MarketingUnit 7

What is Marketing?

DefinitionsMarketing is the human activity directed at satisfying human needs and wants through an exchange process

Phillp Kotler 1980

Marketing is a social and managerial process by which individuals and groups obtain what they want and need through creating, offering and exchanging products of value with others

Phillp Kotler 1991

Marketing is the management process that identifies, anticipates and satisfies customer requirements profitably.

The Chartered Institute of Marketing (CIM).

Marketing is the process used to determine what products or services may be of interest to customers, and the strategy to use in sales, communications and business development. It generates the strategy that underlies sales techniques, business communication, and business developments. It is an integrated process through which companies build strong customer relationships and create value for their customers and for themselves.

Wikipedia

Peter Drucker

The goal of marketing is to generate and maintain consumers by providing goods and/or services that satisfy their needs and wants. So, if the primary responsibility of a company is to serve its customers, marketing is the avenue by which that can be accomplished. 

Peter Drucker• Drucker explained, "The aim of marketing is to make selling

superfluous. It 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." 

• Drucker's message was simple: “if marketers do their jobs correctly, meaning that they focus on their consumer and incessantly innovate, then all other aspects of the business should fall conveniently into place.”

• Drucker elaborated, "Because the purpose of business is to create a customer, the business enterprise has two—and only two—basic functions: marketing and innovation. Marketing and innovation produce results; all the rest are costs. Marketing is the distinguishing, unique function of the business." 

The marketing mixdeals with the way in which a business uses price, product, distribution and promotion to market and sell its product.

It is known as a “mix” because each ingredient affects the other and the mix must overall be suitable to the target customer. These can be adjusted in diferent ways  for different products for different customers.

Four P’s

The marketing mix is often referred to as the “Four P’s”

•Product - the product (or service) that the we are going to sell

•Price - how much the customer pays for the product

•Place – how the product is distributed to the customer

•Promotion - how the customer is found and persuaded to buy the product

Extended Marketing Mix

Extended (7Ps)People: All people that are directly or indirectly involved in the consumption of a service are an important part of the Extended Marketing Mix. Knowledge workers, employees, management and consumers often add significant value to the total product or service offering.

Process: Procedure, mechanisms and flow of activities by which services are consumed (customer management processes) are an essential element of the marketing strategy.

Physical Evidence: The ability and environment in which the service is delivered. Both tangible goods that help to communicate and perform the service, and the intangible experience of existing customers and the ability of the business to relay that customer satisfaction to potential customers.

What makes for an effective marketing mix?

An effective marketing mix is one which:

•Meets customer needs•Achieves marketing objectives•Is balanced and consistent•Creates a competitive advantage for the business

The marketing mix for each business and industry will vary; it will also vary over time.

Keys to successful Marketing

http://www.youtube.com/watch?v=c2cDQw-Cmd4

http://www.youtube.com/watch?v=ROBZGM2LhRc

Building Blocks to Successful Marketing

1. Defining your product or service 2. Identifying your target market 3. Knowing your competition 4. Finding a niche 5. Developing awareness6. Building credibility 7. Being Consistent 8. Maintaining Focus

Reading page 65http://www.youtube.com/watch?v=yTO4FHf8MBs

Selling Dreams• Promotional Advertising

http://www.youtube.com/watch?v=MmQndanKkRI&feature=related

Localhttp://www.youtube.com/watch?v=1-n8tqsISps&feature=related

• Product Placement

http://www.youtube.com/watch?v=fBjK_oavReU

• Celebrity endorsement

http://www.youtube.com/watch?v=uDO9hP-xKL8

Skills: TelephoningExchanging Information

Useful Information: Page 67 Exercise G

http://www.youtube.com/watch?v=m-W6dXfm7YE

http://www.youtube.com/watch?v=Qsk2scX3wjo

References• 7Ps of Marketinghttp://www.cim.co.uk/filestore/resources/10minguides/7ps.pdf

• Phone ettiquettehttp://www.youtube.com/watch?v=Sizse4t4Su4&feature=related

Language Review:Asking Questions

Reference page 124

•When the answer to the question is yes or no we use Auxilary verbs (Are/ May/ Will/ Do / Did/ Can /Are /Is /Have) before the subject.

•For open questions we use questions words (6 W’s and how)Who

What Where When Why

Which How

exercises• Page 62 exercise A• Page 63 exercise A• Page 64 exercise B

Vocabulary Words• Research• Sales• Forecast• Goods• Budget• Market segment

• Campaign• Market research• Consumer goods• Sales forecast• Advertising• Market share