MKTG1000 Lecture Notes - Lecture 1: Fiverr, Shampoo, Whole Foods Market
MKTG1000 - Module 1
Lecture
Learning Outcomes:
• Define the term marketing
• Describe four marketing management philosophies
• Discuss the difference between sales and market orientations
• Describe several reasons for studying marketing
What will be achieved by the end of the unit?
• Segmentation and positioning
• Business planning – marketing plan
• What is the purpose of marketing?
• How does it fit in the grand scheme of things?
• Trends, changes and insights → everything is changing, you have to be flexible
An overview of marketing
• Selling something – not just a product
• How do you communicate? What is the most important thing about your customer, to sell your
product?
• There is a science behind an advertisement → knowledge and background of a print ad, target
market/audience
• Creative, how do you change consumers perceptions on a particular product
What is marketing?
• Solving a problem but also creates the problem
• Problem solving – become creative
• You have survived pretty well without an iPad, but now you need one, because marketers have created
a need for the product
Where does marketing fit in business?
• You need to understand where the product fits in your business
• If you dot udestad it ill ot sell
• Marketers are going to make consumers part with their money to purchase the businesses product
• Consumers want to pay for something, but they also have to feel happy about their purchase
What is the value of marketing?
• Maketes ae the opays ouiatos
• Gateway to your consumers
How is it different from sales?
• Very different from sales, but you need a degree of sales in marketing
• Content is difficult to create because it comes in many forms
• Viral marketing – only if it is accidental
• Who created it? The new aspect of grooming not shaving?
find more resources at oneclass.com
find more resources at oneclass.com
• What makes people crave bloggers? Post that people are interested
Marketing history/evolution
• 1930s – Podutio oietatio, this is hat e ake. “ell it!
- Industrial
- Burst of materialism
• 1960s – Cosue oietatio, this is the taget ustoe. Get the to uy!
- Look into differences, everyone has a different need, taste, or use of certain products
- Understand consumers a bit better
• 2010s – Cosue as die, this is hat e eliee. Joi us.
- Consumers now are the drivers of a company
- The people are creating the brand/market
Do you know your market? (Encyclopaedia ad)
• You need to understand your market?
• Where it is moving to
• What they are doing
Target Market
• No such thing as a one size fits all
• the taget audiee is ales ad feales aged zeo ad up – not true
• Everyone has their differences
Experience Economy
• Commodities → Goods → Services → Experiences
• People pay top dollar for experiences/unique experiences
• Why do people pay for experiences? Emotional and emotionally engaging, irreplaceable and unique to
each and every individual
• People at to pay fo soethig that eause it is uiue o its a oe it a lifetie oppotuity
• People have gone from buying goods to services – etail is suffeig ot eause thei goods aet
good, but people have moved to hoping for more services or experiences – EVOLUTION OF
CONSUMERS WANTS
• People are willing to pay for experiences
• People want to live experiences
Companies that are about experiences – The Sharing Economy, people for people, can be a supplier and
consumer
• AIR BNB
• UBER
• WEWORK
• FIVERR
• KICKSTAR
Communication
• How you can communicate with your consumers to find out what they want
Age of Analytics and Data
• It is o loge aout the podut, its also aout the data ad aalytis
find more resources at oneclass.com
find more resources at oneclass.com
• Understanding the background – google analytics, social media, hoot sweep
• Important to understand data
• Where do people gather? Heat zones? Charge higher for those retail spaces
• There is a lot of thought and strategy that goes behind marketing and brand positioning
Maketig is…
• A philosophy, an attitude, a perspective, or a management orientation that stresses customer
satisfaction
• An organisational activity, set of institutions, and processes
• About the perspective – how to create marketing campaigns that will target different groups of people
and cultures
Definition of 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
• People pay fo alue, they dot just pay fo the podut
Maketig…
• Entails processes that focus on delivering value and benefits to customers, not just selling goods and
services
Exchange
• Conditions for exchange
1. At least two parties
2. Something of value
3. Communication and delivery
4. Freedom to accept or reject
5. Desire to deal with other party
• Exchange may not take place even if conditions are met
• An agreement must be reached
• Marketing occurs even if exchange does not take place
Importance of Value
• Child who bought an iPhone for an exchange of a kidney → wanted it so badly, there is a lot of risk to
get a physical product
• Hello Kitty
- Cultural relevance
- Doest have a mouth – Japanese culture, ideal women in the past talk too much
- Caused a craze through SE Asia
- Limited addition – McDonalds, in a value meal you receive a toy
- People went to McDonalds just for the toy, defeats the value of the meal
- People are willing to pay more for the Hello Kitty
• What is the value of waiting for a product? What could you be doing?
• How do you gauge individuals value?
• How do you increase the perception of value for various people?
Marketing Management Philosophies
1. Production → internal capabilities of the firm
2. Sales → aggressive sales techniques and beliefs that high sales result in high profits
find more resources at oneclass.com
find more resources at oneclass.com
Document Summary
Learning outcomes: define the term marketing, describe four marketing management philosophies, discuss the difference between sales and market orientations, describe several reasons for studying marketing. Trends, changes and insights everything is changing, you have to be flexible. There is a science behind an advertisement knowledge and background of a print ad, target market/audience. Creative, how do you change consumers perceptions on a particular product. Solving a problem but also creates the problem. You have survived pretty well without an ipad, but now you need one, because marketers have created a need for the product. You need to understand where the product fits in your business. If you do(cid:374)(cid:859)t u(cid:374)de(cid:396)sta(cid:374)d it (cid:449)ill (cid:374)ot sell: marketers are going to make consumers part with their money to purchase the businesses product. Consumers want to pay for something, but they also have to feel happy about their purchase. What is the value of marketing: ma(cid:396)kete(cid:396)s a(cid:396)e the (cid:272)o(cid:373)pa(cid:374)y(cid:859)s (cid:272)o(cid:373)(cid:373)u(cid:374)i(cid:272)ato(cid:396)s, gateway to your consumers.
