WHAT IS MARKETING
MARKETING DEFINITION
“Marketing” is the process of
planning and executing the
conception, pricing, promotion
and distribution of ideas, goods,
and services to create exchanges
that satisfy customer and
organizational objectives.
CORE MARKETING CONCEPTS
Needs, Wants
& Demands
Markets
Core
Marketing
Concepts
Exchange,
Transactions &
Relationships
Products &
Services
Value,
Satisfaction &
Quality
NEEDS, WANTS & DEMANDS

Need - are part of the human makeup.



Want - are formed by culture and individual
personality


Physical needs such as food, water, shelter; social
needs for belonging and affection and individual
needs for knowledge and self-expression
Think – Maslow’s Hierarchy of Needs
e.g., you may need food, but you want a hamburger
and fries. But a person who lives in China may need
food, but wants mango, rice and noodles.
Demand - are human wants that are backed by
buying power.

pick products that provide value and satisfaction for
their money.
LOGO CHALLENGE


Scenario #1:w.slideshare.net/kristinsexton/trademarks-logos-powerpoint
Scenario #1:
CREATE PRODUCT OR SERVICE
To design a Product or Service
 Understanding customers needs, wants &
demands through:







market research,
samples,
observations,
polls,
databases,
customer inquiries, and
Customer service data
DEFINING PRODUCTS


Tangible Product- something you can hold, feel,
taste and play. Examples – desk, chair, iPhone,
etc.
Intangible Products - can include items such as
experiences, persons, places, organizations,
information, and ideas. As consumers we might
have our haircut, we pay for that service, but we
don’t actually go around carrying it in a bag.

You actually leave the store with less than when you
came in!!!
EXCHANGE, TRANSACTION &
RELATIONSHIP


Exchange - is the trading of something of value
between a buyer and seller so that each is better
off after the trade. Marketers must offer value,
satisfaction and quality in their product or
service to create an exchange.
Relationship - Organizations must also create a
relationship with that customer to create a
transaction or exchange that will develop a
market for that particular product or service.
INTRODUCTION TO MARKETING

Marketing is the sum of all the activities involved in the planning,
pricing, promoting, distributing, and selling of goods and services
to satisfy consumers' needs and wants.
w.slideshare.net/kristinsexton/trademarks-logos-powerpoint
INTRODUCTION TO MARKETING

Marketing is more than just advertising and promotion. It
basically covers all the activities that are required to get a
product/service from the source to the customer (see p16/17)
Research
Product development
Pricing
Packaging
Branding
Sales
Physical Distribution
Inventory management
Storage
Promotion
w.slideshare.net/kristinsexton/trademarks-logos-powerpoint
MARKETING
Marketing can be summarized by the 4P’s and
2C’s.
 Product/service
 Price
 Promotion
 Place
 Customer
 Competition
MARKETING CONCEPTS
"We offer you a means for gathering,
processing, and analyzing
business data."
 Firm B
"We make computers.“

Firm A
Firm A
"Please donate blood. Your hospital
needs it."
 Firm B
"Please donate You will never know
when
you or one of your loved ones
will need it.“

Firm A
 Firm B
at the

"We make pumps."
"We deliver water into people's homes
right pressure and volume."
MARKET RESEARCH

The systematic collection, analysis, and
interpretation of information used to develop a
marketing strategy or to solve a marketing
problem.
WHY DO WE NEED IT?
 Provides

hard data
Information based on supportable facts
 Use
information gathered to make
marketing efforts more successful
 Allows
companies to better understand the
needs and wants of customers

Create new customer markets or better serve
existing ones
TYPES OF MARKET RESEARCH
Surveys
 Focus Groups
 Taste Tests
 Product Research
 Customer Analysis
 Competitor Analysis

4P’S - PRODUCT
4P’S - PRODUCT
 Product/Service.
They come from human
invention or innovation.
 Inventions
are radically new products/service –
never seen before.
 Innovation
are improvements to existing
products/service.
4P’S - PRODUCT



Products (goods) are tangible. They are physical (see
and touch them). Examples?
Services are non tangible. Example?
However, both have value and are things that are
exchanged.
GOODS AND SERVICES


Industrial goods – products used by other
businesses to produce their products or to operate
Consumer goods – products or services made for
the general public (end user)
4P’S - PRODUCT

Products/services have a life cycle just like we do;
Introduction
 growth
 mature stage


decline/death stage
4P’S - PRICE

What price are you going to sell at?

