Kotler MM 13e Overheads 01

1
Defining Marketing
for the 21st Century

Marketing Management, 13th ed

Chapter Questions
• Why is marketing important?
• What is the scope of marketing?
• What are some fundamental marketing
concepts?
• How has marketing management
changed?
• What are the tasks necessary for
successful marketing management?
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall

What is Marketing?
Marketing is an organizational function
and a set of processes for creating,
communicating, and delivering value

to customers and for managing
customer relationships
in ways that benefit the
organization and its stakeholders.

Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall

What is Marketing Management?
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.

Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall

What is Marketed?
Goods

Goods
Services
Services
Events
Events &
& Experiences
Experiences
Persons
Persons
Places
Places &
& Properties
Properties
Organizations
Organizations
Information
Information
Ideas
Ideas
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall

Figure 1.1 Structure of Flows in a Modern
Exchange Economy

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Figure 1.2 A Simple Marketing System

Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall

Demand States
Negative

Nonexistent

Declining

Full

Latent

Irregular

Overfull

Unwholesome

Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall

Functions of CMOs
• Strengthening the brands
• Measuring marketing effectiveness
• Driving new product development
based on customer needs
• Gathering meaningful customer
insights
• Utilizing new marketing technology
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall

Figure 1.3 Improving CMO Success

• Make the mission and responsibilities clear
• Fit the role to the marketing culture and
structure
• Ensure the CMO is compatible with the CEO
• Remember that show people don’t succeed
• Match the personality with the CMO type
• Make line managers marketing heroes
• Infiltrate the line organization
• Require right-brain and left-brain skills
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall

Core Marketing Concepts
• Needs, wants, and
demands
• Target markets,
positioning,
segmentation
• Offerings and
brands

• Value and
satisfaction
• Marketing channels
• Supply chain
• Competition
• Marketing
environment

Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall

I want it, I need it…
Five Types of Needs
•
•
•
•
•

Stated needs
Real needs

Unstated needs
Delight needs
Secret needs

Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall

The marketplace isn’t what it used to be…
Information
Information technology
technology
Globalization
Globalization
Deregulation
Deregulation
Privatization
Privatization
Competition
Competition
Convergence
Convergence

Consumer
Consumer resistance
resistance
Retail
Retail transformation
transformation
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall

New Consumer Capabilities
• A substantial increase in buying power
• A greater variety of available goods and
services
• A great amount of information about
practically anything
• Greater ease in interacting and placing and
receiving orders
• An ability to compare notes on products and
services
• An amplified voice to influence public opinion
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall

Company Orientations

Production

Product

Selling

Marketing

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Figure 1.4 Holistic Marketing Dimensions

Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall

Figure 1.5 The Four P’s

Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall

Internal Marketing
Internal marketing is the task of
hiring, training, and motivating able
employees who want to serve
customers well.

Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall

Performance Marketing
• Financial
Accountability
• Social
Responsibility
Marketing

Social Initiatives
• Corporate social
marketing
• Cause marketing

• Corporate philanthropy
• Corporate community
involvement
• Socially responsible
business practices

Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall

Marketing Management Tasks
•
•
•
•
•
•
•
•

Develop market strategies and plans
Capture marketing insights
Connect with customers
Build strong brands
Shape market offerings
Deliver value
Communicate value
Create long-term growth

Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall