Difference Between Sales Orientation and Marketing Orientation by fbs21235

VIEWS: 313 PAGES: 39

More Info
									          An Overview of
            Marketing




1
chapter




                                             Prepared by
                                           Deborah Baker
                               Texas Christian University
                                               Revised by
                                                R. L. Baur
                           Agricultural Technical Institute
   BUSINESS MARKETING CONCEPTS
CH 1: OVERVIEW OF MARKETING
CH 2: STRATEGIC PLANNING
CH 3: SOCIAL RESPONSBILITY
CH 4: DEVELOPING A GLOBAL VISION
CH 5: CONSUMER DECISION MAKING
CH 6: BUSINESS MARKETING
CH 7: TARGET MARKETS & SEGMENTS
CH 8: MARKET RESEARCH
CH 9: PRODUCTS & SERVICE CONCEPTS
CH 10: DEVELOP & MANAGE PRODUCTS
CH 11: MARKETING CHANNELS
CH 12: RETAILING
CH 13: MARKETING COM & ADVERTISING
CH 14: PUBLIC REL, PROMOTION, & SELLING
CH 15:PRICING CONCEPTS
          CH 1: OVERVIEW OF MARKETING

          Learning Objectives

           LO1. Define The Term Marketing
           LO2. Describe Marketing Management
    1        Philosophies
           L03. Difference between Sales and Market
              Orientation
chapter




           LO4. Describe Several Reasons For Studying
              Marketing
4      Learning
       Objective   1-1 Define The Term Marketing

     What is Marketing?
     Personal Selling?

     Advertising?

     ♦ Making products
     available in stores?

    Maintaining   inventories?

                         All of the above, plus more!
4     Learning
      Objective 1-1           Define The Term Marketing

      What is Marketing?
    A Philosophy --
                                   A Set of Activities,
    An Attitude --                    including:
    A Perspective --                   Products

    A Management Orientation -         Pricing
                                       Promotion
    Stressing Customer
     Satisfaction                      Placement




       Chapter 1 Version 3e                               5
4    Learning
     Objective 1-1     Define The Term Marketing


     What is Marketing?

    American Marketing Association Definition

    Marketing is a process of creating,
      communicating, and delivering
        value to the consumers and
    managing relationships that benefit
    the organization and stakeholders.
4   Learning
    Objective 1-1   Define The Term Marketing

    The Concept of Exchange
                       The idea that people give
                       up something to receive
                        something they would
                             rather have.




                       OPPORTUNITY COST
5   Learning    1       Define The Term Marketing
    Objective
     Conditions for
       Exchange
1.There must be at least
  two parties and each party…

2. Must have something the other party
   values

3. Must communicate & deliver goods

4. Must be free to accept or reject offer

5. Must want to deal with other party
4   Learning    1        Define The Term Marketing
    Objective

    The Concept of Exchange

                       Exchange may not take place
                        even if conditions met

                       An agreement must be
                        reached

                       Marketing occurs even if
                        exchange does not take place
5
     Learning                Describe Five Marketing
     Objective 1-2          Management Philosophies.
Marketing Management Philosophies
       A. Production     “If we build it, they will buy”

         Focus on efficiency of
         making the product


                   *B. Product
                     Focus on product
                     features

     Competing               C. Sales
    Philosophies                    Focus on
                                    aggressively
                                    overcoming
                                    customer
                                    resistance
6   Learning           Describe Five Marketing
    Objective 1-2     Management Philosophies.


                    D. The Marketing Concept
                        The idea that the social
                       and economic justification
                          for an organization’s
                           existence is the (1)
                        satisfaction of customer
                       wants and (2) needs while
                         meeting organizational
                               objectives.
6   Learning           Describe Five Marketing
                1-2
    Objective         Management Philosophies.

Market Orientation Requirements
•Focus on satisfying customer needs & wants
   Top management leadership
   A customer focus
   Competitor intelligence
   Customer relationships
   Interfunctional coordination
7    Learning              Describe Five Marketing
               1-2
     Objective            Management Philosophies.

