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MARKETING MANAGEMENT

BASIC CONCEPTS

WHAT IS MARKETING ?

Marketing is a economic process by which


goods and services are exchanged between the producers and consumers and their values is determined in terms of money prices.

Needs ,wants and demands


Needs are basic human requirements
people need food ,air,water clothing and shelter. Marketing do not create the needs. Infact they influence the demand by making the product appropriate ,attractive,affordable.

This is a Need
Needs - state of felt
deprivation including physical, social, and individual needs

Wants
Needs become wants they are directed to
specific objects that might satisfy their needs.

This is a Want
Wants Needs become wants when they are directed to specific objects that might satisfy the need.

Demands
Demands are wants for products that are
bagged by an ability and willingness to buy them.

This is Demand
Wants Buying Power

Demand

Products
A product is anything that can be offered
to satisfy a need or want

Product as an idea
Products do not have
to be physical objects. Here the product is an ideaprotecting animals.

Markets
Consists of all the potential customers
sharing a particular need or want who might be willing and able to engage in exchange to satisfy the need or want.

Marketplace, Marketspace
The Marketplace is physical, as when one goes for shopping in a store. Marketspace is digital, as when one goes shopping on the internet.

Available Market (who have interest,

income and access to a particular offer)

Target Market or Served Market (a co. can


go for serving whole available market or can concentrate on certain segments)

Penetrated Market (set of buyers who are


buying the co.s product)

Marketing
Marketing is a economic process by which
goods and services are exchanged between the producers and consumers and their values is determined in terms of money prices. Marketing is managing profitable customer relationship

What is Marketing
Simple Definition: Marketing is managing
profitable customer relationships. Goals: Attract new customers by promising superior value. Keep and grow current customers by delivering satisfaction.

Relationship Marketing
The practice of building long-term
satisfying relations with key parties-such as customers, suppliers , distributors- in order to retain their long term preference and business

Imp Note
If you are in marketing field then you
have to see from the point of view of final result. i.e, from the point of view of customer.

Selling vs. Marketing


Selling focuses on the needs of the seller,
marketing on the needs of the buyer. Selling is nothing but converting product into cash. Marketing includes creating , delivering & finally consuming it. Selling is push, Marketing is pull.

FIVE CONCEPTS
The Production Concept Product Concept The Selling Concept The Marketing Concept The Societal Marketing Concept

Production Concept
Consumers will favour those
products that are widely available and low in cost.

Therefore increase production and


cut down costs.

Product Concept
Consumers will favour those products that
offer the most quality, performance, or innovative features.

Therefore, improve quality, performance


and features.

This would lead to increased sales and


profits.

The Selling Concept


Consumers , if left alone , will not Therefore, promote sales
aggressively. buy enough of companys products.

And,build profit through quick


turnover.

The Marketing Concept


The key to achieving organizational goals
consist in determining the needs and wants of target markets and delivering the desired satisfactions more effectively and efficiently than competitors. And build profit through customer satisfaction and loyalty.

4 PILLARS
The marketing concept rests on 4
pillars, namely 1. Target Market 2. Customer Needs 3. Integrated marketing 4. Profitability

Marketing and Sales Concepts Contrasted

The Societal Marketing Concept


The societal marketing concept holds that the
organizations task is to determine the needs, wants, and interests of target markets and to deliver the desired satisfactions more effectively and efficiently than competitors in a way that preserves or enhances the consumers and the societys well being.

Societal Marketing =
Consumer Satisfaction + Company s Profits + Societys well being.

MARKETING MIX
It is defined as the set of marketing tools that

the firm uses to pursue its marketing objectives in the target market. Which includes Product Price Promotion Place All these are also known as 4 ps of marketing.

PRODUCT

Variety Quality Design Features Brand name Packaging Sizes Warranties

PRICE
List price Discounts Allowances Payment period Credit terms

PROMOTION
Sales promotion Advertersing

PLACE
Channels Coverage Locations Invertory transport

4 Cs
We also have 4cs they are Customer needs/wants Cost to customer Convenience communication

4 Ps vs. 4 Cs
Product Customer needs/wants Price Cost to customer Place Convenience Promotion communication.

THE END