What are some CORE MARKETING concepts?
What are some CORE MARKETING
concepts?
To understand
the marketing function, we
need to understand
some core set of concepts.
NEEDS ARE THE BASIC HUMAN REQUIREMENTS.
NEEDS BECOME WANTS WHEN THEY ARE DIRECTED TO SPECIFIC OBJECTS THAT MIGHT SATISFY THE NEED.
A person in INDIA:NEEDs Foods.
But,WANTS
Chapatti Rice Curry
DEMANDS ARE WANTS FOR SPECIFIC PRODUCTS BACKED BY AN ABILITY TO PAY.
Many people WANTs
Mercedes Only a few are able to
buy one.
Companies measure how many people want their product, & how many are willing and able to buy it.
Not everyone likes the same cereal, restaurant, college or movies.
Marketers identify and profile distinct group of buyers who might prefer or require varying product and service mixes by examining buyer’s behaviour.
After identifying market segments, the TARGET MARKETs are identified.
For each of its Targets the firm develops a market offering that it
POSITIONs in the minds of the target buyers.
Companies provide value proposition to its customers by an OFFERING, which can be a
combination of products, services, information, & experiences.
BRAND is an offering from a known source.
McDonald’s make up its
image by providing: Burgers,
cleanliness, convenience,
courteous service, golden
arches.
VALUE IS A CENTRAL MARKETING CONCEPT CONSISTING OF :
SATISFACTION reflects a person’s
judgement of a product’s
performance with
expectations.
MARKETING CHANNELS:
Communication channels.
Distribution channels.
Service channels.
COMMUNICATION Delivers & Receives message from target
buyers.
Newspaper Magazine
Billboard
DISTRIBUTION Sell, display, or deliver the product to buyers.
Wholesalers
Agents
Mails
SERVICECarries out transaction with potential buyers.
Warehouses Insurance Company
Banks
SUPPLY CHAIN
Raw Material
ComponentsFinished Products
Buyers
Each intermediary captures only a certain percent of the whole value generated by the
system.
CASHEW SUPPLY CHAIN
Harvesting
Selling to agents
Processing
Sell by Brands
COMPETITION
It includes all the actual and potential rival offerings and substitute a buyer
might consider.
MARKETING ENVIRONMENTIt consists of:
Task Environment
Broad Environment
TASK ENVIRONMENT Include the actors engaged in
Producing, Distributing, & Promoting the Offering.
COMPRISES
Company
SuppliersDistributors
Dealers
Target Customers
BROAD ENVIRONMENTDemographic EnvironmentEconomic Environment
Socio-Cultural EnvironmentNatural Environment
Technological Environment
Political-Legal Environment
“Marketers must pay
close attention to
these emerging trends and adjust their
strategy accordingly.”
These slides were created by-
Biswajit Biswas IIT(BHU), Varanasi During a Marketing
Internship by Prof. Sameer Mathur
IIM(Lucknow) www.IIMInternship.com