Prepared By:

Ankit J. Raichura

This article is about basic concepts of marketing. I cover the

below aspects of marketing. For this I refer many books,
marketing articles and website also.

Sr. Content
No.
1 What is marketing
Difference between Marketing and
2
Selling
3 Importance of Marketing
4 Marketing Environment
5 Marketing Mix
6 Marketing Segmentation
7 Marketing Reasearch
8 Communication Mix
9 About Consumer Behavior
 Basics of Marketing
1. What is Marketing?
Marketing is based on identifying, anticipating and satisfying customer
needs effectively and profitably. It encompasses market research, pricing,
promotion, distribution, customer care, your brand image and much
more.
– The Chartered Institute of Marketing
Marketing is the multifaceted, systematic approach to selling goods,
adopted by every business and not for-profit agency and group with a
message.
The process of planning and executing the conception, pricing, promotion,
and distribution of ideas, goods, and services to create exchanges that
satisfy individual and organizational objectives. – American
Marketing Association.
Marketing is the management process responsible for identifying,
anticipating and satisfying consumers' requirements profitably.
"Marketing is the set of human activities directed at facilitating and
consummating exchanges." - Philip Kotler

2. Difference between Marketing and Selling:

Marketing Selling
Marketing starts with the buyer and Selling starts with the seller and is
focuses constantly on buyer’s needs. preoccupied all the time with the
seller’s needs.

Marketing is consumer oriented and Sales is production oriented and

more attention to consumer need. concentrate much on production and
distribution of goods.

Views business as a customer Views business as a goods producing

satisfying process. process.

Profit earn through customer Profit earn through maximization of

satisfaction. ‘Customer satisfaction’ is quantity. Sales’ is the primary motive.
the primary motive.

Marketing is more ‘pull’ than ‘push’. Selling involves ‘push’ strategy.

Marketing has a wider connotation and Selling is a part of marketing.

includes many activities like marketing
research, product planning &
development, pricing, promotion,
distribution, selling etc.

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 Basics of Marketing
Conceptual and analytical skills are Selling and conversational skills are
required. required.

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 Basics of Marketing
3. Importance of Marketing
Business Point of view Consumer Point Of
View
- Effective movement of goods - Higher standard of
living
- Widens markets - Generates Employment
- Information for decision - Improve quality and
reduce cost
- Accomplishment of firms objective - Spread Effect
- Bring reputation - Creates Equality
- Helps to introduce new product - Enhance economic
growth

4. What is marketing Environment?

A company’s marketing environment consists of the factors and forces
that affect the company’s ability to develop and maintain successful
transaction and relationship with customers. So, marketing environment
consist internal and external factors.

Micro Environment Macro Environment

(Internal Factors) (External Factors)

- The company - Demographic Environment

- The customer - Economic Environment
- The competitors - Natural Environment
- The suppliers - Technological Environment
- The middlemen - Political and Legal Environment
- The society - Cultural Environment

5. What is Marketing Mix? or (4 P of Marketing)

Marketing mix is the set of marketing tools that the firm uses to pursue its
marketing objectives in the target market.
Marketing Mix includes Product, Price, Promotion and Place.
Product:
The product is the physical product or service offered to the consumer for
attention, acquisition and consumption that can satisfy a need or want.
Price:

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 Basics of Marketing
Price is exchange value of the product at which the seller is willing to sell
and the buyer is willing to buy. Pricing strategies or methods or policies
are cost oriented, competition oriented, demand oriented, psychological,
single pricing, leader pricing, skimming or cream pricing, monopoly
pricing, promotion pricing, etc.
Promotion:
Promotional activities are required to communicate and convince the
buyers to buy the product and services. Promotion includes, Advertising,
Personal Selling, Publicity, Public Relation, Sales Promotion.
Place:
It refers to placing the products in the hands of the buyers. Place involves
distribution channels and physical distribution.

6. What is Marketing Segmentation?

Market segmentation is a process of identifying group of buyers with
different desire or requirements. – Philip Kotler
Bases of Marketing Segmentation
- Geographic (Region, Country, State, City, Population etc.)
- Demographic (Age, Gender, Family size, Income, Education,
Occupation etc.)
- Psychographic (Attitude, Values Beliefs, Interest, Opinion, etc.)
- Behavioralistic (Brand Loyalty, Readiness to Buy, Usage Rate and
Status)

Benefits of Marketing Segmentation

- Helps to identify and compare market opportunities
- Avoid the markets which will not be profitable for you
- Build loyal relationships with customers by developing and offering
them the products and services they want
- Improve customer service
- Help to develop marketing programme and budget.
- Use your resources wisely
- Identify new products
- Improve products to meet customer needs
- Assist in distribution strategies

7. What is Marketing Research ?

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 Basics of Marketing
The systematic gathering, recording and analyzing of data about problems
relating with the marketing of goods and services – American Marketing
Association.
A systematic problem analysis, model building and fact finding for the
purpose of improved decision making and control in the marketing of
goods and services.
Steps in marketing research
- Indentify primary problems
- Determine research objective
- Determine data sources
- Create the research design
- Data collection
- Organization of data
- Data analysis
- Research report

8. What is Communication Mix or Promotion Mix?

A business' total marketing communications programme is called the
"promotional mix". Using several different types of communication to
support marketing goals which include Advertising, Personal selling,
Publicity, Public Relation and Sales promotions.
Objective of promotion:
- Communication
- Convincing
- To motivate consumer
Factor affecting promotion mix:
- Nature of the product
- Sate of product life cycle
- Nature of the market
- Availability of the fund
- Nature of the technique
- Promotion strategy
Elements of Promotion Mix
Advertising
Any paid form of non personal presentation and performance of ideas,
goods or services by an identified sponsor. – American
Marketing Association

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 Basics of Marketing
Advertising is intended to persuade and to inform. The two basic aspects
of advertising are the message (what you want your communication to
say) and the medium (how you get your message across)
Personal Selling
Personal selling is an oral presentation in a conversation with one or more
prospect purchaser for the purpose of making sales.
Sales Promotion
Providing incentives to customers or to the distribution channel to
stimulate demand for a product.
Public Relation
Public relation practices are the deliberate, planned and sustained effort
to establish and maintain mutual understanding between the organization
and the general public. In short, public relation is a dully planned effort to
develop the mutual understanding between the organization and the
general public.
Publicity
Publicity is a non commercial communication
The main object is only to inform the audience of the latest events.
Publicity forms part of the editorial content and the wording or content
and the location of the information about the product or service are
controlled by the publisher.

9. What is consumer Behavior?

Consumer behavior is the process where individual decide wheather,
what, when, where, how and from whom to buy goods and services.
Consumer Buying Decision Process
- Problem/Need identification
- Information collection
- Evaluation of alternatives
- Purchase decision
- Post purchase decision

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