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B.Sc TTM 2Marketing Management All right are reserved with CU-IDOL Tourism Marketing Course Code: BTT 112 Semester: First SLM Unit: 1 Unit: 1 www.cuidol.in Unit 1( BTT 112)
Marketing Management 33 OBJECTIVES INTRODUCTION To make students aware of the basic concepts of In this unit we are going to learn about the marketing. market and various concepts of marketing management. To develop an understanding of different types of markets and its relevance for Managers. Under this you will learn and understand the nature and scope of marketing. To make students understand the functions and importance of marketing In this unit you will learn the implications of marketing in today’s scenario. www.cuidol.in Unit 1( BTTT 112) INSTITUTE OF DAISllTAriNgChEt aArNeDreOsNeLrvINeEdLwEiAthRNCIUN-GIDOL
TOPICS TO BE COVERED 4 > Market and Marketing Communication > Core Concepts of Marketing > Importance of Marketing, > Functions of Marketing www.cuidol.in Unit 1( BTT 112) All right are reserved with CU-IDOL
Market 5 • Market is a place where buyers and seller meet to buy or sell products , as In the case of a fish market, vegetable market or grain market. • Such buyers or customers share a particular need or want that can be satisfied through exchange relationship. • The size of the market will depend on the number of people who exhibit the need, have buying power, and are willing to exchange their resources for what want. https://in.images.search.yahoo.com/yhs/searc h;_ylt=AwrxhZUbPvpdFX0A7p4O9olQ;_ylu=X • Definition: “It is a place or area of potential exchange” ---- Phillip Kotler 3oDMTBsZ29xY3ZzBHNlYwNzZWFyY2gEc2x rA2J1dHRvbg- www.cuidol.in Unit 1( BTT 112) All right are reserved with CU-IDOL
What is Marketing 6 ▪ Marketing is an organizational function and set of processes for creating, communicating & delivering value to customers and for managing customer relationships in ways that benefit the organization & its stakeholders (American Marketing Association). ▪ A social and managerial process whereby individuals and groups obtain what they need and want through creating and exchanging products and value with others (Philip Kotler). www.cuidol.in Unit 1( BTT 112) All right are reserved with CU-IDOL
Marketing 7 ▪ In other words, Marketing is managing profitable customer relationships ▪ Attract new customers by providing them superior value and retain existing customers by delivering satisfaction. ▪ A process by which individuals/groups satisfy their needs and want by creating offering and exchanging goods of value with others. www.cuidol.in Unit 1( BTT 112) https://in.images.search.yahoo.com/yhs/search;_ylt=Awr xhWhHPfpdgAYAHwTnHgx.;_ylu=X3oDMTB0N2poMXR wBGNvbG8Dc2czBHBvcwMxBHZ0aWQDBHNlYwNwaX Zz?p All right are reserved with CU-IDOL
Marketing Management 8 ▪ Marketing is defined as a social and managerial process by which Individuals and groups obtain what they need and want through creating and exchanging products and value with others.(Philip Kotler) ▪ 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. www.cuidol.in Unit 1( BTT 112) https://www.indiamart.com/proddetail/marketing-mana gement- service-19878341388.html All right are reserved with CU-IDOL
Tourism Marketing 9 • Tourism marketing is basically a segment marketing that deals with promoting different tourist attractions, tours and activities, destinations, accommodation, etc. • Travel and tourism marketing is the systematic and coordinated execution of business policies by the both private or public and public sector tourism organizations operating at the local, regional, national, or international level to achieve the optimal satisfaction of the needs of identifiable tourist groups, and in doing so to achieve an appropriate return. www.cuidol.in Unit 1( BTT 112) 9All right are reserved with CU-IDOL
MARKETING TERMS 10 Consumer: One who actually uses the product or service. For example, you bought a shirt and gifted it to your friend who uses it. Here your friend is the consumer and you are a buyer. However, a consumer can also be the buyer. Customer: A customer usually refers to the person who takes the buying decision. For example, in a family, father decides on the brand of the toothpaste to be used by his children. Here, the children are the consumers and the father is the customer. A customer can also be the consumer. Similarly, the buyer may be different from the customer or one can be the customer as well as the buyer. Product: A product is any good, service, or idea that can be offered to a market to satisfy a want or need www.cuidol.:in Unit 1( BTT 112) All right are reserved with CU-IDOL
