1. Parul Institute of Engineering & Technology
Subject Code : 150001
Name Of Subject : MANAGEMENT- 2
Name of Unit : INTRODUCTION TO MARKETING
Topic : FOUR P’s of Marketing,Concepts of Marketing
Name of Students: Agrawal Swapnil J.
2. • INTRODUCTION
– What is Marketing?
– Marketing Management
• 4 P’s of Marketing
– Introduction to Marketing Mix
– Product
– Price
– Place
– Promotion
Sub: MANAGEMENT-2 Topic: Marketing Function
CONTENTS
3. CONTENTS
• Different Concept of Marketing
– Introduction
– The Marketing Concept
– Core Marketing Concept
– Management Orientation
• Production Concept
• Product Concept
• Selling Concept
• Marketing Concept
• Holistic Concept
• Societal Concept
Sub: MANAGEMENT-2 Topic: Marketing Function
4. What is Marketing?
• Marketing is managing profitable customer
relationships
– Attracting new customers
– Retaining and growing current customers
• “Marketing” is NOT synonymous with “sales”
or “advertising”
Sub: MANAGEMENT-2 Topic: Marketing Function
5. Marketing Management
• Marketing management is “the art and
science of choosing target markets and
building profitable relationships with them.”
– Creating, delivering and communicating
superior customer value is key.
Sub: MANAGEMENT-2 Topic: Marketing Function
6. Marketing Management
• Customer Management:
– Marketers select customers that can be
served well and profitably.
• Demand Management:
– Marketers must deal with different demand
states ranging from no demand to too much
demand.
7. The 4 P’s of Marketing
Sub: MANAGEMENT-2 Topic: Marketing Function
8. The 4 P’s of Marketing
•Referred to as The Marketing Mix
–All four are essential to the success of a marketing
plan for either a product or a service
•4 P’s stand for
–Product
–Price
–Place
–Promotion
•A mix of the four is necessary to sell a product
•4 P’s
Sub: MANAGEMENT-2 Topic: Marketing Function
9. The Marketing Mix
The elements are interconnected
Product
Place
Price
Promotion
Sub: MANAGEMENT-2 Topic: Marketing Function
10. The Marketing Mix
• Think of a Cake
• All cakes need 4 things – flour, egg, sugar, milk
• However, you can play with the flavour of your cake
by changing the ingredients slightly
– Example: Sweeter cake – add
more sugar
Sub: MANAGEMENT-2 Topic: Marketing Function
11. The Marketing Mix
• The same thing is true with the marketing mix
• You can very the type of message you are sending
out about your product/service by mixing different
elements of each of the P’s
• Example: Want to be seen as a luxury item – make
the price high, have limited selection
Sub: MANAGEMENT-2 Topic: Marketing Function
12. Product
• Refers to the benefits of buying a
product
– What need does the service/product fulfill
– Quality
• What will the quality of your service/product
be?
• Some people really want quality vs. others that
don’t really matter
– Features
• How will your product/service differ from the
competition
• What will you do differently?
Sub: MANAGEMENT-2 Topic: Marketing Function
13. Product
– Packaging – if your selling a product what image
will the packaging communicate?
• If a service – how will the appearance of your
operation communicate an image about your
business
– Range of Products – what complimentary
products may you offer
• If service: Will you offer other products with
your service
• E.g. Think of range of products that apple has
Sub: MANAGEMENT-2 Topic: Marketing Function
14. Price
• Marketing is responsible for establishing the price of
their service/product
• Must consider the costs of all the inputs (materials,
labour, etc)
• Mark-up Price – How much profit do you want to
make on every product/customer
• Example: Selling Cupcakes
– Every cupcake uses $1 of materials and labour
roughly costs $0.25 to make one muffin
– You must charge at least $1.25 to break-even
Sub: MANAGEMENT-2 Topic: Marketing Function
15. Price
• The price of your product or service tells the
customer a lot about your product
2000 Rs. 5000 Rs.
Sub: MANAGEMENT-2 Topic: Marketing Function
16. Price
• Different Pricing Strategies
– Competition – basing your prices on those of the
competition
– Penetration – making your price low while new
just to get some business
– Bundle – putting the product/service with
another item and bundling the prices
– Psychological – making the price say something
about the quality of your product
Sub: MANAGEMENT-2 Topic: Marketing Function
17. Place
• Simply refers to how & where you are going to sell
the product to the consumer
• Direct Distribution – selling your product directly
to the consumer
– Brick & Mortar vs. Virtual Store
• Indirect Distribution – sold through a 3rd
party
– What retailers are the best for reaching your
Target Market?
– Example: Selling protein powder – where do I sell?
