050121 principles of marketing
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050121 Principles of Marketing. Suwattana Sawatasuk. What is Marketing?. What is Marketing?. The process by which companies create value for customers and build strong customer relationships in order to capture value from customer in return . . Marketing Process. - PowerPoint PPT PresentationTRANSCRIPT
050121 Principles of Marketing
Suwattana Sawatasuk
WHAT IS MARKETING?
What is Marketing?
• The process by which companies create value for customers and build strong customer relationships in order to capture value from customer in return.
Marketing Process
Understand the
marketplace & customer
needs & want
Design a customer-
driven marketing strategy
Construct an
integrated marketing program
that deliver superior
value
Build profitable
relationships and create customer
delight
Capture value from customers to create
profits and customer
equity
1 2 3 4 5
Create value for customers and build customer relationships
Capture value from customers in return
UNDERSTANDING THE MARKETPLACE AND CUSTOMER NEEDS
Customer Needs, Wants, and Demands
• Needs = States of felt deprivation
Basic physical needs for food, clothing, warmth, and safety
Social needs for belonging and affectionIndividual needs for knowledge and self-
expression
Customer Needs, Wants, and Demands
• Wants = The form human needs take as shaped by culture and individual personality– Dandy needs food but wants to eat sushi at Fuji
Restaurant.
• When human wants are backed by buying power, wants become demands of products with benefits that add up to the most value & satisfaction.
Market Offerings–Products, Services, and Experiences
• Market offering = some combination of products, services, information, or experiences offered to a market to satisfy a need or want
Marketing Management
• The art and science of choosing target markets and building profitable relationships with them
• There are 5 alternative concepts under which organizations design and carry out their marketing strategies: the production, product, selling, marketing, and
societal marketing concepts.
I. Production Concept
• The idea that consumers will favor products that are available and that the organization should therefore focus on improving production and distribution efficiency.
II. Product Concept
• The idea that consumers will favor products that offer the most quality, performance, and features and that the organization should therefore devote its energy to making continuous product improvements.
III. Selling Concept
• The idea that consumers will not buy enough of the firm’s products unless it undertakes a large-scale selling and promotion effort.
IV. Marketing Concept
• The marketing management philosophy that holds that achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than competitors do.
The Selling and Marketing Concepts Contrasted
Factory Existing products
Selling & promoting
Profits through sales volume
The selling concept
Market Customer needs
Integrated marketing
Profits through customer satisfaction
The marketing concept
Starting point
Focus Means Ends
The set of actual
& potential
buyers of
product or
service
Make & sell
(inside-out)
Sense & respond
(outside-in)
V. Societal Marketing Concept
• The idea that a company’s marketing decisions should consider consumers’ wants, the company’s requirements, consumers’ long-run interests, and society’s long-run interests.
Societal marketing
concept
Society(Human welfare)
Company(Profits)
Consumers(Want satisfaction)
ANALYZING THE MARKETING ENVIRONMENT
Marketing Environment
• The actors and forces outside marketing that affect marketing management’s ability to build and maintain successful relationships with target customers
• 2 Levels of marketing environment:– Microenvironment– Macroenvironment
Microenvironment
• The actors close to the company that affect its ability positively or negatively to serve its customers—the company, suppliers, marketing intermediaries, customer markets, competitors, and publics.
Microenvironment
• The company – top management (mission, objectives, strategies, policies), R&D, purchasing, operations, and accounting
• Suppliers • Marketing intermediaries• Competitors• Publics• Customers
Microenvironment
• The company• Suppliers – supply shortages or delays, labor
strikes, rising supply costs• Marketing intermediaries• Competitors• Publics• Customers
Microenvironment
• The company• Suppliers• Marketing intermediaries – firms that help company
to promote, sell, and distribute its goods to final buyers includes resellers, distribution firms, marketing services agencies, and financial intermediaries
• Competitors• Publics• Customers
Microenvironment
• The company• Suppliers• Marketing intermediaries• Competitors• Publics• Customers
Microenvironment• The company• Suppliers• Marketing intermediaries• Competitors• Publics – any group that has an actual or potential
interest in or impact on an organization’s ability to achieve its objectives such as financial, media, government, citizen action, local, general, and internal publics
• Customers
Microenvironment
• The company• Suppliers• Marketing intermediaries• Competitors• Publics• Customers – consumer markets, business
markets, reseller markets, government markets, and international markets
Macroenvironment
• The larger societal forces that affect the micro environment—demographic, economic, natural, technological, political, and cultural forces.
Macroenvironment
• Demography – human populations in terms of size, density, location, age, gender, race, occupation and other statistics
• Economic• Natural• Technological• Political• Cultural
Macroenvironment
• Demography• Economic – factors that affect consumer buying
power and spending patterns such as income, cost of living, interest rates, and saving and borrowing patterns
• Natural• Technological• Political• Cultural
• Demography• Economic• Natural – shortages of raw materials, natural
disaster, increased pollution, increased government intervention
• Technological• Political• Cultural
Macroenvironment
Macroenvironment
• Demography• Economic• Natural• Technological – forces that create new
technologies, creating new product and market opportunities
• Political• Cultural
QR Code (2D Bar Code)
Macroenvironment
• Demography• Economic• Natural• Technological• Political – laws, government agencies, and
pressure groups that influence and limit various organizations and individuals in a given society
• Cultural
• Demography• Economic• Natural• Technological• Political• Cultural – forces that affect society’s basic
values, perceptions, preferences, and behaviors
Macroenvironment