Marketing Note

8/4/2019 Marketing Note

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Diploma in Computer Graphic DesignDiploma in Computer Graphic Design

MarketingMarketing

Madhawa Waidyaratna

Sri Lanka Institute of Printing

Madhawa Waidyaratna

Sri Lanka Institute of Printing

Marketing takes day to

learn. Unfortunately ittakes a lifetime to master

– Philip Kotler

Marketing?

What is IT?



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Marketing? What is IT?Marketing? What is IT?

Essence of MarketingEssence of Marketing

Marketing focuses on the satisfaction of customer needs,wants and requirements

Future needs have to be identified and anticipated

The philosophy of marketing needs to be owned by everyonewithin the organization

There is normal ly a focus upon profitability, especially in thecorporate sector. However, as public sector organizations and

not-for-profit organizations adopt the concept of marketing

More recent definitions recognize the influence of marketing

upon society

Marketing focuses on the satisfaction of customer needs,wants and requirements

Future needs have to be identified and anticipated

The philosophy of marketing needs to be owned by everyonewithin the organization

There is normal ly a focus upon profitability, especially in thecorporate sector. However, as public sector organizations and

not-for-profit organizations adopt the concept of marketing

More recent definitions recognize the influence of marketing

upon society



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Marketing - DefinitionMarketing - Definition

Marketing is the management process that identifies,anticipates and satisfies customer requirements profitably –The Chartered Institute of Marketing

The right product, in the right place, at the right time, and at theright price – Adcock et al

Marketing is the human activity directed at satisfying human

needs and wants through an exchange process – Kotler 1980 Marketing is a social and managerial process by whichindividuals and groups obtain what they want and need throughcreating, offering and exchanging products of value with others– Kotler 1991

Marketing is the management process that identifies,anticipates and satisfies customer requirements profitably –The Chartered Institute of Marketing

The right product, in the right place, at the right time, and at theright price – Adcock et al

Marketing is the human activity directed at satisfying human

needs and wants through an exchange process – Kotler 1980 Marketing is a social and managerial process by whichindividuals and groups obtain what they want and need throughcreating, offering and exchanging products of value with others– Kotler 1991

Marketing Management PhilosophiesMarketing Management Philosophies

Production Concept

Product Concept

Selling Concept

Marketing Concept

Societal Marketing Concept



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Production ConceptProduction Concept

Philosophy Quality products at affordable prices sell themselves

Objective Minimize costs to lower prices, keep quality high

How ? Focus on production and Distribution Efficiency

Production ConceptProduction Concept



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Selling ConceptSelling Concept

Selling ConceptSelling Concept

PhilosophyProducts don’t necessarily sell themselves.

Customers must be convinced to buy products

Objective Maximize sales revenue

How ? Aggressive promotion to create demand



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Marketing ConceptMarketing Concept

Philosophy Satisfied Customer wants and needs

Objective Customer and profit orientation in whole firm

How ? Focus on total marketing mix

Marketing and Selling ConceptsMarketing and Selling Concepts



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Societal Marketing ConceptSocietal Marketing Concept

Philosophy Satisfied Customer wants and needs

ObjectiveCustomer and profit orientation in whole firm;

Society's interests protected

How ?Focus on total marketing mix tempered with social

concern

Relationship Marketing ConceptRelationship Marketing Concept

Building strong

ongoing

relationships with

business partners

which lead to

better channel

arrangements and

efficiencies



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Needs and WantsNeeds and Wants

This is a NeedThis is a Need

State of felt

deprivation including

physical, social, andindividual needs

State of felt

deprivation including

physical, social, andindividual needs



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Maslow’s Hierarchy of NeedsMaslow’s Hierarchy of Needs

These are WantsThese are Wants

Wants - form that a

human need takes, as

shaped by culture andindividual personality.

Wants - form that a

human need takes, as

shaped by culture andindividual personality.



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Fulfillment of Needs and WantsFulfillment of Needs and Wants

Some combination of

products, services,

information, or experiences

offered to a market to

satisfy a need or want

Some combination of

products, services,

information, or experiences

offered to a market to

satisfy a need or want

Needs and Wants Fulfil led

through a Marketing Offer :

What Satisfies Needs and Wants?What Satisfies Needs and Wants?

Products

Organizations

Ideas

Persons

Services

Informatio

n

Places

Xreox, McDonalds



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Marketing MyopiaMarketing Myopia

Sellers pay more

attention to the

specific products

they offer than to the

benefits and

experiences produced

by the products.

They focus on the

“wants” and lose

sight of the “needs.”

Underlying value

Sellers pay more

attention to the

specific products

they offer than to the

benefits and

experiences produced

by the products.

They focus on the

“wants” and lose

sight of the “needs.”

