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CHAPTER 1
MARKETING IN THE TWENTYFIRST CENTURY
Important Topic of This Chapter
Core marketing Concept.
 Company orientation toward marketplace
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SCOPE OF MARKETING TASKS
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Goods
Services
Experiences
Events
Persons-celebrities
Places
Properties-real estate
Organizations-corporate identity
Information-encyclopedia
Ideas-sells hope
MARKETING DECISIONS
Consumer market
 Business market
 Global market
 Nonprofit and governmental market
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CORE MARKETING
CONCEPTS
Marketing is a social and managerial process
by which individuals and groups obtain what
they need and want through offering, and
exchanging product value with others.
 Target market and segmentation
sellers-----------------buyers
 Marketing and prospects:
» Someone sells and another person buys
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Needs, Wants and Demands:
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Responsive Marketing
Anticipative Marketing
Creative marketing
Product Vs offerings
MARKETING CONCEPTS
(CONT.)
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Value, Cost and Satisfaction: Exchange process
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Value to customer
Benefit and cost analysis
Relationship Marketing and Networks
Markets:
» Where all buyers and sellers meet to satisfy their needs
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Marketing Channels:
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Communication channels(TV, magazines)
Dialogue Channels(e-mails)
Monologue channels(ads)
Distribution channels
CORE MARKETING
CONCEPTS (CONT.)
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Value and satisfaction:
» Products offer value and satisfaction customers assume costs
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Exchange and transaction:
» There are at least two parties
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Relationship and networks
» Stakeholders
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Marketing channels:
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Supply Chain
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Value delivery system
Competition
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Communication channels
Dialogue channels
Monologue channels
Distribution channels
Brand competition
Industry competition
Form competition
Generic competition
Marketing environment
Marketing Mix
COMPANY ORIENTATIONS
TOWARD MARKETING
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The Production Concept(1900-1920):
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The Product Concept(1920-1940)
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Performance, features and product quality.
The Selling Concept(1950’s):
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Good quality products with low cost.
Aggressive selling and promotion
The Marketing Concept (1970s)
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Customer satisfaction:
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Target Market-1990’s
ORIENTATIONS TOWARD
MARKETING (CONT.)
– Customer Needs-customer buys hope:
 responsive
marketing
 creative marketing(Sony)
 customer retention
 customer attractions
– Integrated marketing
 marketing
functions work together
 External marketing:
– Directed to people outside of company.
 Internal:
– marketing must be well coordinated with
other departments in the company
ORIENTATION TOWARD
MARKETING (CONT.)
– Profitability-goal achievement.
» Implementing marketing concept
 Sales
decline, slow growth, changing buying
habits, increased competition, higher marketing
expenditures.
 Problems in marketing oriented company:
– Organized resistance from finance, R&D,
and manufacturing
– Slow learning
– Fast forgetting.
ORIENTATIONS TOWARD
MARKETING (CONT.)
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The Societal Marketing Concept(1980s):
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Ben & Jerry Ice Cream
Company Responses and Adjustment
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Reengineering:
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managed by multidiscipline teams
Outsourcing
E-commerce
Benchmarking
Alliances
Partner-suppliers
Market centered
Global and local
Decentralized