PM Chapter 01 Introduction to Marketing Redwan - SL 33

8/18/2019 PM Chapter 01 Introduction to Marketing Redwan - SL 33

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Introduction toMarketing

Principles of

MarketingChapter 01

Redwan Salam

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Chapter Content

• Dening Marketing

• Steps in the marketing process• Understanding the Marketplace and

Consumer Needs

• Key elements of a customerdri!enmarketing strategy• Marketing management concepts• Customer relationship management Integrated Marketing Program Customer Perceived Value Customer Satisfaction

Supply Chain Customer Lifetime

Value

Customer Euity2


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"hat #s Marketing$

Marketing Defned

Marketing is the process !y "hichcompanies create value forcustomers and !uild strong

customer relationships to capturevalue from customers in return#

Marketing is a social andmanagerial process !y "hichindividuals and groups o!tain "hat

they need and "ant$ through3


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Steps in marketing process%he Marketing Process&1# )nderstand the market place$ needs and

"ants#*# +esign a customer,driven marketing strategy#

-# Construct an integrated marketing programs

that deliver superior customer value#.# /uild prota!le relationship and createcustomer value#

# Capture value from customers to create

prot and customer euity#

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Consumer Needs

2eeds$ 3ants 4+emands

Products$Services 4

E&periences

Value 4 Satisfaction

Markets

E&change$ 5ransactions 4

6elationships

Core Marketing

Concept

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Consumer Needs

Needs are states of deprivation$ thestates of mind Physical , food$ clothing$ "armth$ safety Social , !elonging and a%ection Individual , kno"ledge and self,

e&pressionWants are the form that needs take as

they are shaped !y culture and individualpersonality# 3ants are shaped !y one7ssociety and are descri!ed in terms of

o!8ects that "ill satisfy needs# 6

Customer Needs, Wants and Demands


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Consumer Needs

Customer Needs, Wants andDemands

Needs: I need 9ood: Cloth# Wants: ;s a /angladeshi I "ant rice and sh

as food$ Lungi and 9otua as cloth "hereas an

;merican "ants sand"ich or !urger as foodand 8eans$ t,shirt as cloth#

Demands: Mr# Emil is a !usiness tycoon andhis demand is having rice and sh from

6adisson hotel and clothes from a designerhouse#


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Consumer Needs

Market Oerings - Products,

Services, and Exeriences

Market Oerings are somecom!ination of products$services$ information$ ore&periences o%ered to a market

to satisfy a need or "ant# Physical Products$ Services$E&perience$ Events$ Persons$ Places$

Ideas$ Information and Properties#8


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9

,-periences,-periences

PersonsPersons

PlacesPlaces

.rgani/ations.rgani/ations

#deas#deas

0oods0oods Ser!icesSer!ices

#nformation#nformation PropertiesProperties

,!ents,!ents

"hat is Marketed$


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"hat is Marketed$

0oods Ser!ices

,!ents ,-periences

Persons

1ill 0atesMark 2ucker*erg10


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Value and Satisfaction

!a"ue is the inner strength orcapa!ility of a product that can solvethe pro!lem of a consumer#

Customer erceived va"ue is thecustomer7s evaluation of thedi%erence !et"een total customer!enets and total customer costs of amarket o%ering relative to those ofcompeting o%ers#

Satis#action is the position of

consumers7 mind resulted from their

Consumer Needs

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Exc$ange is the act ofo!taining a desired o!8ect fromsomeone !y o%ering somethingin return#

%ransaction is a trade of values

!et"een t"o or more parties#&e"ations$is consist of

actions to !uild and maintain

desira!le relationships !y

Consumer Needs

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Exc$anges, %ransactions and

&e"ations$is


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Market and Marketing S'stem

Markets are the set of actual andpotential !uyers of a product# 5hese !uyers share a particular

need or "ant that can !e satisedthrough e&change relationships#

Marketing S'stem consists of

all of the actors 'suppliers$company$ competitors$intermediaries$ and end users( in

the s stem "ho are a%ected !

Consumer Needs

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MarketingS'stem: Ma8orenvironmental

forces>+emographicEconomic?eographical 5echnological

Political@legal

n ers an ng ar e p aceConsumer Needs

E"ements o# (Modern Marketing

S'stem

Market and Marketing S'stem

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es gn ng us omer r !enMarketing Strategy

Marketing Management

Marketing Management is the artand science of choosing targetmarkets and !uilding prota!le

relationships "ith them#9or managing customers properly "e

need to think a!out>

3hat customers "ill "e serveA )W$at*sour target market+Bo" can "e !est serve these customers? )W$at*s our va"ue roosition+

