Transcript Chapter 1 section 1

Marketing All Around Us!
2nd Period
Marketing Principles
What is Marketing?

The process of developing, promoting,
and distributing products to satisfy
customers’ needs and wants.
Products, Goods, Services, &
Exchange
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Products
– Include goods and services
• Have monetary value & satisfy customers’
needs & wants

Goods
– Items you touch or hold in your hands
• Ex. Automobile, hammers, soft drinks
Products, Goods, Services, &
Exchange, Etc.
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Services
– You cannot physically touch
• Ex. Dry cleaners, amusement parks
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Exchange
– Takes place every time something is sold
in the marketplace
Marketing
Helps connect businesses to their
customers
 Goods are created and sent to the
marketplace where they are made
available to the public
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Marketing and You

Marketing principles and techniques
used daily
– Ex. Breakfast you eat, shampoo, soap,
toothpaste
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Created to meet your needs
Parts of Marketing
Product Planning
 Packaging
 Advertising
 Displays and Promotional Techniques
 Personal Selling
 Selling and Distribution
 Marketing Research
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Foundations of Marketing
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Business, Management,
Entrepreneurship
– Understanding the basics of business,
management, and entrepreneurial
concepts that affect business decision
making
Foundations of Marketing
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Communication and Interpersonal Skills
– Understanding concepts, strategies, and
systems needed to interact effectively with
others
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Economics
– Understanding the economics principles
and concepts that are basic to marketing
Foundations of Marketing

Professional Development
– Understanding concepts and strategies
needed for career exploration,
development, and growth
Functions of Marketing

Distribution
– Decides where and to whom products
need to be sold in order to reach the final
users
– Moving and storing
• Ex. Truck, rail, ship, and/or air
• Ex. Warehouses
Functions of Marketing
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Financing
– Getting money that is necessary to pay for
the operation of a business
• Ex. Bank Loans, Sell shares
– What payment options to offer customers
• Ex. Credit Card, Store credit
Functions of Marketing
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Marketing Information Management
– Obtained through research
• Ex. Questionnaires
– Want to learn how to better serve their
customers and to better market their
products
Functions of Marketing
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Pricing
– How much to charge for goods and
services to maximize profits
– Based on competitive prices and to
determine what customers are willing to
pay
– What to gain marketing share and
achieving a certain return on an investment
Functions of Marketing
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Product/Service Management
– Obtaining, developing, maintaining, and
improving a product or product mix in
response to marketing opportunities
– Made on the basis of market research,
which highlights consumer needs and
wants
Functions of Marketing
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Promotion
– Communicating with potential customers to inform,
persuade, or remind them about a business’s
products
• Ex. Television, Radio (advertising), Print and online
– Improve a companies public image
• Ex. Socially Responsible – cleaning up community –
Public Relations
– Communicate information about products,
services, images, and/or ideas to achieve a
desired income
Functions of Marketing
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Selling
– Provides customers with goods and services they want
– Includes selling in retail market to you, the customer,
and selling in the business-to-business market to
industrial users
– Used to determine clients needs and wants and
response through planned, personalized
communications that influences purchasing decisions
and enhances future business opportunities
– Includes selling in a business-to-business
– Purchasing for use in a business operations
Marketing Concept
Idea that a business should strive to
satisfy customers’ needs & wants while
generating a profit for the firm.
 Focus is on customers
 All 7 functions need to support this idea
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Customer Relationship Management
Combines customer information with
customer service and marketing
communications
 Through database & computer
technology
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