1. Introduction to Marketing
Principles Week 1

2. What is Marketing?
 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.
 It is more than just selling and advertising. A good
understanding of the customer is inherent to successful
marketing.

3. Marketing is…
 Understanding the customer, designing a strategy that
focuses on the customer and managing customer
relationships are all key aspects to marketing management.

4. Customers and the Market
 Marketing involves meeting needs, wants and demands.
- A need is when an individual feels as through they are going
without something important.
- A want is shaped by culture, personality, understandings and
personality.
 Consumers need to see the perceived benefits they will receive
using the product, the features alone do not sway purchases.
 Marketers therefore need to research and identify a target
market and the overall needs and wants presented from a group
with some similarities.
 Marketers ensure their product and services offers perceived
benefits that are suited to a particular market.

5.  When a marketer understands their customers in their target
market , they are better able to meet the needs and wants.
Also customers are satisfied and the business can enjoy
continued sales and loyalty from it’s consumers.

6. Marketing Process…
 Once a target market has been identified through a process
of researching and analysing data, the marketer can then
turn attention to the relationship with the customer =
Exchange relationship.
 A positive relationship between the seller and buyer
increases potential for a business to retain customers.
 Transaction Marketing = applied to marketing approach
centred on one particular sale.
 Relationship Marketing = is more customer-centred leads to
more satisfied customers and repeat business.

7.  A customer driven strategy is the focal point of the marketing
concept.
 Businesses who take consideration of marketing concept
ensure customers are understood and all activities are
carried out with this in mind.

8. A value proposition answers the
question of “Why should I buy your
product service?”
= Benefits of the purchase
= Perceptions and feelings associated with the brand
= Positioning of the product or service
** Businesses that use the marketing concept and value
proposition are focussing their activities strongly on meeting
the needs and wants of consumers.
= Strategy of marketing suggests maintaining a relationship
with existing customers is easier than finding new customers;
loyalty, retention and overall increased market share.

9. Marketing Management
Philosophies
 Marketing philosophies and perspectives have developed
over the years, generally being either production or sales
orientated.
 Production Orientation was prevalent before 1960s in Aus
= focused on producing basic goods and services on a large
scale in the most efficient manner.
 A Sales Orientation developed after 1960s it was
characterised by the aggressive sales techniques utilised by
organisations to push products on consumers – disregards
customer needs and wants.

10. The Four P’s (Extended Marketing
Mix)
 Includes, product, price, promotion and Place.
1. Product =
- tangible & Non tangible features
- they have a life cycle and increase and decrease in
popularity depending on societal, political and economic
factors.
- Product positioning – will it be positioned as
expensive, luxury, exclusive or conversely a budget option?
Positioning correctly ensures no competition from a superior
product

11.  Pricing =
- Takes into consideration the consumers, organisations and
economy
- Economic conditions will also impact pricing decisions
- Product Position affects pricing
- Strategic pricing will consider the financial and marketing
objectives of the business as well as external factors.

12.  Promotional =
- Is communication channel for business;
advertising, selling, sales promotion and publicity.
- May include special offers, displays, samples and any other
tool that will help sell the product

13. Place =
- Distribution of the product
- Physical movement and logistics involved in moving product
from manufacturer along the distribution channel via the
market to consumer.

14. New Marketing Landscape
 Marketing management has been influenced by
globalisation, increased technology and strong demand for
businesses to be ethically and socially responsible.
 Essential for consideration in marketing