    E. Societal Marketing Orientation
     Focus on (1) satisfying customer needs &
     wants while (2) enhancing company and
     (3) societal well-being

                     Less toxic products
                        - Less Mercury
                    More durable products

                    Products    with reusable
                       or recyclable materials
8 Learning         Difference between Sales
  Objective 1-3     and Market Orientation

   5 Differences Sales & Marketing Orientation
      1. Organization’s Focus

      2. The Firms Business

     3. To Whom the Product is Directed

      4. Firm’s Primary Goal

       5. Tools Used to Achieve Those Goals
7 Learning           Difference between Sales
  Objective 1-3       and Market Orientation

  1. Organization’s Focus
     Selling –     Inward Focus On the Business
     Marketing –    Outward Focus on Customer


                        A. Customer Value

                        The ratio of benefits to the
                          sacrifice necessary to
                          obtain those benefits
8    Learning         Difference between Sales
     Objective
               1-3     and Market Orientation
    Customer Value Requirements
     • Offer products that perform
     • Earn Trust
     Lexus picking up cars for a recall
      •Avoid unrealistic pricing
      •Give the buyer facts
     •Offer organization-wide commitment in
          service and after-sales support
      US Air asked the employees to volunteer their
    time over Christmas travel to make sure a repeat
     of a Thanksgiving disaster didn’t happen again
8    Learning 1-3    Difference between Sales
     Objective        and Market Orientation

                      B. Customer
                      Satisfaction
                       The feeling that a product
                       has met or exceeded the
                       customer’s expectations.

     Focus on delighting customers

    Meet   or exceed customer’s expectations
    Provide   solutions to customer’s problems
x   Learning 1-3   Difference between Sales
    Objective       and Market Orientation

    Maintaining Customer Satisfaction
9   Learning 1-3   Difference between Sales
    Objective       and Market Orientation


                   C. Relationship Marketing




                      The name of a strategy
                         that entails forging
                      long-term partnerships
                       with customers, both
                       individuals and firms.
10 Learning  1-3   Difference between Sales
   Objective        and Market Orientation




                          Attracting a new
                         customer may be
 Relationship               TEN TIMES
 Marketing’s            the cost of keeping
                          an old customer
 Importance
9    Learning 1-3      Difference between Sales
     Objective          and Market Orientation

    Building Long-Term Relationships
    •Customer-oriented personnel
        Wal-Mart Greeter at the Door
        Bank Tellers Calling You by Name

    •Effective training programs
      Hamburger U               Disney Univ
     •Empower employees
      Solve Customer Problems Quickly
     •Team Work
10 Learning  1-3       Difference between Sales
   Objective            and Market Orientation




 2. The Firms Business
 Selling –     Defines Business by Goods & Services
 Marketing –    Defines Business by Benefits for Customer
  It ensures the firm focuses on customers

  It encourages innovation & creativity

  It stimulates awareness of changes in customer desires
11 Learning  1-3        Difference between Sales
   Objective             and Market Orientation




3. To Whom the Product is Directed
  Selling –     For Everybody or the average consumer
  Marketing –     To a specific group of people
       Different Shampoos
12 Learning  1-3      Difference between Sales
   Objective           and Market Orientation




 4. Firm’s Primary Goal

  Selling –       Profitability through sales volume

  Marketing –   Profitability through customer satisfaction
12 Learning  1-3    Difference between Sales
   Objective         and Market Orientation

  5. Tools Used to Achieve Those Goals
  Selling –      Intensive Promotional Activities

  Marketing –           Marketing Mix Balance
                     A unique blend of Product,
                     Placement, Promotion, and
                    Pricing strategies designed to
                     produce mutually satisfying
                       exchanges with a target
                                market.


                Responsibility of Everyone in Company
14       Learning       Describe several reasons
                   1- 4
         Objective       for studying marketing.


