Chapter 1: World of Marketing Section 1.1 What is Marketing

What You’ll Learn To define marketing To explain the marketing concept To define demographics To explain the marketing mix

Marketing Defined Marketing – the process of developing, promoting, and distributing products, or goods and services, to satisfy customer’s needs and wants. ▫Goods – tangible products, such as sports equipment ▫Services – intangible products, such as theater tickets

The Marketing Process Developing – studying consumers to determine what the want, and then designing the products that will satisfy their needs and wants Promotional – activities help to educate consumers, create interest and desire, make a sale, and create an image for a company and its products Distribution – getting the product into the hands of the customer

The Marketing Concept The idea that organizations need to satisfy their customers while also trying to reach their organization’s goals.

The Market A market consist of potential customers with shared needs who have the desire and ability to buy a product.  Needs – a lack of basic necessities such as food, clothing, or shelter  Wants – things that people desire based on personality, experiences, or information about a product  Target Market – a specific group of consumers that an organization selects as the focus of its marketing plan

Mass Marketing vs. Market Identification Demographics – statistics that describe a population in terms of personal characteristics. (age, income, population, gender, educational level, etc.)

Marketing Mix The marketing mix is a combination of four basic marketing strategies, known as the 4 P’s - product, price, place, and promotion,  Product Decisions  Price Decisions  Place Decisions  Promotion Decisions

Quiz 1.T/F Marketing is the process of developing, promoting, and distributing products, or goods and services, to satisfy customer’s needs and wants. 2.T/F The marketing concept is strictly concerned with satisfying customers without any concern for the organization. 3.T/F Mass marketing takes into effect the demographics of an audience when putting together a marketing plan. 4.T/F The marketing mix is also referred to as the 4 P’s of marketing. 5.T/F Price is the most important P of the marketing mix.