Marketing ConceptMarketing Concept

The Exchange ConceptThe Exchange Concept The Production ConceptThe Production Concept

The Product ConceptThe Product ConceptThe Sales ConceptThe Sales Concept

The marketing ConceptThe marketing Concept

MARKETINGMARKETINGMarketing is the function that adjusts an Marketing is the function that adjusts an

organisation’s offering to the changing organisation’s offering to the changing needs of the market place.needs of the market place.

Marketing is the delivery of a standard of Marketing is the delivery of a standard of living to a society.living to a society.

MARKETINGMARKETING Marketing is a total system of interacting Marketing is a total system of interacting

business activities designed to plan, promote business activities designed to plan, promote and distribute need satisfying products and and distribute need satisfying products and services to existing and potential consumers.services to existing and potential consumers.

Marketing is the economic process by which Marketing is the economic process by which goods and services are exchanged between the goods and services are exchanged between the maker and the user, and their values determined maker and the user, and their values determined in terms of money proces.in terms of money proces.

If Companies follow concepts, they suceed, If Companies follow concepts, they suceed, professionaly win the Game otherwise decline and fall professionaly win the Game otherwise decline and fall badly.badly.

Wins customer satisfaction.Wins customer satisfaction.

Exchange Concept :Exchange Concept : Exchange of product between the seller and the Exchange of product between the seller and the

buyer is the central idea of marketing.buyer is the central idea of marketing. Here marketing is meare exchange, essence of Here marketing is meare exchange, essence of

marketing is missing.marketing is missing. Custmr satisfctn is missing here, wherehas mrktng Custmr satisfctn is missing here, wherehas mrktng

is a broader concept.is a broader concept.

Production ConceptProduction Concept

Production dominates the thinking Production dominates the thinking process, they believe that marketing process, they believe that marketing can be managed by managing can be managed by managing production.production.

Production ConceptProduction Concept

The concept holds that consumer The concept holds that consumer would, as a rule, support those would, as a rule, support those products that are produced in great products that are produced in great volume at low unit cost. volume at low unit cost.

Production ConceptProduction Concept

In such organisations, all effort is In such organisations, all effort is focussed on production, they achieve focussed on production, they achieve cost reduction through maximisation cost reduction through maximisation of output, they assume that the lower of output, they assume that the lower cost will automatically bring all the cost will automatically bring all the customers to their doors., but this does customers to their doors., but this does not happen in many cases.not happen in many cases.

Production ConceptProduction Concept

Orgnstn does not get assumed Orgnstn does not get assumed consumers, consumers are motivated consumers, consumers are motivated by a variety of considerations in their by a variety of considerations in their purchase, besides price. As a result the purchase, besides price. As a result the production concept fails to serve as the production concept fails to serve as the right marketing philosophy for an right marketing philosophy for an enterprise.enterprise.

Product ConceptProduct Concept Requires product excellenceRequires product excellence Improved productsImproved products New products and ideally designed and New products and ideally designed and

enginereed products.enginereed products. Achieves results thru product attributes.Achieves results thru product attributes. High quality, High quality, Product excellenceProduct excellence More time spend on R&d concentrate on new More time spend on R&d concentrate on new

products.products.

Sales ConceptSales ConceptCan’t be automaticaly picked by the Can’t be automaticaly picked by the

consumer.consumer.Company has to agressively, promote and Company has to agressively, promote and

push the product.push the product.Heavy advertisingHeavy advertisingHigh power personal sellingHigh power personal sellingLarge scale sales promotion required.Large scale sales promotion required.Heavy price discounts, strong promotions,Heavy price discounts, strong promotions,