Description
This presentation is about the understanding marketing management and it explains following concepts, The production concepts, product concept, selling concept, the marketing concept, comparison of various concepts, Relationship marketing, Social marketing, Customer needs, Customer value and satisfaction.
Amity Business School
Understanding Marketing Management
The production concepts, product concept, selling concept, the marketing concept, comparison of various concepts, Relationship to edit Master subtitle style marketing. marketing, Social Click Customer needs, Customer value and satisfaction. CRM, Value chain analysis, Value delivery network. Strategic Planning, Introduction to strategic planning with marketing perspective, Designing business portfolio, Marketing plan, Marketing process, Marketing service.
11
Amity Business School
Marketing is managing profitable customer relationships. Wal-Mart Save Money. Live better. Apple Think different. Big bazaar Isse sasta aur aacha kahin nahi. Telling & Selling Satisfying customer need. The aim of marketing is to make selling unnecessary.
22
Amity Business School
AMA Definition of Marketing
–
Marketing: the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, services, organizations, and events to create exchanges that satisfy individual and organizational goals.
MARKETERS CREATE NEED. OR MARKETERS DO NOT CREATE NEEDS. NEEDS PREEXIST MARKETERS.
33
Amity Business School
•
Marketing creates utility through the exchange process
–
Utility: Want-satisfying power of a good or service
• • • •
Form utility Time utility Place utility Ownership utility
44
Amity Business School
Four Types of Utility
Organizational Function Responsible Type Form Description Examples Production Conversion of raw J.P. Morgan Chase checking account; materials and components Lincoln Navigator; Ramen Noodles into finished goods and (nutrition for students who are hungry, services broke, and can’t—or won’t—cook) Availability of goods and services when consumers want them Availability of goods and services at convenient locations Digital photographs; LensCrafters eyeglass guarantee; UPS Next Day Air Soft-drink machines outside gas stations; on-site day care; banks in grocery stores
Time
Marketing
Place
Marketing
Owner-ship
Ability to transfer title to Retail sales (in exchange for currency or goods or services from credit-card payment) marketer to buyer
Marketing
55
Marketing Process
Amity Business School
1. Understand the 2.Design a 3.Construct an Market & Customer-driven integrated Customer Needs Marketing strategy Marketing & Wants prog. Aiming for superior value.
4.
Build profitable relationships & create customer Delight.
5.Capture value from customers to create profits and customer equity.
66
1 .
1. Understanding the market place and Customer Amity Business School Needs
N e e d s , W a n t s
77
Amity Business School
Five Types of needs
1. 2. 3. 4. 5.
Stated Needs Real Needs Unstated Needs Delight Needs Secret Needs
88
Amity Business School
Avoiding Marketing Myopia
•
Marketing Myopia is management’s failure to recognize the scope of its business.
–
–
To avoid marketing myopia, companies must broadly define organizational goals toward consumer needs Focus on benefits
99
Major Environmental Forces in Market. Amity Business School
Company Supplier Marketing Consumers Intermediaries Competitors
1010
2. Designing a Customer-driven marketingBusiness School strategy Amity
1.
Selecting customers to serve.
2.
Choosing a value proposition.
3.
Marketing Management Orientation.
1111
Amity Business School
Four Eras in the History of Marketing
1212
Amity Business School
•
Production Era
– – –
Prior to 1920s Production orientation Business success often defined solely in terms of production victories
•
Sales Era
– – –
Prior to 1950s Customers resist nonessential goods and services Personal selling and advertising’s task is to convince them to buy
1313
Amity Business School
•
Marketing Era
– –
Since 1950s Marketing Concept Emerges Satisfying customer needs
•
Emergence of the Marketing Concept
– – –
Shift from seller’s to buyer’s market Company–wide consumer orientation Objective of achieving long–run success
1414
Amity Business School
•
Relationship Era (Societal Marketing Concept) – Began in 1990s – Carried customer orientation even further – Focuses on establishing and maintaining relationships with both customers and suppliers – Involves long–term, value–added relationships. – Emphasize on Society, Consumers and Company.
1515
Holistic marketing Concept
Amity Business School
Integrated Marketing
Internal Marketing
Holistic marketing Concept
Relationship Marketing Social Responsibility Marketing
1616
M 3. Preparing an Integrated Marketing plan a Amity Business School and program r k e t i n g M i x I n t e
1717
MARKETING MIX
Amity Business School
Target Market
Product
Variety Quality Design Features Brand name Packaging Warranties
Price
List price Allowances Period Credit Term
Promotion Place
Sales promotion Advertising Location DM Inventory Transport Sales force Channels Coverage Assortment Discounts
Payment PR
Sizes, Services
- McCarthy
1818
MARKETING – MIX STRATEGY
Amity Business School
Communication mix Advertising Sales Promotion Company Products Events & Services experiences Prices PR DM Personal Selling
1919
Distribution Channels
Target Customer
SELLER
BUYER
Amity Business School
4 P’s
Product Price Place Promotion
4 C’s
Customer Solution Customer Cost Convenience Communication
Robert Lauterborn
Business & Markets are changing.
