Ii mm.01.10

04/07/23 17:05 Professor U.M. Amin, CMS, JMI, New Delhi

1

Marketing ManagementMBA CP-205


2

Dates for the Course

Jan’10 Feb’10 Mar’10 Apr’10

- 2 2 -

- - 5 6

8 9 - 9

12 - - 13

15 16 16 16

19 19 19 -

22 23 23 -

- 26 26 -

29 - 30 -


3

Overview of the course

1. Understanding Marketing Management.

2. Developing Marketing Strategies and Plans.

3. Gathering information and scanning the environment.

4. Conducting Marketing research.

5. Classification and Analysis of Markets.

6. Identifying Market segments and Targets.

7. Dealing with competition

8. Crafting the positioning strategy.


4

Overview of the course

9. Developing Product Strategy.

10. Managing Services.

11. Developing Pricing strategy.

12. Developing Marketing Channels.

13. Developing and Managing Marketing Communications.

14. Managing Mass Communications.

15. Introducing new Market Offerings.

16. Managing a Holistic Marketing Organization.


5

Understanding Marketing Management


6

Learning Objectives:

• Know why marketing is important.• Know what is the scope of marketing.• Know some fundamental marketing concepts.• Know how marketing management has changed.• Know what the necessary tasks are for successful

marketing management.



7

Scope of Marketing

• What is Marketing?

“Marketing is an organizational function and a set of processes for creating, communicating, and delivering value

to customers and for managing customer relationships

in ways that benefit the organization and its stakeholders.”



8


“Marketing management is theart and science

of choosing target markets and getting, keeping, and growing

customers throughcreating, delivering, and communicating

superior customer value.”



9


“Marketing is a societal process by which individuals and groups obtain

what they need and want through creating, offering, and freely exchanging

products and services of value with others.”



10

Selling is only the tip of the

iceberg…..


“There will always be need for some selling. But the aim of marketing is to make selling

superfluous. The aim of marketing is to know and understand the

customer so well that the product or service fits him and sells itself. Ideally, marketing should result in a customer who is ready to buy. All that should be needed is to make the product or service available.”

Peter Drucker


11

Designing the right

product…….



12

Only the best is good enough for Lexus customers

…….



13

For an exchanges to occur….

• There are at least two parties.• Each party has something that might be of value to

the other party.• Each party is capable of communication and delivery.• Each party is free to accept or reject the exchange

offer.• Each party believes it is appropriate or desirable to

deal with the other party.



14

Transaction on the other hand occurs when….

• There is a trade of values between two or more

parties.

• There are at least two things of value.

• There are agreed upon conditions.

• There is a time of agreement.

• There is a place of agreement.



15

Are both forms of

exchange?


Transactions Transfers


16

What is

marketed?


GoodsGoods

Experiences

Experiences

PersonsPersons

Ideas

EventsEvents

ServicesServices

PlacesPlaces

PropertiesProperties

Organizations

Organizations

InformationInformation


17

Demand

States……


Nonexistent Latent

Declining Irregular

Full UnwholesomeOverfull

Negative


18

Structure of Flows in a Modern Exchange

Economy



19

Industry( A collection of sellers )

Market( A collection of buyers )

Communication

Goods/Services

Money

Information

A Simple Marketing System



20

Key Customer

markets….


ConsumerMarkets

GlobalMarkets

Nonprofit andGovernmental

Markets

BusinessMarkets


21

Market place is not what it used to

be….


Deregulation

Deregulation

Disintermediation

Globalization

Globalization

Changing technologyChanging

technology

PrivatizationPrivatization

Customer Empowerment

Customer Empowerment

CustomizationCustomization

ConvergenceConvergence


22

Company Orientations towards the Market Place


Production concept

Selling conceptHolistic marketing

concept

Product concept


23

Production concept

“The production concept holds that consumers

will prefer products that are widely available

and inexpensive.”



24

Product concept

“The product concept holds that consumers will favor

those products that offer

the most quality, performance, or

innovative features.”



25

Selling concept

The selling concept holds that consumers and businesses,

will ordinarily not buy enough of the organization’s products,

therefore, the organization must undertake aggressive selling and promotion effort.”



26

Marketing concept

“The marketing concept holds that the key to achieving organizational goals

consists of the company being more effective than competitors in

creating, delivering, and communicating superior customer value to its chosen target markets.”



27

Factory Products Selling and Profits through promoting sales volume

Target Customer Integrated Profits through market Needs marketing customer

satisfaction

The Selling concept

The Marketing concept

Starting point Focus Means Ends

Determinants of customer delivered value



28

Holistic Marketing concept

“Holistic marketing can be seen as the development, design, and implementation of

marketing programs, processes, and activities that recognizes the breath and

interdependencies of their efforts. Holistic marketing recognizes that

‘everything matters’ with marketing—the consumer, employees, other companies, competition,

as well as society as a whole.”



29

Marketing Department

Holistic Marketing dimensions


Senior Management

Other Departments

Communications

Products andServices

Channels

Ethics

Environment

Legal

CommunityCustomers

Suppliers

Channel Partners

HolisticMarketing

InternalMarketing

SociallyResponsibleMarketing

IntegratedMarketing

RelationshipMarketing

Employees


30

The Four P Components of the Marketing Mix

Marketing Mix

Product

Product varietyQualityDesignFeaturesBrand namePackagingSizesServicesWarrantiesReturns

Price

List PriceDiscountsAllowancesPayment periodCredit terms

Promotion

Sales promotionAdvertisingSales forcePublic relationsDirect marketing

Place

ChannelsCoverageAssortmentsLocationsInventorytransport

Target Market



31

CompanyProductServicesprices

Offering mix

Direct mailtelemarketingand internet

Publicrelations

Sales force

Advertising

SalesPromotion

Distribution Channels

Targetcustomers

Communications mix

Marketing Mix Strategy



32


Marketing Mix and the customer

Four Ps• Product• Price• Place• Promotion

Four Cs• Customer solution• Customer cost• Convenience• Communication


33

TopManage

ment

Middle management

Front line people

Customers

Traditional Organizational chart



34

Customers

Front line people

Middle management

TopManage

ment

CU

ST

OM

ER

S

CU

ST

OM

ER

S

Modern customer oriented Organizational chart



35

Key Marketing Concepts and Tools

• Needs, wants, and demands.• Target markets, positioning, segmentation.• Offerings and brands. • Value and satisfaction. • Marketing Channels.• Supply Chain.• Competition.• Levels of Competition.• Marketing planning.• Marketing Environment.• Task Environment and Broad Environment.



36

• The broad environment consists of:

1. Demographic environment

2. Economic environment

3. Natural environment

4. Technological environment

5. Politico-legal environment

6. Social environment



37

Marketing Planning Process

• The Marketing Planning Process consists of:

1. Analyzing marketing opportunities.

2. Selecting Target Markets.

3. Designing marketing strategies.

4. Developing marketing programmes.

5. Managing the marketing effort.



38

Factors influencing Company Marketing Strategy



39

Marketing Management Tasks

• The core concepts provide the input for a set of tasks that make up successful marketing management. The tasks include:

Developing marketing strategies and plans. Capturing marketing insights. Connecting with customers. Building strong brands. Shaping the market offerings. Delivering the value. Communicating value. Creating long term growth.



40

Recap:

• Why marketing is important.• What is the scope of marketing.• Some fundamental marketing concepts.• How marketing management has changed.• What the necessary tasks are for successful marketing

management.
