Marketing MANAGEMENT
MARKETING MANAGEMENT is a social and managerial process by which individuals or firms obtain what they need or want through creating, offering, exchanging products of value with each others.
CORE CONCEPTS OF MARKETING
- NEED/ WANT/ DEMAND:
Need: It is state of deprivation of some basic satisfaction.
Want: Desire for specific satisfier of need.
Demand: Want for a specific product backed up by ability and willingness
to buy.
Marketers cannot create needs. Needs pre exists. Marketers can influence wants. This is done in combination with societal influencers.
- PRODUCTS- GOODS/ Services/ PLACE.
Product is anything that can satisfy need/ want.
Product component- 1.Physical Good.
- Service.
- Idea.
Hence, products are really a via- media for services.
Hence, in marketing, focus is on providing/ satisfying service rather than providing products.
Marketing Myopia: Focus on products rather than on customer needs.
(3) VALUE/ COST/ SATISFACTION:
- Decision for purchase made based on value/ cost satisfaction delivered by product/ offering.
- Product fulfills/ satisfies Need/ Want.
- Value is products capacity to satisfy needs/ wants as per consumer’s perception or estimation.
- Each product would have a cost/ price Elements attached to it.
VALUE– Products capacity to satisfy.
COST– Price of each products.
- EXCHANGE/ TRANSACTION:
EXCHANGE: – The act/ process of obtaining a desired product from someone by offering something in return. For exchange potential to exist, the following conditions must be fulfilled.
- There must be at least two parties.
- Each party has something of value for other party.
- Each party is capable of Communication & delivery
- Each party is free to accept/ reject the exchange offer.
- Each party believes it is appropriate to deal with the other party.
TRANSACTION: – Event that happens at the end of an exchange. Exchange is a process towards an agreement. When agreement is reached, we say a transaction has taken place.
Proof of transaction is BILL/ INVOICE.
TRANSFER: – It is one way. Hence, differ from Transaction.
NEGOTIATION: – Process of trying to arrive at mutually agreeable terms.
Negotiation may lead to – Transaction
– Decision not to Transaction
- RELATIONSHIP/ NETWORKING:
Relationship marketing:- It’s a pattern of building long term satisfying relationship with customers, suppliers, distributors in order to retain their long term performances and business.
Outcome of Relationship Marketing is a MARKETING Network.
MARKETING NETWORK: It is made up of the company and its customers, employees, suppliers, distributors, advertisement agencies, retailers, research & development with whom it has built mutually profitable business relationship.
Competition is between whole network for market share and NOT between companies alone.
- MARKET:
A market consists of all potential customers sharing particular need/ want who may be willing and able to engage in exchange to satisfy need/ want.
Types of Markets:
- Resource Market,
- Manufacturing Market,
- Intermediary Market,
- Consumer Market,
- Government market.
- MARKETERS/ PROSPECTS:
Working with markets to actualize potential exchanges for the purpose of satisfying needs and wants.
One party seeks the exchange more actively, called as “Marketer”, and the other party is called “Prospect”.
Prospect is someone whom marketer identifies as potentially willing and able to engage in exchange.
Marketer may be seller or buyer. Most of time, marketer is seller.
A marketer is a company serving a market in the face of competition.
Marketing Management takes place when at least one party to a potential exchange thinks about the means of achieving desired responses from other parties.
AMA- American Marketing Association.
It defines marketing management as the process of planning & executing the conception of pricing, promotion, distribution of goods, services, ideas to create exchanges that satisfy individual and organizational goals.
- Can be practiced in any market.
- Task of marketing management is to influence the level, timing, composition of demand in a way that will help the organization to achieve its objective. Hence, marketing management is essentially demand management.
Traditional Concept of Marketing
According to this concept, marketing consists of those activities which are concerned with the transfer of ownership of goods from producers to consumers. Thus, marketing means selling of goods and services. In other words, it is the process by which goods are made available to ultimate consumers from their place of origin. The traditional concept of marketing corresponds to the general notion of marketing, which means selling goods and services after they have been produced. The emphasis of marketing corresponds is on the sale of goods and services. Consumer satisfaction is not given adequate emphasis. Viewed in this way, marketing is regarded as Production/Sales oriented.
Modern concept of Marketing
According to the modern concept, Marketing is the concerned with creation of customer. Creation of Customers means identification of Consumer needs and organising business to satisfy needs. Marketing in the modern sense involves decision regarding the following matters.
- Products to be produced.
- Prices to be charged from Customers.
- Promotional techniques to be adapted to contact and influence existing and potential customers.
- Selection of middlemen to be used to distribute goods and service.
Modern concept of marketing requires all the above decisions to be taken after due consideration of consumer needs and their satisfaction.
