Sunday, 29 July 2012

What is marketing management?Marketing management,Marketing Mix,IMPORTANCE OF MARKETING MANAGEMAGEMENT,NATURE OF MARKETING MANAGEMENT


 Market:-
Market is a place where buyers and sellers meets and exchange their offerings.

Marketing:-
It is a total system of business activities design to plan promote and distribute wantsatisfying goods and services to target market.
 Marketing management:-
It can be define as a art and science of choosing target volume and getting keeping andgrowing customer to creating delivering and communicating superior customer value.
 Explanation:-
1) Science and art2) Choosing target market3) Getting, keeping, growing customer (4ps)
1) Marketing Management is both a Science as well as an Art:-
Marketing Management is both a science as well as an art. The science of marketingmanagement provides certain general principles which can guide the managers in their  professional effort. The Art of Marketing management consists in tackling every situation in aneffective manner. As a Matter of fact, science should not be over-emphasized nor should art bediscounted the science and the art of marketing management go together and are both mutuallyinterdependent and complimentary. Marketing Management is thus a science as well as an art. Itcan be said that-"the art of Marketing management.


2) Choosing target Market:-
 A marketer can rarely satisfy everyone in a market. Not everyone likes the same softDrink, automobile, college, and movie. Therefore, marketers start with market segmentation.They identify and profile distinct groups of buyers who might prefer or require Varying productsand marketing mixes. Market segments can be identified by examining Demographic, psychographic, and behavioral differences among buyers. The firm then decides which segments present the greatest opportunity—those needs the firm can meet in a superior fashion.
Marketers use numerous tools to elicit the desired responses from their target markets.These tools constitute a marketing mix Marketing mix is the set of marketing tools that the firmuses to pursue its marketing objectives in the target market. As shown in Figure 1-3, McCarthyclassified these tools into four broad groups that he called the four Ps of marketing: product, price, place, and promotion.Figure 1-3 The Four P Components of the Marketing Mix




 Nature & Importance of Marketing Management 
It would be difficult to imagine the world without marketing. But it may be equallydifficult to appreciate the importance effective marketing plays most aspect of our lives. We takefor granted the media that are largely supported by advertising. The vast assortment of goodsdistributed through stores close to your homes, and the ease with which we can make purchases.Lets consider for a moment how marketing plays a major role in the global economy , in theAmerican socioeconomic system in any individual organization and in your life.
1) Globally:-
Profit and growth objectives are most likely to be achieved through a combination of domestic and international marketing rather then solely from domestic marketing.Until the late 1970s American firms had a large and secure domestic market. The onlysignificant foreign competition was in selected industries, Such as agriculture, or for relativelynarrow markets, such as luxury automobiles. But this change domestically through the 1980s asmore foreign firms developed attractive products, honed their marketing expertise, and thensuccessfully entered the US market. Imported products in some industries, such as officeequipment, autos, apparel, watches and consumer electronics, have been very successful. As aresult in recent years the U.S. has been importing more then its exports, creating large annualtrade deficits.
2) Domestically:-
Aggressive, effective marketing practices have been largely responsible for the highstandard of living in the United States. The efficiency of mass marketing – extensive and rapidcommunication with customers through wide verity of media and a distribution system thatmakes products rapidly available- Combined with mass production brought the cost of many products within reach of most customers.



a) Employment and costs:-
When we get an idea of significant marketing in the U.S. economy by looking at howmany of us are unemployed in same way in marketing and how much of what we spend coversthe cost of marketing. Between one third and one fourth of the U.S. civilian labor force isengaged in marketing activities.
b) Creating Utility:-
A customer purchases a product because it provides satisfaction. The Want satisfying power of a product is called its utility and it becomes in many forms. It is through marketing thatmuch of a products utility is created.
3) Organizationally:-
Marketing consideration should be integral part of all short and long range planning in anycompany. Here’s why:

The success of any business comes from satisfying the wants of its customers which is the social and economic basis for the existence of all organizations.

Although many activities are essential to a company’s growth , marketing is the only onethat produce revenue directly.
a) Services marketing:-
The U.S has gone through from primarily manufacturing economy to the world’s firstservice economy. As opposed to goods, services are activities that are the object of a transaction.For example transportation, communication entertainment, medical care, financial services,education and repair services account of over two third of the nation’s gross domestic product.
b) Not for profit marketers:-
During 1980s and early 1990s many not for profit organizations realized thy neededeffective marketing programs to make up for shrinking government subsidies a decrease incharitable contribution and other unfavorable economic.



