Marketing Management PDF

INTRODUCTION - is the way to find out the opportunities which are profitable and create these Well, everyone knows the major progress opportunities by satisfying the customers. and changes that took place i...

INTRODUCTION - is the way to find out the opportunities which are profitable and create these Well, everyone knows the major progress opportunities by satisfying the customers. and changes that took place in the market - is the process of planning, executing, and landscape. Anywhere, everywhere and overseeing a company's marketing anytime customers now can and are able to strategies and campaigns to attract and get information regarding products, retain customers, ultimately driving sales services, pricing, and brand reputation. and business growth. It involves analyzing Customers today are more stylish and market trends, targeting audiences, and knowledgeable than ever. No longer is the optimizing product promotion, and traditional mass communication strategy of distribution. the past effective. - planning, organizing, controlling, and These days, marketing to become more putting an organization's marketing successful needs to be customer-driven and initiatives into action. has to be technology-empowered. Largely, technology has great influence in forming, VARIOUS DEFINITION OF driving, and meeting preferences of MARKETING customers. Today, marketing strategies that formerly Marketing dominated by consecutive means should - is a process through which a product or provide an opportunity for technologies service is launched and promoted to that seem to vary almost everyday. possible customers. The process of all businesses centers in its - is creating, promoting, and delivering marketing. A business may have the best goods and services to consumers and product or service, but without marketing businesses. no potential customers would be aware of (According to Ferrell and Hartline) it. With no marketing at all, sales may - is the process by which companies create collapse and may end the operation of value for customers and build strong companies. relationships in order to capture value from Marketing is vital in any business and in customers in return. one way or another all other functional (According to Philip Kotler and Keller) areas may be affected by it. More and more importance of marketing is discovered by To simplify the definition, it says that: businesses. 1. Marketing products value for the customers. VARIOUS DEFINITION OF 2. Marketing pleases customers as profits MARKETING MANAGEMENT are generated. 3. Marketing makes good relationships with Marketing Management customers. - involves developing and implementing 4. All activities of marketing are toward strategic marketing programs, processes, customer satisfaction. and activities that align with wider business objectives. Marketing concept rest on 4 pillars: - is the process of planning, recruiting, and 1. Target Market tracking the marketing strategy of an 2. Customer Needs organization which includes the marketing 3. Integrated Marketing plan, campaign and tactics used to create 4. Profitability and meet the demand of target customers to drive profitability.  IMPORTANCE OF MARKETING C. When to create these products? D. How much to sell the products? In shaping a business profitability and E. Whom the product is intended? success, possibly marketing is the most Hence, manufactures now find it easier and important ingredient. The following dependable to make use of marketing to functions that show the significance of their advantage particularly on what to marketing in any business: manufacture and trade. 1. Customer 7. Idea - Businesses provide the customers' needs, - The idea of marketing is so dynamic and wants, and demands. Companies need to has altered a lot through time. With get the attention of customers through numerous changes, the impact to marketing its products and services. The production and distribution is extensive. success of any marketing activity could The changes in marketing go along with the influence the number of customers who fast transformation in tastes and would willingly spend their money buying preferences of consumers. the company's products and services. Marketing has provided the possibility to 2. Finance understand this now demand pattern. - A business becomes more financially 8. Economy successful and stable when it is able to - According to Adam Smith, “nothing effectively market its products and services. happens in our country until somebody sells Manufacturing goods and providing services something.” to customers entail a cost. Hence, finance Certainly, it is through marketing that serves has an effect on the quantity and quality of as the key player that makes the economy goods that businesses can produce. flourish. The economy is made strong and 3. Human resources stable by the marketing organization. If the - No business could survive without human marketing function would not be pressured, resources to work for them. Human the economy would become weak. resources in a business must have marketing knowledge to attract customers TYPES OF MARKETING PLANS AND buying the goods and patronizing the STRATEGIES service of a company or else the business would not grow. 1. Market Penetration Strategy 4. Production - When a firm focuses on selling its current - More products being manufactured by a products to existing customers, it is company means there would be more pursuing a market penetration strategy. The quantity of goods to trade and more marketing activity that will dominate in this earning opportunities as well. type of marketing plan are those that 5. Competition emphasize increasing the loyalty of existing - Competition always starts when certain customers that they are not vulnerable to goods and services are more well-liked and loss to competitors, attracting competitors' then other companies start selling the customers, increasing the frequency of same. With marketing, a company would be product use and converting non-users into more noticeable and customers would users. Loyalty programs can be very choose that company than the rest of its effective in retaining existing customers. It is competitors in buying the same goods and also a strategy where investments in services. marketing should pay back more quickly 6. Decision because the firm is building on an existing - Most often companies are faced with foundation of customer relationship and different types of problems such as: product knowledge. A. What product to produce? 