Induction to Marketing

Who makes what?

1. Air Conditioners
2. Hamam soap
3. Washing machines
4. Power generators
5. Sunsilk shampoo
6. Lux Soap
7. Safety Locks
8. Dove
9. Refrigerators
10.Laptops
ITC, Godrej, BHEL, Videocon, Voltas, HP, Britannia,
L&T, Atlas, Bata, HLL, Wipro, Microsoft, P&G
11. Biscuits
12. Cement
13. Office furniture
14. Shoes
15. Bicycles
16. Computer Software
17. Computer Hardware
18. Cooking Oil
19. Tooth Paste
20. Detergent Powder
List A. Products
List B. Companies
What is Marketing?
What does a Marketer Do?
What does a Marketer Do?
Why Bike
(Analyze Needs)
Bike Type
(Plan the Product)
Which people?
(Segments Markets)
What Quantity?
(Forecasts Demand)
Where to Sell?
(Distribution)
What to Charge?
(Price)
What & how to inform?
(Promotion)
Who all will compete
(Analyze Competitors)
What if problem?
(Warranty)
Marketing, Defined


Business activities designed to

Plan
Price
Promote
Distribute (Place)

Want-satisfying products to target markets

to achieve
organizational objectives

Marketing Program
(A Market)
People
or
Organizations
Money
to
Spend
Willingness
to
Spend
Needs
to
Satisfy
Market
Marketing Program
(Market Segments)
Segments are subgroups
of the market with similarities
Product
Use
Wants Buying
Preferences
Marketing Program
(Target market)
Market
Segment
A
Market
Segment
C
Market
Segment
B

TARGET
MARKET

A market segment at which the firm
directs its marketing program
Importance of Marketing
Personally
Organizationally
Creating Utility
Form utility
Place utility
Time utility
Information utility
Possession utility
A Typical Recruitment Ad
Weve got a new opportunity that should
help our business grow into the next decade.
Put Your college degree and experience in
Marketing consumer durables to work. Come
help us analyze our markets and plan our
marketing-mix in logical, creative, and
enthusiastic way. This job offers income above
industry standards. Fast track upward mobility
assured. Reply in confidence, with a copy
of your resume to Box ---.
Consumer Buying Behavior
Consumer Buying-Decision Process
Situational
Factors
When
consumers buy
Where
consumers buy
Why
consumers buy
Conditions under
which Consumers
buy
Consumer Buying
Decision Process

Need Recognition

Identification of Alternatives

Evaluation of Alternatives

Purchase and related decisions

Post Purchase behavior
Social and Group
Factors
Culture
Subculture
Social Class
Reference Groups
Family and Households
Psychological
Factors
Motivation
Perception
Learning
Personality
Attitude
Psychological Factors
Attitude
Motivation
Perception
Learning
Personality
Social Influences
Reference
groups
Culture &
Subcultures
Social class
Families and
Households
Situational Factors
When
consumers buy
Why
consumers buy
Conditions under
which
consumers buy
Consumer Buying-Decision Process
Need recognition
Focus
Need to satisfy
Identification of
alternatives
Focus
How Products fill need
Evaluation of
alternatives
Focus
Ranking Products
Purchase and
related decisions
Focus
Selecting a Product
Postpurchase
behavior
Focus
How did it work out?
Consumer Buying-Decision Process
Situational
Factors
When
consumers buy
Where
consumers buy
Why
consumers buy
Conditions under
which Consumers
buy
Consumer Buying
Decision Process

Need Recognition

Identification of Alternatives

Evaluation of Alternatives

Purchase and related decisions

Post Purchase behavior
Social and Group
Factors
Culture
Subculture
Social Class
Reference Groups
Family and Households
Psychological
Factors
Motivation
Perception
Learning
Personality
Attitude
Market Segmentation, Targeting and Positioning
Vicks in different packs
Vicks 500
Vicks Rub
Vicks 44
Vicksinhaler
Vicksdrops
Some more questions
How many varieties of bar soap ULL
makes? Name them.
How many varieties of bar soap P&G
makes? Name them.
How many varieties of Shampoo ULL
makes? Name them.
How many varieties of Shampoo P&G
makes? Name them.
How many varieties of Cars Maruti make?
Name them.
Market Segments/ Target Market
MARKET SEGMENTS
Groups of customers with different wants,
buying preferences or product-use behavior
TARGET MARKET
A market segment for which
the seller designs a marketing mix
MARKET SEGMENTATION
The process of identifying and describing
potential target markets
Market Segmentation
Process of dividing the total market
for a good or service into several smaller,
internally homogeneous groups
Members of each group are
similar with respect to the factors
that influence demand
Target-Market Strategy
Single
Marketing
Strategy
shotgun
Mass Market
Strategy
Target-Market Strategy
Single-Segment
Strategy
concentration
NICHE
MARKETERS
One
Marketing
Mix
Target-Market Strategy
Multiple
Marketing
Mixes
Multiple-Segment
Strategy
Positioning
Creating and maintaining
in the minds of a target market a particular
image relative to competing products
Product Space Positioning of bar Soap
Deodorant Nondeodorant
Low moisturizing
High moisturizing
What bar soap?
What position?
Product Space Positioning of bar Soap
Lifebuoy
Hamam
Lux
Dove
Deodorant Nondeodorant
Low moisturizing
High moisturizing
What bar soap?
What position?
Product Space Positioning of bar Soap
Deodorant Nondeodorant
Low moisturizing
High moisturizing
1
2
3
8
7
6
4
5
Lifebuoy
Hamam
Lux
Dove
What bar soap?
What position?
Business Ethics, CSR, and
Marketing
THREE IMPORTANT ISSUES
1. Societal Marketing
2. Businesses and individuals would like
to buy from those who are ethical
3. No Excessive Greed. Communicate full
truth. Free choice. Dont hit competition