 Not for profit organizations need to improve their image and gain greater acceptanceamong donors, government agencies, news, media, and consumers all of which collectivelydetermine an organization’s success.
4) Personally:-
Consider how many marketers view you as a part of their market. With people like you inmind, firms such as Nike, VSA, and Microsoft have designed products, set prices, createdadvertisement and chosen the best methods of marketing their product available to customers. Inresponse customers watches TV. With its commercials buy various articles over internet and instores etc.Marketing occupies a large part in our daily life. Studying marketing will make you better informed. You will have a better idea for why some firms are successful and other seemingly run business fail. More especially you will discover how firms go about deciding what products to offer, and what price is to charge. Marketing will help you understand the manyforms of promotion and how they are used to inform and persuade customers. And it will helpyou the modern miracle of efficient distribution that make product available when and where buyers want them.
NATURE OF MARKETING MANAGEMENT
Marketing as a process:-
 Marketing is a process that marketing managers execute. In a number of instances, amarketing manager does not manage people, but manages the marketing process. A productmanager is an example of such a marketing manager; s/he manages the marketing process for a product within a larger marketing organization. We, as consumers, see the results of that processin the form of products, stores, shopping malls, advertisements, sales pitches, promotions, prices,etc. This process usually involves four phases.
Analysis:-
 Markets must be understood, and this understanding flows from analysis. Marketingmanagers spend weeks analyzing their markets before they undertake the development of marketing plans for influencing those markets.
Planning:-
 Once a market is understood, marketing programs and events must be designed for influencing the market's customers and consumers, and even the firm's competitors.

Execution:-
 The marketing events are executed in the markets: advertisements are run, prices are set,sales calls are made, etc.

Monitoring:-
 Markets are not static entities and thus must be monitored at all times. After eventsexecute, they need to be evaluated. The planning assumptions upon which the upcoming eventsare based must be continually tested; they are not longer true then the events may needmodification.
The D Roles of a marketing manager:-
 Marketing managers play many roles, and we can describe them with words that begin withthe letter D:

Detective:-
 The marketer is charged with understanding markets, and thus must spend considerabletime learning about consumers, competitors, customers, and conditions in the markets. Thislearning takes many forms: formal marketing research studies, analysis of market data, marketvisits, and discussions with people in the markets. The result of these studies include insightsabout market conditions, and the identification of problems and opportunities in the variousmarkets.

Designer :-
Once a problem or opportunity has been identified, the marketer turns her/his attention todesigning marketing programs that solve the problems and/or capture the opportunities.

Decision maker:-
 Marketing is a group process that involves many different people, each of whom may bedesigning marketing programs and events. Thus the marketer must make decisions about which programs to execute.


Decision Influencer:-
 Marketers exist in corporate structures that require higher level executives to approve themarketing plans, programs, and events that come out of the marketing group's work. Thus themarketer must influence the decisions of these senior executives.

Diplomat:-
 Marketers design marketing events that others must execute: the sales force must executethe sales plan; the advertising agency must execute the advertisements, etc. These units do notusually "report to" the marketing managers, and they are undertaking tasks given to them bymultiple marketing managers. Thus, each manager must plays a diplomatic role while inducingthese units to execute his/her program in a timely and high quality way.


Discussant:-
 All of these roles require considerable discussion among many parties within and outsidethe company. Thus the marketing manager spends most of his/her time in discussions withothers.
Managing the Marketing Mix
 Marketing managers can control or influence four aspects of the firm's output: its products, promotions, prices, and the places that all of these are offered.

Product
Product management involves the design of the physical product along with its packagingand warranties, the positioning of that product in terms of the benefits it delivers, and thedevelopment of the product's brand identify.

Promotion:-
 It is generally not true that consumers will beat a path to your door if you have a superior  product; they must be told about it and induced to buy it ... thus the need for promotion.Promotion includes personal selling, advertising, sales promotions, and public relations.

Price:-
 Pricing strategies and tactics must be determined for the product, and then followed to set prices for all the sizes and variants of the product. The result is usually a price schedule thatincludes the regular price, volume discounts, payment terms, seasonal prices, introductory prices,etc.

Place:-
 Marketing managers are involved in decisions about where the product is offered to theconsumer in terms of the channels of distribution.
Operating within constraints:-
 Marketing managers must undertake all of the above activities within various constraints, allof which start with the letter C. None of these constraints are under the direct control of themarketing managers; some can be influenced; all can be understood.

Competition:-
 Other companies are competition for the same consumers and channels of distribution.

Channels:-
 Retail stores, electronic markets, communications media exist to serve the marketer. Inthe short run, they must be accepted as constraints; in the long run, the marketer can exert somecontrol over them ... even vertically integrate into the channels.

Consumers:-
Consumers have
needs and wants
. The marketers must understand those
needs
 beforethey can design marketing programs aimed at impacting consumer 
wants
.

Conditions:-
 Markets are not static but in constant evolution under the influences of the economy,changing tastes and fashions, population dynamics, etc.
Company:-
 Company policies, procedures, practices, and cultures place constraints upon themarketing resources and programs that the marketer can deploy.
Marketing is Collaboration:-
 The nature of marketing requires marketing managers and professionals to work together on all aspects of marketing. It is common for the marketing manager to be at the center of a setof activities being worked on by people within the company (sales force, promotion manager, product development teams, etc.) and outside the company (ad agencies, consultants, marketingresearch firms, etc.). Thus marketing managers must spend considerable time in consultation andcollaboration with other people.

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