2. Market Development Strategy B. How many products to manufacture? - The efforts to expand sales by selling WHY DO WE NEED TO STUDY current products in new markets are MARKETING MANAGEMENT? referred to as market development 1. To understand that as a consumer, we pay strategies. Such efforts may involve entering for marketing activity. Learn and appreciate new geographic markets, such as the value of all these activities and their international markets. Creating product relative importance to the ultimate awareness and developing distribution satisfaction of the consumers. channels are key marketing activities. 2. To ensure an understanding of things that Expanding into a new market with an contribute to the firm development relevant existing product carries some risk because marketing man. The marketing man is the new market is not well-known to the well-rounded in all facets of marketing and firm and the firm and its products are not the overall business. well-known to the market. 3. To respond to the present reality that 3. Product Development Strategy today's companies must urgently and - Creating new products to sell to existing critically rethink their business mission and customers, a product development strategy, marketing strategy, businesses need to is a common marketing strategy among change gear as often as needed in the light firms that can leverage their relationship of dynamic changes in the environment of with existing customers. the realities of the times. - Research and development activity play a 4. To fully appreciate the impact of dominant role in this strategy. The time market-driven strategies on gaining required to develop and test new products competitive advantages, this magnifies the may be long, but once a product is importance and scope of marketing strategy developed, creating awareness, interest, whereby communication technology, and availability should be relatively rapid competitive forces, economic and science because the firm already has relationships pressures have increased the size and scope with customers. A product development of markets, creating a globe competitive strategy is also riskier than a market edge. penetration strategy because the necessary 5. To fully understand that the overriding product may not be possible to develop at objective of the company is to satisfy its least at a cost acceptable to customers, or customers better than competitors, product developed does not match the otherwise, the competitor will end up needs of customers. satisfying his customers better. 4. Diversification Strategy 6. Finally, Marketing Management answers - This strategy involves taking new products the persistent and nagging clamour of into new markets. This is really the creation marketing educators and students in many of a completely new business. This is the business schools, colleges, and universities, riskiest of strategies and strategy likely to marketing practitioners, entrepreneurs, and require the most patience waiting for a allied business professionals wanting to return on investment. enrich their basic knowledge and skills in Marketing Management. WHAT IS THE MAIN PURPOSE OF MARKETING MANAGEMENT? - Marketing Management works to ensure a company is profitable by gaining new customers, expanding a customer base, building a company's reputation, and improving interaction. -  accomplish its objective. The following are its economic, technical, social, and cultural bind tasks on the whole: among the parties. The marketing manager is responsible for setting up and preserving 1. Conversional marketing develops from the long-term relations with the parties involved situation of negative demand in which all or in the business. most of the vital segments of the potential market hate the product or service and in A network is the definitive conclusion of reality, may possibly pay a price to avoid it. It relationship marketing. A marketing network is the duty of the conversional marketing to includes the company and its supporting create a plan to cause demand to rise from stakeholders such as customers, employees, negative to positive and eventually equal the suppliers, distributors, advertising agencies, positive supply level. The marketing manager colleges and universities, and others whose has to unravel the concern of negative role is regarded as necessary for the success demand through studying reasons the market of a business. It is an enduring system of hates the product and then neutralize it with relations with stakeholders. Eventually, a the correct marketing tactics. good network of relationships with important stakeholders would result in 2. No demand state of a product exists when excelling the marketing performance. people are indifferent to such product. The task of performing such state into positive Market, Marketing, Marketer, and demand is called stimulational marketing. Prospect Therefore, marketing must look for ways to connect the benefits of products with the In marketing management, commonly used people's natural needs and interest. words are markets, marketing, marketer, and prospects. A market comprises all possible 3. When a substantial number of people share customers sharing a particular need or want