* Your assessment is very important for improving the workof artificial intelligence, which forms the content of this project
Download Chapter 1 PowerPoint Slides
Customer experience wikipedia , lookup
Market penetration wikipedia , lookup
Market segmentation wikipedia , lookup
Internal communications wikipedia , lookup
Customer relationship management wikipedia , lookup
Pricing strategies wikipedia , lookup
Music industry wikipedia , lookup
Social media marketing wikipedia , lookup
Bayesian inference in marketing wikipedia , lookup
Consumer behaviour wikipedia , lookup
Product planning wikipedia , lookup
Food marketing wikipedia , lookup
Affiliate marketing wikipedia , lookup
Neuromarketing wikipedia , lookup
Marketing communications wikipedia , lookup
Sales process engineering wikipedia , lookup
Target audience wikipedia , lookup
Marketing research wikipedia , lookup
Sports marketing wikipedia , lookup
Ambush marketing wikipedia , lookup
Digital marketing wikipedia , lookup
Guerrilla marketing wikipedia , lookup
Youth marketing wikipedia , lookup
Viral marketing wikipedia , lookup
Multi-level marketing wikipedia , lookup
Target market wikipedia , lookup
Integrated marketing communications wikipedia , lookup
Advertising campaign wikipedia , lookup
Marketing plan wikipedia , lookup
Marketing channel wikipedia , lookup
Marketing strategy wikipedia , lookup
Direct marketing wikipedia , lookup
Multicultural marketing wikipedia , lookup
Sensory branding wikipedia , lookup
Marketing mix modeling wikipedia , lookup
Street marketing wikipedia , lookup
CHAPTER ONE AN OVERVIEW OF MARKETING Prepared by: Jack Gifford, Miami University (Ohio) © 2001 South-Western College Publishing WHAT IS MARKETING? •Personal selling? •Advertising? •Making products available in stores? •Maintaining inventories? It is all the above, plus much more! © 2001 South-Western College Publishing 2 WHAT IS MARKETING? A philosophy plus An attitude plus A perspective plus A management orientation + A set of activities, such as: products & services, pricing, promotion, and distribution = Marketing is the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational goals. © 2001 South-Western College Publishing 3 THE CONCEPT OF EXCHANGE What do we mean by the exchange process? Two or more parties Each party must have something the other party values Communications and ability to deliver Freedom to accept or reject offer Want to deal with each other Authority and means to make transaction Medium of exchange © 2001 South-Western College Publishing 4 Marketing Management Philosophies Production orientation Sales orientation Marketing orientation Societal orientation © 2001 South-Western College Publishing 5 THE ORGANIZATON’S FOCUS Customer Value Ratio of values/benefits to necessary sacrifices A core business strategy Determination of consumer’s definition and measurement of value? Sacrifices may be financial, psychological, sociological, level of perceived risk, time, etc. BENEFITS © 2001 South-Western College Publishing SACRIFICES 6 THE ORGANIZATION’S FOCUS Customer value Offer products that perform Give consumers more than they expect Avoid unrealistic pricing Give the buyer facts Offer organization-wide commitment in service and after-sales support © 2001 South-Western College Publishing 7 THE ORGANIZATON’S GOAL Customer Satisfaction Hygiene Factors Satisfiers “Exceed customer expectations” © 2001 South-Western College Publishing 8 Relationship Marketing to Stakeholders Forging long-term partnerships with customers Share of customer vs share of market concept Long-run over short run Loyalty programs Frequent flyer programs But who are these stakeholders? © 2001 South-Western College Publishing 9 WHO ARE THESE STAKEHOLDERS? Stakeholders are any person(s) or organization(s) that has an interest in the decisions and actions of the marketer: •Shareholders •Management •Employees •Customers •Supply chain partners •Communities in which marketers operate …… and many others © 2001 South-Western College Publishing 10 TO SUCCEED IN RELATIONSHIP MARKETING, A MARKETER MUST... Develop customer-oriented personnel through… Training (Disney University) Empowerment (Federal Express) Teamwork and team-building skills (Southwest Airlines ) © 2001 South-Western College Publishing 11 DIFFERENCES BETWEEN SALES AND MARKETING ORIENTATION What is the organization's focus? What business are you in? To whom is the product directed? Sales Orientation Inward, upon the organization's needs Selling goods and services Everybody Marketing Orientation Outward, upon the wants and preferences of the consumers Satisfying consumer wants and needs Specific groups of people © 2001 South-Western College Publishing 12 DIFFERENCES BETWEEN SALES AND MARKETING ORIENTATION What is your primary goal? How do you seek to ? achieve your goals? Sales Orientation Profit through maximum sales volume Primarily through intensive promotion Marketing Orientation Profit through customer satisfaction Through coordinated marketing activities © 2001 South-Western College Publishing 13 The Marketing Process A mission statement consistent with the organization’s mission statement Set measurable marketing objectives Environmental Scan (Internal and External) Marketing strategy (Tgt. Mkt. & marketing mix) Implementation Measure performance against objectives Review and feedack © 2001 South-Western College Publishing 14 THE MARKETING PROCESS Marketing Strategy MISSION Target Market STATEMENT Strategy SETTING MARKETING OBJECTIVES Marketing Mix [Product,Price,Promotion, Distribution] ENVIRONMENTAL SCAN Implementation Evaluation ( S. W. O. T. ) Feedback © 2001 South-Western College Publishing 15 Why study marketing? Plays an important role in society Marketing is vital to business survival Marketing affects your life every day International implications Be a more knowledgeable consumer AND... © 2001 South-Western College Publishing 16 CAREER OPPORTUNITIES !!! Between a fourth and a third of the entire civilian workforce in the United States performs marketing activities, such as... •Sales (organizational or consumer) •Promotion (advertising, PR, sales promotions) •Research •Retailing •Product management •Logistics © 2001 South-Western College Publishing 17 MARKETING AFFECTS YOUR LIFE EVERY DAY About 50 cents of every dollar you spend pays for marketing costs. By understanding marketing, you will become a betterinformed consumer and citizen. You will better understand the buying process and be able to negotiate more effectively with sellers. You will be better prepared to demand satisfaction when the goods and services you buy do not meet the standards promised by the marketer. © 2001 South-Western College Publishing 18 ETHICS IN MARKETING Healthy Versus Healthy Looking? Is it ethical for Coppertone to produce low ultraviolet ray protection products? Should the sun-care industry only market goods that are healthy for the consumers, even though consumers want less healthy products? © 2001 South-Western College Publishing 19 GLOBAL PERSPECTIVES How are some upscale US catalog retailers successfully marketing their products to the younger generation and city dwellers in Japan? How are these US catalog retailers creating customer value? © 2001 South-Western College Publishing JAPAN 20