CH 21 -PROMOTION

L-21-PROMOTION

 L-19-MARKETING MANAGEMENT

INTRODUCTION

Marketing management refers to the process of planning, organizing, implementing, and controlling marketing activities within an organization to achieve its marketing objectives. It involves analyzing consumer needs, developing marketing strategies, creating and delivering value to customers, and building profitable customer relationships.

Marketing management plays a crucial role in the overall success of a business. It helps organizations identify their target markets, understand customer preferences, and develop effective marketing strategies to promote their products or services. By effectively managing the marketing function, businesses can create awareness, generate demand, and ultimately drive sales and revenue growth.

Marketing management encompasses various aspects, including market research, product development, pricing, distribution, promotion, and customer relationship management. It involves making informed decisions based on market analysis, consumer behavior, and competitive dynamics. Effective marketing management requires a deep understanding of market trends, customer insights, and the ability to adapt to the changing marketing landscape.

The goal of marketing management is to create value for both the organization and its customers. By identifying and fulfilling customer needs and desires, organizations can build strong brand loyalty, customer satisfaction, and long-term relationships. Marketing management also focuses on optimizing resource allocation, managing marketing budgets, and measuring the effectiveness of marketing campaigns.

In today's highly competitive business environment, marketing management is essential for organizations to stay ahead of their competitors, differentiate their products or services, and attract and retain customers. It involves a continuous process of monitoring, analyzing, and adapting marketing strategies to meet evolving market conditions and customer expectations.

Overall, marketing management is a critical function that aligns an organization's marketing efforts with its overall business objectives. It involves strategic planning, effective implementation, and ongoing evaluation to ensure that marketing activities contribute to the organization's growth, profitability, and success.

DEFINITIONS OF MARKTING

American Marketing Association (AMA) Definition: "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."

This definition from the American Marketing Association highlights the core elements of marketing, which include creating and delivering value to customers through effective communication and exchange processes. It recognizes the broader impact of marketing on various stakeholders and the societal implications of marketing activities.

Philip Kotler's Definition: "Marketing is the science and art of exploring, creating, and delivering value to satisfy the needs of a target market at a profit."

Philip Kotler, a renowned marketing scholar, emphasizes the scientific and artistic aspects of marketing in this definition. It involves understanding customer needs, developing products or services that meet those needs, and delivering them in a way that generates profits for the organization.

Peter Drucker's Definition: "The aim of marketing is to know and understand the customer so well that the product or service fits them and sells itself."

Peter Drucker, a management consultant and author, emphasizes the importance of customer-centricity in marketing. According to him, the primary goal of marketing is to deeply understand the customer's preferences, needs, and behaviors, and align the product or service accordingly. When the offering perfectly matches the customer's requirements, it becomes easier to sell.

Theodore Levitt's Definition: "Marketing is getting the right product or service in the right quantity, to the right place, at the right time, and at the right price."

Theodore Levitt, a renowned economist and professor, focuses on the elements of the marketing mix in this definition. He emphasizes the importance of having the right product or service, in the right amount, at the right location, timing, and price to meet customer demands effectively.

These definitions provide different perspectives on marketing, highlighting its multidimensional nature and the key elements involved. They all emphasize the importance of understanding customer needs, delivering value, and achieving organizational objectives through effective marketing strategies and activities.

NATURE/FEATURES OF MARKETING

The nature or features of marketing can be summarized as follows:

Customer Orientation: Marketing is customer-centric and revolves around understanding and meeting customer needs and wants. It involves identifying target markets, analyzing consumer behavior, and developing products, services, and strategies that create value for customers.

Exchange Process: Marketing involves the exchange of goods, services, or ideas between buyers and sellers. This exchange process entails offering something of value to customers in return for their desired product or service, whether it is a monetary transaction or a non-monetary exchange.

Integrated Process: Marketing is an integrated process that encompasses various activities and functions. It includes market research, product development, pricing, distribution, promotion, and customer relationship management. These activities work together to create a cohesive marketing strategy and deliver value to customers.

Profit Orientation: Marketing aims to generate profits for the organization. It involves understanding customer preferences, identifying market opportunities, and developing strategies to achieve financial objectives. Marketing decisions are often guided by the goal of maximizing profitability and return on investment.

Dynamic and Evolving: The marketing landscape is dynamic, constantly changing due to shifts in consumer behavior, technological advancements, market trends, and competitive forces. Effective marketing requires adaptability and continuous monitoring and adjustment of strategies to stay relevant and competitive in the marketplace.

Value Creation: Marketing focuses on creating value for customers. It involves developing and delivering products or services that meet customer needs, solve their problems, or provide desired benefits. Value creation is essential for customer satisfaction, loyalty, and building long-term relationships.

Environmental Influence: Marketing is influenced by various external factors, including economic conditions, social trends, technological advancements, legal and regulatory frameworks, and cultural influences. Marketers need to consider these external forces and adapt their strategies accordingly to succeed in the marketplace.

Two-Way Communication: Effective marketing involves communication and interaction between marketers and customers. It is not just about delivering messages to customers but also listening to their feedback, understanding their preferences, and engaging in dialogue to build relationships and enhance customer satisfaction.

Goal of Market Segmentation: Marketing recognizes that customers have diverse needs and preferences. It involves market segmentation, which is the process of dividing the market into distinct groups based on specific characteristics or behaviors. By understanding and targeting specific market segments, marketers can tailor their offerings and marketing strategies to better meet customer needs.

Long-Term Orientation: Marketing aims to build long-term customer relationships rather than focusing solely on short-term transactions. Repeat business, customer loyalty, and positive word-of-mouth are essential for sustainable success. Marketers invest in relationship-building activities to foster customer loyalty and generate customer lifetime value.

These features of marketing highlight its customer-centric nature, the importance of value creation, the need for adaptability, and the dynamic interplay between organizations and their target markets. Successful marketing strategies leverage these features to effectively engage with customers, drive sales, and build strong brand equity.

MARKETING MANAGEMENT

 

Marketing management refers to the process of planning, organizing, implementing, and controlling the various marketing activities of an organization to achieve its marketing objectives effectively. It involves making strategic decisions and taking actions to meet customer needs, drive sales, and build strong brand equity.

Key elements of marketing management include:

Market Analysis and Research: Marketing management begins with conducting thorough market analysis and research. This involves understanding the target market, identifying customer needs, assessing competitor strategies, and analyzing market trends and opportunities. Market research helps in gathering valuable insights that inform decision-making and strategy development.

Setting Marketing Objectives: Based on market analysis and organizational goals, marketing management sets specific, measurable, achievable, relevant, and time-bound (SMART) marketing objectives. These objectives guide marketing activities and provide a clear direction for the marketing team.

Developing Marketing Strategies: Marketing strategies are formulated to achieve the defined objectives. These strategies involve identifying target market segments, positioning the product or service, determining the marketing mix (product, price, place, and promotion), and allocating resources effectively.

Product and Service Management: Marketing management involves overseeing the development, positioning, and management of products or services. It includes new product development, product branding, packaging, and ensuring that the offerings meet customer needs and preferences.

Pricing Strategies: Determining the right pricing strategy is an important aspect of marketing management. It involves analyzing costs, market demand, competition, and value perception to set optimal pricing levels that align with business objectives and customer perceptions.

Distribution and Channel Management: Marketing management includes decisions related to distribution channels and ensuring that the product or service reaches the target customers efficiently. This involves selecting and managing distribution partners, logistics, inventory management, and establishing a strong distribution network.

Promotional and Communication Strategies: Marketing management is responsible for developing and implementing effective promotional and communication strategies to create awareness, stimulate demand, and build brand equity. This includes advertising, sales promotions, public relations, direct marketing, digital marketing, and other communication channels.

Customer Relationship Management: Marketing management focuses on building and maintaining strong customer relationships. This involves understanding customer needs, providing excellent customer service, engaging with customers through various channels, and implementing customer retention strategies.

Performance Measurement and Evaluation: Marketing management monitors and evaluates the effectiveness of marketing activities by measuring key performance indicators (KPIs) such as sales growth, market share, customer satisfaction, and return on investment (ROI). This helps in assessing the success of marketing efforts and making necessary adjustments to improve performance.

Adaptation to Changing Market Dynamics: Marketing management requires continuous monitoring of market trends, consumer behavior, and competitive forces. It involves being responsive to changes in the market environment and adapting marketing strategies to stay ahead of the competition and meet evolving customer needs.

