Marketing Unit 1

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Marketing:

Marketing is foreseeing customers needs and satisfying this need better then the competitors do. By involving several activities:

Basic Activities: Understanding customer and there needs to develop product that meets these needs

Secondary Activities: Involves storing of products, financing the manufacturing and taking appropriate risks.

Exchange Activities: Consider the purchasing and selling of raw materials and products.

American marketing association: the activity, set of institution and processes for creating, communicating, delivering and exchanging offering that have value for customers, clients, partners and society at large.

The Chartered Institute of marketing: the management process responsible for identifying anticipating and satisfying customer requirements profitably.

Kotler: satisfying customers needs and wants through on exchange process.

Philosophies Orientations:

Is the management thinking used by an organisation to guide its marketing effort.

Production Orientation: Focuses on internal marketing capabilities of organisation rather then need and wants of consumers. E.g. What can WE do best? What is the EASIEST to produce? Works when demand for products/services is greater then the supply.

Sale Orientation: Aggressive sales techniques, marketers pushed products onto the consumer whether they needed them or not. Focus on amount SOLD.

Market Orientation: Identifying needs and wants then altering product or services in order to meet those needs and wants.= Creating loyal customers

Societal Marketing Orientation: Company acting in best interests of the customer and society as a whole = preserve society long-term interest

Relationship Marketing Orientation: Build relationships with consumers, to keep customers satisfied and essentially loyal.

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Satisfaction equals loyalty

Customer satisfaction leads to loyalty and ultimately increases profit for a business.

SATISFACTION= buy again= generate profit

Needs- Something consumers requires in order to survive

Wants- Something consumers craves or desires

Benefits- What the consumers buy the product for what the product/services does for consumers

Demands- Buying power = income

Maslow's Hierarchy of needs:

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