CE316

INTRODUCTION TO
MARKETING
Eng Berverly Nyakutsikwa
BSc Civil Engineering

MSc Urban Water and Sanitation

Dept of Civil Engineering
University of Zimbabwe
bevlyfn@gmail.com
0772964194

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Adopted from Ignatious Madanhire

What Is Marketing?
Simple definition:
Marketing is the management process responsible for
identifying, anticipating, and satisfying customer
requirements profitably.” (CIM,2001)

Goals:
1. Attract new customers by promising superior value.
2. Keep and grow current customers by delivering
satisfaction.

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 Marketing Defined
■ Marketing is the activity, set of instructions, and
processes for creating, communicating, delivering,
and exchanging offerings that have value for
customers, clients, partners, and society at large.

OLD view of NEW view of

marketing: marketing:
Making a sale— Satisfying
“telling and selling” customer needs

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Why is Marketing Important?

Shifting Business Paradigms

Buyers’ markets

Sellers’ markets

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 The Marketing Process
A simple model of the marketing process:
■ Understand the marketplace and customer needs
and wants.
■ Design a customer-driven marketing strategy.
■ Construct an integrated marketing program that
delivers superior value.
■ Build profitable relationships and create customer
delight.
■ Capture value from customers to create profits and
customer quality.

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Needs, Wants, and Demands

Need: State of felt deprivation including physical, social, and

individual needs.
■ Physical needs: Food, clothing, shelter, safety
■ Social needs: Belonging, affection
■ Individual needs: Learning, knowledge, self-expression
Want: Form that a human need takes, as shaped by
culture and individual personality.

■ Wants + Buying Power = Demand

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 Need/ Want Fulfillment
Needs & wants are fulfilled through a Marketing
Offering:
■ Products:
Persons, places, organizations, information, ideas.
■ Services:
Activity or benefit offered for sale that is essentially
intangible and does not result in ownership.
■ Experiences:
Consumers live the offering.

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Customer Value and Satisfaction

Dependent on the product’s perceived performance

relative to a buyer’s expectations.
Care must be taken when setting expectations:
■ If performance is lower than expectations, satisfaction is
low.
■ If performance is higher than expectations, satisfaction is
high.
Customer satisfaction often leads to consumer loyalty.
Some firms seek to DELIGHT customers by exceeding
expectations.

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Marketing Management

The art and science of choosing target markets and

building profitable relationships with them.
■ Requires that consumers and the marketplace be
fully understood.
■ Aim is to find, attract, keep, and grow customers by
creating, delivering, and communicating superior
value.

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Marketing Management
Marketing managers must consider the following,
to ensure a successful marketing strategy:
1. What customers will we serve?
— What is our target market?
2. How can we best serve these
customers?
— What is our value proposition?

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 Choosing a Value Proposition
The set of benefits or values a company promises to
deliver to consumers to satisfy their needs.
■ Value propositions dictate how firms will
differentiate and position their brands in the
marketplace.

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The Marketing Concept

The marketing concept:

■ A marketing management philosophy that holds
that achieving organizational goals depends on
knowing the needs and wants of target markets
and delivering the desired satisfaction better than
competitors at a profit.

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 Customer Perceived Value
Customer perceived value:
“Customer’s evaluation of the difference between all of the benefits
and all of the costs of a marketing offer relative to those of
competing offers.” (Armstrong & Kotler)
– Perceptions may be subjective
– Consumers often do not objectively judge values and costs.
Customer value = perceived benefits – perceived sacrifice.

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The Marketing Mix

The set of controllable, tactical marketing tools that the firm
blends to produce the response it wants in the target
market.
■ Product: Variety, features, brand name, quality, design,
packaging, and services.
■ Price: List price, discounts, allowances, payment period,
and credit terms.
■ Place: Distribution channels, coverage, logistics,
locations, transportation, assortments, and inventory.
■ Promotion: Advertising, sales promotion, public relations,
and personal selling.

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 INTRODUCTION TO
MARKETING
Marketing Strategy

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Customer-Driven Marketing Strategy

Requires careful customer analysis.
To be successful, firms must engage in:
■ Market segmentation
■ Market targeting
■ Differentiation
■ Positioning

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Market Segmentation and Targeting

Segmentation:
■ The process of dividing a market into distinct
groups of buyers with different needs,
characteristics, or behavior who might require
separate products of marketing programs.
Targeting:
■ Involves evaluating each market segment’s
attractiveness and selecting one or more
segments to enter.

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Differentiation and Positioning

Differentiation:
■ Creating superior customer value by actually
differentiating the market offering.
Positioning:
■ Arranging for a product to occupy a clear,
distinctive, and desirable place relative to
competing products in the minds of target
consumers.

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Market Segmentation
Key segmenting variables:
■ Geographic
■ Demographic
■ Psychographic
■ Behavioral

Different segments desire different benefits from

products.
Best to use multivariable segmentation bases in order
to identify smaller, better-defined target groups.

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Market Segmentation
Why Segment?:
■ Meet consumer needs more precisely
■ Increase profits
■ Segment leadership
■ Retain customers
■ Focus marketing
communications

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Evaluating Market Segments

Segment size and growth:

■ Analyze current segment sales, growth rates, and
expected profitability.
Segment structural attractiveness:
■ Consider competition, existence of substitute products,
and the power of buyers and suppliers.
Company objectives and resources:
■ Examine company skills and resources needed to
succeed in that segment.
■ Offer superior value and gain advantages over
competitors.

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Market Targeting
Market targeting involves:
■ Evaluating marketing segments.
Segment size, segment structural attractiveness,
and company objectives
and resources are considered.
■ Selecting target market segments.
Alternatives range from undifferentiated
marketing to micromarketing.
■ Being socially responsible.

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Differentiation and
Positioning
A product’s position is:
■ The way the product is defined by
consumers on important attributes—the
place the product occupies in consumers’
minds relative to competing products.
■ Perceptual positioning maps can help
define a brand’s position relative to
competitors.

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Differentiation and
Positioning
Identifying possible value differences and
competitive advantages:
■ Key to winning target customers is to
understand their needs better than
competitors do and to deliver more value.
Competitive advantage:
■ Extent to which a company can position
itself as providing superior value.
Achieved via differentiation.

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 THANK YOU

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