Marketing 1 An Overview of Marketing

WHAT IS…? MARKETING

MARKETING  Sine Qua Non of Business “Without This Nothing”

MARKETING  Meeting customer needs  Exchange: Quid pro Quo (This for That)  Creating, Promoting & Delivering: Goods & Services Goods & Services

Where can marketing be used?  Traditional Businesses  Not-For-Profit Companies  Institutions  Social Organizations  Social Causes and Ideas  Politics  Sports and Entertainment

Markets  All actual and potential customers  Can’t be all things to all people, so break up total market into segments  Each segment is comprised of people who are grouped by their similarity along some dimensions

1.1 Marketing n Defining marketing n Marketing mix n Management philosophies n Requirements for successful marketing n Market place orientations

1.3 What Is Marketing? A set of processes for creating, communicating and delivering value to customers, with the intention of building long term relationships that will benefit the organization and its stakeholders.

1.2 SELLER BUYER Exchange Process

1.4 MARKETING MIX Decisions that must be made. The “ingredients.” PRODUCT PRODUCT PROMOTION PROMOTION PLACE PLACE PRICE PRICE  KEY: Devise a mix that satisfies customers and generates a profit for the firm.

1.5 MARKETING PHILOSOPHIES PRODUCTION ORIENTATION – Focus on internal capabilities of the firm rather than on the marketplace SALES ORIENTATION – Aggressive sales techniques used to drive profits

The Marketing Concept  The social and economic justification for an organization’s existence is the satisfaction of customer wants and needs while meeting organizational objectives.  The value as perceived by the customer!

1.6 MARKET ORIENTATION n EMPLOYING THE MARKETING CONCEPT – Customer needs/wants orientation – Aimed at generating customer satisfaction – Satisfying organizational goals n STRATEGIC MARKETING MANAGEMENT – Gather information about customers, competitors, and markets – Selection of target markets – Development of marketing mix

1.7 SOCIETAL MARKETING ORIENTATION  Satisfy customer wants/needs  Organizational goals  And preserve or enhance society’s long term best interest

1.8 Value n Value is what the customer thinks it is. n Customer Value = Benefits Costs

Customer Satisfaction Satisfaction = Experience - Expectation

Long-Term Relationships  Repeat Sales  Referrals  Lower Costs Customer Retention vs. Customer Acquisition Customer Retention vs. Customer Acquisition  Increased Sales  Premium Price (slight)

1.10 Successful relationship marketing requires  Customer Oriented Personnel  Good Training  Empowerment  Teamwork

1.11 Importance of marketing in society n Importance to Business n Career Opportunities n Affects Daily Life n To You