By effectively managing these aspects, marketing management plays a vital role in driving business growth, building customer loyalty, and achieving overall organizational success.

MARKETING CONCEPTS OR PHILOSOPHIES

 

Marketing concepts or philosophies refer to the fundamental principles that guide an organization's approach to marketing. These concepts serve as guiding frameworks for businesses to understand and meet customer needs, create value, and achieve their marketing objectives. Here are some key marketing concepts:

Production Concept: The production concept focuses on maximizing production efficiency and minimizing costs. It assumes that consumers will favor products that are widely available and affordable. The primary goal is to achieve mass production, wide distribution, and cost reduction. However, this concept may overlook customer preferences and changing market demands.

Product Concept: The product concept emphasizes the quality and features of a product or service. It assumes that customers will favor products that offer superior quality, performance, or innovative features. The focus is on continuous product improvement and innovation. However, solely relying on product superiority may overlook customer needs and preferences.

Selling Concept: The selling concept revolves around aggressive selling and promotional activities to stimulate customer demand. It assumes that customers will not buy enough of the organization's products unless there is a significant sales effort. This concept is more suitable for unsought goods or situations where there is overcapacity. However, it may lead to a short-term focus and neglect the importance of building long-term customer relationships.

Marketing Concept: The marketing concept places the customer at the center of all marketing activities. It focuses on understanding and satisfying customer needs and wants more effectively than competitors. The organization's goal is to create customer value, build strong customer relationships, and achieve long-term success. The marketing concept takes a customer-centric approach and involves market research, segmentation, targeting, and positioning to deliver superior value to customers.

Societal Marketing Concept: The societal marketing concept goes beyond customer satisfaction and emphasizes the well-being of society. It recognizes that organizations should consider not only the immediate needs of customers but also the long-term welfare of society as a whole. It involves balancing customer satisfaction, organizational profits, and social responsibilities. This concept considers the ethical, environmental, and social impact of marketing activities.

Relationship Marketing: Relationship marketing focuses on building and nurturing long-term relationships with customers. It emphasizes customer retention, loyalty, and lifetime value. Relationship marketing involves personalized communication, customized offerings, exceptional customer service, and ongoing engagement to create strong customer connections.

Holistic Marketing: Holistic marketing takes a broader and integrated perspective of marketing. It considers various aspects, including internal marketing (employee satisfaction and engagement), integrated marketing (cohesive marketing strategies across different channels), performance marketing (measuring and optimizing marketing performance), and relationship marketing (building strong customer relationships). Holistic marketing aligns all dimensions of marketing to create a unified and consistent customer experience.

These marketing concepts are not mutually exclusive and can coexist within an organization's marketing approach. Organizations may adopt different concepts based on their industry, target market, competitive landscape, and overall business objectives. However, the marketing concept and societal marketing concept have gained significant prominence in recent years as organizations recognize the importance of customer-centricity, value creation, and social responsibility in achieving sustainable success.

ROLE/IMPORTANCE OF MARKETING

The role and importance of marketing in a business or organization are significant and multifaceted. Here are some key reasons why marketing is crucial:

Understanding Customer Needs: Marketing helps businesses understand the needs, preferences, and behaviors of their target customers. Through market research and analysis, businesses can gain insights into customer demands, market trends, and competitive dynamics. This understanding enables organizations to develop products, services, and marketing strategies that effectively meet customer needs and create value.

Creating Awareness and Generating Demand: Marketing plays a vital role in creating awareness about products, services, and brands. It helps businesses communicate their value proposition and unique selling points to the target market. Through various marketing channels such as advertising, public relations, and digital marketing, organizations can reach their target audience and generate demand for their offerings.

Building Strong Brands: Marketing is instrumental in building strong brand equity. A well-executed marketing strategy helps businesses differentiate their products or services from competitors and create a positive brand image. Branding efforts, such as consistent messaging, visual identity, and customer experiences, contribute to building brand recognition, credibility, and loyalty.

Driving Sales and Revenue: Effective marketing strategies drive sales and contribute to revenue growth. By identifying target markets, understanding customer needs, and communicating value, marketing activities influence consumer purchasing decisions. Marketing campaigns, promotions, and sales efforts help businesses attract customers, generate leads, and convert them into paying customers, ultimately driving sales and revenue.

Market Expansion and Growth: Marketing plays a crucial role in expanding into new markets and driving business growth. By identifying opportunities, assessing market potential, and developing market entry strategies, marketing enables businesses to enter new geographical locations, target new customer segments, and diversify their offerings. This expansion can lead to increased market share and revenue growth.

Customer Relationship Management: Marketing helps build and maintain strong customer relationships. Through effective communication, personalized marketing efforts, and exceptional customer service, organizations can foster customer loyalty and advocacy. By nurturing customer relationships, businesses can achieve repeat sales, customer retention, and positive word-of-mouth referrals, which are critical for long-term success.

Responding to Market Changes: The dynamic nature of markets requires organizations to adapt and respond to changes effectively. Marketing provides insights into market trends, competitor strategies, and customer feedback, allowing businesses to adjust their offerings and marketing strategies accordingly. By staying agile and responsive, organizations can maintain their competitive edge and seize new opportunities.

Maximizing Return on Investment (ROI): Marketing activities require investments of time, resources, and budgets. Effective marketing management involves optimizing these investments to achieve the highest possible return on investment. By measuring and evaluating marketing performance, businesses can identify areas of improvement, refine their strategies, and allocate resources efficiently for maximum impact.

In summary, marketing plays a critical role in understanding customer needs, creating awareness, building brands, driving sales, fostering customer relationships, and driving business growth. It is an essential function for organizations to thrive in competitive markets and achieve their overall business objectives.

MARKETING FUNCTIONS

Marketing functions refer to the activities and processes involved in carrying out the marketing efforts of an organization. These functions are performed to effectively reach target customers, promote products or services, and achieve marketing objectives. Here are some key marketing functions:

Market Research: Market research is the process of gathering, analyzing, and interpreting data about the target market, customers, competitors, and industry trends. It involves collecting information on consumer behavior, preferences, and market dynamics to make informed marketing decisions.

 

Product Development: This function involves identifying and developing products or services that meet customer needs and preferences. It includes activities such as idea generation, concept development, product design, prototyping, testing, and launching. Product development aims to create offerings that provide value to customers and differentiate the organization from competitors.

Pricing: Pricing is the process of setting the right price for products or services. It involves considering factors such as production costs, market demand, competition, and perceived value. The pricing function aims to maximize revenue, achieve profitability targets, and maintain a competitive position in the market.

Distribution and Channel Management: This function focuses on ensuring that products or services reach customers efficiently and effectively. It involves activities such as selecting appropriate distribution channels (e.g., wholesalers, retailers, e-commerce platforms), managing relationships with channel partners, logistics, inventory management, and ensuring timely delivery to customers.

Promotion: Promotion refers to the communication activities used to create awareness, generate interest, and persuade target customers to purchase products or services. It includes advertising, sales promotions, public relations, direct marketing, digital marketing, and other promotional techniques. The promotion function aims to communicate the value proposition of the offerings and build brand awareness and customer engagement.

Marketing Communications: Marketing communications involve developing and implementing strategies for effective communication with target customers. It includes creating marketing messages, selecting communication channels, managing advertising campaigns, designing marketing collaterals, and ensuring consistent brand messaging across different touchpoints.

Sales and Customer Relationship Management: This function involves managing the sales process, including lead generation, prospecting, sales presentations, negotiation, and closing deals. It also includes building and maintaining strong customer relationships through personalized communication, providing exceptional customer service, and addressing customer inquiries and concerns.

Marketing Analytics and Performance Measurement: This function involves monitoring and analyzing marketing performance using key metrics and data. It includes tracking sales, market share, customer acquisition and retention rates, customer satisfaction, and return on investment (ROI) from marketing activities. Marketing analytics helps in assessing the effectiveness of marketing efforts and making data-driven decisions for future marketing strategies.

Market Segmentation and Targeting: This function involves segmenting the market based on characteristics such as demographics, psychographics, behavior, and needs. It includes identifying target segments that are most likely to be interested in the organization's offerings. Market segmentation and targeting help in tailoring marketing strategies and messages to specific customer groups for better effectiveness.

