School of Distance Education

1 MARKETINGMANAGEMENTS tudymaterialIISEMESTER SEMESTER BBA-CORE COURSE(2011 Admission)UNIVERSITY OF CALICUTSCHOOL OF Distance EDUCATIONCALICUT UNIVERSITY MALAPPURAM, KERALA, INDIA-673635410 School of Distance EducationMarketing Management2 UNIVERSITY OF CALICUTSCHOOL OF Distance EDUCATIONS tudy materialII SEMESTER SEMESTER BBA CORE COURSEMARKETING MANAGEMENTP repared by:Module I, II & Professor,Department of Commerce, , & OTTUPARAMMALA ssistant Professor,Department of Commerce, ,MalappuramModule KUNHUA ssistant ProfessorDepartment of MalappuramEdited & Scrutinised ,Associate Professor,Department of Commerce,Govt. College, Madappally ReservedSchool of Distance EducationMarketing Management3 MODULECONTENTPAGE No:IMARKETING MANAGEMENT1-29 CONSUMER BEHAVIOURMARKET SEGMENTION AND TARGET MARKETIIPRODUCT30-42 PRICINGIIIPHYSICAL DISTRIBUTION43-49 IVPROMOTION50-60 VRURAL MARKETING61-65 VIELECTRONIC MARKETING66-75 School of Distance EducationMarketing Management4 MODULE ISchool of Distance EducationMarketing Management5 MARKETING MANAGEMENTINTRODUCTIONM arketing is everywhere and it affects our day-to-day life in every possible manner.

2 Formally orinformally people and organizations engage in a vast number of activities that could be called asmarketing. Good marketing is no accident, but a result of careful planning and execution. It is both an artand science. Let s discuss various concepts and issues in DEFINITIONM arketing management is the art and science of choosing target markets and getting, keeping andgrowing customers through creating, delivering and communicating superior customer short Marketing is Meeting needs profitably . Marketing has been defined by differentauthors in different ways which can be broadly classified into three Product Oriented DefinitionThe emphasis is given on AMA redefined marketing as Marketing is the process of planning and executing the conception,pricing, promotion and distribution of ideas, goods and servicesto create exchanges that satisfy individualand organizational goals.

3 Customer-Oriented DefinitionHere the emphasis is on customers and their the words of Philip Kotler Marketing is the human activity directed at satisfying needs andwantsthrough an exchange process. Value Oriented Definition (Modern Definition)In 2004 the American Marketing Association defined Marketing is an organizational function and a setof processes for creating, communicating and delivering value to customers and for managing customerrelationships in ways that benefit the organization and its stakeholders. SCOPE OF MARKETINGThe scope of marketing can be understood by discussing what is marketing, how it works, what ismarketed and who Drucker, a leading management theorist, puts it this way, there will always, one can assume, beneed for some selling.

4 But the aim of marketing is to make selling superfluous. The aim of marketing is toknow and understand the customer sowell that the product or services fits him and sells itself. Ideallymarketing should result in a customer who is ready to buy. All that should be needed then is to make theproduct or service is marketed?Marketing people market 10 types of entities; let s take a quick look at these;GOODS physical goods constitute the bulk of most countries production and marketing of Distance EducationMarketing Management6 SERVICES services include the work of airlines, hotels, cars rental firms, barber and beauticians,maintenance andrepair people, and accountants, bankers, lawyers ,engineers doctors, softwareprogrammers, and management promote time-based events, such as major trade shows, artistic performances, andcompany anniversaries.

5 Global sportingevents such as the Olympics and the World cup are promotedaggressively to both companies and orchestrating several services and goods, a firm can create, stage and marketexperiences. Veega land, Black Thunder etc represents thiskind of experiential marketing is a major business, Artists, Musicians, CEOs, physicians, high-profilelawyers and financiers, and other professionals all get help from celebrity , states, regions, andwhole nations compete actively to attract tourists, factories, companyheadquarters, and new residents. Place marketers include economic development specialists, real estateagents, commercial banks, local business associations, and advertising and publicrelations are intangible rights of ownership of either real property (real estate) orfinancial property (stocks and bonds).

