LEARNING OBJECTIVES - LEARNING OBJECTIVES After studying this chapter...

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LEARNING OBJECTIVES

After studying this chapter, you should be able to:

1.1 Define the scope of marketing.

1.2 Describe the new marketing realities.

1.3 Explain the role of marketing in the organization.

1.4 Illustrate how to organize and manage a modern marketing department.

1.5 Explain how to build a customer-centric organization.

CHAPTER SUMMARY

1.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. 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.

2.Companies aim to create value by marketing goods, services, events, experiences, persons, places, properties, organizations, information, and ideas. They also

operate in five basic markets: resource markets, manufacturer markets, consumer

markets, intermediary markets, and government markets.

3.Today’s marketplace is fundamentally different as a result of major societal forces that have resulted in many new consumer and company capabilities. In particular, technology, globalization, and social responsibility have created new opportunities and challenges and significantly changed marketing management.Companies seek the right balance of tried-and-true methods with breakthrough new approaches to achieve marketing excellence.

4.Four major market forces—technology, globalization, the physical environment, and social responsibility—have forged new consumer and company capabilities and have dramatically altered the competitive landscape. These changes require companies to re-evaluate their current business models and adapt the way they create market value to the new environment.

5.The holistic marketing concept is based on the development, design, and implementation of marketing programs, processes, and activities that are based on breadth and interdependencies. Holistic marketing recognizes that everything matters in marketing and that a broad, integrated perspective is often necessary.Four components of holistic marketing are relationship marketing, integrated marketing, internal marketing, and performance marketing.

C H A P T E R

1

DEFINING MARKETING

FOR THE NEW REALITIES

Marketing Management 16e Philip Kotler, Kevin Lane Keller, Alexander Chernev (Instructor Manual All Chapters, 100% Original Verified, A+ Grade) 1 / 4

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OPENING THOUGHT

Good marketing is no accident. It is both an art and a science, and it results from careful planning and execution using state-of-the-art tools and techniques. Skillful marketers are continually updating classic practices and inventing new ones to find creative, practical ways to adapt to new marketing realities. In this chapter, we lay the foundation for sound marketing practices by reviewing important marketing concepts, tools, frameworks, and issues. Marketing applies to a variety of different areas and is increasingly involving many levels of the organization. Students who are not marketing majors may have some difficulty accepting the encompassing role that marketing has on the other functional disciplines within a firm. For those students who have never been exposed to marketing and its components, the instructor’s challenge is to educate the students about the world of marketing.

TEACHING STRATEGY AND CLASS ORGANIZATION

PROJECTS

• Semester-Long Marketing Plan Project

An effective way to help students learn about marketing management is through the actual creation of a marketing plan for a product or service. This project is designed to accomplish such a task.

Dividing the class into groups, have each group decide on a “fictional” consumer product or service they wish to bring to market. During the course of the semester, each of the elements of the marketing plan, coordinating with the text chapter, will be due for the instructor’s review. The instructor is encouraged to review each submission and suggest areas for improvement, for more detailed study, or if acceptable, to allow the students to proceed to the next phase in development. Students can use a computer program in creating their proposals and submissions and in their final presentation(s). At the end of the semester, each group is to present their entire marketing plan to the class.

The following is an outline of this process:

Chapter # Title Element of the Marketing Plan Due

• Defining Marketing for the

New Realities None; group formation and begin the process of selecting the product or service.

• Marketing Planning and

Management Formation of groups; first presentation of “product” to instructor for approval.

• Analyzing Consumer

Markets Definitive data on the consumer for the product/service including all demographic and other pertinent information obtained and ready for instructor’s approval.

• Analyzing Business Markets No report due for this chapter; allows 2 / 4

1-3 Copyright © 2022 Pearson Education, Inc.students and instructor to “catch up” on the project.

• Conducting Marketing

Research Initial marketing research parameters completed; demand forecasted and target market selections defined.

• Identifying Market Segments

and Target Customers Specific market segmentation, targeting, and positioning statements by the students due.

• Crafting a Customer Value

Proposition and Positioning At this point in the semester, student projects should include their fictional product or service’s brand positioning. In relationship to the material contained in the chapter, students should have delineated and designed a differentiated brand positioning for their project.

• Designing and Managing

Products At this point in the semester-long project, students should have set their group project’s product or service strategy.Instructors are to evaluate their submissions on the product (or service) features, quality, and price and other considerations of “product” found in this chapter.

• Designing and Managing

Services At this point in the semester-long project, those students who have selected a “service” idea for the marketing plan must submit their offering. Students whose project is a “product-based” component do not have anything to submit for this chapter.10 Building Strong Brands At this point in the semester, students are to have their “branding” strategy developed for their project. Questions to have been completed include the brand name, its equity position, and the decisions in developing the brand strategy.11 Managing Pricing and Sales Promotions At this point in the semester-long project, students should be prepared to hand in their pricing strategy decisions for their fictional product/service. In reviewing this section, the instructor should make sure that the students have addressed all or most of the material concerning pricing covered in this chapter.12 Managing Marketing Communications At this point in the semester-long project, students should have agreed upon their communication campaign that spans different media. The instructor is encouraged to evaluate the submissions vis- 3 / 4

1-4 Copyright © 2022 Pearson Education, Inc.à-vis the material presented in this chapter.In reviewing the submissions, the instructor should evaluate the continuity of the message across all possible communication media. (Students will tend to concentrate their media on television or on the internet and exclude other forms such as personal selling and radio.) 13 Designing an Integrated Marketing Campaign in the Digital Age At this point in the semester-long project, students should submit their advertising program including proposal for digital communications. The instructor is encouraged to evaluate the submissions vis- à-vis the material presented in this chapter.14 Personal Selling and Direct Marketing At this point in the semester-long project, students who have decided to market their product/service through direct market channels should submit their proposals. All other groups must decide at this point if they will use a direct sales force, and if so, to outline the specifics (including financials) for this option.15 Designing and Managing Distribution Channels At this point in the semester-long project, students should present their channel decisions for getting their product or service to the consumer. In evaluating this section, the instructor should evaluate the complete- ness of the projects to the material contained in this chapter.16 Managing Retailing At this point in the semester-long project for the “fictional” product or service, students should be directed to turn in their retailing, wholesaling, and logistical marketing plans.Those students who are acting in the role of providing a new “service” should include here their plans for locations, hours of operations, and how their “service” plans on managing demand and capacity issues.17 Driving Growth in Competitive Markets At this point in the semester-long project, students should be prepared to present their competitive analysis. Who are the market leaders for their chosen product or service?What niche have they identified for their product/service? Is their product or service going to be a leader, follower, or challenger to well-established products or brands?

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