Topic

Explanation

Example

Nature and Scope of Marketing

Marketing involves all activities related to selling products or services, such as advertising, sales, and market research.

A company like Nike markets its sportswear through social media ads, sponsorships, and influencer collaborations.

Marketing Concepts

Five main concepts: Production (focus on making products efficiently), Product (focus on product quality), Selling (focus on aggressive sales), Marketing (focus on customer needs), Societal (focus on customer needs and social welfare).

- Production Concept: Companies like Ford focus on producing large volumes to reduce costs.
- Product Concept: Apple focuses on high-quality and innovative products.

Customer Value

The benefit a customer perceives from a product compared to what they pay for it.

Amazon Prime offers fast delivery, streaming, and exclusive deals, creating high perceived value for its customers.

Holistic Marketing

A marketing strategy that considers everything - customers, employees, society, and company goals.

Coca-Cola integrates sustainability in its marketing, focusing on customer happiness and environmental care.

Topic

Explanation

Example

Macro Environment

External, larger factors like economic, political, technological, and cultural forces that affect the company’s ability to serve customers.

Economic downturns (like a recession) can reduce consumer spending, impacting companies like luxury brands.

Micro Environment

Close factors that directly affect a company, like suppliers, customers, competitors, and partners.

Competitors lowering prices may force a company to reduce its prices to stay competitive.

Consumer Buying Behavior

How and why people buy products, influenced by personal, social, and psychological factors.

A consumer buys a luxury car to satisfy a personal desire for status (social factor).

Market Segmentation

Dividing a market into smaller groups based on characteristics like age, income, or lifestyle.

Segmentation example: McDonald's targets children with Happy Meals and adults with premium coffee.

Targeting and Positioning (STP)

Choosing the right market segments to serve (targeting) and creating a specific image for the product (positioning).

Nike targets athletes and fitness enthusiasts and positions itself as a high-performance sports brand.

Marketing Research and Information

Gathering and analyzing data to understand the market and customer needs better.

Pepsi conducts taste tests to understand customer preferences for new flavors.

Topic

Explanation

Example

Market Penetration Strategy

Focuses on increasing sales of existing products in the current market, usually by lowering prices, increasing promotions, or expanding distribution.

A fast-food chain like McDonald's may offer discounts or special promotions to boost sales in existing markets.

Product Development Strategy

Involves creating new products for existing markets to attract customers and increase sales.

Apple launches new versions of the iPhone to attract existing customers looking for upgrades.

Market Development Strategy

Involves entering new markets with existing products. This can mean expanding geographically or targeting new segments.

Starbucks expands to new countries or introduces coffee to non-coffee drinkers (targeting new customer segments).

Diversification Strategy

Involves entering new markets with new products to reduce risks and achieve growth.

Amazon’s move from an online bookstore to offering various products and services, such as Amazon Web Services (AWS).

SWOT Analysis

Analyzing the internal strengths and weaknesses of a company, and the external opportunities and threats.

Nike's SWOT analysis shows strengths (brand recognition), weaknesses (high prices), opportunities (expanding in emerging markets), and threats (increasing competition).

Category

Explanation

Example

Strengths

Internal factors that give a competitive edge.

Strong brand reputation, high customer loyalty, innovation.

Weaknesses

Internal limitations or disadvantages.

High operational costs, limited market presence in emerging economies.

Opportunities

External conditions that could be exploited for growth.

Growing demand for tech products, potential partnerships with other tech firms.

Threats

External conditions that could harm the business.

Rising competition, rapid technological changes, economic downturns.

Topic

Explanation

Example

Situation Analysis

Assessing the current market situation using tools like SWOT analysis, market research, and competitor analysis.

A company launching a new fitness app would analyze the market for existing apps, target audience needs, and competitor strengths.

Setting Marketing Objectives

Defining clear, measurable goals for what the marketing plan should achieve, such as increasing sales, market share, or customer loyalty.

An e-commerce business may set an objective to increase online sales by 20% within six months.

Developing Marketing Strategies

Deciding on the overall approach to achieve the marketing objectives, such as selecting target markets and positioning.

A skincare brand may decide to focus on digital marketing to reach younger customers and position itself as eco-friendly.

Implementing the Plan

Executing the marketing strategies by allocating resources, setting timelines, and coordinating activities.

A retail company plans an integrated campaign using social media ads, influencer partnerships, and in-store promotions.

Monitoring and Controlling

Continuously tracking performance against objectives and making adjustments as needed.

A company uses analytics to monitor website traffic and ad performance and adjusts its marketing tactics accordingly.