Brand Management: Brand management focuses on developing and maintaining a strong brand identity and reputation. It includes activities such as brand positioning, brand messaging, brand equity management, brand extensions, and brand consistency across all marketing efforts. Brand management aims to create a positive brand image, build brand loyalty, and differentiate the organization from competitors.

These marketing functions work together to create and implement effective marketing strategies that attract and retain customers, drive sales, and achieve the organization's marketing objectives. The specific functions and their importance may vary depending on the nature of the business, industry, target market, and overall marketing goals.

 

Multiple Questions:

1. Which of the following is not a function of marketing management?

a) Market research

b) Pricing

c) Financial management

d) Promotion

2. Which definition of marketing emphasizes the importance of understanding customer preferences and aligning products accordingly?

a) American Marketing Association (AMA) Definition

b) Philip Kotler's Definition

c) Peter Drucker's Definition

d) Theodore Levitt's Definition

3. What is the goal of market segmentation in marketing?

a) To maximize profitability

b) To create brand awareness

c) To meet customer needs effectively

d) To achieve customer satisfaction

4. Which of the following is a feature of marketing?

a) Static and unchanging

b) Short-term orientation

c) Profit maximization

d) Environmental influence

5. Personal objectives refer to:

a) Goals set by organizations for their employees

b) Goals set by individuals for their personal and professional lives

c) Goals set by society for individuals

d) Goals set by individuals for organizational success

6. Which of the following is an example of a personal growth objective?

a) Reducing debt and achieving financial stability

b) Pursuing further education or training for career advancement

c) Traveling to new destinations and engaging in adventure sports

d) Improving communication skills and cultivating positive habits

7. The importance of management includes:

a) Maximizing profitability through resource allocation

b) Increasing employee motivation through recognition and rewards

c) Mitigating risks by identifying potential threats

d) All of the above

8. Management can be viewed as a profession because it requires:

a) Specialized knowledge, skills, and ethical standards

b) Creative and intuitive skills to solve problems

c) Use of scientific methods and techniques

d) None of the above

 

True or False Questions:

1.     Marketing management involves analyzing consumer needs and developing strategies to meet those needs. (True/False)

2.     Marketing is a one-way communication process where organizations deliver messages to customers. (True/False)

3.     Market research is a function of marketing management. (True/False)

4.     Marketing aims to build long-term customer relationships and generate customer loyalty. (True/False)

5.     Personal objectives provide a sense of direction, motivation, and focus for individuals. (True/False)

6.     Management as a science uses mathematical models and statistical analysis to study complex organizational problems. (True/False)

7.     The art of management can be learned solely through academic study and scientific research. (True/False)

8.     Professional management requires ongoing professional development and adherence to ethical standards. (True/False)

 

VERY SHORT ANWER QUESTIONS

Q.1. State the meaning of marketing?

Ans. Marketing is the process of creating, communicating, delivering, and exchanging value to satisfy customer needs and achieve organizational objectives.

Q.2.What is marketing management?

Ans. Marketing management refers to the planning, organizing, implementing, and controlling of marketing activities within an organization to achieve its marketing goals and objectives.

Q.3. Describe the elements of modern concept of marketing?

Ans. The elements of the modern concept of marketing include customer orientation, integrated marketing, relationship marketing, and societal marketing.

 

SHORT ANSWER QUESTIONS

Q.1.What is marketing management Explain briefly any four objectives of marketing management?

Ans. Marketing management refers to the process of planning, organizing, implementing, and controlling marketing activities within an organization to achieve its marketing objectives. It involves analyzing consumer needs, developing marketing strategies, creating and delivering value to customers, and building profitable customer relationships.

Four objectives of marketing management are:

Increasing market share: One objective of marketing management is to increase the organization's market share, which refers to the percentage of the total market that the company captures. By implementing effective marketing strategies, such as product differentiation, pricing strategies, and promotional campaigns, marketing management aims to attract more customers and gain a larger share of the market.

Building brand equity: Marketing management focuses on building and strengthening the organization's brand equity. Brand equity represents the value and perception that consumers associate with a brand. By creating a strong brand image, delivering consistent brand experiences, and building brand loyalty, marketing management aims to enhance the organization's brand equity, which can lead to increased customer preference, trust, and market competitiveness.

Maximizing customer satisfaction: Marketing management aims to maximize customer satisfaction by understanding and meeting customer needs and expectations. By conducting market research, gathering customer feedback, and continuously improving products, services, and customer experiences, marketing management seeks to ensure that customers are satisfied with their interactions and transactions with the organization.

Achieving financial goals: Marketing management plays a vital role in achieving the organization's financial goals. By effectively managing marketing resources, optimizing marketing budgets, and implementing revenue-generating strategies, marketing management aims to contribute to the organization's profitability and financial success. This includes setting pricing strategies, managing costs, and generating revenue through increased sales and customer retention.

These objectives of marketing management are interconnected and align with the overall business goals of the organization. By focusing on these objectives, marketing management aims to drive growth, profitability, and long-term success for the organization.

Q.2. Distinguish between marketing and selling on the basis of the following:

(A) Basis objective                                   (B) Scope                  (C) Stage of start of these activities.

Ans. (A) Basis objective:

Marketing: The objective of marketing is to identify and satisfy customer needs and wants through a range of activities such as market research, product development, pricing, promotion, and distribution. It focuses on building long-term customer relationships, creating value, and fulfilling customer needs.

Selling: The objective of selling is to persuade customers to purchase a specific product or service. It involves activities such as product presentation, negotiation, and closing deals. The primary goal is to generate sales revenue and achieve short-term transactional success.

(B) Scope:

Marketing: Marketing has a broader scope as it encompasses various activities from market research and analysis to product development, promotion, and customer relationship management. It involves understanding the market, identifying target customers, creating offerings that meet their needs, and delivering value.

Selling: Selling has a narrower scope as it mainly focuses on the transactional aspect of convincing customers to make a purchase. It involves personal selling techniques, such as direct communication and persuasion, to close individual sales.

(C) Stage of start of these activities:

Marketing: Marketing activities start before the production or development of a product or service. It involves conducting market research, analyzing consumer needs, and designing offerings that align with customer preferences. Marketing activities continue throughout the product lifecycle, including pre-launch, launch, and post-launch phases.

Selling: Selling activities begin after the product or service is produced or developed. It involves finding potential customers, presenting the product, negotiating terms, and closing the sale. Selling activities are typically focused on the immediate selling process and may not involve extensive pre-launch or post-launch efforts.

In summary, marketing has a customer-centric objective of satisfying needs and building relationships, has a broader scope covering various aspects of the marketing mix, and starts before the product is developed. Selling, on the other hand, has a transactional objective of generating sales, has a narrower scope focused on the selling process, and starts after the product is produced.

Q.3. Distinguish between marketing and selling on the basis of-

(A) Meaning            (B) Objectives and            (C) Scope

Ans. (A) Meaning:

Marketing: Marketing refers to the process of identifying, anticipating, and satisfying customer needs and wants through a range of activities such as market research, product development, pricing, promotion, and distribution. It involves creating value for customers and building long-term relationships.

Selling: Selling is the process of persuading customers to purchase a specific product or service. It involves personal selling techniques, such as direct communication, negotiation, and closing deals, to generate sales revenue.

(B) Objectives:

Marketing: The objective of marketing is to identify and fulfill customer needs and wants by creating value and building long-term customer relationships. It focuses on understanding customer preferences, developing products that meet their needs, and delivering value through effective marketing strategies.

Selling: The objective of selling is to persuade customers to make a purchase and generate sales revenue. It focuses on achieving short-term transactional success by convincing customers to buy a specific product or service.

(C) Scope:

Marketing: Marketing has a broader scope as it encompasses various activities from market research and analysis to product development, pricing, promotion, and customer relationship management. It involves understanding the market, identifying target customers, creating offerings that meet their needs, and delivering value.

Selling: Selling has a narrower scope as it mainly focuses on the transactional aspect of convincing customers to make a purchase. It involves personal selling techniques, such as direct communication and persuasion, to close individual sales.

In summary, marketing is a comprehensive process that aims to satisfy customer needs, create value, and build long-term relationships. It has a broader scope and focuses on understanding the market, developing products, and delivering value. Selling, on the other hand, is a subset of marketing that emphasizes the transactional aspect of persuading customers to make a purchase. It has a narrower scope and focuses on generating sales revenue through personal selling techniques.