Bo" can "e increase our prota!ility16

es gn ng s omer r en


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Production

Concept

Product

Concept

SellingConcep

t

Marketing

Concept

SocietalMarketi

ngConcep

t

Marketing Management Orientations

3Marketing Concepts4

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Marketing Strategy


Production Concet is the ideathat consumers "ill favor productsthat are availa!le or highly

a%orda!le# Large production and e%ective

distri!ution channel is important Price of the products remains

relatively lo"

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es gn ng us omer r !en


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Product Concet is the idea thatconsumers "ill favor products thato%er the most uality$

performance$ and features for"hich the organiation shouldtherefore devote its energy to

making continuous improvements# 6esearch 4 +evelopment activities

!ased on product superiority andcom an com etencies 19



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Se""ing Concet is the idea thatconsumers "ill not !uy enough of therm7s products unless it undertakes a

large scale selling and promotione%ort Communicating "ith the customers

properly and making stronga"areness a!out the products orservices#

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Mar keting Management Orientations


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Marketing Strategy

Marketing Concet is the idea thatachieving organiational goalsdepends on kno"ing the needs and

"ants of the target markets anddelivering the desired satisfactions!etter than competitors do#

Customer is the king or ueen$ someeting their demand is mostimportant point to emphasis

6esearch 4 +evelopment activities anduttin em hasis on customer advices

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Mar keting Management Orientations


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Marketing Strategy


3Selling !s( Marketing Concept4

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es gn ng us omer r ven


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es gn ng us omer r venMarketing Strateg'


Societa" MarketingConcet is the idea that acompany should make

good marketing decisions!y considering consumers7"ants$ the company7s

reuirements$ consumers7long,term interests$ andsociety7s long,runinterests 5hinking and acting as a 23


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Marketing Strategy


3Societal Marketing Concept4

Societal Marketing Concept

Company'Prots(

Consumers'3ant Satisfaction(

Society'Buman 3elfare(

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"hich Concept5s does the followingProducts5 1rands follow&

1# Lu& Soap*# Pantene Shampoo-# /lood +onation.#

BS/C /ank# /anglalink

D# ;rong +ressMaterial

# /ashundhara9acial 5issue

F# SMC


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Preparing an #ntegrated MarketingPlan and Program

ntegrated Marketing Programntegrated Marketing Program

is a comprehensive plan that

communicates and delivers theintended value to chosencustomers

Com!ination of Advertisement ,Sales Promotion, Personal Selling,Public Relations and Direct

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Preparing an #ntegrated Marketing


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Preparing an #ntegrated MarketingPlan and Program

Customer &e"ations$iManagement is the overall

process of !uilding and maintainingprota!le customer relationships !ydelivering superior customer value

and satisfaction# It deals "ith acuiring$ keeping and

gro"ing customers#

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Customer &e"ations$i Management.C&M/

ildi l i hi


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1uilding Relationships

Su"' C$ain is a channel that

stretches from ra" materials tocomponents to nal products to nal!uyers# 2o",a,days "e call it 6alue Chain#

SupplierManufact

urerDistri*ut

or"holesal

erRetailer Customer

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C t i 6 l f C t


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Capturing 6alue from Customers

Creating Customer 0o'a"t' and

&etentionCustomer 0i#etime !a"ue is the value of

the entire stream of purchases that the

customer "ould make over a lifetime ofpatronage 'support(#

;nnual customer spending to acompany> 5aka 100;verage num!er of loyalty of thatcustomers > *0 Hears

Company regular prot margin> 129

Estimating Customer 0i#e %ime !a"ue:

C i 6 l f C


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Creating Customer 0o'a"t' and

&etentionSuppose Ms# Boly visits =9C t"ice amonth and !uys com!o meal no# .every time$ and she is going toconsume it for the ne&t years atthe same rate# If the price of Com!o. is 5=# *F0 and other things remainconstant$ her life time value "ill !eJ *F0 K * K 1* K J %K( 77+8995

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C t i 6 l f C t


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Se"ecting Customers to Serve

De-marketing refers to the set ofactivities to reduce demandtemporarily or permanently from

one place or specic time toanother the aim is not to destroydemand !ut to reduce or shift it#

It reduces the extra load from the regular

business oerations and ma!e a balance

bet"een ea! # off$ea! demand situations%31



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Customer E1uit' is the totalcom!ined customer lifetime values ofall of the company7s customers# 5his is company7s cumulative salesvalues for all kinds of product orservices for the time !eing#

So$ C6M takes a long,term vie" notonly to create prota!le customers!ut to o"nN 'making loyal( them for

life and ca ture their life time value#32

2ui"ding Customer E1uit'

e ew ar e ng an scape&


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e ew ar e ng an scape&Ma;or Changes

,mergingChallenges

,mergingChallenges

NonprotMarketing

NewDigital


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End

Documents

PM Chapter 01 Introduction to Marketing Redwan - SL 33