Ch. 1 - Intro to Marketing

8/7/2019 Ch. 1 - Intro to Marketing

1/14


2/14

` Marketing seeks (1) to discover the needs and

wants of potential (or current) customers and (2)

to satisfy them

` The idea of exchange

is central to marketing


3/14

` AMA (2004/2007):

Marketing is the activity for creating, communicating,

delivering and exchanging offerings that benefit the

organization, its stakeholders and society at large

` Marketing is a broader activity than advertising or

personal selling


4/14

Customer Needs & Wants

Needs are states of deprivation

Physical Social

Individual

Wantsare the form that needs take as they are shaped by culture and

individual personality


5/14


6/14

Market offeringsare some

combination of products, services,

information, or experiences offeredto a market to satisfy a need or

want

Potential consumers make up a

market, which is people with boththe desire and the ability to buy a

specific product

Market OfferingsProduct, Services, and Experiences


7/14

Atarget marketis one or more specific

groups of potential consumers

toward which an organizationdirects its marketing program

Marketing myopia

involvesfocusing only on existing

wants and losing sight ofunderlying consumer needs

Market OfferingsProduct, Services, and Experiences


8/14

Customervalue:x The unique combination (and perception) of benefits

received by buyers at a specific price point

xFocus is on customerretention and loyalty

x Value strategies include offering the best price, best product

or best service


9/14

Best Price

Strategy

Best ProductStrategy

Best Service

Strategy


10/14

The overall process of building and

maintaining profitablecustomer relationships by

delivering superior customer

value and satisfaction

The focus is on linking theorganization to its individual

customers

Customer Relationship Management (CRM)


11/14

Translating customer needs into satisfactory products

` The marketing mix is the set of tools (four Ps) thefirm uses to implement its marketing strategy

x Productx Pricex Promotionx Place

` Marketing mix elements are also calledcontrollable marketing factors.


12/14


13/14

` Build a better mousetrap, and the world will beat a

path to your door. Ralph Waldo Emerson (1885 or 1889)

B

ut this is actually a misquotation

Actual Quote:

If a man has good corn or wood, or boards, or pigs, to

sell, or can make better chairs or knives, crucibles or

church organs, than anybody else, you will find a broadhard-beaten road to his house, though it be in the woods


14/14

Marketing Creates Utility

Utility refers to the benefits or customer value

received by users of the product.

Four different types of utility:

Form utility

Place utility

Time utility Possession utility

Ch. 1 - Intro to Marketing

Documents

Transcript of Ch. 1 - Intro to Marketing