6 Properties are bought and sold, and these exchanges actively work to build a strong, favorable, and unique image in theminds of their target is essentially what books, schools, and universities produce, market, anddistribute at a price to parents, students,and market offering includes a basic idea. Social marketers are busy promoting such ideas as Friends Don t Let Friends Drive Drunk and A Mind Is a Terrible Thing to Waste. Who markets?MARKETERS AND PROSPECTSA marketeris someone who seeks a response-attention, a purchase, a vote, a donation fromanother party, called theprospect. If two parties are seeking to sell something to each other, we call themboth IMPORTANCE OF MARKETINGM arketing is important not only for organizations but for individuals, society and economy as awhole.

7 Financial success often depends on marketing ability. Finance, operations, and other businessfunctions will not really matter if there isn t sufficient demand for productsand services so the companycan make a profit. There must be top line for there to be a bottom line. Many companies have now createda Chief Marketing Officer, or CMO, position to put marketing on a equal footing with other C-levelexecutives, such as theChief Executive Officer (CEO) and Chief Financial Officer (CFO).Also marketing steps its foot in every walk of life. Some of its importance can be discussed as marketing is critical to the success ofthe organisation in the following ways: Helps in income generation. Helps in planning and decision-making. Helps in of Distance EducationMarketing Management7 Helps in exchanging information.

8 Helpstoadapt to changing environment. Expands global presence. Helps to earn Provides quality products. Provides variety of products. Improves knowledge of consumers. Helpsin selection. Consumer bridges the gap between firm and society. Provides employment. Raises standard of living. Creates utilities. Reduces costs. Solves social problems. Makes life easier. Enriches stimulates research and innovation Saves the economy from depression. Increase in national income. Economic growth. Ploughing back of EVOLUTION OF MARKETING CONCEPTM arketing concept has undergone a drastic change over years. Earlier it was production or laterselling which was key to marketing idea but movingahead now these have given way to customersatisfaction rather delight developing a modern marketing concept.

9 Let s review the evolution of earliermarketing ideas;THE PRODUCTION CONCEPTIt is one of the oldest concepts in business. It holds thatconsumers will prefer products that arewidely available and inexpensive. Managers of production-oriented business concentrate on achievinghigh production efficiency, low costs, and mass PRODUCT CONCEPTIt proposes that consumers favorproducts that offer the most quality, performance, or innovativefeatures. Managers in these organizations focus on making superior products and improving SELLING CONCEPTIt holds that consumers and businesses, if left alone, won t buy enough of the organization sproduct. The organization must therefore undertake an aggressive selling and promotion of Distance EducationMarketing Management8 THEMARKETING CONCEPTIt emerged in mid-1950s, instead of a product-centered, make-and sell philosophy, businessshifted to a customer-centered, sense-and-respond marketing concept holds that the key to achieving organizational goals is being effective thancompetitors in creating, delivering, and communicating superior customer value to your chosen target Levitt of Harward drew a perceptive contrast between the selling and marketingconcepts.

10 Selling focuses on the needs of the seller, marketing on the needs of the buyer. Selling ispreoccupied with the seller s need to convert his product into cash, marketing with the idea of satisfyingthe needs of the customer by means of the product and the whole cluster of things associated withcreating , delivering, and finally consuming scholars have found that companies that embrace the marketing concept achieve superiorperformance. This was first demonstrated by companies practicing areactive market orientation-understanding and meeting customers expressed trends and forces defining the 21stcentury are leading business firms to a new set of beliefsand practices. Today s best marketers recognize the need to have a more complete, cohesive approachthat goes beyond traditional applications of the marketing concept is based on thedevelopment, design, and implementation of marketing programs,processes and activities that recognizes their breadth and interdependencies.