Underlying value

This is DemandThis is Demand

Demand

Wants Buying Power



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Value and Customer SatisfactionValue and Customer Satisfaction

Expectation Performance

810

If performance is lower

than expectations,

satisfaction is LOW

If performance is higher

than expectations,

satisfaction is HIGH

Expectation Performance

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Implications of MarketingImplications of Marketing

Who are our existing / potential customers?

What are their current / future needs?

How can we satisfy these needs?

Can we offer a product/ service that the customer would value?

Can we communicate with our customers?

Can we deliver a competitive product of service?

Why should customers buy from us?

Who are our existing / potential customers?

What are their current / future needs?

How can we satisfy these needs?

Can we offer a product/ service that the customer would value?

Can we communicate with our customers?

Can we deliver a competitive product of service?

Why should customers buy from us?



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Segmentation and Target MarketingSegmentation and Target Marketing

Market Segmentation: Divide the

market into segments of

customers

#1 #2

Target Marketing: Select the

segment to cultivate

A Market is the set of actual and

potent ial buyers of a product.

These people share a need or

want that can be satisfied

through exchange relationships.

The Consumer Buying ProcessThe Consumer Buying Process

Consumer

Purchase Decisions

Product Choice

Location Choice

Brand ChoiceOther Choices

Psychological Inputs

Culture

Attitude

Learning

Perception

Marketing Inputs

Product

Price

Promotion

Place



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Marketing Mix (4Ps)Marketing Mix (4Ps)

4 Ps Marketing4 Ps Marketing

Optimizing the market ing mix is the primary responsibility of marketing. By

offering the product with the right combination of the four Ps marketers

can improve their results and marketing effectiveness

Making small changes in the market ing mix is typically considered to be atact ical change. For example, change of price from Rs131 to 130.99 a

large change in the price, from Rs 100 to 250

Making large changes in any of the four Ps can be considered strategic.

For example, change of price from Rs 100 to 250 . Potentially related to a

promotional offer

The term "Marketing Mix" however, does not imply that the 4P elements

represent options. They are not trade-offs but are fundamental marketing

issues that always need to be addressed

Optimizing the market ing mix is the primary responsibility of marketing. By

offering the product with the right combination of the four Ps marketers

can improve their results and marketing effectiveness

Making small changes in the market ing mix is typically considered to be atact ical change. For example, change of price from Rs131 to 130.99 a

large change in the price, from Rs 100 to 250

Making large changes in any of the four Ps can be considered strategic.

For example, change of price from Rs 100 to 250 . Potentially related to a

promotional offer

The term "Marketing Mix" however, does not imply that the 4P elements

represent options. They are not trade-offs but are fundamental marketing

issues that always need to be addressed



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7 Ps Marketing7 Ps Marketing

Services marketing calls upon an extra three (extended marketing mix)

People: Any person coming into contact with customers can have an

impact on overall satisfact ion. they must be appropriately trained, well

motivated and the right type of person.

Process: Process involved in providing a service and the behaviour of

people,

Physical evidence: Unlike a product, a service cannot be experiencedbefore it is delivered, which makes it intangible. To reduce the feeling of

risk, thus improving the chance for success, it is vital to provide

physical evidence, such as case studies, testimonials or demonstrations.

Services marketing calls upon an extra three (extended marketing mix)

People: Any person coming into contact with customers can have an

impact on overall satisfact ion. they must be appropriately trained, well

motivated and the right type of person.

Process: Process involved in providing a service and the behaviour of

people,

Physical evidence: Unlike a product, a service cannot be experiencedbefore it is delivered, which makes it intangible. To reduce the feeling of

risk, thus improving the chance for success, it is vital to provide

physical evidence, such as case studies, testimonials or demonstrations.

The SIVA ModelThe SIVA Model

Product > Solution: How appropriate is the solution to the customer's

problem/need?

Promotion > Information: Does the customer know about the solution?

If so, how and from whom do they know enough to let them make abuying decision?

Price > Value: Does the customer know the value of the transaction,

what it will cost, what are the benefits, what might they have to

sacrifice, what will be their reward?

Place > Access: Where can the customer find the solution? How

easily/locally/remotely can they buy it and take delivery?

Product > Solution: How appropriate is the solution to the customer's

problem/need?

Promotion > Information: Does the customer know about the solution?

If so, how and from whom do they know enough to let them make abuying decision?

Price > Value: Does the customer know the value of the transaction,

what it will cost, what are the benefits, what might they have to

sacrifice, what will be their reward?

Place > Access: Where can the customer find the solution? How

easily/locally/remotely can they buy it and take delivery?



Marketing PlanMarketing Plan

THANK YOUTHANK YOU

Marketing Note

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