Marketing and Customer Value 11 Value and Satisfaction ▪ Value = Benefits/Costs ▪ Benefits = Functional Benefits + Emotional benefits ▪ Costs = Monetary costs + Time + Energy + Psychic costs Offer should contain value for the product. https://www.cleantelligent.com/blog/2019/03/12/value-customer-sat isfaction/ www.cuidol.in Unit 1( BTT 112) All right are reserved with CU-IDOL
CONCEPTS OF MARKETING MANAGEMENT 12 The marketing functions or activities are conducted by various companies based on six alternative concepts or orientations. They are: ▪ Production concept ▪ Product concept ▪ Selling concept ▪ Marketing concept ▪ Societal marketing concepts https://in.images.search.yahoo.com/yhs/search;_ylt=AwrxhWhHPfpdgAYAHwTnHgx.;_ylu=X3o DMTB0N2poMXRwBGNvbG8Dc2czBHBvcwMxBHZ0aWQDBHNlYwNwaXZz?p www.cuidol.in Unit 1( BTT 112) All right are reserved with CU-IDOL
Marketing Management Concepts 13 Quality Create, deliver, and Innovation communicate value Production Product Selling Marketing Holistic Mass production Unsought goods Build Social and Ethical Mass distribution Overcapacity Considerations http://bankofinfo.com/wp-content/uploads/2014/04/conce pts_of_marketing_management.jpg www.cuidol.in Unit 1( BTT 112) All right are reserved with CU-IDOL
PRODUCTION CONCEPT 14 • It is the oldest concept of marketing that believes that consumers will favour products that are readily available at reasonable prices. • Improvement in production and distribution efficiency will be the focus for managements under this concept. • Henry Ford believed that if cost is reduced, more people would buy it. Ford did not have any concern about customers’ preferences and joked that the customer can have any colour for the car, provided it was https://www.google.com/search?q=images+on+production+co black. ncept&source=lnms&tbm=isch&sa=X&ved=2ahUKEwjd4uT00 L7mAhWVT30KHbf2BmEQ_AUoAXoECAwQAw&biw=1366& bih=608#imgrc=A66HfUwHOQnw3M: www.cuidol.in Unit 1( BTT 112) 1A4ll right are reserved with CU-IDOL
THE PRODUCT CONCEPT 15 • Consumers will favor those products that offer the most quality, performance, innovative features. • Continuous improvements in product and quality are essential for companies that follow this concept. • Since the main focus of the marketers is the product quality, they often lose or fail to appeal to customers whose demands are driven by other factors like price, availability, usability, etc. www.cuidol.in Unit 1( BTT 112) https://www.feedough.com/marketing-management-philosophies- five-marketing-concepts-with-infographics/ 1A5ll right are reserved with CU-IDOL
SELLING CONCEPT 16 • The selling concept believes that consumers will not buy enough of the organization’s products. The organization must therefore, undertake pressure selling and promotion effort. • The concept is especially used for unsought goods which buyers normally donot think of buying, life insurance, cemetery plots, etc. • The essence of this concept is “Goods are not bought but sold”. • When companies face excess production, they follow this concept to sell what they make, without caring for customer’s needs or satisfaction. https://www.feedough.com/marketing-management-philosophies- five-marketing-concepts-with-infographics/ www.cuidol.in Unit 1( BTT 112) 1A6ll right are reserved with CU-IDOL
THE MARKETING CONCEPT 17 • The marketing concept believes that achieving the company’s objectives depends on understanding the needs and wants of target markets and delivering the desired satisfaction in a better way than what the competitors are doing. • Focus on customer and value is considered the path to successful sales and company profits in this concept. • The customer is considered THE KING, and the company produces and markets what the customer wants. https://www.feedough.com/marketing-manag ement-philosophies-five-marketing-concepts- with-infographics/ www.cuidol.in Unit 1( BTT 112) 1A7ll right are reserved with CU-IDOL
SOCIETAL MARKETING CONCEPT 18 • The idea that the organization should determine the needs, wants, and interests of target markets and deliver the desired satisfactions more effectively and efficiently than competitors in a way that maintains or improves the consumer’s and society’s well – being. • It is a broadest marketing concept. It takes into consideration not only consumer satisfaction but also social welfare. • The societal marketing concept calls on marketers to balance three considerations in setting their marketing policies: company profits, consumer wants, and society’s interests or human welfare. Unit 1( BTT 112) https://www.feedough.com/marketing- management-philosophies-five-marketi www.cuidol.in ng-concepts-with-infographics/ 1A8ll right are reserved with CU-IDOL
