The paradigm of Marketing

Marketing in a Changing World:

Creating Customer Value and
Satisfaction
 PRINCIPLES OF MARKETING
 Objectives of the course:
Why is marketing important?
What is the scope of marketing?
What are some fundamental marketing
concepts?
How has marketing management changed?
What are the tasks necessary for successful
marketing management & strategies?
OUTCOMES OF MARKETING

Harley Davidson

Honda 125
Honda CD 70
CAN YOU IDENTIFY THESE CARS IN
YOUR MARKET?
CIAZ???
CAN YOU IDENTIFY??
CAN YOU IDENTIFY??
WHICH MOBILE BRAND YOU BUY?
Apple Samsung Xioami
INTERNATIONAL MARKETING
WHAT IS MARKET?
WHAT IS MARKETING? (I.E.
C.C.D.V.T.P)
 WHAT
WHAT IS
IS MARKETING?
MARKETING?
Social Process by which individuals and groups obtain what they need and want
through creating and exchanging products and value with others--Philip Kotler

(Functional)“Process of planning and executing the conception, pricing, promotion, and

distribution of ideas, products, services to create exchange that satisfy individual
organizational objectives”-- American Marketing Association

“Management Process that identifies, anticipates, and satisfies customer requirements

profitably”-- The Chartered Institute of Marketing

More simply: Marketing is the delivery of customer satisfaction at a profit.

 WHAT IS MARKETED?
1. Goods 2. Services
 Durable Goods

 Non-Durables Goods
The classic service once offered in our Sub-Continent
WHAT IS MARKETED?.....
3. Events 4. Experiences

Music
Concerts

Joy land,
Water parks
Magic Show
 WHAT IS MARKETED?...
5. Places 6. Person
Political &
Religious
campaigns

Historical Sites
WHAT IS MARKETED?...
7.Properties 8. Ideas

Public
Real Estates, Service
Hotels/ Messages
Airbnb
CORE
CORE MARKETING
MARKETING CONCEPTS
CONCEPTS

Needs, Products
wants, and
and demands Services

Core
Core
Marketing
Marketing
Concepts
Concepts
Markets
Value, satisfaction,
and quality
Exchange,
transactions,
and relationships
 WHAT
WHAT MOTIVATES
MOTIVATESAACONSUMER
CONSUMER
TO ACT??
TOACT

Needs - state of felt deprivation for basic items such as food and clothing
and complex needs such as for belonging. ( i.e., I am thirsty)

Wants - form that a human need takes as shaped by culture and individual
personality. i.e. I want a Coca-Cola.

Demands - human wants backed by buying power. i.e. I have money to buy
a Coca-Cola.
MASLOW’S HIERARCHY OF
NEEDS
High
Level
Needs

Low
Level
Needs
THE LEVEL OF WANT
WHAT
WHAT WILL
WILL SATISFY
SATISFY CONSUMERS'
CONSUMERS'
NEEDS
NEEDS &
& WANTS
WANTS

Products - anything that can Services - activities or

be offered to a market for benefits offered for sale that
attention, acquisition, use are essentially intangible and
or consumption and that don’t result in the ownership
might satisfy a need or of anything.
want.
Examples: banking, airlines,
Examples: persons, places,
haircuts, and hotels.
organizations, activities,
and ideas.
 HOW
HOW DO
DO CONSUMERS
CONSUMERS CHOOSE
CHOOSE
AMONG
AMONG PRODUCTS
PRODUCTS AND
AND SERVICES?
SERVICES?

Customer Value - benefit that the customer gains from owning and
using a product compared to the cost of obtaining the product.

Customer Satisfaction - depends on the product’s perceived

performance in delivering value relative to a buyer’s expectations.
Linked to Quality and Total Quality Management (TQM).
(Positive confirmation Or Negative Confirmation)
 HOW
HOW DO
DO CONSUMERS
CONSUMERS OBTAIN
OBTAIN
PRODUCTS
PRODUCTSAND
AND SERVICES?
SERVICES?

Exchanges - act of obtaining a desired object from someone by offering

something in return.

Transactions - trade of values between parties. Usually involves money

and a response.

Relationships - building long-term relationships with consumers,

distributors, dealers, and suppliers.
WHO
WHO PURCHASES
PURCHASES PRODUCTS
PRODUCTS
AND
AND SERVICES?
SERVICES?

Actual
Actual
Market
Market--buyers
buyers Buyers
who Buyers
whoshare
shareaa
need
need
or
orwant
wantthat
thatcan
can
be
besatisfied
satisfiedby
byaa
company’s
company’sproducts
products Potential
Potential
or
orservices.
services. Buyers
Buyers
MODERN
MODERN MARKETING
MARKETING SYSTEM
SYSTEM
Suppliers
Suppliers

Company
Company
Competitors
Competitors (Marketer)
(Marketer)
Environment

Environment
Marketing
Marketing
Intermediaries
Intermediaries

End
End User
User
Market
Market
MARKETING
MARKETING MANAGEMENT
MANAGEMENT
Marketing Management
Implementing programs to create exchanges
with target buyers to achieve organizational
goals

Demand Management
Finding and increasing demand, also
changing or reducing demand

Profitable Customer Relationships

Attracting new customers and
retaining current customers
 MARKETING
MARKETING MANAGEMENT
MANAGEMENT
PHILOSOPHIES
PHILOSOPHIES
• Consumers favor products that are
Production
Production Concept
Concept available and highly affordable
•Improve production and distribution

•Consumers favor products that offer

Product
Product Concept
Concept the most quality, performance, and
innovative features
•Consumers will buy products only if
Selling
Selling Concept
Concept the company promotes/ sells these
product

•Focuses on needs/ wants of target

Marketing
Marketing Concept
Concept markets & delivering satisfaction
better than competitors

•Focuses on needs/ wants of target

Societal markets & delivering superior value
SocietalMarketing
MarketingConcept
Concept •Society’s well-being
SOCIETAL
SOCIETAL MARKETING
MARKETING CONCEPT
CONCEPT
Society
Society
(Human
(Human Welfare
Welfare))

Societal
Societal
Marketing
Marketing
Concept
Concept
Consumers
Consumers Company
Company
(Wants)
(Wants) (Profits)
(Profits)
MARKETING
MARKETING &
& SALES
SALES CONCEPTS
CONCEPTS
CONTRASTED
CONTRASTED
Starting Focus Means Ends
Point

Selling Profits
Existing
Factory and through
Products
Promoting Volume

The
TheSelling
SellingConcept
Concept

Profits
Customer Integrated
Market through
Needs Marketing
Satisfaction

The
TheMarketing
MarketingConcept
Concept
NEW
NEW MARKETING
MARKETING CHALLENGES
CHALLENGES
New
Marketing
Landscape &
Information Nonprofit
Technology
Marketing

Emerging
Emerging
Ethical
Concerns
Challenges
Challenges Globalization

Changing
World
Economy