Q.4. Marketing is much more than selling how?

Ans. Marketing is much more than selling because it encompasses a broader set of activities and objectives beyond just making sales. Here are some key ways in which marketing goes beyond selling:

 

Customer Focus: Marketing puts a strong emphasis on understanding and satisfying customer needs and wants. It involves conducting market research, segmenting the target market, and developing products and services that meet customer expectations. Marketing aims to create value for customers, build relationships, and enhance customer satisfaction, which goes beyond the immediate act of selling.

Strategic Planning: Marketing involves strategic planning to identify target markets, analyze competition, and develop effective marketing strategies. It encompasses activities such as market research, product positioning, pricing, distribution, and promotion. Marketing strategies are designed to create a competitive advantage, build brand equity, and achieve long-term business goals, rather than focusing solely on individual sales transactions.

Relationship Building: Marketing emphasizes building long-term relationships with customers. It recognizes the importance of repeat business, customer loyalty, and positive word-of-mouth. By focusing on customer satisfaction and providing ongoing value, marketing aims to create loyal customers who become brand advocates. This approach goes beyond a one-time sale and focuses on nurturing long-term relationships with customers.

Value Creation: Marketing aims to create value for customers by delivering products or services that meet their needs and provide benefits. It involves understanding customer preferences, designing products that offer unique value propositions, and effectively communicating the value to customers. Marketing goes beyond simply selling products; it involves creating a perception of value and differentiation in the minds of customers.

Integrated Approach: Marketing takes an integrated approach by considering various aspects such as product development, pricing, distribution, and promotion. It ensures that all these elements work together to deliver value and meet customer needs. Marketing coordinates different functions within an organization to align efforts towards a common goal, which goes beyond the singular focus of selling.

Overall, marketing is a comprehensive and strategic approach that goes beyond selling. It focuses on understanding and satisfying customer needs, building relationships, creating value, and achieving long-term business objectives. While selling is an important component of marketing, it is just one part of a broader set of activities and strategies aimed at delivering value to customers and driving business success.

Q.5. Selling is a part of marketing comment?

Ans. selling is indeed a part of marketing. Selling refers to the process of exchanging a product or service for money or other valuable consideration. It involves the activities directly related to persuading customers to make a purchase.

Marketing, on the other hand, is a broader concept that encompasses all the activities and processes involved in identifying, anticipating, and satisfying customer needs and wants. It includes market research, product development, pricing, distribution, promotion, and customer relationship management.

While selling focuses on the transactional aspect of persuading customers to buy a product or service, marketing takes a more holistic approach. Marketing involves understanding customer needs, creating value propositions, developing products or services that meet those needs, promoting them effectively, and building long-term relationships with customers.

Selling is an essential component of marketing as it is the final step in the process of delivering value to customers. It is the culmination of the marketing efforts aimed at generating sales and revenue. However, marketing goes beyond selling by encompassing activities that occur before and after the sale, such as market research, product development, branding, advertising, customer support, and post-purchase satisfaction.

In summary, selling is a subset of marketing. It is a crucial element in the marketing process, but marketing involves a broader range of activities aimed at understanding customer needs, creating value, and building lasting customer relationships.

Q.6.What is meant by marketing? Explain the importance of marketing?

Ans. Marketing refers to the process of identifying, anticipating, and satisfying customer needs and wants through the creation, communication, and delivery of value. It involves understanding the target market, developing effective marketing strategies, and implementing tactics to promote products or services.

The importance of marketing can be explained through the following points:

Customer Satisfaction: Marketing plays a vital role in understanding customer needs and delivering products or services that satisfy those needs. By conducting market research and analyzing consumer behavior, marketing helps businesses develop offerings that align with customer preferences, resulting in higher customer satisfaction.

Business Growth: Effective marketing strategies drive business growth by attracting new customers, retaining existing ones, and increasing sales. Marketing activities generate awareness, create demand, and influence consumer purchasing decisions, leading to revenue generation and market expansion.

Competitive Advantage: In a competitive marketplace, marketing enables businesses to differentiate themselves from competitors. Through effective branding, positioning, and promotional efforts, companies can create a unique identity and value proposition, giving them a competitive edge in the minds of consumers.

Market Expansion: Marketing facilitates market expansion by identifying new target markets and customer segments. By conducting market research and understanding consumer trends, businesses can identify untapped opportunities and develop strategies to enter new markets or introduce new products.

Innovation and Product Development: Marketing plays a crucial role in driving innovation and product development. By staying attuned to customer needs and market trends, businesses can identify gaps in the market and develop new products or improve existing ones. Marketing research provides insights into customer preferences, enabling businesses to create innovative solutions.

Building Brand Equity: Marketing activities such as advertising, public relations, and brand communication help build brand equity. A strong brand reputation increases customer trust, loyalty, and willingness to pay a premium for products or services. Brand equity contributes to long-term business success and creates a sustainable competitive advantage.

Economic Growth: Marketing contributes to economic growth by stimulating demand, creating jobs, and driving consumer spending. Effective marketing strategies encourage business investments, entrepreneurship, and innovation, leading to overall economic development.

Relationship Building: Marketing plays a crucial role in building and maintaining relationships with customers. Through customer relationship management (CRM) initiatives, businesses can engage with customers, address their concerns, and provide personalized experiences. Strong customer relationships result in repeat business, positive word-of-mouth, and brand advocacy.

In conclusion, marketing is essential for businesses as it helps identify customer needs, drive business growth, create a competitive advantage, facilitate market expansion, foster innovation, build brand equity, contribute to economic growth, and cultivate strong customer relationships. It is a strategic function that aligns business objectives with customer demands, leading to long-term success and profitability.

Q.7. Write any four differences between selling and marketing?

Ans. Four differences between selling and marketing are:

Focus:

Selling: Selling focuses on the product or service and its features. The emphasis is on persuading customers to make a purchase.

Marketing: Marketing focuses on understanding customer needs and wants, creating value propositions, and delivering customer satisfaction. The emphasis is on building long-term customer relationships.

Approach:

Selling: Selling is a transactional approach that involves direct personal interaction between the salesperson and the customer. The primary goal is to make a sale.

Marketing: Marketing is a broader and strategic approach that involves various activities such as market research, product development, pricing, promotion, and distribution. The goal is to create customer value and satisfy their needs.

Scope:

Selling: Selling is a subset of marketing and is primarily concerned with the final stages of the product or service exchange process.

Marketing: Marketing encompasses a broader scope, including market research, product development, pricing strategies, promotional activities, and distribution channels.

Focus on Customer Relationship:

Selling: Selling focuses on short-term transactions and closing the sale. The customer relationship may not extend beyond the initial purchase.

Marketing: Marketing emphasizes building long-term customer relationships. It involves understanding customer needs, providing ongoing value, and fostering customer loyalty and satisfaction.

These differences highlight that while selling is a tactical activity focused on individual transactions, marketing takes a holistic and strategic approach, focusing on the entire customer journey, customer satisfaction, and long-term success.

Q.8. Explain market planning product designing and development as functions of marketing.

                                                            Or

Explain any three functions of marketing.

Ans. Market Planning: Market planning is a function of marketing that involves the process of analyzing market opportunities, setting marketing objectives, and developing marketing strategies to achieve those objectives. It includes conducting market research, identifying target markets, determining pricing strategies, creating promotional campaigns, and selecting distribution channels. Market planning helps organizations align their marketing efforts with their overall business goals and effectively reach and satisfy their target customers.

Product Designing and Development: Product designing and development is another important function of marketing. It involves creating and improving products or services to meet the needs and preferences of the target market. This function includes identifying customer needs, conducting market research, generating product ideas, designing prototypes, testing and refining the product, and launching it in the market. Product designing and development aim to create innovative, high-quality, and competitive offerings that provide value to customers and differentiate the organization from its competitors.

Functions of Marketing (alternative explanation):

Market Research: Market research is a crucial function of marketing that involves gathering and analyzing data about customers, competitors, and market trends. It helps organizations understand customer needs and preferences, identify market opportunities, assess the competitive landscape, and make informed decisions. Market research provides valuable insights that inform marketing strategies and tactics.

Promotion and Advertising: Promotion and advertising are functions of marketing that involve creating awareness and generating demand for products or services. This function includes developing promotional campaigns, advertising through various channels, such as print, television, digital media, and social platforms, and utilizing public relations and sales promotions. Promotion and advertising aim to communicate the value and benefits of the product or service to the target market and persuade customers to make a purchase.

