1. INTRODUCTION TO MARKETING
Dr. Prasad Begde,
Assistant Professor, FNU

2. Class Objective:
Define Market
Describe Marketing Management
Elaborate 4 p’s (Marketing mix)
Define marketing philosophy
Understand conceptually difference between marketing and sales

3. What is a market?
“A market consists of all the potential customers sharing a particular need or want who might be willing and able to engage in exchange to satisfy that need or want” (Philip Kotler)

4. Marketing Definition
Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large. (Approved by AMA on July 2013)

5. The Overall Themes of Marketing The Traditional Marketing Mix
Product
Price
Promotion
Place

6. Marketing Defined Marketing is a process… that is… Managerial Social
Individual
Wants, Desires
Demands – Products and/or Services

7. As far as Customers are concerned there are three elements to address
Customer value: Difference between the values that the customer gains from owning and using a product versus the costs of obtaining the product.
Customer satisfaction: The extent to which a product’s perceived performance in delivering value matches a buyer’s expectations.
Quality: the characteristics of a product or service that bear on its ability to satisfy stated or implied customer needs.

8. Marketing Management Philosophies Agree or Disagree?
Production: consumers will favor products that are available and highly affordable
Product: consumers favor products that offer the most in quality, performance, and innovative features
Selling: consumers will not buy unless an organization undertakes a large-scale selling and promotional effort
Marketing: determining the needs and wants of target markets and delivering the desired satisfactions more effectively and efficiently then the competitors
Societal marketing: generating customer satisfaction and long-run societal well-being are the keys to both achieving the company’s goals and fulfilling its responsibilities

9. Relationships
Relationship marketing: the process of creating, maintaining, and enhancing strong, value-laden relationships with customers and other stakeholders.

10. Marketing Management Practice Essentially Two Types
Entrepreneurial marketing:
Businesses started by individuals
Creativity, drive, and perseverance are keys to success
Formulated marketing:
Professional, disciplined approach
Achieving a market orientation

11. Orientations towards marketing
Production concept (before 1930):
demand > supply
Selling concept ( ):
supply > demand
Marketing concept (post-1960s):
analyze consumer needs before producing and selling, market orientation, competition…

12. Marketing Concept versus Selling Concept
Starting Point
Focus
Means
Ends
Market
Customer
needs
Integrated
marketing
Profits from
satisfied customers
The Marketing Concept
Factory
Product
Sell and
Promote it
Profits through
sales volume
The Selling Concept
Figure 1.3

13. Customer will not buy product unless they are persuaded
Selling Concept
Customer will not buy product unless they are persuaded
Marketing Concept
This concept proposes that the reason for success lies in company's ability to create , deliver and communicate a better value proposition through its marketing offer.

14. Marketing vs. Selling Marketing Sales
Emphasis on consumer needs and wants.
Customer need is first determined and then delivery of product is decided
Mgmt is profit oriented
Planning is long term oriented in terms of new product and future growth.
Emphasis on innovation in every sphere
All deptt. Work in an integrated manner.
Consumer determines the price
Sales
Emphasis on product
Company manufactures the product first and then decides to sell it.
Mgmt is sales vol oriented
Planning is short term oriented in terms of today’s product and markets.
Emphasis on staying with existing technology and reducing costs.
Different departments work as highly separate watertight compartments.
Cost determines the price

15. What is Sales Management?
One definition: “The management of the personal selling part of a company’s marketing function.”
Another definition: “The process of planning, directing, and controlling of personal selling, including recruiting, selecting, equipping, assigning, supervising, paying, and motivating the personal sales force.