Three Considerations Underlying The Societal 19 Marketing Society (Human welfare) Societal marketing concept Consumers Company (Want satisfaction) (Profits) https://www.123rf.com/photo_6593691_image-describing-societal-marketing-concept-in-business.html www.cuidol.in Unit 1( BTT 112) 1A9ll right are reserved with CU-IDOL
Relationship Marketing 20 • we as a marketer started making good relations with customers. we are going to make our temporary customers permanent ones for the prosperity of the business. As retaining old customers is way better than making new. And this bring more profit as costs are also cutting that is going to be spent on making new ones. • Happy customers by giving them after sale services. www.cuidol.in Unit 1( BTT 112) 2A0ll right are reserved with CU-IDOL
Conclusion 21 Production • Long ago, when barter Era system ends Sales Era • When emphasis was only on sales volume Marketing • Present era Era www.cuidol.in Unit 1( BTT 112) 2A1ll right are reserved with CU-IDOL
Click to edit Master title style 22 • Edit Master text styles • Second level • Third level • Fourth level • Fifth level www.cuidol.:in Unit 1( BTT 112) All right are reserved with CU-IDOL
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What is to be Marketed? 28 • Goods • Services • Experience • Events • Person • Places www.cuidol.in Unit 1( BTT 112) 2A8ll right are reserved with CU-IDOL
What is to be Marketed? 29 • Real estate • Business entities • Information • Ideas www.cuidol.in Unit 1( BTT 112) 2A9ll right are reserved with CU-IDOL
30 Consumer vs Customer Customer : The one who buys the product is called a customer Consumer The one who uses the product is called a consumer. www.cuidol.in Unit 1( BTT 112) All right are reserved with CU-IDOL
Internal and external 31 Custome •Internalrcsustomer and external customer are potential or current buyers. •Internal customers are buyers who are associated with the organization they are buying the product. •External customers are buyers who are not affiliated with the company they are purchasing the product or services. www.cuidol.in Unit 1( BTT 112) All right are reserved with CU-IDOL
32 Loyal Customers They represent no more than 20 percent of our customer base, but make up more than 50 percent of our sales. www.cuidol.in Unit 1( BTT 112) All right are reserved with CU-IDOL
33 Discount Customers They shop in our stores frequently, but make their decisions based on the size of our markdowns. www.cuidol.in Unit 1( BTT 112) All right are reserved with CU-IDOL
34 Need-Based Customers: They have a specific intention to buy a particular type of item. www.cuidol.in Unit 1( BTT 112) All right are reserved with CU-IDOL
35 Impulse Customers They do not have buying a particular item at the top of their “To Do” list, but come into the store on a whim. They will purchase what seems good at the time. www.cuidol.in Unit 1( BTT 112) All right are reserved with CU-IDOL
36 Wandering Customers They have no specific need or desire in mind when they come into the store. Rather, they want a sense of experience and/or community. www.cuidol.in Unit 1( BTT 112) All right are reserved with CU-IDOL
37 customer needscan be divided into four basic categories: The need to be understood Customers need to feel that the message they are sending is being correctly received and interpreted The need to feel welcome Customers need to feel that you are happy to see them The need to feel important Customers like to feel important and special www.cuidol.in The need for comfoUnritt1( BTT 112) All right are reserved with CU-IDOL
Objective of Marketing 38 Objective of Marketing The objectives of Marketing have twofold objectives viz. 1. Consumer Objective, 2. Company Objective & Social Objective. Consumer Objective: a. To know the needs of Present consumers & potential consumers b. To create time, place and possession utilities to satisfy human wants. c. To satisfy customers. www.cuidol.:in Unit 1( BTT 112) All right are reserved with CU-IDOL
Company Objectives: 39 Objective of Marketing ❖To conduct best research to find out consumer needs. ❖To manufacture goods and services those are demanded by customer. ❖To make goods and services available for consumers in right time, at right place, in required quantities & at the right price. ❖ To make customers satisfy so as to make them patronage (Permanent customer) of the company. www.cuidol.:in Unit 1( BTT 112) All right are reserved with CU-IDOL