a strong need for something that does not who might be eager and able to engage in exist in the form of an actual product or exchange to gratify this need or want. service, it is called latent demand. The Marketing is social and managerial process process of effectively transforming latent by which individuals and groups get what demand into an actual demand is known as they need and want by creating and developmental marketing. A marketing exchanging product and value with others. A manager must discover the features which marketer is one who seeks one or more people might be seeking later and promote buyers to engage in an exchange. Here, a them to the customer in such a way that he seller can be the marketer as he desires instantaneously wants them. other to engage in an exchange. Usually, company or business unit can be supposed 4. When the demand for product declines and as a marketer. shows a possibility of further fall the Prospect is someone to whom the marketer marketing task involved in such case is spots as possibly agreeable and able to remarketing. A marketer's job in this situation engage in the exchange. In case of exchange is to think for ways to revitalize the product between two companies, both can be said as so that the demand would no longer be prospects as well as marketers. Normally, a declining. consumer who purchases a product from a company for satisfying his needs or wants 5. When a product's current timing pattern of can be assumed as the prospect. demand is marked by seasonal or volatile fluctuations the marketing task of MARKETING MANAGEMENT TASKS synchromarketing is necessary to bring the movement of demand and supply into better Marketing management is the study, synchronization. The best approach to offset planning, implementation and control of irregular demand is to launch incentives for programs intended to form, make and the customer to purchase the product. preserve equally beneficial exchanges and relationships with target markets for the 6. Full demand exists when current level and reason of reaching organizational objectives. timing of demand is equal to the desired level It may be regarded as happening when no and timing of demand. The task of the less than one party to a possible exchange marketer in such a state is maintenance gives thought to objectives and means of marketing through preservation of efficiency achieving preferred responses from other in the carrying out of day-to-day marketing parties. It can occur in association with any activities and eternal vigilance in spotting new market in its territory. It controls the level, forces that may threaten to erode demand. timing and character of demand to The marketing dispute in this type of demand is to continue the same intensity of interest include a changeable mix of goods and in the product and the company. services. In a food-restaurant such as Jollibee, 7. Overfull demand exists when demand for Chowking and Mang Inasal, the consumer a product or service begins to outpace pace enjoys both the food (product) together with the supply substantially. The task of r the service of the crew. reducing such demand is known as demarketing. This is for the reason that even 3. Events - Events are promoted by marketers. if the company keeps marketing, but if it is Events can be in the form of trade shows, not able to supply the material, still the company anniversaries, entertainment award company may be badly endured in terms of shows, local festivals, health camps, concerts brand equity. and so on. For example, global sporting events such as the fights of Manny Pacquiao, 8. In a state of unwholesome demand, the concerts of well-known singers like Eric demand is felt excessive because of Santos, Gary Valenciano, and Ogie Alcasid are undesirable qualities associated with the promoted aggressively to both companies and offer. The task of trying trying to destroy fans. There is an entire profession of meeting such demand is called counter-marketing. planners who plan the particulars of the event Counter-marketing involves advertising and make definite it comes off faultlessly. techniques which try to reduce the demand for a product being used. Counter-marketing 4. Experiences - Through offering a mix of typically uses negative messages to stop both goods and services, marketers may people from using a product. create experiences. A product is promoted by communicating features and by furnishing MAJOR MARKETING DECISIONS exceptional and exciting experiences to customers. The Enchanted Kingdom Regardless of whether a new represents experiential marketing. Customers organization is developing a brand-new visit the fairy kingdom and experience various marketing plan or if an established rides. There is also RJ Bistro owned by organization is tweaking or re-creating a plan celebrity Jacinto himself where the customer that already exists, any effective marketing can enjoy the meal and see the Ramon "RJ" plan is built on the core fundamentals, Most Jacinto and his band in a live concert in Dusit marketing management decisions fall into Hotel. one of these main categories, namely: 5. Persons - Recently, celebrity marketing has WHAT IS MARKETED become a business owing to the increase in testimonial advertising. All well-liked and Marketing is naturally seen as the duty of trendy personalities such as film stars, TV creating, promoting and delivering goods and artists, and sportspersons now have agents services to consumers and businesses. and personal managers of their own. They Basically, marketing deals with the question, also tie up with Press Relations agencies for "what is marketed?" According to Ferell and superior marketing of oneself. Musicians, Hartline (2013), marketing people are CEOs, physicians, and politicians are also involved with ten types of entities. receiving help from celebrity marketers. Some people have done a