CHAPTER CONTENTS What is Marketing The Marketing Mix Market - PowerPoint PPT Presentation

CHAPTER CONTENTS  What is Marketing  The Marketing Mix  Market Segmentation & Targeting  Understanding Consumer Behavior  Corporate Buying Behavior  Product  New Product Development  International Marketing Mix  Small Business & the Marketing Mix

CHAPTER CONTENTS  What is Marketing  Evolution of Marketing  The Marketing Mix  Market Segmentation & Targeting  Understanding Consumer Behavior  Corporate Buying Behavior  Product  New Product Development  International Marketing Mix  Small Business & the Marketing Mix

WHAT IS MARKETING ? Is it a Theory ? Is it a Concept ? Is it Selling Goods & Services ? Is it creating unnecessary Needs ? Is it Done by You ?

WHAT IS MARKETING ? 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.

WHAT IS MARKETING ? Delivering value is the comparison of the Benefits of consumption against the cost of consumption Value = Benefits Costs

WHAT IS MARKETING ? What is Marketed ? o Goods o Services o Ideas

CHAPTER CONTENTS  What is Marketing  Evolution of Marketing  The Marketing Mix  Market Segmentation & Targeting  Understanding Consumer Behavior  Corporate Buying Behavior  Product  New Product Development  International Marketing Mix  Small Business & the Marketing Mix

Evolution of Marketing

Evolution of Marketing The Production Concept The Product Concept The Selling Concept The Marketing Concept

Evolution of Marketing The Production Concept  Beginning of Capitalism to Mid 1950’s Henry Ford Model “T” $ 950

Evolution of Marketing The Product Concept  1950’s – 1960’s

Evolution of Marketing The Selling Concept  1960’s – 1970’s

Evolution of Marketing The Marketing Concept V 01/02/03

WHAT IS MARKETING ? Relationship Marketing & Customer Relationship Management Relationship Marketing is the Process of Creating, Maintaining & Managing, Positive, Long-term & Effective Relationships with Stakeholders . Customer Relationship Marketing (CRM) is the Process of Creating, Maintaining & Managing, Positive, Long-term & Effective Relationships with Customers . V 04

WHAT IS MARKETING ? Marketing Environment - External o Political & Legal Environment o Economical Environment o Social & Cultural Environment o Technological Environment o Competitive Environment

WHAT IS MARKETING ? Marketing Environment - External  Political & Legal Environment Taxation - Political Philosophies - Refer : Page 294-297( Business Political Based Relationships - essentials 09 th edition) Regulatory Framework -

WHAT IS MARKETING ? Marketing Environment - External  Economical Environment Interest Rates - Exchange Rates - Refer : Page 294-297( Business Inflation - essentials 09 th edition) Level of Employment -

WHAT IS MARKETING ? Marketing Environment - External  Social & Cultural Environment Social Perceptions - Cultural values - Religious Believes Refer : Page 294-297( Business - essentials 09 th edition) attitudes -

WHAT IS MARKETING ? Marketing Environment - External  Technological Environment Production Technology - Communication Technology - Refer : Page 294-297( Business essentials 09 th edition) V 05

WHAT IS MARKETING ? Marketing Environment - External  Competitive Environment Substitute Competition - Brand Competition - Refer : Page 294-297( Business essentials 09 th edition) International Competition - V 06

CHAPTER CONTENTS  What is Marketing  Evolution of Marketing  The Marketing Mix  Market Segmentation & Targeting  Understanding Consumer Behavior  Corporate Buying Behavior  Product  New Product Development  International Marketing Mix  Small Business & the Marketing Mix

WHAT IS MARKETING MIX ? o Product ? o Price ? o Place ? o Promotion ? Marketing Mix can be defined as …… Refer : Page 297-298 ( Business essentials 09 th edition)

WHAT IS MARKETING MIX ? o Product A Good, Service or an Idea designed to fulfill a consumer Need or Want. o Price Exchange Value of a good or service. o Place Methods of reaching the customer / Distribution. o Promotion Methods of Communicating with stakeholders.