Distribution and Channel Management: Distribution and channel management focus on the efficient and effective movement of products or services from the organization to the customers. This function involves selecting appropriate distribution channels, such as direct sales, wholesalers, retailers, or online platforms, and managing relationships with intermediaries. Distribution and channel management ensure that products or services reach the right customers at the right time and in the right place, maximizing availability and convenience for customers.

These functions of marketing collectively work together to create, communicate, and deliver value to customers, ultimately driving customer satisfaction, loyalty, and business success.

Q.9. Explain the following functions of marketing:

(A) Gathering and analyzing market information.

(B) Customer support services.

Ans. (A) Gathering and Analyzing Market Information: One of the key functions of marketing is to gather and analyze market information. This involves collecting data and insights about customers, competitors, and market trends to make informed marketing decisions. The process includes conducting market research, surveys, and data analysis to understand customer needs, preferences, and behavior. By gathering and analyzing market information, companies can identify target markets, assess market demand, evaluate competition, and identify opportunities for product improvement or new market entry. This function helps organizations stay competitive, understand market dynamics, and develop effective marketing strategies.

(B) Customer Support Services: Customer support services are an essential function of marketing that focuses on providing assistance and addressing customer needs after the purchase of a product or service. It involves activities such as customer service, technical support, and product maintenance. Customer support services aim to ensure customer satisfaction, build customer loyalty, and enhance the overall customer experience. By providing timely and effective support, organizations can strengthen customer relationships, address any issues or concerns, and foster long-term customer loyalty. Customer support services also play a role in generating positive word-of-mouth referrals and repeat business.

Q.10. Explain the role of marketing in a firm?

Ans. The role of marketing in a firm is crucial and encompasses various functions that contribute to the overall success and growth of the organization. Here are some key roles of marketing:

Market Analysis: Marketing plays a vital role in conducting market research and analyzing consumer behavior, market trends, and competitor activities. By understanding the market dynamics and consumer preferences, marketing helps the firm identify target markets, assess demand for products or services, and develop effective marketing strategies.

Product Development and Management: Marketing is involved in product development, from conceptualization to design and launch. Marketers gather customer insights, conduct market research, and collaborate with product development teams to create products that meet customer needs and preferences. Additionally, marketing manages the lifecycle of products, including pricing, positioning, branding, and packaging, to ensure their success in the market.

Promotion and Communication: Marketing is responsible for creating awareness about the firm's products or services and generating interest among the target audience. It develops promotional strategies and communication campaigns to effectively reach and engage customers through various channels, such as advertising, public relations, digital marketing, and social media. By communicating the value and benefits of the products or services, marketing aims to attract customers and drive sales.

Customer Relationship Management: Marketing plays a crucial role in building and maintaining strong customer relationships. It focuses on understanding customer needs, preferences, and feedback to provide personalized experiences and develop long-term loyalty. Through effective customer relationship management strategies, such as customer segmentation, loyalty programs, and customer support services, marketing aims to enhance customer satisfaction, retention, and advocacy.

Market Expansion and Growth: Marketing is responsible for identifying new market opportunities and driving the firm's growth. It explores market expansion strategies, such as entering new geographic regions, targeting new customer segments, or diversifying product offerings. Marketing also plays a role in identifying potential partnerships, collaborations, or acquisitions that can contribute to the firm's growth and market positioning.

Monitoring and Evaluation: Marketing continuously monitors and evaluates marketing initiatives, campaigns, and overall performance. It tracks key performance indicators, analyzes data, and measures the effectiveness of marketing strategies. By monitoring outcomes and analyzing results, marketing identifies areas for improvement, makes data-driven decisions, and adjusts marketing efforts to optimize outcomes.

Overall, marketing plays a central role in understanding and meeting customer needs, creating value for customers, and driving business growth. It contributes to the firm's strategic direction, market positioning, and profitability, ultimately shaping the success and competitiveness of the organization.

Q.11.What is meant by production concept and product concept of marketing?

Ans. The production concept and product concept are two different approaches or philosophies that guide marketing strategies and decision-making. Let's understand each concept:

Production Concept: The production concept is a marketing philosophy that focuses on maximizing production efficiency and reducing costs. According to this concept, consumers prefer products that are widely available and affordable. Therefore, the primary objective is to produce goods or services on a large scale and at a low cost. The underlying assumption is that consumers will favor products that are easily accessible and affordable.

The production concept is suitable for markets where demand exceeds supply, and the emphasis is on mass production. It is commonly associated with industries that produce essential or standardized products, such as basic food items or certain household goods. In this concept, marketing efforts primarily revolve around efficient production processes, distribution logistics, and cost reduction strategies.

Product Concept: The product concept is a marketing philosophy that focuses on the quality, features, and performance of a product. According to this concept, consumers will favor products that offer superior quality, unique features, or innovative attributes. The primary objective is to create products that exceed customer expectations and deliver exceptional value.

The product concept emphasizes continuous product improvement, research and development, and differentiation strategies. Companies adopting this concept invest in product innovation, design, and engineering to create superior offerings. Marketing efforts revolve around communicating the product's features, benefits, and unique selling propositions to the target audience.

While the production concept prioritizes efficient production and cost reduction, the product concept places a greater emphasis on product excellence and differentiation. The choice between these two concepts depends on various factors, such as the nature of the market, customer preferences, competition, and the company's resources and capabilities.

It's important to note that both concepts have limitations. The production concept may overlook changing customer preferences and fail to address specific customer needs. The product concept, on the other hand, may neglect factors such as pricing, distribution, and customer convenience. Modern marketing approaches often integrate elements of both concepts while also considering customer-centric strategies, market segmentation, and holistic value creation.

Q.12. Selling is a part of marketing?

Ans. selling is a part of marketing. While marketing encompasses a broader set of activities, selling is one of the specific functions or activities within the marketing process. Selling refers to the process of persuading and influencing customers to purchase a product or service. It involves direct interaction with customers, presenting the product's features and benefits, addressing customer concerns, and closing the sale.

Marketing, on the other hand, is a comprehensive process that involves various activities aimed at creating, communicating, delivering, and exchanging value with customers. It encompasses market research, product development, pricing strategies, distribution channels, promotional campaigns, and customer relationship management. Marketing goes beyond just selling and encompasses a strategic and holistic approach to understanding and satisfying customer needs.

In essence, selling is a tactical aspect of marketing that focuses on individual transactions and generating revenue. It is an important component of the overall marketing strategy, as successful selling contributes to achieving the organization's marketing objectives. However, marketing also involves broader activities such as market analysis, segmentation, targeting, positioning, and building long-term relationships with customers.

To summarize, selling is a subset of marketing that involves the direct interaction with customers to persuade them to make a purchase, while marketing encompasses a wider range of activities that encompass the entire process of creating, communicating, and delivering value to customers.

 

LONG ANSWER QUESTIONS

Q.1. Explain briefly any four objectives of marketing management?

Ans. The objectives of marketing management are focused on achieving specific goals and driving the success of a company's marketing efforts. Here are four key objectives of marketing management:

 

Market Expansion: One of the primary objectives of marketing management is to expand the market for a company's products or services. This involves identifying new target markets, reaching out to potential customers, and increasing market share. The goal is to attract new customers and increase the demand for the company's offerings.

Customer Satisfaction: Marketing management aims to understand customer needs, preferences, and expectations to deliver products or services that meet or exceed their expectations. By focusing on customer satisfaction, marketing management aims to build strong customer relationships, enhance loyalty, and encourage repeat purchases. Satisfied customers are more likely to become brand advocates and recommend the company to others.

Profit Maximization: Marketing management aims to maximize profits by effectively pricing products or services, managing costs, and optimizing sales volumes. It involves conducting market research and analysis to identify pricing strategies that balance customer value and profitability. Marketing activities are designed to generate revenue and maximize the return on investment for the company.

Brand Building and Positioning: Marketing management aims to build a strong brand image and position the company's products or services effectively in the market. This involves developing a unique brand identity, creating brand awareness, and establishing a positive brand reputation. The objective is to differentiate the company from competitors, communicate the unique value proposition, and build a loyal customer base.

These objectives of marketing management work together to drive the overall success of a company's marketing efforts. By expanding the market, satisfying customers, maximizing profits, and building a strong brand, marketing management plays a crucial role in achieving sustainable growth and competitive advantage in the market.

