Marketing; refers to activities undertaken by a company to promote the buying or selling of a product or service.
(i)Intangibility; When you buy a car, you can see it, feel it, and even test it prior to purchase. In other words, products have tangible qualities that provide information to consumers so they can easily compare one product to another.
(ii)Inseparability; To continue using the automobile analogy, cars are produced at one location, sold at another, and used at yet another location. Services are unique because they are usually provided and consumed at the same time in the same location (e.g. a haircut or car tune-up).
(iii)Perishability; If a car does not sell today, it can be stored and sold the following day or at some other time in the future. Services, on the other hand, are often perishable, meaning that unused capacity cannot be stored for future use or sale. For example, a restaurant might be full one night and half empty the next.
(iv)Variability; Once you have decided to buy a Honda Accord, you know that there will be no variation in the quality of the Accord from one Honda dealer to another. Manufactured goods tend to have automated processes and quality assurance procedures that result in a consistent product.
Mass Marketing; is a market strategy in which a firm decides to ignore market segment differences and appeal the whole market with one offer or one strategy, which supports the idea of broadcasting a message that will reach the largest number of people possible.
Ambush marketing; is a marketing strategy in which an advertiser “ambushes” an event to compete for exposure against other advertisers. In other words is a marketing technique that raises awareness of a brand in covert ways.
Referral marketing; is the method of promoting products or services to new customers through referrals, usually word of mouth. In other words such referrals often happen spontaneously but businesses can influence this through appropriate strategies.
Green marketing; this is the process of selling products and/or services based on their environmental benefits. In other words such a product or service may be environmentally friendly in itself or produced in an environmentally friendly way, such as: Being manufactured in a sustainable fashion.
SMS marketing; is a technique that uses permission-based text messaging to spread promotional messages. In other word is to receive text message specials, new product updates or more information, customers are usually required to opt in to an automated system by texting an initial shortcode.
Product design is the process of efficient and effective idea generation and development with the goal of creating new products.
(i) Idea Generation.
(ii) Screening Ideas.
(iii) Feasibility Study.
(iv) Preliminary Design.
(i) Idea Generation: The design process begins with understanding the customers and their needs. Ideas for new products can come from a variety of sources both within and outside the firm. Internal sources include employees, research and development, market research sales force and reverse engineering.
(ii) Screening Ideas: The purpose of screening ideas is to eliminate those ideas that do not appear to have high potential and so avoid the costs incurred at subsequent stages.
(iii) Feasibility Study: Initial screening of the ideas is designed to stop the ideas, which are unsuitable for further considerations. In other words feasibility study consists of a market analysis, an economic analysis, and technical and strategic analysis.
(iv) Preliminary Design: design engineers take general performance specifications and translate them in to technical specifications. In other words the process of preliminary design involves building a prototype, testing the prototype, revising the design, retesting and so on until a viable design is determined.
Organisation chat: Is a diagram that visually conveys a company’s internal structure by detailing the roles, responsibilities, and relationships between individuals within an entity. In other words organisation chat either broadly depict an enterprise company-wide or drill down to a specific department or unit.
(i) Marketing manager
(ii) Product manager
(iii) Social media manager
(iv) Communications manager
(i) Communications managers: Are responsible for promoting a company’s products, services or overall mission to the public. Duties may include identifying press opportunities, publishing press releases, crafting newsletters, creating social media strategies or serving as a spokesperson on behalf of a company.
(ii) Marketing managers: Help create and implement marketing strategies to help achieve business goals. This might include overseeing market research, competitive analysis, budgets, timelines and a team of marketing professionals.
(iii) Social media manager: Marketers help manage their companies’ social media accounts, such as Facebook, Twitter, Instagram or LinkedIn. They help devise and oversee the social strategy in order to attract new customers and engage with existing ones.
(iii)Few Buyers And Large Volume
(iv)More Direct Channel Of Distribution
(i)Derived Demand; Organizational buying is based on derived demand. Demand made by the ultimate consumers creates demand for industrial goods or services. For instance, demand of electricity generator is determined according to the demand made by the consumers. Demand of organizational buyer changes in keeping with the changes in consumers’ demand.
(ii)Geographical Concentration; Organizational buyers remain concentrated in certain geographical area whereas consumers’
market remains scattered all around. Producers want to establish industry near by supply source. Mostly, industrial market is determined considering transport facilities and cost.
(iii)Few Buyers And Large Volume; The number of organizational buyers remains small but volume of sale is large. So, organizational marketers focus on their efforts on very small number of main buyers who buy goods or services in large volume paying bug amount of price.
(iv)More Direct Channel Of Distribution; High quantity of consumer goods or services is sold out through complex structure of wholesalers and retailers. This structure keeps producers and consumers separate or it works as the bridge between them. but in organizational selling, direct contact is established between buyers and sellers.
(v)Rational Buying; Organizational buyers use rational in buying goods or services compared to the ultimate consumers. They want to take more information about the features, quality, technical use, utility etc of products. Organizational buyers become aware of quality, services, delivery, price etc. of any products.
Market segmentation is the breakdown of a large target audience into smaller, more homogenous groups of customers while Product differentiation refers to the basic need to have product-related qualities that set your brand apart from the competition.
-Advantages of Market Segmentation-
(i)Proper choice of target market
(ii)Tapping a particular market
(i)Proper choice of target market: The market for any product is made up of several segments. A market is the aggregate of consumers of a given product. Consumers are not a homogeneous lot. They differ a lot in their characters and buying behavior.
(ii)Tapping a particular market: Segmentation enables the marketer to understand the needs of the customers and serve them well. Prediction of the likely response from each segment is possible. With homogeneous responses from each segment, marketer finds it easy to develop an appropriate marketing programme.
-Disadvantages of Market Segmentation-
(i)expensive proposition; marketer experiences considerable difficulties, as he has to develop different marketing mixes for different segments. Moreover, mass production is much cheaper than making a variety of products.
(ii)Promotional expenses; costs of keeping adequate inventory of each variety of goods etc., also go up, eroding profitability. In other words Since the marketer has to implement varying marketing programmes suiting to the different segments, administrative expenses increase.