marketing three

8/6/2019 Marketing Three

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MARKETING CONCEPTS


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FOCUS MEANS ENDS

Selling Products Aggressive Selling andSalesPromotion with emphasison pricevariations to close thesale. I must somehow hook the

customer

Maximize profitsthrough salesvolume

Marketing CustomerNeeds

Integrated Marketing Planencompassing product,price,promotion and distribution,backed up by adequateenvironmental scanning,consumer research, andopportunity analysis withemphasis on service. What can we do that will make us,in the customer s eyes, better than and superior to our

competitors.

Maximize profitsthroughincreasedcustomersatisfaction andhence raisemarket share


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Marketing Management Philosophies

Production Concept

Production Concept

Product Concept

Product Concept

Selling Concept

Selling Concept

Marketing Concept

Marketing Concept

Societal Marketing Concept



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1 . Production Orientation

Focuses on internal capabilities of firm(focus onthose products that it could produce moreefficiently-low cost).

Field of Dreams strategy If we build it, they will come

Best used when competition is weak demand exceeds supply generic products competing solely on price

Problem is that they don t understand wants/needsof marketplace.


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2. Product orientation

This is subtly different from a productionorientation. Consider a business that is

obsessed with its own products perhaps evenarrogant about how good they are. Theirproducts may start out as fully up-to-date andtechnical leaders.However, by failing to consider changingtechnological developments or subtle changes inconsumer tastes, a product-orientated businessmay find that its products start to lose ground tocompetitors


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3 . Sales Orientation

People will buy more goods/services if aggressive sales techniques are used.High sales will result in high profits.Used with unsought products

life insurance encyclopedias

Problem is that they don t understandwants/needs of marketplace.


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4 . Marketing Orientation

M arketing concept:The social and economic justification for anorganization s existence is the satisfaction of

customer wants and needs, while meetingorganizational objectives.


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Marketing Orientation . . .

Focusing on customer wants so the organization candistinguish its products from competitors .Integrating all the organization s activities, includingpromotion, to satisfy these wants.Achieving long term goals for the organization bysatisfying customer wants and needs legally andresponsibly.


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Marketing Orientation . . .

Requires: Top management leadership A customer focus Competitor intelligence

strengthsweaknesses

Inter-functional coordination to meet customerwants/needs and deliver superior values.


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Philip Knight , Chairman and CEO of Nike said:

For years we thought ofourselves as a production-

oriented company, meaning weput all our emphasis ondesigning and manufacturing theproduct. But now we understandthat the most important thing wedo is market the product.


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This Is a Want

Wants - form that a

human needtakes, as shapedby culture and

individualpersonality.


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Need / Want Fulfillment

Needs and WantsFulfilled through aMarketing Offer :

Some combination of products, services,information, or

experiences offered to amarket to satisfy a need orwant.


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Products

A nything that can be Offered to a Market to Satisfy a Need or Want

Persons Places Organizations

IdeasInformation

What Satisfies ConsumersNeeds and Wants?

Se rvic e s

A ctivity or Benefit Offered for Sale That is EssentiallyIntangible and Does Not Result in the Ownership of A nything


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Marketing Myopia

Sellers pay more attentionto the specific productsthey offer than to thebenefits and experiencesproduced by theproducts.

They focus on the wantsand lose sight of theneeds.


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Needs, Wants and Demands

Businesses therefore have not only to make

products that consumers want, but they alsohave to make them affordable to a sufficientnumber to create profitable demand.


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customers or consumers?


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Customer care in 2020 .

Op erator : "Thank you for calling Pizza Hut . M ay I have your..."

Customer: "Hello, can I order.."

Op erator : " Can I have your multi p ur p ose card number first, Sir?"Customer: "It's eh..., hold..........on......889861356102049998-45-54610"

Op erator : " OK... you're... M r Singh and you're calling from 17 Jalan Kayu. Yourhome number is 4094! 2366, your office 76452302 and your mobile is0142662566. Which number are you calling from now Sir?"

Customer: "Home! How did you get all my p hone numbers?Op erator : "We are connected to the system Sir"


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Customer: " M ay I order your Seafood Pizza..."

Op erator : "That's not a good idea Sir"

Customer: "How come?"

Op erator : " According to your medical records, you have high blood p ressure and evenhigher cholesterol level Sir"

Customer: "What?... What do you recommend then?"

Op erator : "Try our Low Fat Hokkien M ee Pizza. You'll like it"

Customer: "How do you know for sure?"

Op erator : "You borrowed a book entitled "Po p ular Hokkien Dishes" from the NationalLibrary last week Sir"

Customer: " OK I give u p ... Give me three family size ones then, how much will that cost?"

Op erator : "That should be enough for your family of 10, Sir. The total is $49.99"


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Customer: " Can I p ay by! credit card?"

Op erator : "I'm afraid you have to p ay us cash, Sir. Your credit card is over the limit and you owe yourbank $3,720.55 since October last year. That's not including the late p ayment charges on your housingloan, Sir."

Customer: "I guess I have to run to the neighbourhood ATM and withdraw some cash before your guyarrives"

Op erator : "You can't Sir. Based on the records, you've reached your daily limit on machine withdrawaltoday"

Customer: " Never mind just send the p izzas, I'll have the cash ready. How long is it gonna take anyway?"

Op erator : " About 45 minutes Sir, but if you can't wait you can always come and collect it on yourmotorcycle..."

Customer: " What!"

Op erator : " According to the details in system ,you own a Scooter,...registration number 1123..."

Customer: " ????"


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Operator : "Is there anything else Sir?"

Customer: "Nothing... by the way... aren't you giving me that 3 freebottles of cola as advertised?"

Operator : "We normally would Sir, but based on your recordsyou're also diabetic....... "

Customer: #$$^%&$@$% ^

Operator : "Better watch your language Sir. Remember on 15 th July1987

you were convicted of using abusive language on apoliceman...?"

Customer: Faints


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Task

Describe how the operation of a productoriented shoe manufacturer might bedifferent from the operation of a market-oriented shoe manufacturer.


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MARKETING MIX

marketing three

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