AP1EM1 INTRODUCTION TO MARKETING

Welcome: todays plan

1) An informal review of the module outline 2) A more formal lecture introducing chapter 1 and 2 of the textbook.
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Why study marketing?

There is a very low correlation between the success of marketing managers (measured in terms of income achieved and title received) and the possession of a degree with a marketing major. This would imply that academic marketing 5/28/12 knowledge plays a very

Marketing is all around us

B2B marketing Cause marketing Person marketing Place marketing

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Todays lecture

Define marketing and outline the steps in the marketing process Identify the core marketplace concepts Discuss the marketing management orientations that guide marketing strategy Describe the major trends and forces that are changing the marketing landscape
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What is marketing?
Marketing is a social and managerial process by which individuals and groups obtain what they need and want through creating and exchanging products and value with others.

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Figure 1.1 A simple model of the marketing process

Understand the marketplace and customer needs Design customer-driven marketing strategy Construct an integrated marketing programme Build profitable relationships and create customer delight Capture value from customers to create profits and customer equity
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Needs, wants and demands Market offering

Understanding the marketplace and customer needs

Value, satisfaction and quality Exchanges, transactions and relationships Markets and the marketing system

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Market offerings are not limited to physical products

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Marketing myopia

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The railroads did not stop growing because the need for passenger () transportation declined. That grew. The railroads are in trouble today not because that need was filled by others (cars, trucks, airplanes, and even telephones) but because it was not filled by the

Marketing myopia

Hollywood barely escaped being totally ravished by television. Actually, all the established film companies went through drastic reorganizations. Some simply disappeared. All of them got into trouble not because of TV's inroads but because of their own 5/28/12 myopia. As with the

What is customer value?

Customer value is the consumers assessment of the products overall capacity to satisfy his or her needs.

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What is customer satisfaction?

Customer satisfaction is the extent to which a products perceived performance matches expectations. If the products performance falls short of expectations, the buyer is dissatisfied, but if performance matches or exceeds expectations, the buyer is satisfied.

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Figure 1.2 Elements of a modern marketing system

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What is marketing management?

Marketing management is the art and science of choosing target markets and building profitable relationships with them.

Principles of Marketing

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Selecting a target market

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Choosing a value proposition

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Marketing management orientations

Production concept Product concept Selling concept Marketing concept Societal marketing concept Sustainable marketing concept
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Figure 1.3 Selling and marketing concepts

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Figure 1.4 The societal marketing concept

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Figure 1.5 The sustainable marketing concept

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Marketing planning

Determine target customers Create value Plan marketing mix

Product Price Place Promotion

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The steps in the marketing process

(1) analysing marketing opportunities (2) selecting target markets (3) developing the marketing mix (4) managing the marketing effort

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Discussion point

Think of a purchase that you recently made. What is the value that you received from that purchase?

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Discussion point

What is the difference between a customer need, want, or demand? Is this distinction important?

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Discussion point

Many people have purchased books through Amazon. Certainly, the book is an important part of the purchase. Describe the complete marketing offer of Amazon.co.uk. What services, information, or experience is included?
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