

Product
• Each object of market exchange. Everything that can be
offered on the market. The product is a material good,
service, location, organization, idea. Acting in the area of
product the enterprise uses a number of instruments: it
shapes assortment, equips the product with some
characteristics (quality, name, brand, packaging,
additional services).

• ASSETS – aktywa LIABILITIES – pasywa

• BALANCE SHEET – bilans
• PROFIT and LOSS ACOUNT – rachunek zysków i strat
• CASH FLOW – rachunek przepływów
Price
• Plays a key role in the marketing strategy. It is an
instrument of realization of the strategy. The essence
of marketing approach to the money lies in the fact
that there are not the costs of manufacture of the
product, but the purchasing possibilities of our target
market, which are a starting point in determining the
price.

Place
• A set of actions aimed at delivering a product
from its place of manufacture to the end user:
transportation, inventory, warehousing, sales,
selection of intermediaries, canals etc.

Promotion
• Means any form of communication between the customer and the company.
Delivering the information about the product and the company to potential
customers.

Principles of marketing Marketing functions

• Information functions - gathering of information
1. The company acknowledges the key position of the customer in
underpinning the company's decisions
their business. Customer’s needs are prerequisites for the
• Classic functions in the field of trade, related to
development and survival of the company (so called clienting)
the support of the processes of buying and selling
2. There is no modern marketing without market research. They
• Functions related to the management
provide a basis for planning, decision making, etc.
• Functions of a social nature (stimulation of
3. The basis of marketing management is a system of marketing
consumer behavior, creation of demand)
information.
• Scientific functions - relate to the creation on the
4. The innovation process is pre-programmed into the activity of
basis of the practice of marketing theory
the company.
5. Companies with marketing orientation deal with market
elements in relation to each other. The market should be
considered as a whole (demand, supply, price). Contemporary branches of marketing• Industrial marketing
6. Enterprise marketing activities must be planned. • E-commerce / e-marketing
7. In a marketing activity the company uses a system of • Network marketing
instruments of marketing mix. • Relational marketing
• Politics marketing
• Marketing of place
• International/global marketing
• Personal marketing
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Criteria of segmentation on consumer markets

– Geographical (region, city or agglomeration size, population density, climate)
– Demographical (age, number of family members, the phase of the life cycle of the family, gender,
income, occupation, education, religion, race, generation, nationality)
– Psychographic (lifestyle, social class, personality)
– Behavioral (opportunities, benefits, user status, indicator intensity of use, the degree of loyalty,
stage of readiness, attitudes towards product)

SEGMENTATION STRATEGIES 5
Product
P1 P2
Focus on one segment
+ allows you to gain a detailed knowledge of the M1
segment and a significant distinction in this area

M2
- risk of decline in the attractiveness of the
sector, risk of attack of competition
marcet
Jeden produkt do jednej grupy Product
P1 P2

Selective specialization M1
+ smooth distribution of the company's risk
M2
M2
- high costs
Różne produkty do różnych grup
marcet

Product
P1 P2
Specialization within the product (product expertise)
+ building a strong reputation in a particular area of
M1
products

- the risk of product replacement by new technology M2

Ten sam produkt do różnej grupy klientów

marcet
Product

Specialization within the market (market experise) P1 P2

+ development of a good reputation among a specific group
of customers, the ability to deliver additional products M1

- the risk of a decline in the purchasing power of

M2
customers

Jedna grupa klientów różne produkty marcet

 Operation on the whole market Product
P1 P2
Mass marketing (undifferentiated marketing) - the same
product and marketing programme is directed to the greatest number of M1
potential buyers, mass production and advertising

M2
+ low costs
Differentiated marketing – for each segment of the market the company delivers
a different product (a variation of the product) marcet
+ higher overall sales