The business objective of earning profit is sought to be achieved through provision of consumer satisfaction. This concept of marketing is regarded as consumer oriented as the emphasis of business is laid on consumer needs and their satisfaction.
Five fundamental concept of marketing are –
- Exchange concept
- Production concept
- Product concept
- Sales concept
- Marketing concept
- Exchange Concept: The exchange concept holds that the exchange of a product between seller & buyer is the central idea of marketing Exchange is an important part of marketing, but marketing is much wider concept.
- Production Concept: The production concept is one of the oldest concepts in business. It holds that consumers will prefer products that are widely available and expensive. Manager of Production oriented business concentrate on achieving high production efficiency low cost & mass distribution.
- Product Concept: This concept holds that consumers will prefer those products that are high in quality, performance or innovative features. Managers in these organization focus on making superior products and improving them. Sometimes, this concept leads to marketing myopia, Marketing myopia is a short-sightedness about business. Excessive attention to production or the product or selling aspects at the cost of customers & his actual needs creates this myopia.
- Selling Concepts: This concept focuses on aggressively promoting & pushing its products, it cannot except its product to get picked up automatically by the customer. The purpose is basically to sell more stuff to more people, in order to make profits.
- Marketing Concept: The marketing concept emerged in the mid 1950’s. The business generally shifted from a product – cantered, make & sell philosophy, to a customer centered, sense & respond philosophy. The job is not to find the right customers for your product, but to find right products for your customers. The Marketing concept holds that the key to achieving organizational goals consist of the company being more effective than competitors in creating, delivering & communicating superior customers value. This concept puts the customers at both the beginning & the end of the business cycle. Every department & every worker should think customer & act customer.
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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 is a broad field that encompasses a variety of activities, from market research to product development to advertising. The goal of marketing is to create a product or service that meets the needs of a target market and to communicate the value of that product or service to potential customers.
There are many different marketing strategies that can be used to achieve this goal. Some common marketing strategies include market segmentation, target marketing, positioning, product development, pricing, promotion, and distribution.
Market segmentation is the process of dividing a market into smaller groups of consumers who share similar needs or characteristics. This allows marketers to focus their marketing efforts on the groups of consumers who are most likely to be interested in their products or services.
Target marketing is the process of selecting a specific group of consumers to focus marketing efforts on. This group is known as the target market. The target market should be a group of consumers who are most likely to be interested in the product or service being marketed.
Positioning is the process of creating a unique image for a product or service in the minds of consumers. This image should be based on the product’s or service’s features, benefits, and value.
Product development is the process of creating a new product or service that meets the needs of a target market. This process includes identifying the needs of the target market, developing a product or service that meets those needs, and testing the product or service with potential customers.
Pricing is the process of determining how much to charge for a product or service. The price should be based on the product’s or service’s costs, the value it offers to consumers, and the prices of competing products or services.
Promotion is the process of communicating the value of a product or service to potential customers. This can be done through advertising, public relations, sales promotion, and direct marketing.
Distribution is the process of making a product or service available to consumers. This can be done through retail stores, online retailers, or direct sales.
Marketing is a complex and ever-changing field. However, by understanding the basic principles of marketing, businesses can develop effective marketing strategies that will help them achieve their goals.
In addition to the traditional marketing strategies listed above, there are a number of new and emerging marketing strategies that businesses are using to reach their target markets. These include Social Media marketing, content marketing, search engine optimization (SEO), and pay-per-click (PPC) advertising.
Social media marketing is the use of social media platforms such as Facebook, Twitter, and Instagram to connect with potential customers and promote products or services. Content marketing is the creation and distribution of valuable content, such as blog posts, articles, and Videos, to attract and engage potential customers. SEO is the process of optimizing a website for search engines so that it ranks higher in search results. PPC advertising is a form of online advertising in which businesses pay to have their ads appear on search engines or other websites.
These new and emerging marketing strategies can be very effective in reaching a target market. However, it is important to note that they are not a replacement for traditional marketing strategies. Businesses should use a combination of traditional and new marketing strategies to reach their target markets and achieve their goals.
Marketing is a critical part of any business success. By understanding the basic principles of marketing and using effective marketing strategies, businesses can reach their target markets and achieve their goals.
What is marketing?
Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and Society at large.
What are the different types of marketing?
There are many different types of marketing, but some of the most common include:
- Product marketing: This type of marketing focuses on the development and promotion of new products.
- Brand marketing: This type of marketing focuses on creating and maintaining a strong brand identity.
- Direct marketing: This type of marketing involves communicating directly with potential customers, often through email or direct mail.