Step

Description

Example

1. Situation Analysis

Understanding the current market environment and company capabilities.

Conduct a competitor analysis to identify market trends and gaps.

2. Set Objectives

Defining what the marketing plan aims to achieve.

Increase brand awareness by 30% within the next year.

3. Develop Strategies

Deciding how to achieve the objectives, including target market selection and positioning.

Target millennials by using social media platforms like Instagram and TikTok to promote sustainable products.

4. Implement Plan

Putting the strategies into action, such as launching campaigns or promotions.

Launch a multi-channel advertising campaign across digital and print media.

5. Monitor & Control

Tracking progress, analyzing results, and making necessary adjustments to stay on track.

Use key performance indicators (KPIs) such as conversion rates and customer feedback to adjust tactics.

Topic

Explanation

Example

Product Planning and Development

Designing new products or changing existing ones to better meet customer needs.

Samsung frequently releases updated smartphone models to incorporate new technology and meet customer demand.

Product Life Cycle (PLC)

The stages a product goes through from its introduction to the market to its decline: Introduction, Growth, Maturity, and Decline.

During the introduction stage, electric vehicles were promoted heavily to raise awareness and attract early adopters.

New Product Development

Steps involved in creating and launching a new product, from idea generation to commercialization.

Coca-Cola develops new beverages, such as Coca-Cola Zero, by conducting market research and taste tests.

Branding, Packaging, and Labeling

Branding creates a unique name or image, packaging involves designing the container, and labeling provides product information.

Coca-Cola's red and white branding, bottle shape (packaging), and logo help customers easily identify the product.

Stage

Characteristics

Strategies

Example

Introduction

Low sales, high costs, little to no profit

Create awareness through advertising and promotions, focus on building a market presence.

Electric cars were in the introduction phase with heavy advertisements and subsidies to build awareness.

Growth

Sales increase, profits begin to rise

Enhance product features, expand distribution, reduce prices slightly to attract more customers.

Smartphone manufacturers focus on innovation and expand globally to capitalize on growing demand.

Maturity

Sales growth slows, high competition

Differentiate from competitors, improve features, and enter new markets to sustain growth.

Coca-Cola maintains its position by launching new flavors and variants in different markets.

Decline

Sales decrease, profits drop

Cut costs, target a niche audience, consider product discontinuation or innovation.

DVD players have declined due to the rise of streaming services, leading some companies to exit the market.

Topic

Explanation

Example

Designing Distribution Channels

Choosing the best way to get products from the manufacturer to the customer.

Apple sells products directly through its own stores (Apple Stores) and online, as well as through third-party retailers.

Managing Conflicts and Controls in Channels

Addressing disagreements among distributors, retailers, and other channel members to ensure smooth product flow.

Manufacturers may set pricing policies to prevent retailers from selling below a certain price.

Retailing

Selling goods or services directly to the end consumer through physical stores, online platforms, or both.

Amazon uses an e-commerce platform to sell a wide variety of products directly to customers globally.

Topic

Explanation

Example

Role of Promotion in Marketing

Promotion communicates with customers to inform, persuade, and remind them about the product or service.

Coca-Cola uses TV ads, digital marketing, and promotions to stay top-of-mind among consumers.

Integrated Marketing Communication (IMC)

Ensuring all marketing communications (advertising, sales promotion, PR) deliver a consistent message.

Nike uses a mix of social media campaigns, sponsorships, and commercials that convey a cohesive brand message about performance and fitness.

Determining Promotional Mix

Selecting the right blend of advertising, sales promotions, personal selling, and public relations.

McDonald's uses TV ads, in-store promotions, digital ads, and local events to attract different segments.

Topic

Explanation

Example

Service Marketing

Marketing that focuses on selling intangible services rather than physical goods.

Airbnb markets experiences and stays by highlighting customer stories and the unique experiences offered.

Social Media Marketing

Using social media platforms to promote products and engage customers.

Brands like Wendy’s use Twitter for direct interaction with customers and playful marketing campaigns.

Green Marketing

Promoting products or services based on their environmental benefits.

Patagonia markets its eco-friendly clothing and commitment to sustainability to appeal to environmentally-conscious consumers.

Customer Relationship Management (CRM)

Strategies for managing a company's interactions with current and potential customers to build long-term relationships.

Amazon uses data analytics to provide personalized product recommendations and offers to customers.

Rural Marketing

Developing marketing strategies to reach and serve rural customers effectively.

Hindustan Unilever adapts packaging sizes and prices to suit rural markets, such as selling small sachets of shampoo.