masterful job of 1. Goods - The major part of a country's marketing themselves such as Sarah production and marketing effort consists of Geronimo, Sharon Cuneta, Vice Ganda and physical goods. Companies produce and Anne Curtis. It is recommended that each market billions of food products, cars, person, not just celebrities, develops himself refrigerators, televisions, and machines. as a brand. Nowadays, even internet companies may market their goods besides doing it directly 6. Places - Cities, states, regions, and or through retail outlets. Everyone is too countries compete to draw tourists to their grateful to the Internet; even individuals can places. These days, states and countries are successfully sell goods and services. also marketing places to factories, companies, new residents, real estate agents, banks and 2. Services - Today's economy advances, the business associations. Place marketers include focus is not anymore much center of goods economic development specialists, real estate production but also in the production of agents, commercial banks, local business services. Services include the work of associations and so on. In order to energize airlines, hotels and car rental. Professionals their high-tech industries and generáte working within or for companies such as entrepreneurship, cities and states are accountants, bankers, and lawyers are also aggressively fascinating large industries with part of services. Most markets offering now different infrastructure and tax facilities, quality of life and other advantages. In the effects of smoking. Philippines, the Department of Tourism is persistently promoting tourist spots locally CORE CONCEPTS IN MARKETING and globally as embodied in its latest infomercial entitled "It's more fun in the According to Philip Kotler and Keller Philippines". (2012), "Marketing is the process by which companies create value for customers and build strong customer relationships in order 7. Properties - Properties can be categorized to capture value from customers in return". as real properties or financial properties. Real property is the ownership of real Marketing Offers estates, while financial property relates to stocks and bonds. Properties are bought and Marketing offers are some mixture of sold through marketing. Marketing boosts products, services, information, or the necessity of ownership and produces experiences presented to a market to gratify a possession utility. Amid improving income need or want. Marketing offers include both levels in the economy, people are in search product and service or experience. of a better approach to saving money. 1. A product is everything that can be offered Financial and real property marketing, have to a market for attention, acquisition, use or to build trust and confidence at higher levels. consumption that may satisfy a want or need. It can also be referred to as a bundle of 8. Organizations - Organizations dynamically satisfaction, physical and psychological. A make effort to build an image in the minds of product consist of core product (basic their target public. The marketing contents or utility), product-related features department plays a vigorous role in the (color, branding, packaging, labeling, promotion of a company's image. Most varieties, others) and product-related services importantly, marketers of services have to (after-sales services, guarantee and warranty, create the corporate image, since services do free home delivery, free repairing, and so on). not result in the ownership of something. So, tangible product is a package of services The organization's goodwill supports trust or benefits. A marketer should consider and reliability. The corporate image also product benefits and services, instead of the helps companies in the smooth introduction product itself. of new products. 2. Service is any activity or benefit that one 9. Information - Information can be created party can present to another that is basically and promotes a product. Educational intangible and does not result in the institutions, encyclopedias, non-fiction ownership of anything. Services can be books, specialized magazines, and alternatively defined as products, such as a newspapers sell information. Information is bank loan or a home security, that are to distributed from schools and universities to some extent intangible. If totally intangible, the parents and children for a certain price. they are exchanged directly from the The production, packaging, and distribution producer to the user, cannot be transported of information are keys to any industry. or stored, and are almost instantly perishable. Media revolution and better literacy levels Services include health service, banking, and have expanded the extent of information insurance service, transportation service and marketing. so on. A taxi service is a service that is tangible. Taxi drivers provide both the good (a 10. The idea - Each market offering consists car), which provides the means of travel, as of a basic idea. Products and services are well as the act of driving to a place, which is used as instruments for conveying some idea measurable and essentially a service. or benefit. Social marketers widely promote Therefore a taxi cab driver provides both a ideas. Metro Manila Development Authority good and a service, so he is providing a (MMDA) always promotes safe driving product. habits, need to wear seat belts, need to prohibit children from sitting near the 3. Experiences are knowledge or skill which is driver's seat, and so on. "Yosi Kadiri" is an gained from doing, seeing or feeling things. idea promoted by the Department of Health For instance, due to experience, World during the time of the late doctor turned Balance not only produces shoes, but also it is senator and Department Secretary Jose producing high quality, popular active-lifestyle Flavier. This campaign, the