Chapter 1 - Introduction to Marketing

Chapter 1 - Introduction to Marketing: Discussing the definition of Marketing plus the importance of marketing in daily life.

1. Chapter 1 DATW 241 – MARKETING PRINCIPLES Prepared by: Nor Izzuddin Bin Norrahman Lecturer of Management, Banking and Islamic Finance Astin College

2. What is MARKETING ?

3. Definition… American Marketing Association – Marketing as the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational objectives. ( Dann and Dann,2004)

4. Kotler and Armstrong, 2001 – Marketing as a social and managerial process whereby individuals and groups obtain what they need and want through creating and exchanging products and value with others.

5. Points to ponder… Is there any marketing definition trough religion? Is it related with religion? Is religion belief will affecting the marketing?

6. ( Dann and Dann,2004) - The definitions of marketing established a series of elements , which are as follows: Marketing is a process Marketing requires planning Marketing is involved from design to delivery Marketing involves ideas, goods, and services Marketing create exchanges Marketing satisfies individual and organizational objectives

7. Needs, wants, and demands Human needs are states of felt deprivation. Includes basic physical needs. Examples? ‘Wants’ are the form of human needs. Shaped by culture and individual personality. Examples? When ‘Wants’ is backed by the buying power, it becomes demands. Examples?

8. Points to ponder… What is your needs as a student? Is your asset and your lifestyle are according to your ‘wants’ or ‘needs’? Are your ‘demands’ backed up by your own buying power?

9. Products and services A product is anything that can be offered to a market to satisfy a need or want. Products may include services. Products also include other entities such as experiences, persons, places, organizations, information and ideas. Thus, product is not only physical goods or services.

10. Value, satisfaction, and quality Consumers make buying choices based on their perceptions of the value that various products and services deliver. Customers value : the difference between the values of the customer GAINS from owning or using the products, and the COSTS of obtaining the products. The one that gives them the greatest delivered value.

11. Customers satisfaction : Depends on a product’s PERCEIVED performance in delivering value relative to a buyer’s expectations. (Performance = Expectations) Quality : The totality of features and characteristics of a product or service that bear on its ability to satisfy customers need. (Performance > Expectations)

12. Exchange, Transactions, and Relationships Exchange : The act of obtaining a desired object from someone by offering something in return. Transactions : Trade value between two parties. Barter – Products VS. Products. Classic – Money VS. Products Relationships : Beyond creating short term transactions, marketers need to build long-term relationships with valued customers, distributors, dealers and suppliers.

13. Markets A market is the set of actual and potential buyers of a products. Size of the market depend on the number of people who exhibit the need, have resources to engage in exchange, and are willing to make an exchange. Examples?

14. The production concept Favors products that AVAILABLE and highly AFFORDABLE Focus on improving production and distribution efficiency Pros? Cons?

15. The product concept The product concept holds that consumers favor products that offer most quality, performance, and features. Can lead to “ marketing myopia” . Pros? Cons?

16. The selling concept This concept holds that the consumers will not buy enough of the organization’s product unless it undertakes a large SELLING and PROMOTION effort. Pros? Cons?

17. The marketing concept Achieving organizational GOALS depends on determining the NEEDS & WANTS of target markets and delivering the desired satisfactions more effectively and efficiently than competitors.

18. The societal marketing concept

19. The Selling Concept

20. The Marketing Concept

21. The Marketing Mix

22. Quick Review Chapter 1

23. go raibh maith agat … aon cheist?