Basic Marketing Concepts

By Priyanka R.Kulkarni 1021

What is Marketing

Marketing is a societal process by which individuals and groups obtain what they need and want through creating, offering, and exchanging products and services of value freely with others.

Four Eras in the History of Marketing

Production Era Prior to 1920s Production orientation Business success often defined solely in terms of production victories Sales Era Prior to 1950s Customers resist nonessential goods and services Personal selling and advertisings task is to convince them to buy

Marketing Era
Since 1950s Marketing Concept Emerges Shift from sellers to buyers market Consumer orientation Marketing Concept Companywide consumer orientation Objective of achieving longrun success

Marketing Concept

The idea that the social and economic justification for an organizations existence is the satisfaction of consumer wants and needs while meeting organizational objectives. TM & customer needs: Focus to distinguish from competitors Integration: Integration of all activities to satisfy customer wants/needs Profits: Achieve long term goals by satisfying customer wants/needs

Relationship Era
Began in 1990s Carried customer orientation even further Focuses on establishing and maintaining relationships with both customers and suppliers Involves longterm, valueadded relationships

Market Segmentation

Analyzing a market by specific characteristics in order to create a target market. Once a target market is identified, a business can customize its products and marketing strategies to that specific group of customers.

To do this, businesses may segment a market by demographics, psychographics, geographic, and product benefits.

Target Market

Target Marketing -- Involves focusing marketing decisions on a specific group of people you want to reach with your product.

Johnson's Baby Cream Commercial.avi

Demographic Segmentation

Market segmentation based on your target markets personal characteristics. Includes

Gender : Both Age : 20-45 Income level : Above 20,000 Occupation : Homemakers/Working class Martial Status: Married Education level: Educated/Uneducated

Psychographic Segmentation

Market segmentation based on your target markets lifestyles and personality characteristics. Includes
Attitudes: care for their infants Values: Family oriented, caring, protective Activities: Nursing, taking care of the child

Geographic Segmentation

Market segmentation based on where your target market lives. Includes

local markets regional markets national markets global markets

Geographical Region : Urban, SemiUrban

Benefit Segmentation

Market segmentation based on benefits your target market expects to receive or gain from products.

Includes
Added protection : Mild on baby skin Health issues: Not harmful Special needs : Variety-seeking , Baby care Stage in family life cycle : New parents

Marketing Mix

It is comprised of four basic marketing strategies, collectively known as the Four Ps.

It is dependent on how well the target market is defined and how well all strategies are directed toward that target audience!

4 Ps of marketing
Product Place Price Promotion

Cadbury Dairy Milk Shubh Aarambh Ad [new].avi

Product

Knowing what product to make, how to package it, what brand name to use, and what image to project.

Product
Cadbury is almost owned by many manufacturer. Cadbury World brings emotion with their product memorable, exciting and great day out. The Cadbury business delivers product such as chocolate, candy , gum brands and drinking chocolate products.

Place

Determines how and where a product will be distributed.

Place
Cadbury milk is produced at the chocolate factory in Bourneville in Birmingham. After this Cadbury sells it products to shops that deal with beverages and confectionery e.g. corner shops, super stores. They then sell it to the general public. Cadbury produces chocolate for more than 200 countries

Price
Should

reflect what customers are willing and able to pay.

Price
In India, price matters the most Cadbury has a very convenient prices for all its products. The price charged for a chocolate can determine whether a consumer will buy it

Price..contd
Cadbury World works with a number of third party promoters and businesses in order to offer a discount on the entry price. Determining the pricing strategy would be the participation costs for competing leisure activities(other attractions, cinemas etc.) as well as the price Recommended Selling Price (RSP) for merchandise and confectionery.

Promotion
Deals

with how potential customers will be told about the new product, what the message will be, when and where it will be delivered, and with what inducements to buy.

Promotion

Promotion of Cadbury World to various target audiences is a vital part of the management function .
Television The print Media Posters