Technology Globalization Deregulation Privatization Customer empowerment Customization Heightened competition Industry convergence 2020 Retail Transformation Disintermediation
Building Customer Relationships
Amity Business School
Customer Value
•
• • • •
Customer Value is a set of benefits that are reckoned by the customers. Customer-Perceived value. Customer Satisfaction. Customer Relationship Tools. Customer Relationship Levels.
2121
Amity Business School
Kingfisher Airlines Flying the Good times
2222
Amity Business School
Components of Value
1. 2.
3.
4.
Functional Value: What a product can do? Economic value: What is the price advantage in a product/service? Convenience Value : How easy is the availability of the product/service? Aesthetic Value: How a product tastes, looks, smell, sound and feels?
2323
Amity Business School
Cont..
5. Social Value: What is the social acceptability of the product? 6. Status /Prestige value: How a product enhances sense of status/esteem? 7. Belief value: How a product fits into one’s religious and cultural beliefs system. 8. How a product stimulate some sentiments/memories/past associations?
2424
Value Delivery Process
Amity Business School
Make the product
Design
Sell the product
Procure Make Price Sell Advertise Distribute Product / Promote Service
Traditional physical Process Sequence CHOOSE THE PROVIDE THE COMMUNICATE VALUE VALUE VALUE
Customer Product, service Sales force. segmentation Development. 2. Market selection Pricing, Sourcing Sales promotion. process. Making, distributing 3. Value positioning. Servicing. Advertising 25
1.
2525
Amity Business School
The Value Chain
Concept given by Michael Porter. 9 Value creating activities.
Primary Activities
1.
Support Activities
Procurement Technology dept. HR Firm infrastructure
Inbound logistics. Operation. Outbound Logistics. Marketing & Sales. Service.
2.
3.
4.
5.
CORE COMPETENCIES 1. It is a source of competitive advantage for perceived customer benefit.
2. Application in wide variety of markets. 26 3. It is difficult for competitors to imitate. 2626
Amity Business School
Customer Core Collaborative Focus Competencies Network Value Cognitive Competency Exploration Space Space Value Customer Business Creation Benefits Domain
Resource Space
Business Partners
Value CRM Delivery
27
Internal Resource Mgt Mgt
Business Partner
2727
Amity Business School
Nontraditional Marketing
•
Person Marketing Place Marketing Cause Marketing Event Marketing Organization Marketing
2828
•
•
•
•
Amity Business School
•
Person Marketing
–
Efforts to cultivate the attention, interest, and preferences of a target market toward a celebrity or authority figure Attempt to attract people and organizations to a particular geographic area. Identification and marketing of a social issue, cause, or idea to selected target markets
2929
•
Place Marketing
–
•
Cause Marketing
–
Amity Business School
•
Event Marketing
–
The marketing of sporting, cultural, and charitable activities to selected target markets Involves attempts to influence others to accept the goals of, receive the services of, or contribute in some way to an organization.
•
Organization Marketing
–
3030
Amity Business School
The Technology Revolution in Marketing
•
Technology: Application to business of knowledge based on scientific discoveries, inventions, and innovations Interactive marketing refers to buyerseller communications in which the customer controls the amount and type of information received from a marketer
3131
•
Amity Business School
•
•
•
•
The Internet is an all-purpose global network composed of more than 50,000 different networks around the globe that allows those with access to a computer send and receive images and text anywhere – The World Wide Web Broadband technology is extremely high speed, always-on Internet connection Wireless Internet connections for laptops and PDA’s Interactive Television Service (iTV)
3232
Amity Business School
•
How Marketers Use the Web
– – – – –
Interactive brochures Online newsletters Virtual storefronts Information clearinghouses Customer service tools
3333
Amity Business School
From Transaction-Based Marketing to Relationship Marketing
•
•
Transaction–based marketing (Simple exchanges) Relationship marketing
– –
Lifetime value of a customer Converting new customers to advocates
3434
Amity Business School
•
One-to-One Marketing
–
–
Customized marketing program designed to build long-term relationships with individual customers. Identifying a firm’s best customers and increasing their loyalty.
•
Developing Partnerships and Strategic Alliances
–
Strategic Alliances: partnerships between organizations that create competitive advantages
3535
Amity Business School
Costs and Functions of Marketing
3636
Amity Business School
Ethics and Social Responsibility: Doing Well by Doing Good
•
Increased Employee Loyalty Better Public Image Market Place Success Improved Financial Performance
3737
•
•
•
doc_193175004.pptx
This presentation is about the understanding marketing management and it explains following concepts, The production concepts, product concept, selling concept, the marketing concept, comparison of various concepts, Relationship marketing, Social marketing, Customer needs, Customer value and satisfaction.
