Download What is marketing?

Marketing Indicator 1.01
Understand marketing’s role and
function in business to facilitate
economic exchanges with customers.
Warm-up
Why is it important for Marketers to
understand current trends in society?
In order to be effective in business you have to know what customers
want.
In order to be really successful you have to know what customers want
before they do.
In order to be effective in Marketing you have to know how to make
them aware of what you offer.
Agenda
Warm-up & Trends Review
You have 15 minutes to finalize PowerPoint &
turn in
You will present 1 current, 1 future, & 1 go away at
end
Introduce Marketing Concept & 7 Functions
No Pre-test
Create a foldable for notes & introduce project
for 7 functions
Notes
What is marketing?
The process of planning and executing
the
Conception
Pricing
Promotion
Distribution of
ideas, goods, and services
to create exchanges that satisfy individual and
organizational objectives.
Links producers to the customers who buy their goods and services
Marketing Activities
Planning
Write, Implement,
& Evaluate plans
so that effective
marketing can
occur.
Pricing
Promoting
Balances what a
Capture the
customer is willing
customers
to pay with what a
attention &
business wants to generate demand.
charge.
Accomplished
Making a profits is
through
#1 goal
advertising,
personal selling,
publicity and sales
promotions.
Place
Making sure the
product is
available at
locations where
customers can
acquire them
(Online and off.)
Items that are marketed
 Broad categories
Goods
 Durable – e.g., DVD player (last a long time)
 Nondurable – e.g., gasoline (typically consumed within a
short period)
Services – e.g., delivery services
Organizations – e.g., labor organization
Places – e.g., New Zealand
Ideas – e.g., “Stand” against smoking
People – e.g., “Shaq Attaq” (Shaquille O’Neal)
 Almost anything can be marketed.
Where does Marketing Occur?
Everyday by people, in places, with
communication
Marketing occurs wherever customers are
Marketing Concept
“A philosophy of conducting business that
is based on the belief that all business
activities should be aimed toward
satisfying consumer wants and needs
while achieving company goals.”
Make customers happy while making a
profit
Elements of the Marketing
Concept
 Customer orientation: Do it their way.
 Finding out what customers want and producing those products the way they
want them
 Company commitment: Do it better.
 Make/price the product better than the competition’s model.
 Company goals: Do it with success in mind.
 Maintain your firm’s purpose while you apply the marketing concept.
What is Marketing’s Role in a Private Enterprise System?
 Marketing fits into every facet of our lives, whether on a
global scale or right in our own neighborhoods.
 Provides benefits that make our lives better, promoting
using natural resources more wisely, and encourage
international trade.
 Without marketing, we would all have to be selfsufficient.
How Does Marketing Benefit Our Society?
 Marketing visibly benefits our lives, our natural surroundings, and our
global trade.
 Makes our lives better
 Because problem solving is at the heart of marketing, each year we add
some new products to our home, often at lower prices.
 Promotes using the earth’s resources more wisely
 If available resources are used sensibly, benefits can extend well into the
future for the marketer, the nation, and the entire world.
 Encourages trade between nations
 Because resources are valuable to marketers, it doesn’t take them long to
pinpoint where a particular resource can be found in abundance.
 If our nation lacks a resource, we can usually trade something to get it.
Directions for 7 Function Notes
7 Functions: Channel Management
1.
Channel management (a.ka. Distribution): identifying,
selecting, monitoring, and evaluating sales channels.
How are you going to get the product to the customer?
 Moving/Transporting product
 Storing
 Tracking product
Channel management (a.k.a.) Distribution
 Responsible for moving, storing, locating, and/or transferring ownership of
goods and services
 Main goal is to move products from the producer to the consumer.
 Determines who will offer products and where they will be offered
 Develops relationships with channel members
 Assesses quality of vendor performance
Seven FUNctions
2. Financing –
How are you going to get the money to setup &
run your business?
 Allow people to invest in your company
 Take out a loan
 Offer credit to customers
Seven FUNctions of Marketing
3. Marketing Information Management:
How are you going to obtain information about
customers & current trends?
 Gather information
 Customer surveys
 Ask your zip code when you check out
 Sign up for email
 Store information
 Analyze information
Seven FUNctions of Marketing
7 FUNctions
4. Pricing:
What do you charge in
order to make a profit?
 How much it costs to
create a product
 What the competition
charges
 How much are
customers willing to pay.
Seven FUNctions of Marketing
5. Product/Service Management:
 Product Development

Helps to determine which products a business will offer
and in what quantities
 Maintaining quality products

Aids in determining and developing a company’s/product’s
image
 Product Improvements
7 FUNctions
6. Promotion: A companies effort to…
 Inform – Socially Responsible Company
 Persuade – Commercials/Advertisements
 Remind
Seven FUNctions of Marketing
7. Selling


Providing customers with what they want.
Builds customer loyalty & creates an exchange
Selling is important to marketing
because
 This function is important because it involves contact with customers.
 Other marketing functions pave the way for successful selling.
 Businesses work to meet customers’ needs and sell them the most appropriate
product.
 All businesses have something to sell.
 Everyone benefits from selling.
 Selling benefits businesses.
 Creates a desire for their products
 Helps get their products into the hands of consumers
 Selling benefits consumers by providing:
 Help with their buying decisions
 Information about new products
 Selling can benefit society.
 Creates employment
 Encourages economic growth
The interrelationships among marketing
functions
 Can’t forget to advertise even if you have a great product
 Can’t forget to have a sufficient supply of those great
products in stock for an upcoming sale
 Can’t forget to set prices that are competitive and attract
customers
 Forgetting any of these functions means your marketing
effort won’t be as effective.
 Your competitors will have an advantage