Q.2. Marketing in the creation and delivery of a standard of Living to the society Explain?

Ans. Marketing plays a significant role in creating and delivering a standard of living to society. Here's how:

Product and Service Innovation: Marketing involves identifying consumer needs, preferences, and trends. Through market research and analysis, companies can understand what consumers want and develop innovative products and services to meet those needs. These new offerings enhance the standard of living by providing improved solutions, convenience, and added value to consumers' lives.

Access to a Variety of Choices: Marketing enables consumers to have access to a wide range of products and services. By promoting competition and market diversity, marketing ensures that consumers have multiple options to choose from. This abundance of choices allows individuals to select products and services that align with their preferences, lifestyle, and desired standard of living.

Information and Education: Marketing provides information and educates consumers about the features, benefits, and usage of products and services. Through advertising, branding, and marketing communication, companies inform consumers about the value and functionality of their offerings. This information empowers consumers to make informed decisions, compare alternatives, and select products that enhance their standard of living.

Convenience and Accessibility: Marketing plays a crucial role in making products and services easily accessible to consumers. Through effective distribution channels and marketing strategies, companies ensure that their offerings are available in various locations and channels, making it convenient for consumers to purchase and use them. This accessibility enhances the standard of living by saving time and effort in acquiring desired products and services.

Improved Quality of Life: Marketing contributes to improving the quality of life by addressing societal challenges and providing solutions. For example, marketing of healthcare products and services promotes better health and well-being. Marketing of sustainable and eco-friendly products encourages a greener lifestyle, benefiting the environment. Marketing initiatives for social causes raise awareness and drive positive change in society, contributing to an improved standard of living.

Overall, marketing plays a vital role in creating and delivering a standard of living to society by fostering innovation, providing choices, disseminating information, ensuring accessibility, and improving the quality of life. It aligns the interests of consumers and businesses, driving economic growth and societal well-being.

Q.3. Explain marketing its objectives and distinguish between marketing and selling?

Ans. Marketing refers to the process of identifying, anticipating, and satisfying customer needs and wants through the creation, communication, and delivery of value offerings. It is a comprehensive approach that involves various activities, such as market research, product development, pricing, promotion, and distribution, aimed at achieving specific objectives. The primary objectives of marketing include:

Customer Satisfaction: Marketing aims to understand customer needs and preferences and deliver products or services that meet or exceed their expectations. By focusing on customer satisfaction, marketing aims to build long-term relationships and loyalty, resulting in repeat purchases and positive word-of-mouth recommendations.

Market Expansion: Marketing seeks to expand the market for a product or service by identifying new target markets, reaching out to untapped customer segments, and creating demand through effective promotional activities. The objective is to increase market share and reach a wider audience.

Profit Generation: Marketing aims to generate revenue and maximize profitability for the organization. This is achieved through effective pricing strategies, efficient resource allocation, and optimizing marketing efforts to generate sales and increase the organization's bottom line.

Brand Building and Awareness: Marketing plays a crucial role in building strong brands and creating brand awareness. It involves creating a unique brand identity, establishing a positive brand image, and communicating the brand's value proposition to the target audience. The objective is to differentiate the brand from competitors and build brand equity, which can lead to increased customer loyalty and market share.

Distinguishing between marketing and selling:

Marketing and selling are related concepts, but they have distinct differences:

Meaning: Marketing encompasses a broader set of activities that involve identifying customer needs, creating products, determining pricing, promoting offerings, and managing distribution channels. Selling, on the other hand, specifically refers to the act of persuading and convincing customers to purchase a particular product or service.

Focus: Marketing focuses on understanding customer needs, developing products or services that meet those needs, and creating value for customers. It involves long-term planning, market research, and building customer relationships. Selling focuses on closing individual sales transactions and meeting short-term sales targets.

Scope: Marketing is a comprehensive process that encompasses various elements such as market research, product development, pricing, promotion, and distribution. It is a strategic and customer-centric approach. Selling is a tactical activity that primarily involves personal selling, negotiation, and closing deals.

Orientation: Marketing takes a customer-centric approach, aiming to identify and fulfill customer needs while delivering value and satisfaction. It focuses on building long-term customer relationships. Selling takes a product-centric approach, emphasizing the features and benefits of a specific product or service to persuade customers to make a purchase.

In summary, marketing is a broader concept that encompasses all activities involved in identifying and satisfying customer needs, while selling specifically refers to the act of persuading customers to buy a product or service. Marketing is a strategic, customer-oriented approach, whereas selling is a tactical, product-oriented activity.

Q.4. Differentiate between marketing and selling on any five basis?

Ans. Differentiating between marketing and selling on five bases:

Scope: Marketing has a broader scope and includes activities such as market research, product development, pricing, promotion, and distribution. It involves understanding customer needs, creating value, and building long-term customer relationships. Selling, on the other hand, has a narrower scope and focuses on persuading customers to make a purchase through personal selling or direct transactional activities.

Focus: Marketing is customer-centric and aims to identify and fulfill customer needs by creating and delivering value. It emphasizes building relationships and satisfying customer demands. Selling, on the other hand, is product-centric and focuses on convincing customers to buy a specific product or service by highlighting its features and benefits.

Objective: The objective of marketing is to identify and satisfy customer needs, create customer value, and build long-term customer relationships. It aims to achieve customer satisfaction, market expansion, profitability, and brand building. Selling aims to achieve short-term sales targets and generate revenue by closing individual sales transactions.

Approach: Marketing takes a strategic and holistic approach, involving research, analysis, planning, and implementation of integrated marketing strategies. It involves understanding the market, identifying target segments, and creating value propositions. Selling takes a tactical approach and involves personal selling techniques, negotiation skills, and persuasive tactics to close individual sales.

Orientation: Marketing is customer-oriented and focuses on delivering value and satisfaction to customers. It aims to build long-term relationships and customer loyalty. Selling is transaction-oriented and focuses on closing immediate sales by persuading customers to buy a particular product or service.

In summary, marketing has a broader scope, customer-centric approach, and focuses on creating value, building relationships, and satisfying customer needs. Selling has a narrower scope, product-centric approach, and focuses on closing individual sales transactions. While marketing is strategic and long-term oriented, selling is tactical and short-term focused.

Q.5.Distinguish between product and production concepts of marketing philosophies on the following basis?

(A)Starting point               (B) Main focus        (C) Means                (D) Ends

Ans. Distinguishing between the product and production concepts of marketing philosophies:

(A) Starting point:

Product Concept: The starting point of the product concept is the company's focus on developing a high-quality product that meets customer needs and wants.

Production Concept: The starting point of the production concept is the company's internal capabilities and efficiency in producing goods or services.

(B) Main focus:      

Product Concept: The main focus of the product concept is on creating and improving the features, design, and performance of the product to meet customer expectations and preferences.

Production Concept: The main focus of the production concept is on achieving production efficiency, cost reduction, and mass production to meet market demand.

(C) Means:

 

Product Concept: The means of the product concept involve extensive research and development, product design, innovation, and quality control to create superior products.

Production Concept: The means of the production concept involve efficient production processes, economies of scale, standardization, and cost reduction through volume production.

(D) Ends:

Product Concept: The end goal of the product concept is to provide customers with the best possible product that offers superior quality, performance, and value.

Production Concept: The end goal of the production concept is to achieve operational efficiency, cost reduction, and high production output to meet market demand at a low price.

In summary, the product concept focuses on creating and improving products to meet customer needs, while the production concept emphasizes efficiency and cost reduction in the production process. The product concept starts with customer preferences and aims to provide superior products, while the production concept starts with internal capabilities and aims to achieve production efficiency and high output.

Q.6. Explain the following function of marketing:

(A) Marketing planning

(B) Customer support services.

Ans. (A) Marketing Planning:

Marketing planning refers to the process of setting marketing objectives, developing marketing strategies, and creating action plans to achieve those objectives. It involves analyzing the market, identifying target customers, understanding their needs and preferences, and formulating marketing strategies to reach and influence them. The function of marketing planning includes:

Setting objectives: Marketing planning begins with defining clear and specific marketing objectives that align with the overall goals of the organization. These objectives can include increasing market share, expanding into new markets, launching new products, or improving customer satisfaction.

Market analysis: Marketing planning involves conducting thorough market research and analysis to understand the market dynamics, customer behavior, competition, and emerging trends. This helps in identifying opportunities and challenges and making informed decisions.

