Scribd
Upload
43 views

Defining Marketing and The Marketing Process: Ira Fachira PHD

1) Marketing is defined as an organizational function and set of processes for creating, communicating, and delivering value to customers and managing customer relationships in ways that benefit the organization. 2) The marketing process involves understanding customer needs and the marketplace, designing a customer-driven marketing strategy, building an integrated marketing program, and capturing value from customers to create profits. 3) A marketing plan lays out the target markets and value proposition, specifies marketing tactics like the 4Ps, and establishes performance metrics to guide the company where it wants to go.

Uploaded by

Dini Putri
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
43 views

Defining Marketing and The Marketing Process: Ira Fachira PHD

1) Marketing is defined as an organizational function and set of processes for creating, communicating, and delivering value to customers and managing customer relationships in ways that benefit the organization. 2) The marketing process involves understanding customer needs and the marketplace, designing a customer-driven marketing strategy, building an integrated marketing program, and capturing value from customers to create profits. 3) A marketing plan lays out the target markets and value proposition, specifies marketing tactics like the 4Ps, and establishes performance metrics to guide the company where it wants to go.

Uploaded by

Dini Putri
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
You are on page 1/ 28

Defining Marketing and

the Marketing Process


Ira Fachira PhD
Marketing Management: Introduction
Marketing
• An organizational function and a set of processes for
creating, communicating, and delivering value to customers
and for managing customer relationships in ways that benefit
the organization and its stake holders. (American Marketing
Association)
• A societal process by which individuals and groups obtain
what they need and want through creating, offering, and
freely exchanging products and services of value with others.
Marketing Management
• The art and science of choosing target markets and getting,
keeping, and growing customers through creating, delivering,
and communicating superior customer value.
• Marketing managers are responsible for demand
management.
Marketing in Digital Era
• A substantial increase in buying power.
• A greater variety of available goods and services.
• A great amount of information about practically anything.
• A greater ease in interacting and placing and receiving
orders.
Company Orientations
• The Production Concept: Availability + Low price.
• The Product Concept: Quality + Performance or Innovative
Features.
• The Selling Concept: Sell more stuff to more people more
often for more money = more money.
• The Marketing Concept: Right products for your customers.
The Marketing Mix

Four Ps Four Cs

Product Customer solution

Price Customer cost

Place Convenience

Promotion Communication
The Marketing Process
Understand the
Design aancustomer-
Build profitable
Construct integrated
marketplace and
driven
customer
marketing
relationships
marketing and create
program that
needs value
and
delivers
customer superior
delight
strategy
wants

Ca
pt
ur
e
val
ue
fro
m
cu
sto
me
rs
to
cre
ate
pr
ofi
ts
an
d
cu
sto
me
r
eq
uit
y
Understanding the Marketplace & Customer Needs
●
States of deprivation
Needs ●

●
Physical—food, clothing, warmth, safety
Social—belonging and affection
●
Individual—knowledge and self-expression

●
Form that needs take as they are shaped
Wants by culture and individual personality

Demands ●
Wants backed by buying power
Needs, Wants, Demands
Needs

Wants

Demands
Value, Satisfaction, Brand
• Value reflects the perceived tangible and intangible benefits
and costs to customers.
• Value proposition: a set of benefits offered to customers to
satisfy their needs.
• Satisfaction reflects a person’s comparative judgments
resulting from a product’s perceived performance in relation
to his/her expectations.
• Brand: an offering from known source.
Customer Value & Satisfaction Expectation

Customers
Value and
satisfaction

Marketers
Set the right level of
expectations
Not too high or low
The Marketplace and Customer Needs
Value Delivery Process

Pic Source: http://www.claretalabs.com/images/Business-Value-Delivery.jpg


Value Chain
The series of internal
departments that
carry out value-
creating activities to
design, produce,
market, deliver, and
support a firm’s
products.
Customer Driven Marketing Strategy
The 4P’s
Managing the Marketing Effort
Marketing Performance
• Net Profit (before taxes)
= Sales revenues – Cost of goods sold – Operating expenses
= Sales revenues x Percent gross profit – Operating expenses

• Net Marketing Contribution


= Sales revenues x Percent gross profit – Marketing expenses
Marketing Performance: Return on Sales
• Marketing ROS
= Net marketing contribution/Sales x 100%
= Gross profit (% of sales) – Marketing expenses (% of sales)
Marketing Performance: Return on Investments

• Marketing ROI
= Net marketing contribution / Marketing expenses x 100%
= Marketing ROS / Marketing expenses (% of sales)
Marketing Performance and Strategy

Source: Best (2009)


Marketing Plan
• Strategic marketing plan lays out the target markets and the value
proposition that will be offered, based on an analysis of the best
market opportunities.
• Tactical marketing plan specifies the marketing tactics, including
product features, promotion, merchandising, pricing, sales channels,
and service.
Marketing Plan
Situation
MarketingAnalysis
Strategy
Where
Where doare
wewe
want
to go?
now?

Pe
rf
or
m
an
ce
Pl
an
W
he
re
wi
ll
th
is
ta
ke
us
?
Marketing Plan:
An Example

Pic Source: http://www.emeraldinsight.com/content_images/fig/0010340801001.png


Marketing Plan and Business Plan

Pic Source: http://www.aistrupconsulting.com/Images/BusinessPlan.jpg

You might also like