Importance of Marketing 40 • Widens the market • Facilitates the exchange of goods and services • Ownership and possession • Optimal utilization of resources • Assistance to other activities • Increased national income • Raise standard of living www.cuidol.in Unit 1( BTT 112) 4A0ll right are reserved with CU-IDOL
Importance of Marketing 41 • Generation of employment • Stabilizes the economic conditions • Helps in decision making • Research and development • Maximum satisfaction of human wants www.cuidol.in Unit 1( BTT 112) 4A1ll right are reserved with CU-IDOL
Importance / Advantages / Benefits / 42 Significance of Marketing Benefits to Firm 1. It helps in earning & increasing profit: Main aim of every business unit is to earn profit. Marketing helps the firm to increase in profit through advertising & sales promotional activities & reducing cost through market research. 2. Marketing helps in Planning & decision making: Every business organization has to take important decisions like what to produce, how to produce, where to produce, when to produce & how these goods & services are made available to the customers. Answer to all these questions are given by Marketing Department, So Marketing helps in planning & decision making. www.cuidol.in Unit 1( BTT 112) All right are reserved with CU-IDOL
MARKETING MANAGEMENT 43 3. Marketing is a source of new ideas: Marketing gives the detail idea of current business environment i.e. demands of customers, tastes & preferences of customers, prices of competitions through market research. 4. Marketing provides goods to ultimate consumer: The marketing process bridges the gap between Producer & consumer. It is the duty of marketing people to pass the product from manufacturer to the final consumers through various channels of distribution www.cuidol.:in Unit 1( BTT 112) All right are reserved with CU-IDOL
Benefits to society 44 1. Marketing improves the Standard of living of the society: The main objective of the marketing is to satisfy human wants. Marketing creates demand & increases demand for new products & services, which ultimately improves the standard of living of the people. 2. It provides employment: In India nearly 40% of the population is engaged in marketing activities directly or indirectly. Large numbers of peoples are engaged in Market research, Wholesale Trade, Retail Trade, transportation, warehousing, Advertisement, Publicity & promotion. Thus marketing provides employment opportunities to society. www.cuidol.:in Unit 1( BTT 112) All right are reserved with CU-IDOL
Cont........... 45 3. It stabilizes the economic conditions More production with less demand & less production with more demand both situations are harmful to society. A efficient marketing makes balance in between demand and supply (production), through creating demand & by distributing goods to consumer, thus it solves the problem of imbalance economic conditions. 4. Marketing increases National Income: Marketing creates demand for new & existing products. If demand goods increase production also increases. If production goods & services increase the National Income of a country also increases. www.cuidol.:in Unit 1( BTT 112) All right are reserved with CU-IDOL
MARKETING AIMS AT: 46 • Enhancing the profitability • Utilization of resources • Raising the standard of living • Maximum consumer satisfaction • Higher productivity www.cuidol.in Unit 1( BTT 112) 4A6ll right are reserved with CU-IDOL
Importance of Marketing 47 ▪ Marketing helps in transfer, exchange and movement of goods. ▪ Marketing is helpful in raising and maintaining the standard of living of the community. ▪ Marketing creates employment. ▪ Marketing as a source of income and revenue. ▪ Marketing acts a basis for making decisions. ▪ Marketing acts a source of new ideas. ▪ Marketing is helpful in development of an economy. www.cuidol.in Unit 1( BTT 112) All right are reserved with CU-IDOL
Functions of Marketing 48 www.cuidol.in https://www.qsstudy.com/marketing/functions-modern-marketing All right are reserved with CU-IDOL Unit 1( BTT 112)
49 DISTINCTION BETWEEN PRODUCT & SERVICE www.cuidol.in Unit 1( BTT 112) 49 All right are reserved with CU-IDOL
PRODUCT VS. SERVICE 50 Product is something that Service is the intangible that you can touch, see and can only be felt cannot be feel. Example of product touched or seen. Example For is goods, building, service is getting a haircut, furniture, mobile phones Travelling, hospitality etc. etc. www.cuidol.in Unit 1( BTT 112) 5A0ll right are reserved with CU-IDOL
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