Introduction to Marketing

Prof. Aradhita Deb

Market vs. Marketing:

Marketing is sum total of all those activities

These are related to flow of goods
From production to consumption
There are three elements in the marketing
process :

(A) MARKETERS
(B)WHAT IS BEING MARKETED
(C) TARGET MARKET
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Introduction
Marketing:

 Marketing identifies, anticipates, and supplies

customer requirements efficiently and profitably
 Aims is to establish, maintain, enhance long
term relationship with customers
 Consists of attracting, developing, and retaining
profitable customers.
 “Marketing can not be considered as a separate
function , it is the whole business, seen from the
point of view of its final results, that is profit,
through customer satisfaction” – Peter Drucker
Introduction 2
Needs, Wants, Demands:
 Need: A state of felt deprivation of some basic
satisfaction ( Food, Clothing, Shelter, Belonging
etc)

 Wants/Desire: Desires for specific satisfiers of

the deeper needs. Needs are few and wants are
many

 Demands: Demands are wants backed by

ability to buy and willingness to buy
Introduction 3
VALUE AND SATISFACTION:
 Value is the customers’ estimate of the Product’s
capacity to satisfy a set of goals
 Value is the ratio between what the customer
gets and what he gives (V=B/C)
 Customer gets benefits & assume costs
• WHEN: Customer Expectance=Performance
(satisfied)
• Customer Expectance>Performance
(dissatisfied)
• Customer Expectance<Performance (Highly
satisfied)
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Introduction
WHAT IS MARKETING
MANAGEMENT ?

 Analysis, planning, implementation and control

of programs
 Designed to create, build and maintain
beneficial exchanges and relationships
 Focus is the target markets
 Purpose is achieving Organizational objectives

Introduction 5
Responsibilities of
Marketing Management:

 Market analysis
 Set Goals
 Forecast sales & profits
 Evolve appropriate marketing mix
 Organize marketing activities
 Participation in product planning
 Managing Supply chain
 After Sales activities

Introduction 6
Marketing Concepts:

 The marketing philosophies by which a

firm’s goal can be best achieved
 Through identification and satisfaction of
the customers’ needs and wants.
 Companies adopt different philosophies
for marketing products.
 Customer oriented Philosophies

Introduction 8
Introduction 9
Production Concept:

 “Consumers will favor products that are

available and highly affordable”
 Companies adopting this orientation run a
major risk
 Production concept can lead to Marketing
Myopia
 Still a useful philosophy- FMCG

Introduction 10
Product Concept:

 The consumers will favor products that

offer the most in quality, performance and
innovative features.
 Here; under this concept,
1. Marketing strategies are focused on
making continuous product
improvements.
2. Product quality and improvement are
important parts of marketing strategies
Introduction 11
Marketing Concept:

 “Achieving organizational goals depends

on knowing the needs and wants of target
markets and delivering the desired
satisfactions better than competitors do”.
 Here marketing management takes a
“customer first” approach
 Customer focus and value are the routes
to achieve sales and profits.
 “Sense and responds” philosophy
Introduction 12
Selling Concept:

 “Consumers will not buy enough of the firm’s

products unless it undertakes a large-scale
selling and promotion effort”.
 Focus is creating sales transactions rather than
on building long-term, profitable customer
relationships
 Aim is to sell what the company makes rather
than making what the market wants
 Selling concept is practiced with unsought
goods
Introduction 13
Societal Marketing Concept:
 Whether the pure marketing concept overlooks
possible conflicts between consumer short-run
wants and consumer long-run welfare.
 “Marketing strategy should deliver value to
customers in a way that maintains or improves
both the consumer’s and society’s well-being”.
 Puts Human welfare on top before profits and
satisfying the wants.
 Socially and environmentally responsible
marketing

Introduction 14
 Sales v/s Marketing:

Marketing Sales
Pull Push
wider concept narrower concept
reach to the Customers and ultimate result of
build long lasting relationship marketing.
strategy of meeting
needs in an
targets the construction of a opportunistic,
brand identity individual method,
driven by human
interaction.
Introduction
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