Amity Business School
Understanding Marketing Management
The production concepts, product concept, selling concept, the marketing concept, comparison of various concepts, Relationship to edit Master subtitle style marketing. marketing, Social Click Customer needs, Customer value and satisfaction. CRM, Value chain analysis, Value delivery network. Strategic Planning, Introduction to strategic planning with marketing perspective, Designing business portfolio, Marketing plan, Marketing process, Marketing service.
11
Amity Business School
Marketing is managing profitable customer relationships. Wal-Mart Save Money. Live better. Apple Think different. Big bazaar Isse sasta aur aacha kahin nahi. Telling & Selling Satisfying customer need. The aim of marketing is to make selling unnecessary.
22
Amity Business School
AMA Definition of Marketing
–
Marketing: the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, services, organizations, and events to create exchanges that satisfy individual and organizational goals.
MARKETERS CREATE NEED. OR MARKETERS DO NOT CREATE NEEDS. NEEDS PREEXIST MARKETERS.
33
Amity Business School
•
Marketing creates utility through the exchange process
–
Utility: Want-satisfying power of a good or service
• • • •
Form utility Time utility Place utility Ownership utility
44
Amity Business School
Four Types of Utility
Organizational Function Responsible Type Form Description Examples Production Conversion of raw J.P. Morgan Chase checking account; materials and components Lincoln Navigator; Ramen Noodles into finished goods and (nutrition for students who are hungry, services broke, and can’t—or won’t—cook) Availability of goods and services when consumers want them Availability of goods and services at convenient locations Digital photographs; LensCrafters eyeglass guarantee; UPS Next Day Air Soft-drink machines outside gas stations; on-site day care; banks in grocery stores
Time
Marketing
Place
Marketing
Owner-ship
Ability to transfer title to Retail sales (in exchange for currency or goods or services from credit-card payment) marketer to buyer
Marketing
55
Marketing Process
Amity Business School
1. Understand the 2.Design a 3.Construct an Market & Customer-driven integrated Customer Needs Marketing strategy Marketing & Wants prog. Aiming for superior value.
4.
Build profitable relationships & create customer Delight.
5.Capture value from customers to create profits and customer equity.
66
1 .
1. Understanding the market place and Customer Amity Business School Needs
N e e d s , W a n t s
77
Amity Business School
Five Types of needs
1. 2. 3. 4. 5.
Stated Needs Real Needs Unstated Needs Delight Needs Secret Needs
88
Amity Business School
Avoiding Marketing Myopia
•
Marketing Myopia is management’s failure to recognize the scope of its business.
–
–
To avoid marketing myopia, companies must broadly define organizational goals toward consumer needs Focus on benefits
99
Major Environmental Forces in Market. Amity Business School
Company Supplier Marketing Consumers Intermediaries Competitors
1010
2. Designing a Customer-driven marketingBusiness School strategy Amity
1.
Selecting customers to serve.
2.
Choosing a value proposition.
3.
Marketing Management Orientation.
1111
Amity Business School
Four Eras in the History of Marketing
1212
Amity Business School
•
Production Era
– – –
Prior to 1920s Production orientation Business success often defined solely in terms of production victories
•
Sales Era
– – –
Prior to 1950s Customers resist nonessential goods and services Personal selling and advertising’s task is to convince them to buy
1313
Amity Business School
•
Marketing Era
– –
Since 1950s Marketing Concept Emerges Satisfying customer needs
•
Emergence of the Marketing Concept
– – –
Shift from seller’s to buyer’s market Company–wide consumer orientation Objective of achieving long–run success
1414
Amity Business School
•
Relationship Era (Societal Marketing Concept) – Began in 1990s – Carried customer orientation even further – Focuses on establishing and maintaining relationships with both customers and suppliers – Involves long–term, value–added relationships. – Emphasize on Society, Consumers and Company.
1515
Holistic marketing Concept
Amity Business School
Integrated Marketing
Internal Marketing
Holistic marketing Concept
Relationship Marketing Social Responsibility Marketing
1616
M 3. Preparing an Integrated Marketing plan a Amity Business School and program r k e t i n g M i x I n t e
1717
MARKETING MIX
Amity Business School
Target Market
Product
Variety Quality Design Features Brand name Packaging Warranties
Price
List price Allowances Period Credit Term
Promotion Place
Sales promotion Advertising Location DM Inventory Transport Sales force Channels Coverage Assortment Discounts
Payment PR
Sizes, Services
- McCarthy
1818
MARKETING – MIX STRATEGY
Amity Business School
Communication mix Advertising Sales Promotion Company Products Events & Services experiences Prices PR DM Personal Selling
1919
Distribution Channels
Target Customer
SELLER
BUYER
Amity Business School
4 P’s
Product Price Place Promotion
4 C’s
Customer Solution Customer Cost Convenience Communication
Robert Lauterborn
Business & Markets are changing.