Segmentation and targeting: Based on the market analysis, marketing planning involves segmenting the market into distinct groups of customers with similar characteristics and needs. The next step is selecting target segments that the organization wants to focus on and tailoring marketing strategies to reach and serve those segments effectively.

Developing marketing strategies: Marketing planning includes developing strategies that outline how the organization will position its products or services in the market, differentiate itself from competitors, and reach the target customers. It involves decisions related to product development, pricing, distribution channels, and promotion.

(B) Customer Support Services:    

Customer support services refer to the activities and assistance provided by a company to its customers before, during, and after the purchase of a product or service. These services aim to enhance customer satisfaction, build customer loyalty, and provide ongoing support. The function of customer support services includes:

Pre-sales support: Before a customer makes a purchase, customer support services assist in providing information about products or services, answering queries, and helping customers make informed decisions. This can be through phone helplines, live chat, email support, or self-service options on the company's website.

Post-sales support: After the purchase, customer support services continue to assist customers with any issues, concerns, or questions they may have. This can include technical support, troubleshooting, warranty or guarantee services, product repairs or replacements, and handling customer complaints or feedback.

Relationship management: Customer support services play a crucial role in building and maintaining strong relationships with customers. They ensure regular communication, follow-up, and personalized assistance to foster customer loyalty and satisfaction. This can involve loyalty programs, customer feedback surveys, and proactive outreach to address customer needs.

Customer education: Customer support services also involve educating customers about product usage, features, and benefits. They provide training materials, user guides, online tutorials, and workshops to help customers maximize the value they derive from the product or service.

In summary, marketing planning focuses on setting objectives, analyzing the market, developing strategies, and creating action plans to achieve marketing goals. Customer support services involve assisting customers before, during, and after the purchase, providing information, addressing queries, offering technical support, and building strong customer relationships.

Q.7. Define marketing management state any three objectives of marketing management?

Ans. Marketing management refers to the process of planning, organizing, implementing, and controlling the activities related to the marketing of products or services in order to achieve the organization's marketing objectives. It involves analyzing market trends, identifying target customers, developing marketing strategies, and monitoring the performance of marketing activities.

The three objectives of marketing management are:

Market Share: One of the primary objectives of marketing management is to increase the market share of the organization. This involves attracting more customers, capturing a larger portion of the market, and outperforming competitors. A higher market share indicates the organization's ability to meet customer needs, gain a competitive advantage, and achieve profitability.

Customer Satisfaction: Marketing management aims to ensure customer satisfaction by understanding customer needs, preferences, and expectations. It involves creating products or services that fulfill customer requirements, providing exceptional customer service, and maintaining strong customer relationships. Satisfied customers are more likely to become loyal customers and recommend the organization to others.

Profitability: Marketing management seeks to generate profits for the organization by effectively utilizing marketing resources, maximizing sales revenue, and minimizing marketing expenses. It involves pricing products or services appropriately, managing distribution channels, implementing effective promotional strategies, and optimizing marketing campaigns. The objective is to achieve a positive return on investment (ROI) and contribute to the financial success of the organization.

These objectives of marketing management are interconnected and mutually supportive. By increasing market share, satisfying customers, and generating profits, marketing management plays a crucial role in the growth and success of the organization.

Q.8. Explain the following functions of marketing:

(A)Gathering and analyzing marketing

(B) Marketing planning

(C) Customer support services and

(D) Physical distribution

Ans. (A) Gathering and Analyzing Marketing Information: This function involves collecting, analyzing, and interpreting data and information related to the market, customers, competitors, and industry trends. It includes conducting market research, gathering consumer insights, monitoring market conditions, and assessing the effectiveness of marketing strategies. By gathering and analyzing marketing information, organizations gain valuable insights that help in making informed decisions, identifying opportunities, and addressing challenges in the marketplace.

(B) Marketing Planning: Marketing planning is the process of setting marketing objectives, formulating marketing strategies, and developing action plans to achieve those objectives. It involves conducting a thorough analysis of the market, identifying target customers, positioning the products or services, determining pricing strategies, selecting distribution channels, and designing promotional campaigns. Marketing planning ensures that marketing activities are aligned with the overall business goals and objectives and provides a roadmap for implementing effective marketing strategies.

(C) Customer Support Services: Customer support services involve providing assistance, guidance, and support to customers throughout their journey with the organization's products or services. This includes pre-sales support, such as answering product-related inquiries and providing product demonstrations, as well as post-sales support, such as handling customer complaints, providing technical support, and offering warranty services. Customer support services aim to enhance customer satisfaction, build customer loyalty, and maintain long-term relationships with customers.

(D) Physical Distribution: Physical distribution, also known as logistics or distribution management, involves the movement and management of products from the production site to the end consumers. It encompasses activities such as inventory management, transportation, warehousing, order processing, and delivery. The goal of physical distribution is to ensure that the right products are available at the right place, at the right time, and in the right condition. Effective physical distribution helps in meeting customer demands, reducing costs, optimizing inventory levels, and improving overall supply chain efficiency.

These functions of marketing work together to create value for customers, drive sales, and achieve organizational objectives. Gathering and analyzing marketing information provides insights for effective marketing planning, which guides the organization's activities. Customer support services help in building strong customer relationships, while physical distribution ensures efficient product delivery to customers.

Q.9. Explain the following functions of marketing:

(A) Product designing and development

(B) Standardisation and grading;

(C) Customer support services;

(D) Pricing of products.

Ans. (A) Product Designing and Development: Product designing and development is the process of creating and enhancing products or services to meet the needs and preferences of target customers. It involves researching and understanding customer demands, identifying opportunities for innovation, conceptualizing new product ideas, designing product features and specifications, and testing prototypes. The goal is to develop products that offer unique value propositions, differentiate from competitors, and fulfill customer requirements. Effective product designing and development contribute to the success of marketing efforts by providing attractive and competitive offerings in the market.

(B) Standardization and Grading: Standardization refers to the process of establishing uniform product features, specifications, and quality levels across different variations of a product. It helps in ensuring consistency, reliability, and compatibility, which simplifies production, distribution, and customer decision-making. Grading, on the other hand, involves categorizing products into different levels or grades based on specific characteristics or quality criteria. Standardization and grading facilitate efficient market operations, enable fair comparisons among products, and help customers make informed choices.

(C) Customer Support Services: Customer support services encompass a range of activities aimed at assisting and satisfying customers before, during, and after their purchase experience. It includes pre-sales support, such as providing product information, answering inquiries, and assisting with product selection. During the purchase process, customer support services involve order processing, facilitating smooth transactions, and ensuring customer satisfaction. Post-sales support includes handling customer complaints, providing technical assistance, offering warranty services, and addressing any issues or concerns. Effective customer support services build customer loyalty, enhance the overall customer experience, and contribute to long-term customer satisfaction and retention.

(D) Pricing of Products: Pricing refers to the process of determining the monetary value or worth of a product or service. It involves setting the right price that reflects the value delivered to customers, aligns with the market dynamics, and supports the organization's financial objectives. Pricing decisions consider factors such as production costs, competitor pricing, customer perceptions of value, demand and supply dynamics, pricing strategies, and profitability goals. Effective pricing strategies help in maximizing revenue, achieving desired market positioning, attracting customers, and capturing market share.

These functions of marketing play crucial roles in delivering value to customers, creating competitive advantage, and driving business success. Product designing and development ensure the creation of appealing and innovative offerings, standardization and grading establish consistency and fairness in the market, customer support services enhance customer satisfaction and loyalty, and pricing strategies determine the perceived value and affordability of products.

A. One Word to One Sentence Questions

 

Q. 1. What is promotion?

Ans. Promotion refers to that process under which efforts are made to promote or persuade the potential customer for purchasing the product.

 

Q. 2. Name the tools of promotion.

Ans. Advertising, personal selling, publicity, sales promotion, public relations.

 

Q. 3. What is promotion mix?

Ans. The combination of various methods of promotion used to enhance the sale of the product is known as promotion mix.

 

Q. 4. What is advertising?

Ans. Any paid form of non-personal communication of ideas goods or services by business firms is known as advertising.

 

Q. 5. Write any two advantages of advertising.

Ans. (i) Helpful to launch new product (ii) Helpful to face competition.

