introduction to marketing management mail: [email protected] prof. deepak r. gupta

INTRODUCTION TO MARKETING MANAGEMENT

Mail: [email protected]. Deepak R. Gupta

FUNCTIONAL AREAS OF MANAGEMENT

Prof. Deepak R. Gupta

INTRODUCTION TO MARKETING

• Marketing is the key function of management.

• Marketing is the business function which deals with customers.

• Marketing is responsible for generating revenue & contributing directly towards growth of the organization.

• Marketing covers advertising, promotions, public relations, and sales.

• Finance, operation, accounting & other function will not really matter if there is not sufficient demand for products & services.


WHAT IS MARKETING?


A Philosophy

An Attitude

A Perspective

A Management Orientation

A Set of Activities:

Products

Pricing

Promotion

Distribution / Place

INTRODUCTION TO MARKETING


LAYS UNDERSTANDING CUSTOMERS NEED


NEEDS

• It is a fundamental concept underlying all marketing activities.

• What are customer needs & wants?

• A need is a basic requirement that an individual wishes to satisfy.

• A need is something that is necessary for organisms to live a healthy life. - Wikipedia

• People have basic needs for food, water, shelter, affection, self – development.


WANTS

• Customer wants are narrow.

• A want is a desire for a specific product or service to satisfy underlying need.

• Customers need to eat when they are hungry.

• What they want to eat & in what kind of environment will vary enormously.

• Consumer wants are shaped up by social & cultural forces, the media & marketing activities of business.

• This leads to another important concept – customer demand.


NEEDS AND WANTSIf you want to feel fresh in the evening time we would prefer different beverages for the same need…


NEED – TO FEEL FRESH


DEMAND

• Customer demand is a want for specific product supported by:– Desire

– Ability to Purchase

– Willingness to pay for it.

• Business therefore have not only to make products that consumer wants, but they also have to make them affordable to a sufficient number to create profitable demand.

• Business also tries to communicate the relevant feature of their products through advertising at other marketing promotions.


WHAT IS DEMAND?

“Demand means effective desire or need for a commodity which is backed up by the ability (purchasing power) to pay for it and willingness to buy”.

• Demand for commodity implies:

– Desire

– Willingness

– Purchasing power


EXAMPLE

• Need : Transportation – the MBA student has to reach college in time. Buses are not dependable.

• Want : The students wants a motorcycle, which looks grand, has many latest features & is dependable.

• Demand : Purchasing power is provided by the student’s parents, who has the willingness to buy the bike, which their ward wants.


CORE CONCEPTS


Marketing is a societal process by which individuals and groups obtain what they need and want through creating, offering and freely exchanging products and services of value with others

Social 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 goals.

AMA Definition

MARKETING DEFINITION


Marketing Management is the Art and Science of choosing target markets and getting, keeping and growing customers through creating, delivering and communicating superior customer value.

KOTLER

MARKETING DEFINITION


Simply put

Marketing is the delivery of customer satisfaction at a profit.

Goals

Attract new customers by promising superior value and keep and grow current customers by delivering

satisfaction.


Power of 10

TYPES OF OFFERINGS


• Products - Nirma

• Services – Dr. Batra

• Experiences - Disneyland

• Events – iifa, ipl

• Properties – Rustomjee, Hiranandani

• Organisations – Bajaj, Airtel

• Information – News Paper, Encyclopedia

• Ideas – Art of Living, Yoga

• Persons - Celebrity

• Places – Kerala “God’s Own Country”

TYPES OF OFFERINGS


PRODUCTS AND SERVICES

• GoodsGoods - things you can touch - “tangible”

• ServicesServices - things you can’t touch - but you can see their effect “intangible”

PRODUCTS touch see taste Smell

• Product Example• Soap• Car• Mobile• Books

SERVICES can’t see can’t touch can’t smell can’t taste

• Service Example• Haircuts• Tuition• Courier Services• Office Cleaning Services• Delivering Fresh FlowersProf. Deepak R. Gupta

Marketing MCQ

• You have learned from experience as well as from this course that the most basic concept underlying marketing is that of _____.1. selling and advertising

2. customer satisfaction

3. retaining customers

4. human needs


Marketing MCQ

• As a new assistant marketing manager trainee, you learn in an orientation meeting that _____ are the form human needs take as they are shaped by culture and individual personality.1. wants

2. demands

3. self concepts

4. desires


Marketing MCQ

• Greg Williams now has the buying power to purchase the computer system he has wanted for the last six months. Greg’s want now has become a _____.1. need

2. necessity

3. demand

4. none of the above


CONCLUSIONWHY STUDY MARKETING?

• Plays an important role in society

• Vital to business survival, profits and growth

• Offers career opportunities

• Affects your life every day


THANK YOU


introduction to marketing management mail: [email protected] prof. deepak r. gupta

Documents

sufficient demand

marketing promotions

guptademandcustomer

profitable demand

marketing managementmail

consumer wants

business function

underlying need