Scribd
Upload
25 views

Lecture 1

Uploaded by

hussam.khan
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
25 views

Lecture 1

Uploaded by

hussam.khan
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
You are on page 1/ 39

FUNDAMENTALS OF

MARKETING
Wajeeha Wasim
Email: wajeeha.wasim@iqra.edu.pk
Assessment Breakdown
Assignments 10%
Quizzes 10%
Presentation 10%
Mid Term Exam 30%
Final Exam 40%
TOTAL 100%
Some Important Rules!
• Attendance: You will be short of attendance after having 7 absences.
• Assignments: 2 assignments would be given to you out of which the best one would be
considered. NO RETAKE Policy!
• Quizzes: 2 quizzes would be conducted out of which the best one would be considered.
NO RETAKE Policy!
• Presentation: It will be conducted in the last two classes. Kindly form groups, each
group will consist of 5 team members.
Chapter One
Marketing: Creating and Capturing
Customer Value
Talking Points
 What is Marketing?
 Understand the Marketplace and Customer Needs
 Designing a Customer-Driven Marketing Strategy
 Preparing an Integrated Marketing Plan and Program
 Building Customer Relationships
 Capturing Value from Customers
 The Changing Marketing Landscape
What is Marketing?
Marketing is a process by which companies create value for
customers and build strong customer relationships to capture
value from customers in return
MARKETING is the science and art of exploring,
creating, and delivering value to satisfy the needs of a
target market at a profit.
The Marketing Process
What is Marketed?
 Physical Goods: cars, clothes, electronics, cosmetics
 Services: salon, banks, lawyers, hospital
 Ideas: no smoking, family planning, secure life via insurance policy
 People: Shahid Afridi, Barack Obama, Shahrukh Khan
 Places: Dubai, Malamjabba in Northern Pakistan
 Experiences: a match, movie theatres, stage shows
Understanding the Marketplace and Customer
Needs
Some Core Concepts
• Customer needs, wants, and demands
• Market offerings
• Value and satisfaction
• Exchanges and relationships
• Markets
Understanding the Marketplace and Customer Needs
Customer Needs, Wants, and Demands
• States of deprivation
• Physical—food, clothing, warmth, safety
Needs • Social—belonging and affection
• Individual—knowledge and self-expression
• i.e. I am thirsty

• Form that needs take as they are shaped


Wants by culture and individual personality
• i.e. I want a Coca-Cola.

• Wants backed by buying power


Demands • i.e. I have money to buy a Coca-Cola.
Want vs. Demand

$379,000 i.e. approximately Rs. 40 million (Rs. 4 crore)


Needs are not products
Need Want Demand
Mobile Communication Cell phone Samsung

Shoe Safety for feet Shoe Bata

Clothes Cover your body Jeans & Shirt Outfitters


Understanding the Marketplace and Customer Needs

 Market offerings are some combination of products, services,


information, or experiences offered to a market to satisfy a need
or want

 Marketing myopia is focusing only on existing wants and losing


sight of underlying consumer needs
Understanding the Marketplace & Customer Needs
Customer Value and Satisfaction Expectations
Customers
• Value and satis-
faction

Marketers
• Set the right level of expec-
tations
• Not too high or low
Understanding the Marketplace & Customer Needs
• 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, distribu-


tors, dealers, and suppliers.
Understanding the Marketplace & Customer Needs
Markets are the set of actual and potential buyers of a product
Designing a Customer-Driven Marketing Strategy

Marketing management is the art and science of choosing target


markets and building profitable relationships with them
– What customers will we serve?
– How can we best serve these customers?
Designing a Customer-Driven Marketing Strategy
Selecting Customers to Serve

Market segmentation refers to dividing the markets into segments


of customers

Target marketing refers to which segments to go after


Designing a Customer-Driven Marketing Strategy
Selecting Customers to Serve

Demarketing is marketing to reduce demand temporarily or


permanently; the aim is not to destroy demand but to reduce
or shift it.
Designing a Customer-Driven Marketing Strategy
Choosing a Value Proposition

The Value Proposition is the set of benefits or values a company


promises to deliver to customers to satisfy their needs.
• Value Proposition answers the customer’s question, “Why
should I buy your brand rather than a competitor’s?”
• Companies must design strong value propositions that give them
the greatest advantage in their target markets
Designing a Customer-Driven Marketing Strategy
Marketing Management Orientations

Production Product Selling Marketing Societal


concept concept concept concept concept
Designing a Customer-Driven Marketing Strategy
Marketing Management Orientations
Production concept is the idea that consumers will favor products
that are available or highly affordable.

Product concept is the idea that consumers will favor products that
offer the most quality, performance, and features. Organization should
therefore devote its energy to making continuous product
improvements.
Designing a Customer-Driven Marketing Strategy
Marketing Management Orientations

Selling concept is the idea that consumers will not buy enough of
the firm’s products unless it undertakes a large scale selling and
promotion effort.

Marketing concept is the idea that achieving organizational goals


depends on knowing the needs and wants of the target markets and
delivering the desired satisfactions better than competitors do.
Designing a Customer-Driven Marketing Strategy
Marketing Management Orientations

Societal marketing concept is the idea that a company should


make good marketing decisions by considering consumers’ wants,
the company’s requirements, consumers’ long-term interests, and
society’s long-run interests.
Designing a Customer-Driven Marketing Strategy
Marketing Management Orientations
Preparing an Integrated Marketing Plan and
Program
The marketing mix is the set of tools (four Ps) the firm uses to
implement its marketing strategy. It includes product, price,
promotion, and place.

Integrated marketing program is a comprehensive plan that


communicates and delivers the intended value to chosen
customers.
Building Customer Relationships
Customer Relationship Management (CRM)

The overall process of building and maintaining profitable


customer relationships by delivering superior customer value
and satisfaction.
Building Customer Relationships
Relationship Building Blocks: Customer Value and Satisfaction

Customer- per- Customer satisfac-


ceived value tion
• The difference between • The extent to which a
total customer value product’s perceived
and total customer cost performance matches a
buyer’s expectations
Capturing Value from Customers
Creating Customer Loyalty and Retention
Customer lifetime value is the value of the entire stream of pur-
chases that the customer would make over a lifetime of support.
Capturing Value from Customers
Growing Share of Customer
Share of customer is the portion of the customer’s purchasing that
a company gets in its product categories.
Capturing Value from Customers
Building Customer Equity

Customer equity is the total combined customer lifetime values


of all of the company’s customers.
Capturing Value from Customers
Building Customer Equity

• Building the right relationships with the right customers


involves treating customers as assets that need to be managed
and maximized
• Different types of customers require different relationship
management strategies
– Build the right relationship with the right customers
The Changing Marketing Landscape
Major Developments

Rapid global-
Digital age
ization

Ethics and
Not-for-profit
social respon-
marketing
sibility
So, What is Marketing?
Pulling it all Together
“Fail to Plan; Plan to Fail.”

Thank You

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy