Part One

Understanding And Managing

Marketing Strategies

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 Chapter 1
An Overview of
Strategic Marketing
 Objectives

Define marketing as focused on customers

Identify important marketing terms
Become aware of the marketing concept and
marketing orientation
Understand importance of building customer
relationships
Learn the process of marketing management
Recognize role of marketing in society

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 Marketing

The process of creating, distributing,

promoting, and pricing goods, services,
and ideas to facilitate satisfying
exchanges with customers and develop
and maintain favorable relationships with
stakeholders in a dynamic environment.

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 Customers

The purchasers of organizations products;

the focal point of all marketing activities.

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 Components of
Strategic Marketing

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 Target Market

A specific group of customers on whom an

organization focuses its marketing efforts.

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 Marketing Mix

Product
Distribution
Promotion
Pricing

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 Product Variable

A good, a service, or an idea.

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 Distribution Variable

Make products available in quantities desired

Costs:
Inventory
Transportation
Storage
Select/Motivate intermediaries
Establish/Maintain inventory control
Develop/Manage transportation &
storage systems
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 Promotion Variable

Activities to inform individuals or groups

about the organization and its products
aim is to increase awareness of the
organization and new or existing products.

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 Price Variable

Decisions and actions associated with

establishing pricing objectives and policies
and determining product prices

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 Exchange

The provision or transfer of goods, services,

or ideas in return for something of value

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 Exchange Between
Buyer and Seller

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 Stakeholders

Constituents who have a stake or claim in

some aspect of a companys products,
operations, markets, industry, and outcomes.

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 Conditions of Exchange

1) Two or more must participate and possess

something of value other party desires
2) Exchange should provide
benefit/satisfaction to both parties
3) Party have confidence in promise of
something of value held by the other
4) Parties must meet expectations

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 Marketing Concept

A philosophy that an organization should try

to provide products that satisfy customers
needs through a coordinated set of activities
that also allows the organization to achieve
its goals.

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 Evolution of the
Marketing Concept

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 Marketing Orientation

An organization-wide commitment
to researching and responding to
customer needs.

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 Relationship Marketing

Establishing long-term, mutually satisfying

buyer-seller relationships.

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 Relationship Development

Acquire new customers

Enhance profitability of existing customers
Extend duration of customer relationship

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 Customer
Relationship Management
Using information about customers to create
marketing strategies that develop and
sustain desirable customer relationships.

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 Marketing Management

The process of planning, organizing,

implementing, and controlling marketing
activities to facilitate exchanges effectively
and efficiently.

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 Importance of Marketing in the
Global Economy (Pt.1)
Costs consume sizable portion of
buyers dollars
Used in nonprofit organizations
Important to business and economy
Fuels the global economy

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 Importance of Marketing in the
Global Economy (Pt. 2)
Knowledge enhances consumer
awareness
Connects people through technology
Promotes welfare of customers and society
Offers many exciting career prospects

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