- higher costs

Product differentiation Product positioning

Activity that aims at creation of a set of • Product positioning (product placement) – an act of creation of company’s offer and image
substantial differences that let the company to which aims at occupation of a distinctive place in the consciousness of target market
differ its offer from the offer of competitors: • Close positioning (pozycjonowanie bliskie) – constists in direct rivarly with direct
… „better” competitors, applying similar market attributes on the same target market
… „newer” • Differential positioning (dyferencjacyjne, różnicujące) –constists in searching of smaller, less
… „quicker” competitive market niche, in which one can place specific product/brand
… „cheaper”

Variants of positioning:
• Attribute positioning (pozycjonowanie atrybutowe) – the company positions itself using such attributes like size or time of its existence
• Positioning of benefits (pozycjonowanie korzyści) – product is positionedas the best one in determined category of benefits
• Positioning towards user (pozycjonowanie wobec użytkownika) – positioning of a product as the best one for a given group of users/customers
• Positioning towards competitor (pozycjonowanie wobec konkurenta) – it isclaimed that the product is better in some respects from the competotor’sproduct
• Positioning of category of products (pozycjonowanie kategorii produktów) – the product is positioned as leader in some category of products
• Positioning of quality or price (pozycjonowanie jakości lub ceny) – theproduct is positioned as the offer of the best value.

Stages of positioning

1. The company has to determine the differences betweenits offer and the offer of competitors
concerning product, services, employees and image that the company is able to create.

2. The company has to screen this differences on the basisof appropriate criteria.

3. The company has to inform its target market in an effective way about the essence of its
identity towardsthe competitors
Agenda
1) Marketing communication – the essence, elements and stages Marketing communication
2) Personal and non-personal communication channels
3) Marketing communication tools (promotion-mix) • Marketing communication - all forms and types of communications from the
• advertising company to different audiences. Is an integral part of the marketing mix.
• sales promotion • Includes a set of activities and the means by which the company provides
• public relations information on its activities, creates the needs of buyers, and stimulates and
• direct marketing directs the demand for manufactured goods or provided services.
• personal selling • Integrated marketing communication (pol. zintegrowana komunikacja
marketingowa) – is the concept of marketing communications program
design, which includes all instruments of promotion and is therefore to
promote a coherent message to all audiences. It also includes marketing
research, which are designed to collect and transfer information necessary to
make the right decisions by the company.

The elements of the communication process

• Who says?
- the sender (the company or person having information to pass)
• What does he/she say? - message (transmitted information)
• Through what instrument he/she does it? - information channel (intermediary medium in the transmission process)
• To whom he/she directs the message? - the recipient (consumers who read, hear or see the message)
• With what result? - feedback (audience response)
• encoding - the process by which the sender transforms the abstract idea in a set of symbols
• decoding - a process in which the recipient encounters a set of symbols (communiqué) and converts them back into an abstract idea,
• noise, interference - factors that prevent effective marketing communication (unintelligible text, the wrong image, an excessive number of messages)
Phases of the marketing communication process
• Determination of the target group - who is the addressee, what habits does he/shehave, their tastes, what does he/she like and what he/she
avoids,
• Defining objectives - what the company wants to achieve through the use of marketing communications,
• Designing a communique - what to say, how, by which symbols and who should be the sender,
• The choice of communication channels - the decision on how to communicate with the customer (personal and non-personal channels),
• Determining the budget - to determine the value which the company spends on the process of communication,
• The choice of promotional tools - decisions on promotion-mix,
• Evaluation of effectiveness - the sender of the message should determine the response of the target group and verify the extent to which
communication goals have been achieved. Assess the effectiveness allows the adjustments to be scheduled in the future,
• Management of integrated marketing communications.

Types of consumer responses

cognitive responses - relating to the awareness and knowledge of the characteristics of the product (the
company’s goal: information, recall, recognition, knowledge of the product),
affective reactions (emotional) - relating to the overall assessment of the brand in terms of feelings, favorable or
unfavorable evaluations or preferences
(the company’s goal: the impact on attitudes and creation of purchase intentions)
behavioral reactions - including not only buying behavior and subsequent of the purchase, but also all other types
of reactions, for example: visiting to the exhibition, ordering a catalog, sending the coupon/sms etc.