- Digital marketing: This type of marketing uses digital channels, such as social media, search engines, and websites, to reach potential customers.
- Social media marketing: This type of marketing involves using social media platforms, such as Facebook, Twitter, and Instagram, to connect with potential customers.
- Content marketing: This type of marketing involves creating and distributing valuable content, such as blog posts, articles, and videos, to attract and engage potential customers.
- Inbound marketing: This type of marketing focuses on attracting customers by creating valuable content and experiences that encourage them to find and engage with your brand.
- Outbound marketing: This type of marketing involves actively promoting your products or services to potential customers, often through advertising or cold calling.
What are the benefits of marketing?
There are many benefits to marketing, including:
- Increased sales: Marketing can help you reach more potential customers and increase your sales.
- Improved brand awareness: Marketing can help you create a strong brand identity and increase brand awareness.
- Increased customer loyalty: Marketing can help you build relationships with your customers and increase customer loyalty.
- Improved customer satisfaction: Marketing can help you understand your customers’ needs and improve their satisfaction with your products or services.
- Increased market share: Marketing can help you gain a larger share of the market.
- Increased profitability: Marketing can help you increase your profits by reducing costs and increasing sales.
What are the challenges of marketing?
There are also some challenges associated with marketing, including:
- Competition: There is a lot of competition in most markets, and it can be difficult to stand out from the crowd.
- Cost: Marketing can be expensive, and it can be difficult to determine how much you should spend.
- Measurement: It can be difficult to measure the effectiveness of marketing campaigns.
- Regulation: There are many regulations governing marketing, and it can be difficult to stay up-to-date with the latest changes.
- Technology: Technology is constantly changing, and it can be difficult to keep up with the latest trends.
What are the trends in marketing?
Some of the latest trends in marketing include:
- The rise of social media: Social media is becoming increasingly important for marketing, and businesses are using it to connect with potential customers and build relationships.
- The importance of content marketing: Content marketing is becoming increasingly important, as businesses are using it to create valuable content that attracts and engages potential customers.
- The shift to inbound marketing: Inbound marketing is becoming increasingly popular, as businesses are realizing that it is more effective to attract customers by creating valuable content and experiences than by actively promoting their products or services.
- The importance of data: Data is becoming increasingly important for marketing, as businesses are using it to understand their customers and improve their marketing campaigns.
- The rise of Artificial Intelligence: Artificial intelligence is becoming increasingly important for marketing, as businesses are using it to automate tasks, personalize content, and target ads.
What are the future of marketing?
The future of marketing is uncertain, but some of the trends that are likely to continue include the rise of social media, the importance of content marketing, the shift to inbound marketing, the importance of data, and the rise of artificial intelligence.
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Which of the following is not a component of the marketing mix?
(A) Product
(B) Price
(C) Place
(D) Promotion
(E) People -
Which of the following is a type of marketing research?
(A) Survey research
(B) Observational research
(C) Experimental research
(D) All of the above -
Which of the following is a segmentation variable?
(A) Age
(B) Gender
(C) Income
(D) All of the above -
Which of the following is a targeting strategy?
(A) Undifferentiated marketing
(B) Differentiated marketing
(C) Concentrated marketing
(D) All of the above -
Which of the following is a positioning strategy?
(A) Head-to-head positioning
(B) Differentiation positioning
(C) Value-based positioning
(D) All of the above -
Which of the following is a marketing communication tool?
(A) Advertising
(B) Public relations
(C) Sales promotion
(D) Direct marketing
(E) All of the above -
Which of the following is a type of advertising?
(A) Institutional advertising
(B) Product advertising
(C) Service advertising
(D) All of the above -
Which of the following is a type of public relations?
(A) Media relations
(B) Investor relations
(C) Crisis management
(D) All of the above -
Which of the following is a type of sales promotion?
(A) Trade promotions
(B) Consumer promotions
(C) Point-of-purchase promotions
(D) All of the above -
Which of the following is a type of direct marketing?
(A) Mail order
(B) Telemarketing
(C) Internet marketing
(D) All of the above -
Which of the following is a marketing channel?
(A) A wholesaler
(B) A retailer
(C) A distributor
(D) All of the above -
Which of the following is a marketing Logistics function?
(A) Order processing
(B) Inventory management
(C) Transportation
(D) All of the above -
Which of the following is a marketing return on Investment (ROI) measure?
(A) Sales
(B) Profit
(C) Customer satisfaction
(D) All of the above -
Which of the following is a marketing ethics issue?
(A) Deceptive advertising
(B) Privacy concerns
(C) Product safety
(D) All of the above -
Which of the following is a marketing sustainability issue?
(A) Climate change
(B) Pollution
(C) Resource depletion
(D) All of the above