basic concepts of marketing

1. MARKETING
“THE AMAZONS”
MADE BY
NAZNEEN PANWAR
2nd YEAR BBA

2. DEFINATION
According to American Marketing Association
new definition of marketing.
“Marketing is the activity, set of institutions,
and processes for creating,
communicating, delivering, and exchanging
offerings that have value for customers,
clients, partners, and society at large

3. ABOUT MARKETING
 It is all about getting the right product or
services to the customer at right price, in the
place, at the right time.
 Both business history and current practice
remind us that without proper marketing,
companies cannot get close to customers
and satisfy their needs. And if they don’t, a
competitor surely will.

4. ABOUT MARKETING
 successful marketing depends up on
addressing a number of key issues. These
include:-
 What a company is going to produce
 How much it is going to charge;
 How it is going to deliver its products or services
to the customer;
 How it is going to tell its customers about its
products and services.
 These consideration is known as 7 p’s of
marketing and it is also known as marketing mix

5. MARKETING MIX
 Definition: The marketing mix refers to the
set of actions, or tactics, that a company
uses to promote its brand or product in the
market. The 4Ps make up a typical marketing
mix - Price, Product, Promotion and Place.
However, nowadays, the marketing mix
increasingly includes several other Ps like
Packaging, Positioning, People and even
Politics as vital mix elements.

6. THE MARKETING “MIX”

7. 7
Anything that is offered to the market for
attention, acquisition, use or consumption that
satisfies a want or a need
(a) PRODUCT

8. PRODUCT
 There is no point in developing a product or
service that no one wants to buy. The
successful company will find out what
customers need or want and then develop the
right product with the right level of quality to
meet those needs now and in the future.

9. PRODUCT CLASSIFICATION
 Convenience products
 low priced, many locations, bought frequently
 Specialty products
 special purchase effort, unique, brand identification
 exclusive distribution
 Shopping products
 Bought on suitability, quality, price and style
 Unsought products
 New innovation, requires advertising and selling

10. (B) PRICE
A product is only worth what customers are
prepared to pay for it. The price also needs
to be competitive, but this does not
necessarily mean the cheapest; the small
business may be able to compete with larger
rivals by adding extra services or details that
will offer customers better value for money.
Your pricing must also provide a profit. It is
the only element of the marketing mix that
generate revenue, everything else
represents a cost.

11. PRICE
 Price positions you in the market place – the
more you charge, the more value or quality
your customers will expect for their money.
 Existing customers are generally less
sensitive about price than new customers, a
good reason for looking after them well.

12. (C) PLACE
• The place where customers buy a product, and
the means of distributing your product to that
place, must be appropriate and convenient for
the customer. The product must be available in
the right place, at the right time and in the right
quantity, while keeping storage, inventory and
distribution costs to an acceptable level.
• Customer surveys have shown that delivery
performance is one of the most important
criteria when choosing a supplier.

13. Place (distribution)
Production site Warehouse Wholesaler
Retailerconsumer

14. (D) PROMOTION
Promotion is the way a company
communicates what it does and what it can
offer customers. It includes activities such as
branding, advertising , PR, corporate identity,
sales management, special offers and
exhibitions. Promotion must gain attention,
be appealing, tell a consistent message and
above all else give the customer a reason to
choose your product rather than someone
else’s.

15. PROMOTION
 Good promotion is not one-way communication, It
paves the way for dialogue with customers.
 Promotion should communicate the benefits that a
customer obtains from a product, and not just the
feature of that product.
 Whether your promotional material is a single sheet
or a complex brochure, folder or catalogue, it must
grab the attention of your customers. It should be
easy to read and enable the customer to identify
why they should buy your products.

16. FIVE MAIN PROMOTION TACTICS
1. ADVERTISING
2. SALES PROMOTION
3. PUBLIC RELATIONS
4. PERSONAL SELLING
5. PUBLICITY

17. ADVERTISING
The means of providing the most persuasive possible selling
message to the right prospects at the lowest possible cost".
Kotler and Armstrong provide an alternative definition:-
"Advertising is any paid form of non-personal presentation and
promotion of ideas, goods and services through mass media
such as newspapers, magazines, television or radio by an
identified sponsor".

18. SALES PROMOTION
“An activity designed to boost the sales of a product or
service. It may include an advertising campaign,
increased PR activity, a free-sample campaign, offering
free gifts or trading stamps, arranging demonstrations or
exhibitions, setting up competitions with attractive prizes,
temporary price reductions, door-to-door calling,
telemarketing, personal letters on other methods”.
More than any other element of the promotional mix, sales
promotion is about “action”. It is about stimulating
customers to buy a product. It is not designed to be
informative – a role which advertising is much better
suited to.

19. PUBLIC RELATIONS
“The planned and sustained effort to establish
and maintain goodwill and mutual
understanding between an organisation and its
publics”.
Public relations activities include, press releases.
company literature, videos, websites and
annual reports.

20. PERSONAL SELLING
Personal selling is oral communication with potential
buyers of a product with the intention of making a sale.
The personal selling may focus initially on developing a
relationship with the potential buyer, but will always
ultimately end with an attempt to "close the sale“.
Personal selling is one of the oldest forms of promotion. It
involves the use of a sales force to support a push
strategy (encouraging intermediaries to buy the product)
or a pull strategy (where the role of the sales force may
be limited to supporting retailers and providing after-
sales service).

21. PUBLICITY
Publicity refers to nonpersonal communi-cations regarding an
organization , product , service , or idea not directly paid for
or run under identified sponsorship .it usually comes in the
form of news story , editorial , or announcement about an
organization and/or its products and services.
Techniques used to gain publicity include news releases ,
press conferences , feature articles , photographs , films ,
and videotapes.

22. THANK YOU