Marketing for Non Marketing People

Muhammad Arman

Background

• Complex Business Environments.

• No partial view point.

• Continuing organization (sustainable).

• Strategic Business Unit, important role

• Marketing as a daily activities

• Strategic planning and action

• Understanding marketing concept

In the past, if we were trying to sell sushi, we will market it as a

cold dead fish

Bojana FazarincHewlett Packard

Story of

• Inul

• Pepsodent• Mandra• Acara minum the ala

jepang

Menu

• Marketing concept

• Marketing MIX (4 P’s of marketing)

• Marketing segmentation and targeting

• Product positioning

• Understanding customer and their needs

• Marketing information

Marketing Concept

Marketing: is the process of planning and executing the conception,

pricing, promotion and distribution of idea, goods and services to create

exchanges that satisfy individual and organizational goals (American

Marketing Association)

Marketing = sales ????

Why there are more often marketing manager than sales manager ?

Sales engineer vs marketing engineer

Identical

SalesMarketing

Different

SalesMarketing

Case

• Motor Cina

• Apakah marketing atau sales ???

Satisfaction

• Benefit, utility = value

• "Perceived value"

• Value; product over the price

Satisfaction con't

Service Quality

Product Quality

Price

Situational factors

Customer Satisfaction

Personal factors

Marketing Mix; 4P's

• Bauran Pemasaran– Product– Price– Promotion– Placement (distribution)

• A comprehension understanding of strategic and action in marketing

Marketing Mix (traditional)

Product

Price

Promotion

Place

Strategic Action

Customer

Marketing Mix

Product

Price

Distribution

Promotion

Product

Product (definition)

• A bundle of tangible and intangible attributes that seller offers a potential buyer and that satisfies the buyer's need or wants (Lusch and Lusch, 1987)

• Product : physical good or service, more often blend of both

Product

• The Core: function, basic benefits

• The Actual:, labeling, packaging, feature, color, size, material, texture, smell, taste

• The Extended: term of payment, service, branding, return policy, guarantees, training, delivery, styling.

Product vs Service

0 % 100 %

100 %

Service Emphasis

Pro

duct

Em

phas

is

Washing Powder

Fast food restaurant

Insurance

Cleaning service

Product vs service

• Product– Tangible– "distance"

production and consumption

– "Homogeneity", standardization

– Perishable

• Service– Intangible

– Inseparability production and consumption

– "Heterogeneity", Non Standard

– Imperishable

Implication

• Not only focus on production

• Give space for service, realize the need of customer

• Define the actual, core and extended of your product.

• Give "added value" of your product

Define your existing product and or service

(DISCUSSION)

Product Innovations, why?

• Survive in the competition

• Technology change, need new product

• Change of the needs of customer

• Competitor

• Legal aspect

New Product ???

It is really new?

New Product

• Simply a product that is perceived as new by the customer

• New Product means:– Really new (first discover, no one has produced

before)– Product improvement– Product addition– Repositioning Product

Successful New product

• Important

• Unique

• Sustainable

• Marketable

Process of New Product

• idea generation

• screening of ideas• business analysis• prototype

development• market tests• commercialization

What is your new product?

• Base on :– Really new product– Product improvement– Product addition– Repositioning Product

Service, deeper

“Hospitality Mentality”

It is easy enough to be pleasant

When life flows along like a song,

But the person worthwhile

Is the person who can smile

When everything goes dead wrong.

Anonymous

Dimensions Service

• Procedural– The mechanical or systems “stuff”

• Convivial– Warm & caring service – emotional “stuff”

Procedural Dimension

• Accommodation

• Anticipation

• Timeliness

• Organized Flow

• Communication

• Customer Feedback

• Supervision

Convivial Dimension

• Attitude• Attentiveness• Tone of Voice• Body Language• Tact• Naming Names• Guidance• Suggestive Selling• Problem Solving

Service from customer's point of view

Service People• Contact Employees

• Customer him/herself

• Other customer

Process• Operation flow activities

• Step in process

• Flexibility vs standard

• Technology vs human

Physical Evidence

• Tangible communication

• Service space

• Technology

• Guarantees

• Website

Brand

Branding is the process by which companies distinguish their product

offerings from those of the competition

Important of Branding

• For Customer:– Save time and effort– Security, reduce risk of purchase– Offer psychological reward

• For Supplier– Loyal base customer– Higher price– Platform to launch new product– Economic scale of promotion– An asset

Good brand name should

• Positive association

• Easy to pronounce and remember

• Distinctive

• Suggest product benefits

• Not infringe an existing registered brand name

Marketing Mix

Price

Distribution

Promotion

Product

Price

Price and Pricing Strategy

• Price: about the selling price at the end customer

• How much the customer willing to pay,

Pricing, both side

Consumer costs Business costs

Money Time Cognitive activity Behavior effort

Price willing to sell

ProfitValue

Price willing to pay

Production Promotion Distribution Marketing research

Market exchange

+

=

+

=

Price Objectives

• Income related: how much money can we make?

• Volume related: how many units can we sells?

• Competition related: what share of the available business do we want?

• Societal: what are our responsibility to our customer and society as a whole?

Five C's of Pricing

• Costs

• Customers

• Channels

• Competition

• Compatibility

Strategic Approach of Pricing

Analyze consumer-product relationships

Analyze the environmental situation

Determine the role of price in marketing strategy

Estimate production and marketing costs

Set pricing objectives

Develop pricing strategy and set prices

Think About Your

• Customer and market

• Product and competitor product

• Cost and objectives

• Environmental and situation

For your pricing

Marketing Mix

Price

Distribution

Promotion

Product

Promotion

Promotion

• Process to communicate the benefits of the product

• Basic communications approach needed

• Start from the customer

Some questions

• Who is the target?

• What should be said (actual message)? How should it be said (tone of message)?

• What medium should be used convey the message? Where should the message be placed each medium?

• When will it be done (timing)?

• How will the plan be assessed?

Promotional MIX

• Advertising

• Public relation• Sales promotion• Personal selling

Advertising

Public Relation

Sales Promotion

Personal Selling

AIDA

• Attract: friendly greeting

• Interest: focus on benefits, allowing customer to appreciate its relevance to their needs

• Desire: opening question from customer. Try to convince them of desirability

• Action; not always be immadiate purchase

Customer vs promotion

• Customer only select what they are interested in

• Customer are selective to the information we give

• Customer use “their language”, not “our language”

• Listen carefully to the customer needs even more effective than try to explain your product.

Stage of Sales Contact

• Prospecting

• Approach

• Presentation

• Handling objection

• Closing

• Follow up

Marketing Mix

Price

Distribution

Promotion

Product

Distribution

Distribution

• Traditional: Moving the goods or service from producer to customer.

• Modern, start from product design

• Size, packaging, ware house, inventory management, supply chain, distribution channel, agent, broker, media, personal interaction (service).

• As integrated marketing

Distribution Channel

• Environment

• Consumer

• Product Characteristic

• Strategy (price setting)

• Competition

• Organization

• Case : Bimbingan Belajar, Alfa Mart, Hemart, Pepsodent

Distribution of Service

• Location

• Time

• Physical Environment

• Apperance of people

Summary

• Marketing concept

• 4P's of Marketing (integrated marketing)

• Customer satisfaction

Question ?

• www.akangarman.wordpress.com

• www.akangarman.blogspot.com

• www.sdpondokbambu07.wordpress.com