Intro To Principles of Marketing 14 Sep 23.docx

An Introduction to the Principles of Marketing Marketing is the process by which producers of goods and services aim to find out where a demand exists for certain services and products and then find solutions to those needs as well as the way to make consumers aware of the solutions. Marketing is th...

An Introduction to the Principles of Marketing Marketing is the process by which producers of goods and services aim to find out where a demand exists for certain services and products and then find solutions to those needs as well as the way to make consumers aware of the solutions. Marketing is the aspect of business which is most consumer focused as all of the principles of marketing relate directly to the consumer. core concepts of marketing The principles of marketing follow a logical sequence. First, a target consumer of a particular product or service must be identified. Knowing who uses a given product or service is essential to determining what that consumer wants and how to get it to them. This is essential for companies operating in the free market as success depends upon identifying and retaining customers in order to remain profitable and ensure business growth. Marketing can be defined as an organization’s efforts to communicate its values and benefits to customers, partners and other parties involved. Marketing activities now also focus on effectively engaging target customers to understand their needs. Value generation and exchanges between the organisation and the customers are crucial to marketing. A marketing campaign can only be considered successful if the following has occurred: •effectively engages the customer, •understands customer needs, •develops superior customer value- generating products, •appropriately prices the products, •effectively distributes the products, and •appropriately promotes the products. Marketing is a five-step process that enables a business to generate customer value and is as follows: Understanding the marketplace and the customer's wants and needs, Designing a marketing strategy that is customer-driven, Developing a marketing program that will deliver superior customer value, Building profitable relationships with customers, and Creating profits and customer equity by capturing value from customers. Marketing, as a whole, is a set of activities that help an organisation create value for its customers while building profitable relationships with them. To achieve this, businesses create a marketing strategy. Difference between Marketing and Advertising Advertising and marketing are often used synonymously due to their similarities. Despite their similarities, marketing and advertising are not the same. Advertising is a part of marketing. While marketing involves research to understand the market, customer needs, and purchase behaviour, advertising solely focuses on promoting a product among target customers. Advertising is a set of activities a business performs to make people aware of their goods or services. Stop procrastinating with our smart planner features for Introduction to Marketing Advertising Advertising is a one-way channel that communicates the features and variations of products to people. It is a method that is employed to boost sales and revenue by reminding people of the product. It is used to convince target customers that this offered good or service is superior to its competitors and to improve customers' perceptions of the brand. Advertising aims to attract new customers while retaining the existing customer base. It also aims to increase customers' need or want for the product. There are several common types of advertising we come across in our everyday lives, and they are listed as follows: •Traditional advertising - Advertisements on TV, in newspapers, or radio are examples of traditional advertising. •Retail advertising - Advertisements seen within retail stores. •Mobile advertising - Mobile ads appear on smartphones, tablets, etc. •Online advertising - Advertisements of products on the internet, e.g. on websites. •Outdoor advertising - Billboard or banner advertisements that can be seen outside on the street and in other crowded areas. •PPC adertising - Pay-per-click (PPC) advertisements increase a company website's traffic. Conducting extensive research to understand the target market and its behaviour plays a key role in marketing. Companies also pursue research to help the marketing team construct an appropriate marketing strategy that builds profitable customer relationships. These strategies are implemented to reach marketing goals. Here are some common types of marketing: •Digital Marketing - The use of search engines, emails, and other electronic communication methods. •Social Media Marketing - A form of digital marketing. It uses social media platforms such as Instagram, Facebook, etc., to market products. •Relationship Marketing - Marketing strategies that focus on customer satisfaction and building a relationship between the customer and the brand. •Global Marketing - Using a unified global marketing strategy for international brands. Therefore, advertising is just a tiny part of marketing that focuses on creating awareness of the product among the target customers in the target market. Introduction to Marketing Strategy A marketing strategy is a set of actions the organisation plans to achieve its marketing goals. The business's resources are taken into consideration while developing a marketing strategy. A marketing strategy helps an organisation decide on its target customers and how it will communicate the product and its benefits to them. This process involves segmentation, targeting, differentiation and positioning. Market Segmentation - The process of dividing the available market into smaller groups based on consumers' needs and behaviours. Market Targeting - Selecting a focal market segment for targeted marketing. Market Differentiation - Modifying or adjusting a product to suit the target market better. Market Positioning - The process of influencing customer perceptions about a brand or product to be considered more desirable than the competitors'. A marketing strategy involves the following elements: •the organisation's core message, •target segment's information, •product's value proposition. A marketing strategy also includes the product, price, promotion and place - the 4 Ps of marketing. These factors help an organisation receive the anticipated response from the target audience. Marketing Planning Once the marketing strategy is in place, the company needs to start working on implementing them and generating the desired results. Marketing planning defines the marketing activities and the timeline for completing each step. It helps guide and align all associated teams. Marketing planning is the implementation of marketing strategies to achieve the marketing campaign's goals. The marketing plan will contain details like: •The platform for promotion, •Research to evaluate the pricing, place, promotion and product decisions, •Key messages or values tailored to the target demographic, •How success is measured. Marketing Management Marketing management comprises planning, organising, controlling and implementing marketing strategies. Marketing management is the process that helps a business successfully perform its various functions to achieve its goals. Marketing management helps in achieving the following objectives: •profitability, •satisfying customer demands, •attracting new customers, •building a positive reputation,•market share maximisation. Marketing strategies are based on five marketing concepts - production, product, selling, marketing and society.