Marketing for MOST Module 02 – Marketing Management 技術経営コンソーシアム開発担当者： Ritsumeikan Asia Pacific University 教授 : Takamoto, Akihiro 更新日

Marketing for MOSTModule 02 – Marketing

Management

技術経営コンソーシアム

開発担当者： Ritsumeikan Asia Pacific University 　教授 : Takamoto, Akihiro更新日 October, 2003

Marketing for MOST: Module 2 – Marketing Management

Marketing Management Overview

1. What is Marketing

2. Basic Concepts Underlying Marketing

3. Marketing Management Philosophies

4. The Function of Marketing within a Company

5. The Marketing Equation

6. The Marketing Mix

7. Marketing Strategy

8. Marketing Process

9. Marketing Plan

• Further Reading:

– Marketing According to ABC


What is Marketing

• Definition 1:

– Marketing is a social and managerial process by which individuals and groups obtain what they need and want through creating, offering and exchanging products of value with others.

By Philip Kotler 1997


What is Marketing

• Definition 2:

– The aim of Marketing is to make selling superfluous. The aim is to know and understand the customer so well that the product or service fits him and sells itself.

By Peter Drucker 1973


What is Marketing

• Definition 3:

– Marketing is getting the right goods and services to the right people at the right places at the right time at the right price with the right communication.

Anon.


What is Marketing

• Definition 4:

– Marketing is a battle of perceptions, not products.

By Ries and Trout, 1993.


What is Marketing

• Definition 5:

– Marketing is the war against common sense.

By Aki Takamoto, 1999.


What is Marketing

• Definition 6:

– Marketing is the modern art of war.

By Aki Takamoto, 1999.


Basic Concepts Underlying Marketing

• A Need / Needs

– A human need is a state of felt deprivation of some basic satisfaction.

• Human needs include basic physical needs for food, clothing, warmth and safety;

• Social needs for belonging and affection

• And individual needs for knowledge and self expression



• A Want / Wants

• Wants are the form human needs take as they are shaped by culture and individual personality.

• Wants are desires for specific satisfiers of needs.

– An American needs food but wants a hamburger, French fries, and a soft drink. Wants are shaped by one’s society and culture and are described in terms of objects that will satisfy needs.



• Exercise

• Name ten strong needs you have now!

• Characterize them, Are they:

» most acute,

» compulsive,

» crying,

» desperate,

» dire,

» pressing,

» urgent,

» growing,

» special?

» Or otherwise…

• List your wants corresponding to these ten needs



• Demands

– Demands are human wants that are backed by buying power.



• Demarketing

– Demarketing is marketing to reduce demand temporarily or permanently; the aim is not to destroy demand, but only to reduce or shift it.



• Products and Services

– A product is anything that can be offered to a market for attention, acquisition, use or consumption that might satisfy a want or need. It includes physical objects, services, person, places, organizations and ideas.

– More broadly defined, products also include other entities such as experiences, persons, places, organizations, information and ideas.

– A service is any activity or benefit that one party can offer to another that is essentially intangible and does not result in the ownership of anything.



• Customer– User,

– buyer,

– client,

– clientele,

– student,

– guest,

– passenger,

– visitor,

– patient,

– patron,

– viewer,

– listener,

– audience etc.


Marketing Management Philosophies

• Marketing management:

– is the analysis, planning, implementation and control of programs designed to create, build, and maintain beneficial exchanges with target buyers for the purposes of achieving organizational objectives.



• Production Concept:

– The philosophy that consumers will favor products that are available and highly affordable and that management should therefore focus on improving production and distribution efficiency.



• Product Concept:

– The idea that consumers will favor products that offer the most quality performance and features and that the organization should therefore devote its energy to making continuous product improvements. A detailed version of the new-product idea stated in meaningful consumer terms.



• Selling Concept:

– The idea that consumers will not buy enoughif the organization undertakes a large-scale selling and promotion effort.



• Marketing Concept:

– The marketing management philosophy that holds that achieving organizational goals depends on determining the needs and wants of target markets and delivering the desired satisfactions more effectively and efficiently than competitors do.



• Societal Marketing Concept:

– The idea that the organization should determine the needs, wants, and interests of target markets and deliver the desired satisfactions more effectively and end efficiently than do competitors in a way that maintains or improves the consumer’s and society’s well being.


The Function of Marketing within a Company

• “Marketing is a synergic function of all departments in an organization as they create value for their clients. In other words, it is the way the whole business moves and works.”



President

Marketing

Marketing as an equal function

President

Marketing

Marketing as the controlling function



A Marketing oriented company where the marketing mindpermeates the whole organization.

Customer

Sales

Production

R & D

Purchasing

Finance &Accounting

Admin. & Personnel

Marketing

MarketingMind


The Marketing Equation

• M = Marketing

• Mi = Mission, Objectives, Goals

• SWOT = Strengths, Weaknesses, Opportunities, Threats

• 4P = Marketing Mix

• STP = (Market) Segmentation, Targeting and Positioning


The Marketing Equation

• To explicitly show the dynamism of Marketing:

• Q. How do you interpret this time-dependent equation?

M =M = Mi(t) + S(t).W(t).O(t).T(t)Mi(t) + S(t).W(t).O(t).T(t)+ S(t).T(t).P(t)+ S(t).T(t).P(t)+ 4P(t)+ 4P(t)


The Marketing Mix

Product

Brand Name

Product variety Packaging

Quality Service

Design Warranties

Features Returns

Promotion

Sales Promotion

Advertising

Sales Force

Public Relations

Direct Marketing

Price

List Price

Discounts

Allowances

Payment Period

Credit Terms

Place

Channels

Coverage

Assortments

Locations

Inventory

Transport


The Marketing Mix

4P’s

Product

Price

Place

Promotion

4C’s

Customer Needs and Wants

Cost to the Customer

Convenience

Communication


The Marketing Mix


The Marketing Mix

• A Mind Map starts with a Central Image

Perera Sumudu Chamikara

Cp p

pp


The Marketing Mix

• Q: Are the 4P’s all that are needed for marketing?


Marketing Strategy

• Marketing Strategy:

= STP Strategy + Marketing Mix Strategy


Marketing Process

MissionSWOT

AnalysisGoal

FormulationStrategy

FormulationProgram

FormulationImplementation

Feed Forward

Feedback and Control


Marketing Plan

• A Sample Format:I. Title

II. Executive Summary

III. Table of Contents

IV. Mission

V. SWOT Analysis

VI. STP Strategies

VII. 4P or 4C Strategies

VIII. Marketing Programs & Action Plan

IX. Budgets, Expected Profits and Losses

X. Control


Further Reading

• Further Reading:

– Marketing According to ABC

Documents

Marketing for MOST Module 02 – Marketing Management 技術経営コンソーシアム 開発担当者 ： Ritsumeikan Asia Pacific University 教授 : Takamoto, Akihiro 更新日

Marketing for MOST Module 02 – Marketing Management 技術経営コンソーシアム開発担当者： Ritsumeikan Asia Pacific University 教授 : Takamoto, Akihiro 更新日