     Why Study Marketing?
        Half of every dollar spent
         by consumers pays for
         marketing costs

        Become a better-
         informed consumer
14   Learning             Describe several reasons
                   1- 4
     Objective             for studying marketing.

     Why Study Marketing?
    1/4th to 1/3rd of the   • Professional Selling
     entire civilian         • Marketing Research
     workforce in the        • Advertising
     U.S. performs           • Retail Buying
     marketing activities
                             • Distribution Management
                             • Product Management
    Fastest route up the
     corporate ladder        • Product Development
                             • Wholesaling
14   Learning             Describe Several Reasons
                   1- 4
     Objective             For Studying Marketing.

     Why Study Marketing?
        Plays an important role in
         society

        Vital to business survival, profits
         and growth

        Offers career opportunities

        Affects your life every day
          CH 1: OVERVIEW OF MARKETING
                   Summary

          1. Definition of The Term Marketing
          2. Five Marketing Management Philosophies
    1     3. Implementing The Marketing Concept
          4. Reasons For Studying Marketing
chapter
           NEXT TOPIC




        CHAPTER TWO
Strategic Planning for Competitive Advantage
18 Learning                Discuss Corporate
  Objective
            1-5
                          Social Responsibility.

  Good Examples                         Bad Examples

                     Philanthropic
Gates Foundation   Be a good citizen.


   Long Horn           Ethical                 Enron
                   Do what is right.
                                               Enron
                        Legal
                     Obey the Law.


                       Economic
                      Be profitable.
18   Learning          Describe The Role Of Ethics &
     Objective    6    Ethical Decisions In Business.

     A1. Ethics
     The moral principles or values that generally
     govern the conduct of an individual.
 Is there a difference between something being
 legal and something being ethical?

     Is illegal to put these       NO
     in an arrangement?
     Is unethical to put
     these in an           NO   Unless..
     arrangement?
                                  YES
      Unprofessional?
30   Learning        Describe The Role Of Ethics &
     Objective   6   Ethical Decisions In Business.

     Laws        Societal Prescriptions
                 Ethics that have
                 been encoded into
                 enforceable law.



 B2. Morals
     The rules people develop
     as a result of cultural
     values and norms.
19   Learning             Describe the role of ethics and
     Objective
                   6      ethical decisions in business.

     G3. Ethical Development Levels

     1. Preconventional
           Morality


      • Childlike level

      • Based on what will be punished or
        rewarded.

      • Self-centered, calculating, selfish.
19   Learning         Describe the role of ethics and
     Objective
                 6    ethical decisions in business.

 Ethical Development Levels
        2. Conventional Morality

 Moves toward the
 expectations of society
Concerned over legality &
opinion of others.
             Peer Pressure
             Rome, do as the
“When inVersion 3e
   Chapter 1                                   35
 Romans”
19   Learning                    Describe the role of ethics and
     Objective
                             6   ethical decisions in business.

     G3. Ethical Development Levels


      Postconventional
          Morality


      • Morality of the mature adult

      • Concern about how they judge themselves.

      • Concern if it is right in the long run.
      Chapter 1 Version 3e                                36
19    Learning               Describe the role of ethics and
      Objective
                        6    ethical decisions in business.

       G4. Ethical Decision Making
                        Top            Potential
                     Management      Consequences
     Extent of         Actions                         Social
     Problems
                                                     Consensus

                               Time Until      Number
            Probability of
                             Consequences      Affected
               Harm




            Collateral Damage in War
20   Learning        Describe the role of ethics and
     Objective
                 6   ethical decisions in business.

                          G5. Code of Ethics




                             A guideline to help
                          marketing managers and
                           other employees make
                              better decisions.
20   Learning        Describe The Role Of Ethics &
     Objective
                 6   Ethical Decisions In Business.

     G6. Creating Ethical Guidelines
•    Help identify acceptable
     business practices

•    Help control behavior
     internally

•    Reduce confusion in
     decision making

•    Facilitate discussion about
     right & wrong

								
To top