Sub: MANAGEMENT-2 Topic: Marketing Function
18. Place
• For a service : where are you going to locate in
order to best reach your target market
• You want to be in an area that
– your target market frequents
– Says something about your business
• Notice how car dealerships are
always on the outskirts of
town or close to a highway?
• Brantford Commons
Sub: MANAGEMENT-2 Topic: Marketing Function
19. Promotion
• A successful product or service means nothing unless
the benefit of that product/service can be
communicated to the Target Market
• There are many ways to get the “word out”
• How many can we think of...
Sub: MANAGEMENT-2 Topic: Marketing Function
21. Different Concept of Marketing
The marketing concept has suffered in two
ways:
• First, it has been established as optimal
management philosophy when it is not necessarily so in
all instances
• Second, we can see many examples of poor
marketing practice that have been adopted in the
name of the marketing concept.
Sub: MANAGEMENT-2 Topic: Marketing Function
22. Different Concept of Marketing
The marketing concept
• Customer focus
• Profits
• Integration of organizational efforts.
Sub: MANAGEMENT-2 Topic: Marketing Function
23. Different Concept of Marketing
–Customer orientation
• Satisfying its customers at a profit…
• Determining the needs and wants of target
markets…
• Discovering the wants of a target audience and
then creating the goods and services to satisfy
them…
Sub: MANAGEMENT-2 Topic: Marketing Function
24. • Goods
• Services
• Experiences
• Events
• Persons
• Places
• Properties
• Organizations
• Information
• Ideas
Many Things Can Be Marketed!Many Things Can Be Marketed!
Different Concepts of Marketing
Sub: MANAGEMENT-2 Topic: Marketing Function
25. Different Marketing Concept
• Needs, wants, and
demands
• Marketing offers:
including products,
services and
experiences
• Value and
satisfaction
• Exchange,
transactions and
relationships
• Markets
Core Marketing ConceptsCore Marketing Concepts
Sub: MANAGEMENT-2 Topic: Marketing Function
27. Sub: MANAGEMENT-2 Topic: Marketing Function
•A firm focusing on a production orientation specializes
in producing as much as possible of a given product or
service.
•Thus, this signifies a firm exploiting economies of scale
until the minimum efficient scale is reached.
•A production orientation may be deployed when a
high demand for a product or service exists, coupled
with a good certainty that consumer tastes will not
rapidly alter (similar to the sales orientation).
PRODUCTION CONCEPTPRODUCTION CONCEPT
28. Sub: MANAGEMENT-2 Topic: Marketing Function
PRODUCT CONCEPTPRODUCT CONCEPT
•A firm employing a product orientation is chiefly
concerned with the quality of its own product.
•A firm would also assume that as long as its product
was of a high standard, people would buy and
consume the product.
29. Sub: MANAGEMENT-2 Topic: Marketing Function
SELLING CONCEPTSELLING CONCEPT
•A firm using a sales orientation focuses primarily on
the selling/promotion of a particular product, and not
determining new consumer desires as such.
Consequently, this entails simply selling an already
existing product, and using promotion techniques to
attain the highest sales possible.
•Such an orientation may suit scenarios in which a firm
holds dead stock, or otherwise sells a product that is in
high demand, with little likelihood of changes in
consumer tastes that would diminish demand.
30. Sub: MANAGEMENT-2 Topic: Marketing Function
MARKETING CONCEPTMARKETING CONCEPT
•The 'marketing orientation' is perhaps the most
common orientation used in contemporary marketing.
• It involves a firm essentially basing its marketing plans
around the marketing concept, and thus supplying
products to suit new consumer tastes.
•E.g. a firm would employ market research to gauge
consumer desires , use R&D to develop a product
attuned to the revealed information, and then utilize
promotion techniques to ensure persons know the
product exists.
31. Sub: MANAGEMENT-2 Topic: Marketing Function
HOLISTIC CONCEPTHOLISTIC CONCEPT
•The holistic marketing concept looks at marketing as a
complex activity and acknowledges that everything
matters in marketing - and that a broad and integrated
perspective is necessary in developing, designing and
implementing marketing programs and activities.
•The four components that characterize holistic
marketing are relationship marketing, internal
marketing, integrated marketing, and socially
responsive marketing.
32. Sub: MANAGEMENT-2 Topic: Marketing Function
SOCIETAL CONCEPTSOCIETAL CONCEPT
•Societal marketing emerged in the 1960s.
•The societal marketing concept deals with the needs,
wants and demands of customers: how to satisfy them
by producing superior value that should satisfy the
customers and promote the well-being of society.
•The producer should not produce products deemed
hazardous to society.
•Societal marketing developed into sustainable
marketing.
