Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata This is the prescribed textbook for your course. Available NOW at your campus bookstore!

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata Marketing Principles Chapter 1

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata Marketing is a system of business activities aimed at achieving organisational goals by developing, pricing, distributing and promoting products, services and ideas that will satisfy customer needs and wants. 1-1

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata Definition  A marketing organisation’s entire system of business activities must be customer oriented.  Customer needs and wants must be recognised and satisfied. 1-2

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata Definition  Marketing is a system for guiding and running a business.  Marketing is results oriented.  To be successful, marketing must maximise profits. 1-3

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata Nature and scope of marketing Includes:  Physical goods—cars, clothes, machines, books.  Services—banks, theatres, education.  Ideas—pollution reduction, road safety. 1-4

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata Nature and scope of marketing (cont.)  People—Kylie Minogue, Michael Jordan (people are a marketable product or brand).  Places—Daintree, a new business estate.  Experiences—bungie jumping, meditation. 1-5

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata Production orientation Sales orientation Marketing orientation Social marketing orientation The stages in the evolution of marketing 1-6

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata The evolution of marketing  Typical thinking of the late 1800s Executives in production and engineering shaped its planning: the function of the sales department was simply to sell the company’s output. The production-orientation stage 1-7

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata The sales-orientation stage  Typical thinking of the 1930s–60s (post-depression Australia)  The firm’s emphasis was on selling its output.  This was the age of ‘hard sell’.  Supply usually exceeded demand. 1-8

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata The marketing-orientation stage  Typical thinking of the mid–1950s  Marketing influences all short-term and long-range company planning.  The firm’s goals become customer orientation and profitable sales volume. 1-9

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata The marketing-orientation stage (cont.)  Focus is on marketing rather than selling…encompasses inventory control, warehousing, product planning and implementation of the marketing concept. 1-10

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata The marketing concept  Typical thinking of the late 1970s  The marketing concept emphasises customer orientation and the coordination of marketing activities. 1-11

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata The marketing concept (cont.)  Planning and operations should be customer-oriented, focusing on satisfying customers needs and wants.  All the marketing mix activities in a firm should be coordinated and consistent. 1-12

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata The marketing concept (cont.)  Customer-oriented, coordinated marketing activities are seen as the means to achieving the organisation’s performance objectives. 1-13

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata The Marketing Concept (cont.) 1-14

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata The societal marketing concept  Typical thinking in 1990  Marketer must act in a socially responsible manner.  External environment’s influence on firm’s marketing program. 1-15

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata The societal marketing concept (cont.)  Realisation comes that there are finite limits to our natural resources.  Increasing emphasis on the management of human resources. 1-16

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata Relationship marketing  An attempt to build personal, long-term bonds with customers.  Relationship marketing has expanded to include all the groups with which an organisation interacts: suppliers, employees, unions, government and even competitors. 1-17

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata Marketing vs. Selling  Selling  A company makes a product and then uses various selling methods to persuade customers to buy it.  Marketing  Company finds out what the customer wants and develops a product to satisfy those wants while yielding a profit. 1-18

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata 1-19

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata The planning sequence 1-20

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata The marketing mix  The four key main elements of marketing are referred to as the ‘Marketing Mix’.  These elements are: Product, Price, Promotion and Place (Distribution).  These elements, also know as variables, are controllable by marketers and are the key to attracting a specific target market. 1-21

Copyright  2003 McGraw-Hill Australia Pty Ltd PPTs t/a Essential Marketing Skills by Rix Slides prepared by Joe Rosagrata The Marketing mix (cont.) 1-22