Personal communication channels

channels of supporters - representatives of the company, contacting with buyers in the target market,
channels of experts - independent experts presenting their opinion to the purchasers and target markets
social channels - neighbors, friends, family members and colleagues, talking with buyers

Non-personal communication channels

media – printed media (newspapers, magazines, leaflets),
broadcast (TV, radio), network (telephone, cable,
satellite, wireless), electronic (video tapes, CDs, DVDs,
MP3,4, pendrives, websites) and exhibition/display
(billboards, signs, posters),

mood - "packed environment", creating or reinforcing the

tendency of the customer to purchase the product
(design of the points of sale, decorations, staff’s
clothing, music at the point of sale, smell),

events – organized in order to communicate a specific

message to the group (press conferences, large
openings, sports sponsoring, concerts).
 Advertisement
• Paid, impersonal form of providing of information about a product, service or idea.
• Distinctive feature - the ability to reach a wide audience. This is a typical
impersonal
communication tool
• Due to the type of communication channel we distinguish thefollowing types of ads:
- in the media using sound or image
- in printed materials

Types of advertisements because of the goals that the company intends to achieve:

– information (informcyjna)- aims to raise awareness and provide information on new products or new features to existing products,
– impelling (nakłaniająca) – aims at causing likes, preference and belief or cause the purchase of a product or service; a special case of
impelling advertisement is comparative advertisement,
– reminding (przypominająca) – aims at stimulating the repurchase of products and services,
– strengthening (wzmacniająca) – aims at convincing the current buyers that they have made the right choice

Sales promotion
• An activity or a set of activities using a variety of incentives to boost sales of the product in a specific
time and place, by supplementing it with additional value. This value can take the form of price or nonprice benefits.

Instruments of sales promotion Public relations

• discounts • It includes a set of actions to establish and maintain
• temporary price reductions a mutually beneficial relationship between the
• special terms and conditions company and its surroundings. PR is sometimes
• warranty of replacement or return of goods considered to be an important element of the
• free products (eg. sampling) communication process, there is assigned a
• contests and lotteries management function to PR.
• promotional gifts (gadgets)
• special packaging • OBJECTIVE: To promote a favorable image for the
• tastings and presentations company or its product brand.
• loyalty programs

The most commonly used instruments in PR arethe following:

• Contacts with media
• Meetings with representatives of the various audiences (press conferences, corporate events)
• Publications of information character (annual reports, brochures, corporate newsletters, advertorials – artykuły sponsorowane)
• Charitable activities involving financial and organizational support for various socially useful activities
• Sponsoring including financial or non-financial contributions of a company in the accepted forms of social life
 Direct marketing
• The system of mutual interaction, which uses a variety of communication channels to
cause a measurable response and / or transaction at any place pointed by the purchaser.

Direct marketing
The distinctive feature of direct marketing is a usage of databases as the
fundamental base of operation. The database is a list of current and
potential customers, which is constituted by or on behalf of the company.

Databases generally contain two sets of information:

- data relating to a single purchaser
- data related to the purchase history.
Direct marketing is carried out mainly through: - direct mails or mailngs
- catalogues
- telemarketing

Personal selling
Personal and direct presentation of a product or service to a
potential consumer, in order to bring to the transaction.

Distinctive elements of personal selling: – physical meeting of two entities of the

communication process– the creation of the relationship between the parties - effective
vendor takes care of the interests of his/her client and thus
builds an emotional bond with him/her – providing an answer - a potential customer can
not accept the
proposals submitted to him/her, but they certainly will respondin order to determine their
attitude.

• In personal selling the following instruments are used:

presentations, business meetings and trade fairs.

Agenda
1) Basic notions connected with product Przerobić instrukcje 4 w domu
2) Levels of a product
3) Basic brand strategies
4) BCG Matrix

Marki prywatne - marki sieci handlowych