Course objective

The overall objective of the course is to introduce the fundamental concepts of Marketing and it also aims to make students understand the strategic role of Marketing and develop the ability to define and analysis the Marketing problems dealt with by Marketing Manager.

The contents……… Unit 1 --- Marketing concepts Unit 2 --- Marketing Planning Unit 3 --- Sales Forecasting and

Marketing Research Unit 4 --- Consumer Behavior Unit 5 --- Dealing with Competition Unit 6 --- Market Segmentation Unit 7 --- Market Evaluation and

Control Unit 8 --- Physical Distribution

UNIT 1- MARKETING CONCEPTS

Definition of MarketingMarketing is the performance of business activities

that direct the flow of goods and services from producer to consumer.

Marketing is the economic process by which goods and services are exchanged between the maker and the user and their values determined in terms of money prices.

Marketing is a total system of interacting business activities designed to plan promote and distribute need satisfying products and services to existing and potential consumers.

It is the creation and the delivery of a standard of living to the society- Paul Mazur

Definition of Marketing“ Marketing is an organizational function and a

set of processes for creating , communicating, and delivering value to the customers and managing customer relationship in ways that benefit the organization and its stakeholders”

American Marketing Association

“ Marketing Management is an art and science of choosing target market and getting , keeping and growing customer through creating, delivering and communicating superior customer value”

Exchange the core concept of

marketing………There are at least two partiesEach party has some thing that might be of value

to the other partyEach party is capable of communication and

deliveryEach party is free to accept or reject the

exchange offerEach party believes it is appropriate or desirable

to deal with the other party.

What is marketed?GoodsServicesEventsExperiencesPersonsPlacesPropertiesOrganizationsInformationideas

Marketing provides …….Form utilityRaw Material Finished

goods

Person UtilityMarketer

Customers

Exchange UtilitySeller Buyers

Place UtilityDistribution Channel Buyers

Time UtilityWarehousing

Customers

Functions of MarketingFunctions of Exchange:Buying functionAssembling functionSelling function

Functions of Physical DistributionTransportation Inventory managementWarehousingMaterial handling

Functions of FacilitiesFinancingRisk takingStandardizationAfter sales services

Marketing as a process It is an Exchange ProcessSatisfaction of buyer and sellerLong-term satisfying relationshipProfit MaximizationThe needsThe wantsThe demands

Marketing Process

Core concepts of Marketing The Exchange Orientation•Exchange of product between seller and buyer

•Medium is money

•Marketing mix, marketing strategy has forgotten

•The Product Orientation•If the product has quality, features customer will satisfy

•This ignore needs and desires.

•Marketing myopia ( short sightedness)

Core concepts of MarketingThe production OrientationCompany sell what it can make

Product line is narrow

Concentration on production cost

Less emphasis on promotion

Useful in sellers market only

Consumers interested in product availability in low prices

Efficient production and intensive distribution

Core concepts of MarketingThe sales OrientationConcentration on increasing sales volume

Aggressive advertising, intensive sales promotion

No consideration of consumer needs and wants

The Marketing Concept•Importance to the customer

•Needs and wants

•Research and then production

•Importance of market segmentation

DIFFERENCE BETWEEN Marketing AND selling

Selling Marketing*Manufacture first and then sell . *Determines customers needs and

wants and then sell it to customer

*Management is sales volume oriented. * Management is profit oriented

It is short term It is long term

*Stresses needs of the seller *Stresses needs and wants of buyer

*Views business as a goods producing Views business as consumer

Process. satisfying Process.

Emphasis on staying existing technology Emphasis on innovation in every

and reducing cost. sphere, on providing better

value to the customer with new

technology

Cost determine price consumer determine price

Marketing Mix“To serve the marketing segment the marketer has to formulate some devices or types of marketing activities that are integrated into a single marketing progamme to reach a particular target or market segment. The combination of these marketing methods or device is known as marketing mix”

4Ps of Marketing

Product

Price

Promotion

Place

Marketing MixProduct Mix

Brand

Style

Colour

Design

Product line

Package

Warranty

Service

Marketing MixPrice Mix

Pricing policy

Basic price

Terms of credit

Discounts

Allowances

Payment period

Credit terms

Marketing MixPromotion mix

Personal selling

Advertising

Publicity

Sales promotion

( dealer aids, consumer aids)

Direct marketing

Public relations

Marketing MixPlace mix

Distribution channels

1. Wholesalers

2. Retailers

3. Mercantile agents

Physical distribution

1. Transport

2. Warehousing

3. Inventory

4c’s of MarketingCustomer value ( Product)

Cost to the customer ( Price)

Convenience for the buyer ( Place)

Communication ( Promotion)

Marketing in the Present MillenniumSeamless global Society Internet reduced the gapEmergence of global society Importance of Time factorCost structure globally competitiveValue to the customerDevelopment in telecommunication

GlobalizationChanged concept of nationCulture of openness and transparency Information technology become a weaponKnowledge management- a key

Marketing in the Present MillenniumDeregulation of IndustriesGreater competition and growth opportunity.Conventional marketing management will not be deliver.No role to play for mediator

Product life cycle will be shorterDifferentiating of product is the imp. today

Virtual EnterprisesDifferent websites of businessSize and location of enterprise no role to playEra of digital Darwinism

Marketing in the Present Millennium

Heightened CompetitionCompetition from domestic and foreign brandsRising promotion cost and shrinking profit margin. Importance to the local brands

Customer- A ware house of information Internet- huge bank of informationChallenge of marketing for develop marketing mixStandardization replaced by mass customization

The role of distribution ChannelsConventional dealer and distributor will no longer thereEmergence of e-commerce websites, brick-and-click retailers

The Poor as a Market Segment•Gap between the poor and rich nation

•Large segment to be served•Price is the main factor for this segment

•Environment Protection•Eco friendly hotels ,watches etc

•Retail Transformation•Retailers facing competition from direct marketing

•Retailers building entertainment in their stores•Creating marketing as an experience rather than purchasing

Marketing orientationConsumer Orientation

Integrated Approach to Exploiting Market Opportunities

( integration of marketing mix)

Futuristic Approach ( money spent on marketing as in investment)

Highly Developed Marketing System ( test marketing, customer feedback, CRM's-CRM)

Marketing Culture

Speed

Thank You