Marketing Fundamentals: Unit 1

• The presentation covers Unit 1, which focuses on marketing and its strategic process
• The material is for the Fundamentals of Marketing course taken in the March-July 2021 semester

Marketing Defined

• Marketing delivers satisfaction to customers in exchange for profit
• Goals include attracting new customers with a superior value promise
• Goals include to maintain and increase current customer base by delivering satisfaction constantly

Core Marketing Concepts

• Needs, wants, and demands
• Products, services, and experiences
• Value, satisfaction, and quality
• Markets
• Exchange, transactions, and relationships

Marketing Explained

• Marketing is a social and administrative process
• Individuals and groups obtain what they need and want through creating and exchanging products and value with others, according to Philip Kotler in 2017

What Marketing Is Not

• Simply advertising or sales
• Solely social media
• Just creativity
• An expense
• Merely branding
• Buying items like "keychains" within an organization

Needs, Wants, and Demands

• Needs are perceived states of deprivation that can be physical, social, or individual, like hunger
• Wants are the form a human need takes, shaped by culture and individual personality
• Demands are human wants supported by purchasing power

What Satisfies Needs and Wants

• Products: Anything offered to a market to satisfy a need or want
• Including experiences, people, places, organizations, activities, and ideas

Services Defined

• Services are activities or benefits offered for sale that are essentially intangible
• Do not result in ownership of anything

Customer Choices and Value

• Customers choose based on the difference between the values they receive from owning/using a product and the costs of acquiring it
• Customers opt for the best value for them

Customer Satisfaction Defined

• The degree to which a product's perceived performance matches the buyer's expectations
• Total Quality Management focuses on continuously improving product quality with the involvement of all staff

Obtaining Products and Services

• Achieved through exchanges and transactions, which build relationships
• Marketing relationships are enhanced by adding financial/social benefits, structural ties, and focusing on retaining profitable clients

Exchange, Transactions, and Relationships

• Exchange involves obtaining a desired object from someone by offering something in return
• Transaction is a two-party exchange involving value, agreed conditions, a moment of agreement, and a place of agreement
• Relationship marketing is creating, maintaining, and strengthening value-laden relationships with customers and other stakeholders

Exchange Conditions

• There must be at least two parties
• Each party must have something the other desires
• Each party can communicate and deliver the desired goods or services
• Each party is free to accept or reject the offer
• Each party desires to negotiate with the other

Types of Marketing Utility

• Production and Marketing-related:
• Form: creating a tangible good
• Function: providing a specific use
• Given by Marketing:
• Time availability
• Place where the customer wants product
• Possession power to get product

Marketing Management Philosophies

• Philosophies guide marketing strategies by addressing how much importance should be given to customer interests, organizational goals, and societal well-being
• Five alternative concepts exist with the focus on production, product, selling, marketing, and societal marketing

Production Concept

• Consumers prefer available and affordable products
• The organization should improve production and distribution efficiency

Product Concept

• Consumers prefer high-quality, performance, and innovative features
• The organization should focus on continuous product improvements

Selling Concept

• Consumers will not buy enough without substantial selling and promotion effort
• High sales = revenue, so focus on selling rather than customers wants/needs

Marketing Concept

• Achieving organizational goals depends on knowing the needs/wants of target markets
• Delivering the desired satisfaction better than competitors do

Societal Marketing Concept

• The organization should determine the needs, wants, and interests of target markets
• Deliver superior value in a way that maintains or improves the consumers' and society's well-being

Contrasting Selling and Marketing Concepts

• Selling focuses on existing products and heavy promotion to achieve profits through sales volume
• Marketing focuses on customer needs, coordinated marketing, and profits through customer satisfaction

Modern Marketing System

• The system includes suppliers, the company, competitors, marketing intermediaries, and the end-user market
• All of these exist within a broader marketing environment

Marketing Management

• Includes demand management, signifying the direction of customer relationships
• Finding and increasing the demand. This may include reducing demand in some instances
• Attracting new customers and long-term relationships are keys

