Marketing Management

Marketing Management Lecture Lesson By Chinmay Das Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Syllabus Module – I (10 hours) • Marketing Management: Concept, Process, Functions and relevance in the current context. • Marketing Environment: Elements of micro and macro environment • Competition Analysis: Factors contributing to competition, porter’s five forces model, Identifying and analyzing competitors. • Marketing Planning : Exploring Opportunity, Product –market selection, Marketing Planning Process. • Market Research and Information Systems: Research Process, The Internet and World Wide Web based Information collection and processing, Database, Data Warehouses and Data Mining, Global Market Research. • Consumer Behavior: Factors influencing consumer behavior, consumer decision process. Organizational buying behavior. Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Syllabus Module II (10 hours) • Market Segmentation, Targeting and Positioning: Definition, Bases of segmenting consumer and Industrial markets. Target Market strategies: Market Positioning. • Market Demand Forecasting: Key Terms, Forecasting Tools: Short term tools: Moving average and Exponential smoothing methods, Long-term forecasting Tools: Time series analysis, Econometrics methods, Qualitative tools : Buying Intention Survey, Sales Force Opinion and Delphi Techniques. • Product Planning : Product Life Cycle, New Product Development Process, Branding • Strategy, Positioning a Brand, Brand Equity, Packaging and Labeling, Product-mix and Product Line, Planned Obsolescence. Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Syllabus • Module – III (10 hours) • Pricing Decision: Objectives and Factors influencing pricing, Pricing method and strategies. • Integrated Marketing Communication (IMC)- Concept of IMC, the marketing communication process, Promotion Mix, elements of promotion mix, Direct marketing. • Channels of Distributions: Types of intermediaries, functions of distribution channels, • channel levels, Designing Distribution Channels, Physical Distribution, Supply Chain • Management (Basic only). • Trends in Marketing: Green Marketing, Customer Relationship Management, E-marketing, Rural Marketing and Service Marketing (concepts only) Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Study Materials • Lecture notes of Chinmay Das Text Book: • 1. Etzel , Walker ,Stanton and Pandit, Marketing, 14/e, Tata McGraw Hill. • 2. Saxena, “Marketing Management” Tata McGraw Hill, 4/e. Reference • 1. Grewal, Levy, ‘Marketing’ Tata McGraw Hill, special Indian edition. • 2. Karunakaran “Marketing Management”, Himalaya Publishing House, 2010/e. • 3. Kotler, Keller,Koshy and Jha, “Marketing Management”, 13/e, Pearson Education. Online Resources: • Website of Chinmay Das • Wikipages at mechanical.abit-wikispaces.com Chinmay Das, Mechanical Engineering, ABIT, Cuttack

What do you mean by Marketing? Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Fundamental Concept One can obtain product through anyone of below mentioned processes • Self Production • Beg, Burrow, Steal or Coerce • Exchange Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Fundamental Concept • Marketing can occur any time a person or organisation strives to exchange something of value with another person or organisation. • The core of marketing is a transaction or exchange. • It consists of activities designed to generate and facilitate exchanges intended to satisfy human or organisational needs or wants. Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Preconditions • Two or more people or organisation must be involved, and each must have needs or wants to be satisfied. • Each party must have something of value to contribute in the exchange, and each must believe that it will benefit from the exchange. • The parties to the exchange must be involved voluntarily. • The parties must communicate with each other ( even through third party) for awareness and information. Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Some Definitions • It is a total system of business activities designed to plan, price, promote and place want satisfying products to target markets in order to achieve organisational objectives. Etzel, Walker, Stanton, Pandit • Marketing is the social process by which individuals and organizations obtain what they need and want through creating and exchanging value with others. Kotler and Armstrong (2010) Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Some Definitions • Marketing is the management process for identifying, anticipating and satisfying customer requirements profitably. The Chartered Institute of Marketing (CIM). • Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large. American Marketing Association Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Evolution of Marketing Product Orientation Stage • Focus on quality and quantity of outputs • Customers would seek out and buy reasonably priced, well made products. • Demand is more than supply • Focus is on efficiency and cost control • No need to worry about customer’s wants (necessity items) Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Evolution of Marketing Sales-Orientation Stage • Customers have limited resources and numerous options. • How to sale output? • Advertising consumes large share of resource • Hard selling, Unfair practice. Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Sales-Orientation Stage Firms that follow this philosophy focus on "pushing" the product using advertising and promotion. Marketing is not selling: selling is similar to pushing, and marketing is more like pulling. A firm that promotes a product heavily after it is manufactured is in danger of creating a dissatisfied customer. People are very likely to be disappointed in the product’s performance. A dissatisfied customer is likely to complain to ten others about a bad experience with a product. Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Evolution of Marketing Market Orientation Stage • If a firm wants to achieve its goals it has to focus on satisfying the needs of its customers. These goals do not necessarily have to relate to profit earned by the organisation. Libraries, politicians, colleges, hospitals, and many other kinds of organizations should be marketing-oriented. If a firm focuses on satisfying the needs of its customers, it does not have to "push" its product. The public will demand the product and "pull" it through the channel of distribution. Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Evolution of Marketing The marketing concept is based on three beliefs • Customer orientation • Coordinated activities • Organisational Performance Objectives Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Evolution of Marketing Product Concept Stage • Focusing too much on one’s product and trying to make it the best-performing product in the market via improvements can also be dangerous. • The public does not want rail transportation, it wants fast, inexpensive, and convenient transportation. • Much of their business was taken away by newer modes of travel (planes stole much of their passenger business; planes and trucks took away a great deal of their freight shipping business). Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Evolution of Marketing • Consumers want energy, not necessarily oil; education, not necessarily in classrooms; communication, not necessarily by telephone; music, not necessarily on cassettes; and entertainment, not necessarily films or television. • It is dangerous to define one's business too narrowly the way the railroads did. Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Product Concept Stage • Marketing myopia is a term coined by Theodore Levitt . Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Evolution of Marketing Societal Marketing Concept • Win-Win situation for all stake holders • Marketing Strategy compatible with Social Responsibility • This requires more time, technology and skill Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Implementation of Marketing Concepts • Customer Orientation - Relationships - Mass customization • Coordinated Marketing Activities -Quality - Value creation • Organisational Objectives - Performance objectives Chinmay Das, Mechanical Engineering, ABIT, Cuttack

A Facebook Collection A Professor explained Marketing to MBA students • You see gorgeous girl in party, you go to her & say I am rich marry me That's Direct Marketing. • You attend party & your friend goes to a girl & pointing at you tells her. He' is very rich, marry him - That's Advertising. • Girl walks to you & says u are rich, ca...n u marry me? "That's Brand Recognition" • You say I m very rich marry me & she slaps u "That's Customer Feedback" • You say I m very rich marry me & she introduces you to her husband "That's Demand & Supply Gap" • Before you say I m rich, marry me, your wife arrives That's Restriction from Entering New Market. Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Thank You. Chinmay Das, Mechanical Engineering, ABIT, Cuttack

Marketing Management