CHAPTER CONTENTS  What is Marketing  Evolution of Marketing  The Marketing Mix  Market Segmentation & Targeting  Understanding Consumer Behavior  Corporate Buying Behavior  Product  New Product Development  International Marketing Mix  Small Business & the Marketing Mix

WHAT IS SEGMENTATION ? Segmentation is …… Refer : Page 299 ( Business essentials 09 th edition)

WHAT IS SEGMENTATION ? o Geographic Segmentation o Demographic Segmentation Refer : Page 300 ( Business essentials 09 th edition)

WHAT IS SEGMENTATION ? o Geo-Demographic Segmentation o Psychographic Segmentation Refer : Page 300 ( Business essentials 09 th edition)

WHAT IS TARGETING ? Targeting is …… V 07

WHAT IS POSITIONING ? Positioning is ……

CHAPTER CONTENTS  What is Marketing  Evolution of Marketing  The Marketing Mix  Market Segmentation & Targeting  Understanding Consumer Behavior  Corporate Buying Behavior  Product  New Product Development  International Marketing Mix  Small Business & the Marketing Mix

CONSUMER BUYING BEHAVIOR Consumer buying behavior can be defined as the decision-making process and physical activities involved in acquiring, evaluating, using and disposing of goods and services for direct consumption (B2C).

CONSUMER BUYING BEHAVIOR Influential Factors on Consumer Buying Behavior o Cultural factors (Culture / Sub-Culture / Social Class) o Social factors (Family / Status / Reference Groups) o Personal factors (Age / Occupation / Personality) o Psychological factors (Motivation / Perception) Refer : Page 301 ( Business essentials 09 th edition)

CONSUMER BUYING BEHAVIOR Consumer Buying Process Need Recognition Information Search Evaluation of Alternatives Purchase Decision Post purchase Behavior Refer : Page 302 ( Business essentials 09 th edition)

CHAPTER CONTENTS  What is Marketing  Evolution of Marketing  The Marketing Mix  Market Segmentation & Targeting  Understanding Consumer Behavior  Corporate Buying Behavior  Product  New Product Development  International Marketing Mix  Small Business & the Marketing Mix

CORPORATE BUYING BEHAVIOR Corporate buying behavior can be defined as the decision-making process and physical activities involved in acquiring, evaluating, using and disposing of goods and services for a business unit (B2B).

CORPORATE BUYING BEHAVIOR Different Types of B2B Markets o Industrial Markets o Reseller Markets o Government Markets Refer : Page 303 ( Business essentials 09 th edition)

CHAPTER CONTENTS  What is Marketing  Evolution of Marketing  The Marketing Mix  Market Segmentation & Targeting  Understanding Consumer Behavior  Corporate Buying Behavior  Product  New Product Development  International Marketing Mix  Small Business & the Marketing Mix

WHAT IS A PRODUCT ? A product can be defines as ……

PRODUCT Different Types of Products o Consumer Products o Organizational Products

PRODUCT Types of Consumer Products o Convenience goods and services o Shopping goods and services o Special goods and services Refer : Page 305 ( Business essentials 09 th edition)

PRODUCT Types of Organizational Products o Production Items (Raw Material) o Expense Items (Supporting Goods & Services) o Capital Items (Fixed Investments) Refer : Page 306 ( Business essentials 09 th edition)

PRODUCT Product Line / Mix of the Company Product Line Product Mix A group of products which are closely related and are sold Collection of all product to a similar market lines in the business. segment. V 08

CHAPTER CONTENTS  What is Marketing  Evolution of Marketing  The Marketing Mix  Market Segmentation & Targeting  Understanding Consumer Behavior  Corporate Buying Behavior  Product  New Product Development  International Marketing Mix  Small Business & the Marketing Mix

INTERNATIONAL MARKETING MIX o Product o Price o Place o Promotion Refer : Page 311-312 ( Business essentials 09 th edition) V 10/11/12

CHAPTER CONTENTS  What is Marketing  Evolution of Marketing  The Marketing Mix  Market Segmentation & Targeting  Understanding Consumer Behavior  Corporate Buying Behavior  Product  New Product Development  International Marketing Mix  Small Business & the Marketing Mix

SMALL BUSINESS MARKETING MIX o Product o Price o Place o Promotion Refer : Page 312-313 ( Business essentials 09 th edition)

CHAPTER CONTENTS  What is Marketing  Evolution of Marketing  The Marketing Mix  Market Segmentation & Targeting  Understanding Consumer Behavior  Corporate Buying Behavior  Product  New Product Development  International Marketing Mix  Small Business & the Marketing Mix