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DEFINING AND UNDERSTANDING MARKETING Products—goods, service, and experiences Marketing Definition 2.1 Products - These are anything that can be offered to satisfy...

DEFINING AND UNDERSTANDING MARKETING Products—goods, service, and experiences Marketing Definition 2.1 Products - These are anything that can be offered to satisfy a need or a want. Philip Kotler defined marketing as “the science and art of exploring, creating, and delivering value to satisfy the needs of 2.2 Goods - An inherently useful and relatively scarce tangible a target market at a profit. Marketing identifies unfulfilled needs item produced from agricultural, construction, manufacturing, or and desires. It defines measures and quantifies the size of the mining activities. identified market and the profit potential. It pinpoints which 2.3 Services - A service is an act of performance that one party segments the company is capable of serving best and it designs can offer to another that is essentially intangible and does not and promotes the appropriate products and services.” result in the ownership of anything. Its production may or may not be tied to a physical product. American Marketing Association (AMA) Board of 2.4 Experience - Adding value for customers buying products Directors, “Marketing is the activity, set of institutions, and and services through customer participation and connection, by processes for creating, communicating, delivering, and managing all aspects of the encounter exchanging offerings that have value for customers, clients, partners, and society at large.” Value, satisfaction, and quality Another very simple definition of marketing is “that it is delivery of customer satisfaction at a profit. Some marketing is critical to the success of every organization. Marketing is a social and managerial process by which individual and groups obtain what they want and need through creating and exchanging products and value with others.” Marketing today is finally customer-focused. Social media made that happen. Markets are once again conversations. Marketing is about knowing the market, creating the right 3.1 Value – Products or services’ capacity to satisfy needs/ product, creating desire for that product and letting the right wants as per consumer’s perception or estimation. people know you have it. The old adage that says, “If you build 3.2 Satisfaction - Person's feeling of pleasure or a better mousetrap people will beat a path to your door” doesn’t disappointment which resulted from comparing a product's hold true without marketing. You might indeed have a better perceived performance or outcome against his/ her mousetrap, but if people don’t know you have it, and they don’t expectations know where your door is, there will be no path beating and no conversation going on. Sally Falkow – APR, PRESSfeed 3.3 Quality – refers to the perception of the degree to which the product or service meets the customer's expectations. Marketing is about focusing efforts to develop deep insights into customer behavior and overall market conditions to drive Exchange, transactions, and relationships sustainable profitable growth for the company. Humphry 4.1 Exchange - The act/ process of obtaining a desired product Rollest from someone by offering something in return. 4.2 Transactions - These are basic unit of exchange. A transaction consists of a trade of values between two parties. 4.3 Relationships - A pattern of building long term satisfying relationship with customers, suppliers, distributors in order to retain their long term performances and business. Market 5.1 Market - It consists of all potential consumers sharing a particular need or want who might be willing and able to engage in exchange to satisfy that need or want. In marketing terms: Sellers are called as “industry” while buyers are called “Market”. 1. Marketer - It means someone seeking a resource from someone else & willing to offer something of value in exchange. Marketer may be seller or buyer but most of time, marketer is seller. Marketing Concept vs. Selling Concept Marketing Concept vs. Advertising Concept Basis for Marketing Selling Concept Basis for Marketing Advertising Comparison Concept Comparison Concept Concept Meaning Marketing Selling concept is Meaning The activity of Advertising is a concept is a a business notion, understanding the part of market business which states that market conditions communication orientation which if consumers and in order to identify process which is talks about businesses the customer done with the aim accomplishing remain needs and of seeking organizational unattended, then creating such a attention of the goals by there will not be product that it public towards a becoming better ample sale of sells itself. particular stuff. than others in organization's Aspect Product, Price, Promotion providing product. Place, People, customer Promotion, satisfaction. Process. Associated with Directing goods Convincing Term Long term Short term and services consumer's mind towards towards goods Scope Market Research, Radio, Television, consumer's mind. and services. Promotion, Newspaper, Advertisement, Magazines, Starting point Target Market Factory Distribution, Hoardings, Social Focuses on Customer needs Product Sales, Public Media, Perspective Outside-in Inside-out Relations, Sponsorships, Customer Posters. Essence Satisfaction of Transfer of title Satisfaction. consumers and possession Importance More and more Creates Business Long term Short term sales Awareness Planning Focus on Creating market Grabbing the Orientation Customer- Product-oriented for the new or attention of the oriented existing product general public. Means Integrated Heavy selling and and building marketing promotion brand image. Price Market Cost of determined Production