Technology Globalization Deregulation Privatization Customer empowerment Customization Heightened competition Industry convergence 2020 Retail Transformation Disintermediation
Building Customer Relationships
Amity Business School
Customer Value
•
• • • •
Customer Value is a set of benefits that are reckoned by the customers. Customer-Perceived value. Customer Satisfaction. Customer Relationship Tools. Customer Relationship Levels.
2121
Amity Business School
Kingfisher Airlines Flying the Good times
2222
Amity Business School
Components of Value
1. 2.
3.
4.
Functional Value: What a product can do? Economic value: What is the price advantage in a product/service? Convenience Value : How easy is the availability of the product/service? Aesthetic Value: How a product tastes, looks, smell, sound and feels?
2323
Amity Business School
Cont..
5. Social Value: What is the social acceptability of the product? 6. Status /Prestige value: How a product enhances sense of status/esteem? 7. Belief value: How a product fits into one’s religious and cultural beliefs system. 8. How a product stimulate some sentiments/memories/past associations?
2424
Value Delivery Process
Amity Business School
Make the product
Design
Sell the product
Procure Make Price Sell Advertise Distribute Product / Promote Service
Traditional physical Process Sequence CHOOSE THE PROVIDE THE COMMUNICATE VALUE VALUE VALUE
Customer Product, service Sales force. segmentation Development. 2. Market selection Pricing, Sourcing Sales promotion. process. Making, distributing 3. Value positioning. Servicing. Advertising 25
1.
2525
Amity Business School
The Value Chain
Concept given by Michael Porter. 9 Value creating activities.
Primary Activities
1.
Support Activities
Procurement Technology dept. HR Firm infrastructure
Inbound logistics. Operation. Outbound Logistics. Marketing & Sales. Service.
2.
3.
4.
5.
CORE COMPETENCIES 1. It is a source of competitive advantage for perceived customer benefit.
2. Application in wide variety of markets. 26 3. It is difficult for competitors to imitate. 2626
Amity Business School
Customer Core Collaborative Focus Competencies Network Value Cognitive Competency Exploration Space Space Value Customer Business Creation Benefits Domain
Resource Space
Business Partners
Value CRM Delivery
27
Internal Resource Mgt Mgt
Business Partner
2727
Amity Business School
Nontraditional Marketing
•
Person Marketing Place Marketing Cause Marketing Event Marketing Organization Marketing
2828
•
•
•
•
Amity Business School
•
Person Marketing
–
Efforts to cultivate the attention, interest, and preferences of a target market toward a celebrity or authority figure Attempt to attract people and organizations to a particular geographic area. Identification and marketing of a social issue, cause, or idea to selected target markets
2929
•
Place Marketing
–
•
Cause Marketing
–
Amity Business School
•
Event Marketing
–
The marketing of sporting, cultural, and charitable activities to selected target markets Involves attempts to influence others to accept the goals of, receive the services of, or contribute in some way to an organization.
•
Organization Marketing
–
3030
Amity Business School
The Technology Revolution in Marketing
•
Technology: Application to business of knowledge based on scientific discoveries, inventions, and innovations Interactive marketing refers to buyerseller communications in which the customer controls the amount and type of information received from a marketer
3131
•
Amity Business School
•
•
•
•
The Internet is an all-purpose global network composed of more than 50,000 different networks around the globe that allows those with access to a computer send and receive images and text anywhere – The World Wide Web Broadband technology is extremely high speed, always-on Internet connection Wireless Internet connections for laptops and PDA’s Interactive Television Service (iTV)
3232
Amity Business School
•
How Marketers Use the Web
– – – – –
Interactive brochures Online newsletters Virtual storefronts Information clearinghouses Customer service tools
3333
Amity Business School
From Transaction-Based Marketing to Relationship Marketing
•
•
Transaction–based marketing (Simple exchanges) Relationship marketing
– –
Lifetime value of a customer Converting new customers to advocates
3434
Amity Business School
•
One-to-One Marketing
–
–
Customized marketing program designed to build long-term relationships with individual customers. Identifying a firm’s best customers and increasing their loyalty.
•
Developing Partnerships and Strategic Alliances
–
Strategic Alliances: partnerships between organizations that create competitive advantages
3535
Amity Business School
Costs and Functions of Marketing
3636
Amity Business School
Ethics and Social Responsibility: Doing Well by Doing Good
•
Increased Employee Loyalty Better Public Image Market Place Success Improved Financial Performance
3737
•
•
•
doc_193175004.pptx