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What is Marketing?

The process of identifying, anticipating, and satisfying customer needs and wants by creating and promoting products or services.

Marketing Purpose

1. To drive sales and growth for business

2. To create meaningful interactions with consumers

Customer Needs

Needs are essentials to solve a problem or fulfill necessity (functional/emotional).

Functional Need

Tangible solutions (reliable product performance, ease of use)

Emotional needs

Psychological desires (feeling valued, trust in the brand)

Customer Wants

Preferences are shaped by culture, individual experiences, and trends.

Customer Wants Examples

1. Specific product features (luxury design, advanced technology)

2. Personalized experiences (customization, convenience

Functional Needs vs. Emotional Needs

Functional needs are tangible solutions like reliable product performance. Emotional needs are psychological desires like trust in a brand.

4 Primary Customer Loyalty Drivers

1. Positive Experience 2. Trust & Relationship 3. Incentives & Rewards 4. Convenience.

Positive Experience

Exceptional service, product satisfaction, or memorable interactions

Trust and Relationship

Consistent quality and a personal connection with the brand

Incentives and rewards

Loyalty programs, discounts, or personalized offers for repeat business

Convenience

Easy purchasing process, accessible customer service, or fast delivery

Customer Acquisition Cost (CAC) vs. Retention Cost

Acquiring a new customer can cost 5 to 25 times more than retaining an existing one.

Impact of Customer Retention on Profits

Increasing customer retention by just 5% can boost profits by 25% to 95%.

The 4 Ps of the Marketing Mix

Product, Price, Place, and Promotion.

Marketing Mix: Product

The goods or services that satisfy customer needs through features, branding, and packaging.

Marketing Mix: Price

The amount customers pay for a product, influencing perception through strategies like premium pricing or discounts.

Marketing Mix: Place (Distribution)

The channels used to sell and deliver products, influencing brand perception (e.g., luxury stores vs. e-commerce).

Marketing Mix: Promotion

Activities that communicate a product's value, such as advertising, social media, and targeted campaigns.

Foundation of a Marketing Strategy

A plan outlining how a company promotes offerings by building positive customer relationships and understanding the target market.

Market Segmentation

Breaking a broad market into specific groups based on demographics and preferences for targeted marketing.

Customer Persona

A profile of an ideal customer created to tailor messages and products effectively.

B2C Marketing (Business-to-Consumer)

Marketing aimed at individual consumers buying for personal use, focusing on emotions and brand loyalty.

B2B Marketing (Business-to-Business)

Marketing aimed at other businesses, characterized by relationship building, longer sales cycles, and bulk purchases.

C2C Marketing (Consumer-to-Consumer)

Peer-to-peer marketing, usually facilitated by online platforms like eBay, Etsy, or Facebook Marketplace.

Industrial Marketing

A specialized form of B2B marketing selling goods/services to manufacturers, emphasizing technical specs and long-term relations.

Group Buying

A strategy where consumers band together via social networks to purchase products in bulk for lower prices.

Nonprofit Marketing

Strategies used by non-profit organizations to promote their mission, tell stories, and raise donations.

Personal Marketing

Individuals promoting themselves, their skills, or personal brand to achieve career or personal goals.

Government Marketing

Strategies used by public agencies to share information, communicate with citizens, and promote public services.

Electronic Marketing (E-Marketing)

Using digital media and analytics—such as social media ads, SEO, and email—to reach and engage audiences.

Cross-Selling vs. Upselling

Cross-selling encourages buying related products, while upselling invites customers to purchase premium versions.

Clear Value Proposition

A statement highlighting what makes a product unique and beneficial compared to competitors.