1

Defining Marketing for the 21

st

Century

Marketing Management, 13

th

ed

Chapter Questions

• Why is marketing important?

• What is the scope of marketing?

• What are some fundamental marketing concepts?

• How has marketing management changed?

• What are the tasks necessary for successful marketing management?

Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1-2

What is Marketing?

Marketing

is 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 stakeholders.

Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1-3

What is 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.

Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1-4

What is Marketed?

• Goods • Services • Events and experiences • Persons • Places and properties • Organizations • Information • Ideas Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1-5

• Negative • Nonexistent • Latent • Declining

Demand States

• Irregular • Unwholesome • Full • Overfull Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1-6

Key Customer Markets

• Consumer markets • Business markets • Global markets • Nonprofit/Government markets Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1-7

Company Orientations

• Production • Product • Selling • Marketing Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1-8

Marketing Mix and the Customer

Four Ps • Product • Price • Place • Promotion Four Cs • Customer solution • Customer cost • Convenience • Communication Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1-9

Core Concepts

• Needs, wants, and demands • Target markets, positioning, segmentation • Offerings and brands • Value and satisfaction • Marketing channels • Supply chain • Competition • Marketing environment • Marketing planning Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1-10

Marketing Management Tasks

• Developing marketing strategies • Capturing marketing insights • Connecting with customers • Building strong brands • Shaping market offerings • Delivering value • Communicating value • Creating long term growth Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1-11

Functions of CMOs

• Strengthening the brands • Measuring marketing effectiveness • Driving new product development based on customer needs • Gathering meaningful customer insights • Utilizing new marketing technology Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1-12

Figure 1.3 Improving CMO Success (cont.)

• Make the mission and responsibilities clear • Fit the role to the marketing culture and structure • Ensure the CMO is compatible with the CEO • Remember that show people don’t succeed • Match the personality with the CMO type • Make line managers marketing heroes • Infiltrate the line organization • Require right-brain and left-brain skills Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1-13

New Consumer Capabilities

• A substantial increase in buying power • A greater variety of available goods and services • A great amount of information about practically anything • Greater ease in interacting and placing and receiving orders • An ability to compare notes on products and services • An amplified voice to influence public opinion Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1-14

Internal Marketing

Internal marketing

is the task of hiring, training, and motivating able employees who want to serve customers well. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1-15

Performance Marketing

• Financial Accountability • Social Responsibility Marketing • Social Initiatives • Corporate social marketing • Cause marketing • Corporate philanthropy • Corporate community involvement • Socially responsible business practices Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1-16

Marketing Management Tasks

• Develop market strategies and plans • Capture marketing insights • Connect with customers • Build strong brands • Shape market offerings • Deliver value • Communicate value • Create long-term growth Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1-17