Module 1: What is Marketing
Marketing
a set of activities related to creating, communicating, delivering, and exchanging offerings that have value for others
Consumers
are the individuals who actually use the product
Customers
are the individuals who buy the product
function of marketing
brings value to customers, whom the business seeks to identify, satisfy, and retain.
Sustaining a Committed Relationship
- Convert contacts into loyal repeat customers, rather than one-time customers - Anticipate and respond to evolving needs - Deepen relationships, expand reach of and reliance on what you offer
Meeting and Getting Acquainted
- Find desirable target customers, including those likely to deliver a high customer lifetime value - Understand what these customers want - Build awareness and demand for what you offer - Capture new business
Satisfy customers
- Make the right procuct or service available to the right people at the right time. - Make everyone feel better off from the exchange.
How Does Marketing Serve Society?
- Marketing helps customers and businesses find each other to make exchanges that benefit them both - Marketing can spread ideas and innovation
Providing a Satisfying Experience
- Measure and improve customer satisfaction - Track how customers' needs and wants evolve - Develop customer confidence, trust, and goodwill - Demonstrate and communicate competitive advantage - Monitor and counter competitive forces
Relationship Stages
- Meeting and Getting Acquainted - Providing a Satisfying Experience - Sustaining a Committed Relationship
Happy customers . . .
- Return to buy more goods and services - Help market the business with positive reviews or word of mouth - Engage with the brand
Company Orientations
- The Marketing Concept - The Product Concept - The Sales Concept - The Production Concept
Identify customers
- Understand customor wants and needs - Identity whom to target and how to rach them
aligns
Effective marketing ____________ well with the sales process and leads to increased sales, but there is more to marketing than just supporting sales
Retain customers
Give customors a reason to keep coming back. Find new opportunities to win their business.
The role of marketing
Identify, Satisfy and retain customers
Goals of Marketing For profit companies
Increase profits by selling products or services to customers
Branding 2
Is an important strategic consideration in marketing, but marketing is broader than branding.
Advertising 2
Is one of many tools marketers use
Branding
Is the process of "creating a unique name and image for a product in the consumer's mind"
What is Customer Lifetime Value?
It predicts how much profit the company will make from the customer during his or her lifetime relationship with the company
How does Marketing Serve Customers?
Marketing can help customers find goods and services that are valuable to them
Goals of Marketing Not for profit organizations
Promote the mission by attracting donors or participants or by raising awareness of an issue or cause
The Sales Concept
Success depends on a good sales team with the right tools and incentives.
The Product Concept
Success depends on creating the best, most innovative product for the lowest price
The Marketing Concept
Success depends on doing better than competitors at understanding, creating, delivering, and communicating value to their target customers
The Production Concept
Success depends on low production costs, highly efficient processes, and mass distribution.
The Exchange Process
The act of obtaining a desired object from someone by offering something of value in return Customer (or buyer) Product Provider (or seller) Transaction
Advertising
Uses paid notices in different forms of media to draw public attention to a company, product, or message, usually for the purpose of selling products or services.
Sales
is the process of actually selling products or services
B2C companies
sell directly to consumers
B2B companies
sell products or services to other businesses