Chapter 01
Overview of Marketing
Marketing is the set of business practices and processes for creating, communicating,
delivering, and exchanging offers that have value for customers, clients, partners, and society.
Using marketing plans, companies specify their marketing activities for a specific period, and it
includes the design of the product/ service, the cost, promotion strategies.
Marketing is About:
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Understanding and satisfying customer needs and wants.
Creating value for customers.
Marketing is done by:
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Individuals (ex: - influencers, lawyers, freelancers)
Organizations (ex: - companies, non-profits)
Marketing happens in many ways:
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Physical stores
Online platforms
Social events
Mobile apps
Marketing mix decisions (4Ps)
1.
2.
3.
4.
Product – What manufacturers are offering
Price – How much it costs
Place – Where it is available
Promotion – How people learn about it
Types of marketing orientations
1. Product orientation – focus on the quality or innovation of the product.
2. Sales orientation – focus on selling more products through promotions.
3. Market orientation – focus on customer needs and satisfaction.
4. Value-based orientation – focus on delivering value and building long-term relationships.
The way firms become more value driven
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Gathering and sharing information.
(ex: - sophisticated data analysis)
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Balancing benefits with costs.
(find opportunities for better satisfaction with the customers’ needs and in relation to
developing long-term loyalties)
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Building relationships with customers.
(ex: - CRM – business philosophy and set of strategies, programs, and systems that focus
on identifying and building loyalty among the company’s most valued customers)
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Connecting with customers using social and mobile apps.
Importance of marketing
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Expands firm’s global presence. (ex: - brand awareness and loyalty)
Pervasive marketing channel members.
This enriches society.
Pervasive across organizations.
Makes life easier.