Sales and Marketing

Management
Group 6
Gecolea, Bienn Carlo
Garcia, Edward Kenneth Allen
Cerezo, John Paul
Clamucha, John Bernard
Delfin, Camus
Pobar, Dani

What is Marketing?
Selling?
Advertising?
Promotions?
Making products available in stores?
Maintaining inventories?

Marketing

Marketing is the process of planning and executing

the conception, pricing, promotion, and distribution
of ideas, goods, services to create exchanges that
satisfy individual and organizational goals
American Marketing Association

Marketing Management

Marketing management is the art and science of

choosing target markets and getting, keeping, and
growing customers through creating, delivering, and
communicating superior customer value.

Top 20 brands Worldwide

According to Interbrand

Core Concepts of Marketing

Need food ( is a must )
Want Pizza, Burger, French fry's ( translation of a need
as per our experience )
Demand Burger ( translation of a want as per our
willingness and ability to buy )
Desire Have a Burger in a five star hotel

Company orientations toward the

Marketplace

Production Concept
Product Concept
Selling Concept
Marketing Concept
Societal Marketing Concept

Production Concept
One of the oldest concepts guiding
sellers.
The production concept holds that
consumers will favor those products
that are widely available and low in
cost.
There are two types of situation, first
is where the demand for a product
exceeds supply. The second is where
the products cost is high and has to
be brought down through increased
productivity to expand the market

Product Concept

The product concept holds that the

consumers will favor those products that
offer the most quality, performance, or
innovative features. Managers in these
product-oriented organizations focus their
energy on making superior products and
improving them over time.

Selling Concept
The selling concept holds that
consumers, if left alone, will
ordinarily not buy enough of the
organizations products. The
organization must therefore
undertake an aggressive selling and
promotion effort.

Marketing Concept

The marketing concept holds that the key to

achieving organizational goals consists in
determining the needs and wants of target
markets and delivering the desired
satisfactions more effectively and efficiently
than competitors.

Societal Marketing
Concept

Social marketing concept holds

that the organization that s task
is to determine the needs , wants,
and interest of target markets
and to deliver the desired
satisfactions more effectively and
efficiently than competitors in a
way that preserves or enhances
the consumers and the societys
well-being.

Marketing
Marketing is the sum of all activities that take
you to a sales outlet. After that sales takes over.
Marketing is all about creating a pull, sales is all
about push.
Marketing is all about managing the four Ps
product
price
place
promotion

Difference Between -Sales &

Marketing ?
Sales

trying to get the customer to want what the company produces

Marketing

trying to get the company produce what the customer wants

Scope What do we market

Goods
Services
Events
Experiences
Personalities
Place
Organizations
Properties
Information
Ideas and concepts

Five Levels of the Hierarchy of

Needs
1. Physiological Needs
- These include the most basic needs that are vital to
survival, such as the need for water, air, food, and sleep.
Maslow believed that these needs are the most basic and
instinctive needs in the hierarchy because all needs
become secondary until these physiological needs are met.

2. Security Needs
- These include needs for safety and security. Security
needs are important for survival, but they are not as
demanding as the physiological needs. Examples of security
needs include a desire for steady employment, health care,
safe neighborhoods, and shelter from the environment.
3. Social Needs
- These include needs for belonging, love, and
affection. Maslow described these needs as less basic than
physiological and security needs. Relationships such as
friendships, romantic attachments, and families help fulfill
this need for companionship and acceptance, as does
involvement in social, community, or religious groups.

4. Esteem Needs
- After the first three needs have been satisfied,
esteem needs becomes increasingly important. These
include the need for things that reflect on self-esteem,
personal worth, social recognition, and
accomplishment.

5. Self-actualizing Needs
- This is the highest level of Maslows hierarchy
of needs. Self-actualizing people are self-aware,
concerned with personal growth, less concerned with
the opinions of others, and interested fulfilling their
potential.

Kinds of Demand
1.

Negative Demand: A market is in a state of

negative demand if a major part of the market
dislikes the product and may even pay a price
to avoid it.

2.

No Demand: Target consumers may be

uninterested or indifferent to the product.

3. Latent Demand: Many consumers may share a strong

need that cannot be satisfied by any existing product.
4. Declining Demand: Every organization, sooner or
later, faces declining demand for one or more of its
products.

5. Irregular Demand: Many organizations face demand

that varies on a seasonal, daily, or even hourly basis,
causing problems of idle capacity or overworked
capacity.
6. Full Demand: Organizations face full demand when
they are pleased with their volume of business.

7. Overfull Demand: Some organizations face a demand

level that is higher than they can or want to handle.
8. Unwholesome Demand: Unwholesome products will
attract organized efforts to discourage their consumption.

Who is a Customer ?

Anyone who is in the market looking at a product /

service for attention, acquisition, use or consumption
that satisfies a want or a need

Customer
CUSTOMER has needs, wants, demands and desires

Understanding these needs is starting point of the entire

marketing

These needs, wants arise within a framework or an ecosystem

Understanding both the needs and the ecosystem is the starting

point of a long term relationship

Defining Customer Value

Our premise is that buyers will buy from the firm
that they perceive to offer the highest customer
delivered value.
Customer delivered value is the difference between
total customer value and total customer cost. And total
customer value is the bundle of benefits customers
expect from a given product or service.

