MGT301 Principles of Marketing
Lecture-1
Todays Topics
Introduction-an overview of marketing Road map
Introduction of Marketing
Music to a Marketers Ears
Theyre the best. I always eat there. I only fly with that airline. I buy my electronics at that store. I will prefer to go in that school.
What is Marketing, anyway?
Definition
Marketing: The process of creating consumer value in the form of goods, services, or ideas that can improve the consumers life.
What is marketing ?
More than selling and advertising Identifying and satisfying customers needs Range of activities (marketing mix - 4Ps)
What is Marketing?
Learning to make what you can sell vs. selling what you can make.
Identifying and satisfying customer needs and wants.
Peter Drucker
Goal of all organizations is to gain and retain customers Innovation and marketing are the only two ways to achieve the goal
The rest only adds cost
The AMA managerial definition:
Marketing is the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational objectives.
Marketing Involves having the Right Product available in the Right Place at the Right Time and making sure that the customer is Aware of the Product.
Marketing
Product
Price
Customers
Place Promotion
Simple Marketing System
Communication Product/Service Producer/Seller Money Consumer
Feedback
Marketings 4 Ps
Product
Price Place
Promotion
Marketings 4 Ps (+2)
People
Product
Price Place Promotion Profits
Marketing
It assumes that it will proceed in accordance with ethical practices.
Identifies the 4 marketing variables - product, price, promotion, and distribution.
States that the public, the customer, and the client determine the marketing program.
Emphasizes creating and maintaining relationships. Finally applies for both non-profit organizations and profitoriented businesses.
Marketing Includes...
Personal selling
Advertising
Making products available in stores Maintaining inventories etc
What Can Be Marketed?
Goods Services Experiences Events
Places Properties Organizations Information Ideas
Persons
How Does an Organization Create a Customer?
Identifying customer needs Designing goods and services that meet those needs
Communicating information about those goods and services to prospective buyers
Making the goods or services available at times and places that meet customers needs Pricing goods and services to reflect costs, competition, and customers ability to buy Providing for the necessary service and follow-up to ensure customer satisfaction after the purchase
How is Marketing Done?
Marketers Develop and Implement a Marketing Plan Based on the Following Information:
Organizations Strengths and Weaknesses
Opportunities and Threats to the Organization in the Marketplace
Organizations Overall Objectives
Peter F. Drucker Said:
If we want to know what a business is, we have to start with its purpose. And its purpose must lie outside the business itself. In fact, it must lie in society since a business enterprise is an organ of society. There is one valid definition of business purpose: to create a customer.
Reasons for Studying Marketing
Careers
Costs
About 50% of total product costs are marketing costs
About 25 to 33% of the work force hold
marketing positions.
Why Study Marketing ?
Contributions to Individual Organizations Critical to the success of a firm Contributions to Society Marketing decisions affect the lives of individual consumers and society as
a whole
Why Study Marketing?
Plays an important role in society Vital to business Offers outstanding career opportunities Affects your life every day
Marketing is Everywhere in Your Life
What do Marketers Think About?
Ex: Open a Book shop On Campus Is there a need? Who is my target market? What is my product? How can I produce and deliver a product better than my competitors? How will I promote my product? How can I insure customer loyalty?
Marketing is....
getting the right products to the right people at the right price and at the right place and time with the right promotion
Marketing is a social and managerial process by which individuals and groups obtain what they need and want through creating, offering and exchanging products of value with others. Kotler 1994
Process by which individuals and groups obtain what they need and want through creating and exchanging products and value with others.
More simply: Marketing is the delivery of customer satisfaction at a profit.
Simple Questions, Hard Answers
Who are our customers?
What important & unique benefits do we provide?
Are these benefits sustainable?
COURSE STRUCTURE
Readings
Lectures Assignments
Project
Exam
Recommended Books
Principles of Marketing by Philip Kotler and Gary Armstrong
Fundamentals of Marketing by Stanton, Etzel and Walker
Marketing by Joel R. Evans and Barry Berman
Summary
Simple Marketing System
Communication Product/Service Producer/Seller Money Consumer
Feedback
Next.
Understanding Marketing and Marketing Process Core Marketing Concepts
MGT301 Principles of Marketing
Lecture-1