Marketing Management Definition

• It consists of planeacion, organization, direction, control of the efforts which achieve desired exchange with markets fixed as an objective by organization
• It is a combination of General Administration and Marketing to meet company objectibves
• Fischer p.34

Demand Management

• It is an administration that recognises, coordinates and controls the resources of demand to allow an efficient and effective enterprise structure in the distribution of products

Customer Satisfaction

• Customer Satisfaction is achieved when the perceived quality or delivery of a product meets of exceeds customer expectations

Marketing Concept

• Marketing Digital for beginner
• Societal Marketing concept for the good of society, the consumer and the company profit
• Green Marketing is also know as ecologic marketing. American Marketing association define this as the minimisation of negative effects to environment as well as improvement of quality to enviromental awareness

Planning Strategy

• Politic Marketing is the application of marketing principle and procedures in politic campaign of many individuals. These campaigns are built to influences public opinion to win votes

Planeacion Estratégica of a Company

• Planeacion Estratégica is the process of developing and maintaining an equilibrum between opportunity and marketing needs a company seeks to achieve

• Goodstein, Nolan y Pfeiffer (1998), - "It is the process by which all members guide an organisation to develop and plan for a future, and operate procedures to seek to acheive it."

• There are various level of strategic planing starting from the company defintion and mission, setting objectibves, creating portafolio of business, the plan should be funcional and should have marketing functions

Mission, visión y valores de empresa

• Mision = what the company seeks to achieve today
• Vision = What the company seeks to achieve as a goal
• Values = Company decides which are the important historic objectives they will follow

Objecives Of an Empresa

• Defined as results global that an organisation seeks to develop within its vision and mission
• Good targets are measurable, timetabled, defines repsonsibilities, are clear , attainable, challenging and coherent

SMART Objectives

• SMART helps to create objectives that are acheivable
• SPECIFIC, MESURABLE, ATTAINABLE, RELEVANT, TIMELY

Diseño del portafolio de negocios

• The porafolio is a collections of strategic products and services as well as strategic busiensses ina comapny.
• There should be analysis current product as well as an investment strategy

Diseño de la cartera de negocios

Se denomina diseño de la cartera de negocios al conjunto de ramos y productos que definen la empresa (The design of the portfolio of businesses is called the set of branches and products that define the company.)

• La mejor cartera de negocios es aquella que se ajusta mejor a las fortalezas y las debilidades de la organización, frente a las oportunidades del entorno. (The best business portfolio is the one that best fits the strengths and weaknesses of the organization, compared to the environmental opportunities.)

Planeacion de la cartera de negocios

• Analize investments that can develop the product line to become more market competative
• It configures an improved investmetn plan for increased profitability of stock and options

Matriz de crecimiento - participación of a business BCG

• It has three tiers, low, medium and high
• High - Stars = great, high turn around growth models but potentail for loss
• Medium - Cows/Vacas = A steady stable growth investment
• Low - Perro = Not good , not competative no potential

Marketing Defined

• Product = Anthing which has the potential to satusfy a market need
• Merecado and Target = group of people and demographics that a product seeks to target as well as their purchase power/ legal right

Desarrollo de estrategias (matriz Ansoff

de crecimiento o matriz producto mercado)

• Development stategies are about seeking more investment oppotunities as well as new production and target markets
• Exisitng clients can continue expanding whilst seeking new markets/ products

Analisis

• An organisation analysis the product process, sales, performance.
• A business seeks to see where a target can be developed or market expanded

Marketing

• Understanding customer base need and wants
• Design a marketing strategy
• Prepare the program to deliver
• Relation con cliente / customer connection
• Capture value with cliente / Return client value

Organizacion del depto de Mercadotecnia

• Functional Organization
• Plan Combined
• Organizacion Geografica
• Mercado or Customer
• Admin of Product

Contenido de un Plan de Mercadotecnia

• Resumen ejecutivo Executive Summary
• Sutuación de mercado actual Current market situation
• Análisis de amenzas y oportunidades Analysis of threats and opportunities
• Objetivos y temas Objectives and themes
• Estrategia de Marketing Marketing Strategy
• Programas de acción Action programs
• Presupuesto Budget
• Controles Controles/ controls

Controles