How do you determine the price?

How will the price affect product sales and image?
4P’S - PLACE

Where are you going to sell your product?

Direct sales or intermediaries? Examples?

What purpose do intermediaries serve?

What are the implications of your decision?
4P’S - PROMOTION



Promotion mix consists of advertising, sales
promotion and publicity
How are you going to convince people about your
product?
What, when, where, how are you going to
promote your product.
4P’S - PROMOTION
ACTIVITY #1
I.
Choose a product/service. Research it and
identify when it was invented and what were
the circumstances that brought it into
existence.
II.
Identify (at least 3) innovations for your
invention choice. How have these innovations
made it better? Explain.
III.
Identify the:
Price – Product – Place – Promotion strategy
2 C’S:CUSTOMER
(TARGET MARKET)



The customer is the person who makes the
purchase.
The consumer is the person that consumes the
product
Are they the same person?
2 C’S - CUSTOMER
 First
you need to know what the customer
wants and/or needs are?
 Therefore you must determine who your
customer is/or is going to be.
 You must determine the common
characteristics of your customer
 You must inform, persuade, and convince the
customer with respect to your product/service.
2 C’S - COMPETITION
 What

products/service exists already?
Who/what is your competition?
 How
do you compare/differentiate your
 product/service from the competition?
 How
do you stay a step ahead of your
competition?
MARKETING AND ORGANIZATIONS
Companies can organize based on how they market
 Regional – West, central, Atlantic
 International – Asia, North America,
Europe
 Brand – i.e. (Proctor and Gamble), Tide, Pringles,
Folgers, Ivory soap
 Distribution – stores, hotels, airlines,
vending machines
ORGANIZATIONS

There are two general types of organizations,
profit based (businesses) and
 not-for-profit organizations

PUSH/PULL STRATEGY
Push – sells to wholesalers, importers and
retailers but not end use consumers
 I.e. Candles - consumers see it they will buy it.
 Pull – Sell to the customer directly through
promotion activities.

ACTIVITY #2
I.
Give an example where the customer and customer are the
same in a purchase of a product? Give an example where the
customer and customer are different?
II.
What is an industrial customer?
III.
What is profit? Why is it important consideration when
determining a selling price?
IV.
What is a wholesaler? What is a retailer?
V.
Give example of products/services that are sold directly to the
customer.
VI.
Provide example of marketing promotion.
ACTIVITY #3
Brainstorm and think what a world without
advertising and marketing would be like. List
how people (consumers) would benefit from a
world without advertisements and marketing.
Then, list all the benefits that people get from
advertisements and marketing. Hand in one
extremely neat copy to the teacher for
evaluation.
Activity #4



Identify one consumer need. Identify one consumer want.
Describe the marketing concepts by relating the 4P’s and 2 C’s to
each one of your examples of a need and want.
Recreate the table and providing at least 3 different points for each
item. Hand in a neat copy for evaluation.
Need
Product Description
Price
Place
Promotion
Consumer
Competition.
Want
HISTORY - MARKETING
 Businesses
are profit-orientated
organizations. They seek to make money
(profit) from the marketing of their
products/services. This is vital for their
existence.
 Not-for-profit
organizations still need
money to operate; however, they are not
motivated to make profits. Typically they
provide services. Examples of not-forprofit organization include government,
Red Cross, United Appeal, Salvation
Army, Canadian Cancer Association etc….
ACTIVITY #5

Working alone or in pairs comes up with an
example of a not-for-profit organization.
Marketing is just as important for these
organizations. Come up with examples of how
the 4P’s and 2 C’s are relevant for your
organization. Submit a neat copy of your work for
evaluation.