 

Q. 6. What is personal selling?

Ans. The process of encouraging the potential customers through oral presentation is known as personal selling.

 

Q. 7. What is publicity?

Ans. Publicity is that form of advertisement which has no cost.

 

B. Fill in the Blanks

 

1. Advertising helps in creating demand for the product.

2. Painted display is a form of outdoor media.

3.  Sales promotion refers to short period incentives undertaken to enhance the sale.

4. Sponsor have to be paid for advertising.

5. The return of some part of the price to the consumer is called refund.

 

C. True or False Statements

 

1. All advertisement is publicity, but all publicity is not advertisement. True

2. Advertising is an impersonal method of promotion. True

3. Personal selling is not flexible. False

4. To increase the needs of people is the importance of advertising. False

5. Posters and painted displays are outdoor media of advertising. True

 

 

D. Multiple Choice Questions

 

1. Which tool of promotion mix involves direct face to face conversation with potential customers?

(a) Sale promotion                           (b) Personal selling

(c) Publicity                                       (d) All the above.

Ans. (b) Personal selling

 

2. Publicity refers to:

(a) Non-paid form of impersonal communication

(b) Paid form of impersonal communication

(c) Non-paid form of personal communication

(d) None of these.

Ans. (a) Non-paid form of impersonal communication

 

 

3. Indoor media of advertising does not include:

(a) Newspapers                                  (b) Sky-writing

(c) Magazines and journals             (d) Both (a) and (b).

Ans. (b) Sky-writing

 

4. Outdoor media does not include:

(a) Posters                                   (b) Painted displays

(c) Newspapers                         (d) Both (a) and (c).

Ans. (c) Newspapers

 

5. Which one of the following is not an audio-visual medium of advertising:

(a) Radio                                                       (b) Television

(c) Internet                                                  (d) All the above.

Ans. (a) Radio

 

Two Marks Questions:

 

Q. 1. What is advertising?

Ans. Advertising is a non-personal method of promotion under which the enterprise not only popularises its product, but also attracts and encourages the customers to buy the product. Under it; ideas, goods, services, places etc. are advertised. Advertising is done through a specific medium for which payment is made to it.

 

Q. 2. What is promotion?

Ans. Promotion refers to that process regarding marketing under which those involved in the marketing provide knowledge about the product to potential customers. For this, various means of communication are used. Hence, efforts are made to promote or persuade them for purchasing the product.

 

Q. 3. What is window display?

Ans. Under window display, products are displayed in various windows of the sale centre, any person who comes to the sale center or passes by it, gets attracted towards the products displayed and hence he is motivated to purchase those products.

 

Q. 4. What is sky writing?

Ans. The method of transmitting advertisement in the sky through various methods is known as sky-writing. Under it, advertising messages are displayed in the sky in the form of huge balloons, kites or pictures etc. at such a height where attention of the people gets attracted and hence advertising message is transmitted to them. Revolving search light is also used for sky-writing. It is a newly developing medium of advertising.

 

Q. 5. Who is a sandwichman?

Ans. Sandwichman is that person who conveys advertising messages by wandering here and there. He transmits advertising messages in the form of posters or audio messages by wandering in streets, markets, villages, cities etc. This method of transmitting advertising messages is very effective and its cost is also low. But, its usefulness is highly limited.

 

Four Marks Questions:

 

Q. 1. Discuss any four elements of promotion mix.

Ans. 1. Advertising: Under it; ideas, goods, services, places, persons etc. are advertised. Advertisement is done through any specific medium and for this payment has to be made. In present times, advertisement is an important part of marketing activities.

2. Personal Selling: The process of encouraging the potential customers to buy the product through oral presentation by having individual conversation with them is known as personal selling. Under it, direct communication takes place between the salesperson and the consumer.

3. Publicity: Publicity is that form of advertisement which is based on non-personal communication like advertisement, but for which no specific payment is made. Hence, it is that form of advertisement which has no cost. Under publicity; encouraging or praiseworthy news are presented through public media such as newspapers, radio, TV, Internet and booklets etc.

4. Sales Promotion: Sales promotion refers to all those short term incentives which attract and encourage the consumers for prompt purchase of the product. Sales promotion includes all the activities; except advertisement, publicity and personal selling; which are used to enhance the sales. It includes activities like discount, sale contests, free gifts, free samples, joint selling of the products etc.

 

Q. 2. Differentiate between publicity and advertising.

Ans.

Advertising	Publicity
It is commercial by nature. Its scope is limited in comparison to the scope of publicity. It is sponsored. The identity of its sponsor is certain. For this, the sponsor makes a payment. Its main objective is to create demand for the product. Public does not have faith in it.	It may or may not be commercial by nature. Its scope is wider in comparison to the scope of advertising. It is not sponsored. The identity of its sponsor is not certain. For this, the sponsor does not make any payment. Its main objective is to provide information to the common people. Public has high faith in it as it is based on independent reporting.

 

Q. 3. Write any four primary functions of advertisement.

Ans. (i) To provide information about use and usefulness of the product so that its consumption increases.

(ii) To promote the sellers to create large stocks of product.

(iii) To improve the image of the product and brand name of the product; and to create customer loyalty for these.

(iv) To bring stability in the sale of the product by controlling the changes in its sale.

 

Q. 4. Discuss any four outdoor media of advertising.

Ans. 1. Poster: A written message on a large sheet of paper is known as poster. Posters are presented by pasting these on walls, board of wood, metallic boards etc. Any person who passes by the places where posters are pasted and watches the poster, advertising message is transmitted to him.

2. Painted Display: Under this medium of advertising, advertising messages are transmitted by doing painting on painted bulletins, walls and wooden or metallic boards. Painted displays are displayed on a raised platform these are clearly visible from a distance.

3. Electrical Signs: In present times, electrical signs are also used as a medium of advertising. Under it, advertising messages are transmitted through electrical write-up in glass bands. While doing so, attractive colours and designs are also used.

4. Travelling Display: The method of transmitting advertising messages by displaying the advertisement on various means of transportation, is known as travelling display. Under this method; advertising messages are displayed on various vehicles such as buses, trucks, rails, taxies etc. Travelling display is very cheap. But, its scope is limited and its life span is brief

 

Q. 5. Write any four dangers of advertising.

Ans. 1. Limited Scope: The choice and needs of all the consumers are not same. So, all the consumers cannot be influenced only by one advertisement. That is why the scope of advertising is limited.

2. Absence of Flexibility: Advertising is rigid by nature. It is not possible to change the messages transmitted through advertisement. Apart from this, advertisements lack innovations. Repeated telecast of same advertisement creates monotony.

3. Unbelievable Advertisements: A large number of advertisements are not reliable. These exaggerate and distort the facts. A large number of claims in advertising are often doubtful and false. That is why general public does not trust advertisements.

4. High Cost: The cost of advertising is very high. Enterprises include this cost in the price of the product. Hence, price of the product increases and the consumer has to bear its burden.

Q. 6. Discuss limitations of personal selling.

Ans. 1. High Cost: Cost of personal selling is very high. It involves a huge cost to train efficient and expert salespersons and then to retain them working in the enterprise.

2. Lack of Efficient Salespersons: The success of personal selling depends upon the efficiency of the salespersons. But, it is difficult to find efficient and expert salespersons.

3. Limited Scope: The scope of personal selling is limited. It is not possible to use this method in a wide geographical area.

4. Lack of Faith: Generally people do not have faith in salespersons. This creates several problems in the success of personal selling.

 

Q. 7. Explain the qualities of a good salesperson?

Ans. 1. Complete Knowledge: A good salesperson should have complete knowledge about the features, price, use and usefulness etc. of the product to be sold by him.

2. Fitness: Salesperson should be physically and mentally fit. Physical fitness and good personality make him look attractive which has a positive impact on the customers.

3. Social Qualities: A salesperson should be humble, disciplined, obedient and co-operative by nature He must be peaceful, kind and a person of patience as well.

4. Tactful: A salesperson has to meet several such persons whose attitude, behaviour, needs and circumstances are different. So, he must be a tactful person.

5. Self-Confidence: A salesperson should have self-confidence and firm determination.

6. Enthusiasm: It is very essential that a salesperson should have enthusiasm and vigour

7. Honesty and Integrity: A salesperson should be honest. He should never sell his products with dishonesty or deceit.

8. Hard Working: Personal selling is a complex and challenging task. So, a salesperson should always be hard working.