Chapter 1

Defining Marketing for the 21st Century

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Marketing ManagementA South Asian Perspective, 13th ed

Copyright © 2009 Dorling Kindersley (India) Pvt. Ltd. 1-2

Chapter Questions

• Why is marketing important?

• What is the scope of marketing?

• What are some fundamental marketing concepts?

• How has marketing changed?

• What are the tasks necessary for successful marketing?


Good Marketing is No Accident

The roaring success of four-wheeler Tata

Ace, in a market earlier dominated by three-wheeler load

carriers, was due to a deep understanding of the market needs

and customer requirements.


Selling is only the tip of the iceberg

“There will always be a need for some selling. But the aim of marketing is to make selling superfluous. The aim of marketing is to know and understand the customer so well that the product or service fits him and sells itself. Ideally, marketing should result in a customer who is ready to buy. All that should be

needed is to make the product or service available.”

Peter Drucker


What is Marketed?

GoodsGoods

ServicesServices

Events & ExperiencesEvents & Experiences

PersonsPersons

Places & PropertiesPlaces & Properties

OrganizationsOrganizations

InformationInformation

IdeasIdeas


Figure 1.2 A Simple Marketing System


Key Customer MarketsConsumer Markets

Business Markets

Global Markets

Nonprofit/ Government Markets


Core Marketing Concepts

• Needs, wants, and demands

• Target markets, positioning, segmentation

• Offerings and brands

• Value and satisfaction

• Marketing channels• Supply chain• Competition• Marketing

environment


Positioning

Press ads of the Scorpio focused on

the functional features of the vehicle and the television ads

focused on emotional benefits.


The marketplace isn’t what it used to be…

Information technologyInformation technology

GlobalizationGlobalization

DeregulationDeregulation

PrivatizationPrivatization

CompetitionCompetition

ConvergenceConvergence

Consumer resistanceConsumer resistance

Retail transformationRetail transformation


New Consumer Capabilities

• A substantial increase in buying power• A greater variety of available goods and

services• A great amount of information about

practically anything• Greater ease in interacting and placing and

receiving orders• An ability to compare notes on products and

services• An amplified voice to influence public opinion


Figure 1.4 Holistic Marketing Dimensions


Figure 1.5 The Four P’s


Marketing Management Tasks

• Develop market strategies and plans• Capture marketing insights• Connect with customers• Build strong brands• Shape market offerings• Deliver value• Communicate value• Create long-term growth


Marketing Debate: Take a Position!

Does marketing shape consumer needs?

or

Does marketing merely reflect the needs and wants of consumers?

Chapter 1

Marketing

dorling kindersley india

aim of marketing

marketing insights

successful marketing

good marketing

marketing debate

scope of marketing

marketing management