1

Defining Marketing
for the 21st Century

Marketing Management, 13th ed

What is Marketing?

Marketing is an organizational function
and a set of processes for creating,
communicating, and delivering value
to customers and for managing
customer relationships
in ways that benefit the
organization and its stakeholders.

1-2 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice
Hall

and growing customers through creating. 1-3 Copyright © 2009 Pearson Education. delivering. Publishing as Prentice Hall . What is Marketing Management? Marketing management is the art and science of choosing target markets and getting. keeping. Inc. and communicating superior customer value.

The aim of marketing is to know and understand the customer so well that the product or service fits him and sells itself. Selling is only the tip of the iceberg “There will always be a need for some selling. marketing should result in a customer who is ready to buy. Ideally. Publishing as Prentice Hall . All that should be needed is to make the product or service available. Inc.” Peter Drucker 1-4 Copyright © 2009 Pearson Education. But the aim of marketing is to make selling superfluous.

Inc. What is Marketed? Goods Goods Services Services Events Events & & Experiences Experiences Persons Persons Places Places & & Properties Properties Organizations Organizations Information Information Ideas Ideas 1-5 Copyright © 2009 Pearson Education. Publishing as Prentice Hall .

Marketing Can Promote Ideas 1-6 Copyright © 2009 Pearson Education. Publishing as Prentice Hall . Inc.

1 Structure of Flows in a Modern Exchange Economy 1-7 Copyright © 2009 Pearson Education. Inc. Figure 1. Publishing as Prentice Hall .

Figure 1.2 A Simple Marketing System A.A.K. Inc. The Exchange Process 1-8 Copyright © 2009 Pearson Education. Publishing as Prentice Hall .

Publishing as Prentice Hall . Inc. • Each party has something that might be of value to the other party. • There are at least two parties. • Each party believes it is appropriate or desirable to deal with the other party. 1-9 Copyright © 2009 Pearson Education. • Each party is capable of communication and delivery. • Each party is free to reject the exchange offer. For an exchange to occur….

Core Marketing Concepts • Needs. Publishing as Prentice Hall . • Supply chain segmentation • Competition • Offerings and • Marketing brands environment 1-10 Copyright © 2009 Pearson Education. and • Value and demands satisfaction • Target markets. • Marketing channels positioning. Inc. wants.

• Demands . Inc. i. i. 1-11 Copyright © 2009 Pearson Education.form that a human need takes as shaped by culture and individual personality. i.e. I am thirsty.e. • Wants . Publishing as Prentice Hall .• Needs . I have money to buy a Coca-Cola. social needs for belonging and individual needs for self-expression.e.states of felt deprivation including physical needs for food. I want a Coca- Cola.human wants backed by buying power.

Publishing as Prentice Hall . Inc. New Consumer Capabilities • A substantial increase in buying power • A greater variety of available goods and services • A great amount of information about practically anything • Greater ease in interacting and placing and receiving orders • An ability to compare notes on products and services • An amplified voice to influence public opinion 1-12 Copyright © 2009 Pearson Education.

Inc. Publishing as Prentice Hall . Company Orientations Production Product Selling Marketing 1-13 Copyright © 2009 Pearson Education.

Publishing as Prentice Hall . Inc.4 Holistic Marketing Dimensions 1-14 Copyright © 2009 Pearson Education. Figure 1.

Figure 1. Inc.5 The Four P’s 1-15 Copyright © 2009 Pearson Education. Publishing as Prentice Hall .

Inc. Internal Marketing Internal marketing is the task of hiring. and motivating able employees who want to serve customers well. 1-16 Copyright © 2009 Pearson Education. Publishing as Prentice Hall . training.

Inc. Performance Marketing • Financial Social Initiatives Accountability • Corporate social • Social marketing Responsibility • Cause marketing Marketing • Corporate philanthropy • Corporate community involvement • Socially responsible business practices 1-17 Copyright © 2009 Pearson Education. Publishing as Prentice Hall .

Marketing Management Tasks • Develop market strategies and plans • Capture marketing insights • Connect with customers • Build strong brands • Shape market offerings • Deliver value • Communicate value • Create long-term growth 1-18 Copyright © 2009 Pearson Education. Inc. Publishing as Prentice Hall .

Publishing as Prentice Hall . Marketing Debate: Take a Position! Does marketing shape consumer needs? or Does marketing merely reflect the needs and wants of consumers? 1-19 Copyright © 2009 Pearson Education. Inc.

Inc.1-20 Copyright © 2009 Pearson Education. Publishing as Prentice Hall .