MARKETING MANAGEMENT

The art and science of choosing target

markets and building profi table
relationships with them.
Requires that consumers and the
marketplace be fully understood.
Aim is to fi nd, attract, keep, and grow
customers by creating, delivering, and
communicating superior value.

1. HOW TO UNDERSTAND THE

MARKETPLACE?
Needs
Wants
Demands
Market off erings
Marketing Myopia
Exchange
Market

NEEDS, WANTS, AND DEMANDS

Need: S tate of felt deprivation including

physical, social, and individual needs.

Physical needs: Food, clothing, shelter,
safety
Social needs: Belonging, aff ection
Individual needs: Learning, knowledge, selfexpression

Want: Form that a human need takes,

as shaped by culture and individual
personality.
Wants + Buying Power = Demand

NEED/ WANT FULFILLMENT

Needs & wants are fulfi lled through a
Marketing Off ering:
Products:
Persons, places, organizations, information,
ideas.

Services:
Activity or benefit offered for sale that is
essentially intangible and does not result in
ownership.

Experiences:
Consumers live the offering.

2. HOW TO DESIGN A MARKETING

STRATEGY
1. Select a customer to serve
Segmentation
Targeting
Positioning

 2. Choose your proposition (marketing orientations)

Production Concept
Product Concept
Selling Concept
Marketing Concept
Societal Marketing Concept

3. PREPARING AN INTEGRATED
MARKETING PLAN
1. Create a marketing mix

4. BUILDING CUSTOMER
RELATIONSHIP
Customer relationship management
The overall process of building and maintaining profi table
customer relationship
Customer-perceived value
Customer satisfaction

CUSTOMER VALUE AND

SATISFACTION
Dependent on the products perceived
performance relative to a buyers
expectations.
Care must be taken when setting expectations:
If performance is lower than expectations,
satisfaction is low.
If performance is higher than expectations,
satisfaction is high.
Customer satisfaction often leads to consumer
loyalty.
Some fi rms seek to DELIGHT customers by exceeding
expectations.

5. CAPTURING VALUE FROM

CUSTOMERS
Creating customer loyalty and retention
Customer lifetime value :overall purchase of customer in
one lifetime
Share of customer the portion of the customers
purchasing that a company gets in its products
Customer equity total combined lifetime values of all the
companys customers

MARKETING DEFINED
Marketing is the activity, set of
instructions, and processes for
creating, communicating, delivering,
and exchanging off erings that have
value for customers, clients, partners,
and society at large.

OLD view of
marketing:

NEW view of
marketing:

Making a sale
telling and
selling

Satisfying
customer needs

EXTERNAL FACTORS AFFECTING

C.R.
The Digital Age
Zero Moment of Truth

Globalization