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 1-2

 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.

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 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.

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 What is Marketed?

• Goods • Places and

• Services properties
• Events and • Organizations
experiences • Information
• Persons • Ideas

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 Demand States

• Negative • Irregular
• Nonexistent • Unwholesome
• Latent • Full
• Declining • Overfull

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 Key Customer Markets

• Consumer markets
• Business markets
• Global markets
• Nonprofit/Government markets

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 Company Orientations

• Production
• Product
• Selling
• Marketing

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 Marketing Mix and the Customer

Four Ps Four Cs
• Product • Customer
• Price solution
• Place • Customer cost
• Promotion • Convenience
• Communication

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 Core Concepts

• Needs, wants, and • Marketing

demands channels
• Target markets, • Supply chain
positioning, • Competition
segmentation • Marketing
• Offerings and environment
brands • Marketing
• Value and planning
satisfaction

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 Marketing Management Tasks

• Developing • Shaping market

marketing offerings
strategies • Delivering value
• Capturing • Communicating
marketing insights value
• Connecting with • Creating long-
customers term growth
• Building strong
brands

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 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 1-12

 Figure 1.3 Improving CMO Success
(cont.)
• 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 1-13

 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 1-14

 Internal Marketing

Internal marketing is the task of

hiring, training, and motivating able
employees who want to serve
customers well.

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 Performance Marketing

• Financial Accountability • Social Initiatives

• Social Responsibility • Corporate social
Marketing marketing
• Cause marketing
• Corporate philanthropy
• Corporate community
involvement
• Socially responsible
business practices

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 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 1-17