Customer Satisfaction

Thus, we assert that the buyer forms a judgment of

value and acts on it. Whether the buyer is satisfied
after purchase depends upon the offers
performance in relation to the buyers expectations.

Satisfaction is the level of a persons felt state

resulting from comparing a products perceived
performance (or outcome) in relation to the
persons expectations.

Retaining Customers

Companies are not only seeking to improve

their relations with their partners in the
supply chain.

Today they are intent on developing stronger

bonds and loyalty with their ultimate
customers.

How Do Consumers Choose Among

Products & Services?

Value - the value or benefits the customers gain from using the
product versus the cost of obtaining the product.

Satisfaction - Based on a comparison of performance and

expectations.
Performance > Expectations => Satisfaction
Performance < Expectations => Dissatisfaction

Customers -Problem Solution

As a priority , we must bring to our customers
WHAT THEY NEED
We must be in a position to UNDERSTAND their
problems
Or in a new situation to give them a chance to AVOID
the problems

Customer looks for Value

Value = Benefit / Cost

Benefit = Functional Benefit + Emotional Benefit

Cost = Monetary Cost + Time Cost +
Energy Cost + Psychic Cost

The Marketing Plan

A written document that acts as a guidebook of

marketing activities for the marketing manager

CONTENTS of MARKETING PLAN

Business Mission Statement
Objectives
Situation Analysis (SWOT)
Marketing Strategy

Target Market Strategy

Marketing Mix

Positioning
Product
Promotion
Price
Place Distribution
People
Process

Implementation, Evaluation and Control

Product
Anything that is offered to the market for attention,
acquisition, use or consumption that satisfies a want or a
need

Product Mix

Width how many product lines a company has

Length how many products are there in a product

line

Depth how many variants of each product exist

within a product line

Consistency how closely related the product lines

are in end use

What is a Service? Defining the

Essence

An act or performance offered by one party to another

(performances are intangible, but may involve use of physical
products)

An economic activity that does not result in ownership

A process that creates benefits by facilitating a desired change

in customers themselves, or their physical possessions, or
intangible assets

Major Characteristic of Services

IntangibilityServices are intangibility cannot be

seen, tasted, felt, heard or smelled before purchase.

Inseparability -Services are produced and consumed

simultaneously.

Variability or Heterogeneity Services are highly

variable
Perishability Services cannot be stored.
Non Ownership -Services are rendered but there is
no transfer of title

Summary

Marketing

Marketing is the process of planning and executing

the conception, pricing, promotion, and distribution
of ideas, goods, services to create exchanges that
satisfy individual and organizational goals
American Marketing Association

Marketing Management

Marketing management is the art and science of

choosing target markets and getting, keeping, and
growing customers through creating, delivering, and
communicating superior customer value.

Company orientations toward the

Marketplace

Production Concept
Product Concept
Selling Concept
Marketing Concept
Societal Marketing Concept

Kinds of needs
1.
2.
3.

4.
5.

Physiological Needs
Security Needs
Social Needs
Esteem Needs
Self-actualizing Needs

Kinds of Demand
1.
2.
3.
4.
5.
6.

7.
8.

Negative Demand
No Demand
Latent Demand
Declining Demand
Irregular Demand
Full Demand
Overfull Demand
Unwholesome Demand

Who is a Customer ?

Anyone who is in the market looking at a product /

service for attention, acquisition, use or consumption
that satisfies a want or a need

Customer
CUSTOMER has needs, wants, demands and desires

Understanding these needs is starting point of the entire

marketing

These needs, wants arise within a framework or an ecosystem

Understanding both the needs and the ecosystem is the starting

point of a long term relationship

The Marketing Plan

A written document that acts as a guidebook of

marketing activities for the marketing manager

CONTENTS of MARKETING PLAN

Business Mission Statement
Objectives
Situation Analysis (SWOT)
Marketing Strategy

Target Market Strategy

Marketing Mix

Positioning
Product
Promotion
Price
Place Distribution
People
Process

Implementation, Evaluation and Control

Product
Anything that is offered to the market for attention,
acquisition, use or consumption that satisfies a want or a
need

Product Mix

Width how many product lines a company has

Length how many products are there in a product

line

Depth how many variants of each product exist

within a product line

Consistency how closely related the product lines

are in end use

What is a Service? Defining the

Essence

An act or performance offered by one party to another

(performances are intangible, but may involve use of physical
products)

An economic activity that does not result in ownership

A process that creates benefits by facilitating a desired change

in customers themselves, or their physical possessions, or
intangible assets

Major Characteristic of Services

IntangibilityServices are intangibility cannot be

seen, tasted, felt, heard or smelled before purchase.

Inseparability -Services are produced and consumed

simultaneously.

Variability or Heterogeneity Services are highly

variable
Perishability Services cannot be stored.
Non Ownership -Services are rendered but there is
no transfer of title