4 - The Marketing Management Process in the Drug Industry

marketing management

the art and science of choosing target markets and getting, keeping, and growing customers through creating, delivering, and communicating superior customer value

production concept

focuses on the efficiency of production and distribution (especially for product-based companies)

product concept

focuses on quality and performance of products

selling concept

focuses on sales and customer relationships

marketing concept

a “customer-first” approach where you focus on getting the right customers for your product

societal marketing concept

focuses on the societal impact such as sustainable, socially, and environmentally responsible marketing that meets customers and business needs

demand measurement

estimation of the current and/or future size of the market for a particular good or service

short-term

includes planning the overall policy and assessing current developments

budgets

consists of preparing annual budget at the corporate level

long-term

covers a relatively long period in the future

market segmentation

process of classifying customers into groups with different needs, characteristics, or behavior

demographic

type of market segmentation based on personal characteristics, age, race, gender, religion, occupation, income level etc.

geographic

type of market segmentation based on zip/post code, city, country, population density, climate, time zone etc.

psychographic

type of market segmentation based on values, goals, needs, pain points, hobbies, interests etc.

behavioral

type of market segmentation based on purchasing habits, brand interactions, spending habits, customer loyalty, etc.

market niche

a narrower segment of a population that needs or desired specialized goods or services

market targeting

picking which segment of the population to market the company’s product and service to

market positioning

arrange for a product to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers

product positioning / differentiation

developing, creating, and implementing a unique selling proposition in the minds of target consumers relative to competing products

product positioning / differentiation

a marketing strategy, or what advertising does to a product in the prospective buyers minds which could be the product form, packaging size, and price compared to competitors

product positioning / differentiation

a new approach in determining market receptivity to new products

product positioning / differentiation

product attributes, characteristics, or purchase criteria which are perceived by the customers

marketing mix

a set of controllable marketing variables that the firm blends to product the response it wants to get the target market

product

anything that can be offered for sale, marketed for attention, use, consumption or acquisition by individuals or groups for obtaining value or benefits to satisfy and delight needs and wants of target customers (goods and services)

price

amount of money customers have to pay to obtain the products, defines, other aspects of the company (service, quality, products)

place

company activities that make the product available and visible to target consumers at the right place, time, quantity, cost and condition

promotion

activities that communicates the merits of the product and persuade target customers to buy it