most successful shoes for men, women, and kids. tobacco control drive this country ever witnessed, catapulted a national Utility, Cost, Value, and Satisfaction consciousness about the harmful health 1. Utility means an overall ability of a product needs and wants using an exchange. An to gratify need and want. It is a guiding exchange is an act of acquiring a preferred concept to select the product. Every product product from someone through offering has a varying degree of utility. As per level of something in return. Taking chocolates by utility, products can be ranked from the most paying money is a good example of an need- satisfying to the least need-satisfying. exchange. An exchange is a process, not an Buyer purchases such a product, which has event. It means that people are bargaining more utility. A utility is, therefore, the power and going into a consensus on an agreement. of product to satisfy a particular need. 2. Cost means the price of a product. It is a When an agreement is achieved, it monetary value of a product. The charges a becomes a transaction. A transaction is a customer has to pay to avail certain services decision entered into or commitment done. can be said as cost. The utility of a product is Transactions can be very simple, like buying a parallel with the cost that he has to give. He newspaper, or extremely complex, taking a will choose such a product that can propose long time and involving many companies or more utility (or value) for certain price. He agencies. Some transactions are simple tries to take full advantage of value, that is, exchanges. Paying ten pesos for a cup of the utility of product per peso. coffee is a transaction. Getting a haircut, 3. Customer value is the difference between eating at a restaurant, even buying something the customer gains from owning and using a expensive like a washer or dryer can be a product and the cost of obtaining the transaction. Most transactions are simple and product. The definition suggests that there singular events which may or may not be are two aspects to customer value namely, repeated and take place between a vendor desired value and perceived value. Desired and a customer. Many transactions are value refers to what customer wants in a complex. Purchasing an item with credit product or service. involves a series of transactions before the Perceived value is the benefit that a purchase tan be completed. Setting up a customer believes he received from a vacation through a travel agency requires product after it was purchased. Customer booking hotels, flights, possibly rail or boat value can be studied at different levels. At a travel, tours and making other arrangements, low level, customer value can be observed as all of which require transactions. Getting a the features of a product that a customer credit to buy a home or building requires perceives to get value from. At a higher level, numerous transactions with the lender, title customer value can be seen as the emotional company, real estate agency, buyer, seller, payoff and achievement of a goal or desire. loan underwriter and more. When customers gain value from a product, they obtain value from the features of the Today's marketing practice gives more product and from the feature performance significance to relationship building. and the result of achieving most wanted Marketing practice based on relationship goals from the use of the product. building can be said as relationship marketing. 4. Satisfaction is a person's feeling of delight Relationship marketing is the practice of or displeasure as a result of 5 comparing a building long-term profitable or satisfying product's perceived performance in relation dealings with significant parties such as to his or her expectations. Satisfaction customers, suppliers, distributors, and others depends on the perceived performance of to preserve their long-term preference in product or service. Satisfaction means business. It needs trust, commitment, fulfillment of needs. Satisfaction is possible cooperation, and a high degree of when buyer perceives that product has more understanding. It results in value compared to the cost paid for. Satisfaction closely concerns with the fulfillment of all the expectations of the buyer. Satisfaction releases the tension that has aroused due to unmet need/s. In short, more utility or value with fewer cost results into more satisfaction. Exchanges, Transaction, Relationships and Network An exchange is at the heart of marketing. Marketing management tries to arrive at the desired exchange. Marketing materializes only when people would like to satisfy their Market, Marketing, Marketer & Prospect In Marketing Management, commonly needed words are markets, marketing, marketer, and prospects. Market - Comprises all potential customers sharing a particular need or want who might be eager and able to engage in an exchange to gratify the need or want. Marketing - Is a social and individual process by which individuals and groups get what they need and want through creating and exchanging products and value with one another. Marketer - Is the person who engages in an exchange. Prospect: Is someone whom the marketer spots as potentially agreeable and able to engage in the exchange. Marketing Management Task Marketing management is the study, planning, implementation, and control of programs intended to form, share, and present pulls for beneficial exchanges and relationships with target markets for the reason of achieving organizational objectives. WHAT IS MARKETED? Marketing, as naturally the duty of creating, promoting, and delivering goods and services to consumers and businesses. According to Ferrell & Hartline (2013), Marketing people are involved with ten (10) types of entities: 1. Goods 2. Services 3. Ideas 4. Events 5. Places 6. Properties 7. Organizations 8. Information 9. Experiences 10. People