Marketing Management

with Dr. Rizwan Ali

Lahore Business School (LBS)

The University of Lahore
Ph,D (Management Science), China
rizwan.ali1@lbs.uol.edu.pk
0300-8888916
What is Marketing?
 What is Marketing?
(CCDVTP)
Kotler/V. kumar:
“Marketing is all about to creating, communicating and delivering superior
customer value to target market at profit.
What is difference between selling and marketing?
Selling:
 Selling is the art that takes a product, service or intangible and through the simple exchange of money becomes
yours.
 You buy a car and someone is the seller of that car, you bought insurance and someone sold you that insurance.
 Selling is part of marketing
Marketing:
 Marketing is about identifying and meeting human and social needs.
 Meeting needs profitability
4 P's of marketing:
(1) product,

(2) price,

(3) place

(4) promotion
 Importance of Marketing
Why it is required

Financial success

Making the right decision

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 Scope of Marketing
What is Marketing Management

Some definitions:

“Meeting needs profitably”

AMA: “Marketing management is an
organizational function and a set of processes for
creating, communicating, and delivering value to
customers and for managing consumer
relationships in ways that benefit the
organization and its stakeholders”

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 Fundamental Marketing Concepts
Core Concepts

Needs
Basic Human Requirements


Wants
Needs which are directed to a specific object


Demands
Wants for specific products backed by ability to pay (acquire)

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 Scope of Marketing Management
Exchanges & Transfers

Exchange

Process of obtaining a desired product from someone
by offering something in return

Transaction

Trade of values between two or more parties

Transfer

One party gives something to other but doesn’t receive
anything in return

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 Fundamental Marketing Concepts
Core Concepts

Understanding Needs

Stated Need – Inexpensive Car

Unstated Need – Branded, Service

Real Need – Quality

Delight Need – A good discount deal

Secret Need – ‘wanna’ look cool!!!

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 Fundamental Marketing Concepts
Core Concepts

Satisfying everyone……how?


Segmentation
 The process of dividing a market of potential customers into groups/segments, based on different
characteristics.
 Different segments based on several factors (Demographic, Psychographic)

Target Markets
 Concentrating your marketing efforts on key segments consisting of the customers whose needs and
desires most closely match your product/service offerings.
 Segments presenting greatest opportunity

Positioning
 The marketing department creates an image for the product based on its intended audience. This is
created through the use of promotion, price, place and product.
Positioned carefully as delivering certain benefits….
(Volvo…. Safety)

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 Fundamental Marketing Concepts
Core Concepts

Value
Also known as customer-perceived value, is the difference between a
prospective customer's evaluation of the benefits and costs of one product
when compared with others.
‘perceived’ tangible and intangible benefits and costs to customers
(QSP)

Satisfaction
Fulfillment of a need
*WRONG*
Person’s comparative judgments resulting from a product’s perceived
performance
If performance < expectations: dissatisfied/dissappointed
If performance>=expectations: satisfied/delighted

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 Fundamental Marketing Concepts
Core Concepts

Offering
An offering in marketing is the total offer to your customers. An offering is
more than the product itself and includes elements that represent additional
value to your customers, such as availability, convenient delivery, technical
support or quality of service
Positioning is “crafted” into an offering (Benefits to satisfy)

Brands
The marketing practice of creating a name, symbol or design that
identifies and differentiates a product from other products . An
effective brand strategy gives you a major edge in increasingly competitive
markets. 
An offering from a known source (McDonald’s…..Cleanliness, Convenience)

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 Fundamental Marketing Concepts
Core Concepts

Supply Chain

Marketing Channel: Marketer to target buyer

while


Supply Chain: A complete value delivery system
From Raw materials to components to final
buyers

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 Fundamental Marketing Concepts
Core Concepts

Competition
All the actual and potential rival offerings
and substitutes that a buyer might consider

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 Scope of Marketing Management
What is marketed?

Goods

Services

Events

Experiences

Persons

Places

Properties

Organizations

Information

Ideas
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 Scope of Marketing

Key Customer Markets


Consumer

Business

Global

Non-profit & Government

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 Key Customer Markets

Consumer Markets
 Personal consumption

Frequently bought

Vegetables


Business Markets
 Resale or used to produce other products/services
 The customer are professionals

CT Scan


Global Markets (International)
 Companies have to change their marketing strategy according to the country they are entering in.
 They have to abide by the gov’t rules and value the cultural beliefs

Coke


Nonprofit/Government Markets
 Companies selling to non profits organizations with limited purchasing power.
 Churches, Universities, Charitable Organizations

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
Key types of business customers
1. Price-oriented customers | Transaction Selling
Price is everything

2. Solution-oriented customers | Consultative Selling

Going for solution and will listen to arguments for price vs.
services/solution

3. Gold-Standard customers | Quality Selling

Want best performance, quality, service etc.

4. Strategic-value customers | Enterprise Selling

Fairly permanent relationship – rather than just a buying activity

Thanks

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