Promotional Tool

Description

Example

Advertising

Paid promotion through TV, radio, online, print, etc.

Coca-Cola uses TV commercials to reach a wide audience.

Sales Promotion

Short-term incentives to encourage purchase, such as discounts, coupons, or contests.

McDonald's offers limited-time discounts or "buy one get one free" deals to increase sales.

Public Relations

Building a positive company image through media, events, and community engagement.

Starbucks engages in community events and promotes sustainability efforts to build a good brand image.

Personal Selling

Direct interaction with customers to sell products, often through salespeople or representatives.

Real estate agents use personal selling to provide property tours and negotiate sales.

Direct Marketing

Direct communication with customers via email, mail, or phone to encourage purchases.

Amazon sends personalized emails with product recommendations based on past purchases.

Topic

Explanation

Example

Nature and Scope of Marketing

Marketing involves all activities related to selling products or services, such as advertising, sales, and market research.

A company like Nike markets its sportswear through social media ads, sponsorships, and influencer collaborations.

Marketing Concepts

Five main concepts: Production (focus on making products efficiently), Product (focus on product quality), Selling (focus on aggressive sales), Marketing (focus on customer needs), Societal (focus on customer needs and social welfare).

- Production Concept: Companies like Ford focus on producing large volumes to reduce costs.
- Product Concept: Apple focuses on high-quality and innovative products.

Customer Value

The benefit a customer perceives from a product compared to what they pay for it.

Amazon Prime offers fast delivery, streaming, and exclusive deals, creating high perceived value for its customers.

Holistic Marketing

A marketing strategy that considers everything - customers, employees, society, and company goals.

Coca-Cola integrates sustainability in its marketing, focusing on customer happiness and environmental care.

Topic

Explanation

Example

Macro Environment

External, larger factors like economic, political, technological, and cultural forces that affect the company’s ability to serve customers.

Economic downturns (like a recession) can reduce consumer spending, impacting companies like luxury brands.

Micro Environment

Close factors that directly affect a company, like suppliers, customers, competitors, and partners.

Competitors lowering prices may force a company to reduce its prices to stay competitive.

Consumer Buying Behavior

How and why people buy products, influenced by personal, social, and psychological factors.

A consumer buys a luxury car to satisfy a personal desire for status (social factor).

Market Segmentation

Dividing a market into smaller groups based on characteristics like age, income, or lifestyle.

Segmentation example: McDonald's targets children with Happy Meals and adults with premium coffee.

Targeting and Positioning (STP)

Choosing the right market segments to serve (targeting) and creating a specific image for the product (positioning).

Nike targets athletes and fitness enthusiasts and positions itself as a high-performance sports brand.

Marketing Research and Information

Gathering and analyzing data to understand the market and customer needs better.

Pepsi conducts taste tests to understand customer preferences for new flavors.

Topic

Explanation

Example

Market Penetration Strategy

Focuses on increasing sales of existing products in the current market, usually by lowering prices, increasing promotions, or expanding distribution.

A fast-food chain like McDonald's may offer discounts or special promotions to boost sales in existing markets.

Product Development Strategy

Involves creating new products for existing markets to attract customers and increase sales.

Apple launches new versions of the iPhone to attract existing customers looking for upgrades.

Market Development Strategy

Involves entering new markets with existing products. This can mean expanding geographically or targeting new segments.

Starbucks expands to new countries or introduces coffee to non-coffee drinkers (targeting new customer segments).

Diversification Strategy

Involves entering new markets with new products to reduce risks and achieve growth.

Amazon’s move from an online bookstore to offering various products and services, such as Amazon Web Services (AWS).

SWOT Analysis

Analyzing the internal strengths and weaknesses of a company, and the external opportunities and threats.

Nike's SWOT analysis shows strengths (brand recognition), weaknesses (high prices), opportunities (expanding in emerging markets), and threats (increasing competition).

Category

Explanation

Example

Strengths

Internal factors that give a competitive edge.

Strong brand reputation, high customer loyalty, innovation.

Weaknesses

Internal limitations or disadvantages.

High operational costs, limited market presence in emerging economies.

Opportunities

External conditions that could be exploited for growth.

Growing demand for tech products, potential partnerships with other tech firms.

Threats

External conditions that could harm the business.

Rising competition, rapid technological changes, economic downturns.

Topic

Explanation

Example

Situation Analysis

Assessing the current market situation using tools like SWOT analysis, market research, and competitor analysis.

A company launching a new fitness app would analyze the market for existing apps, target audience needs, and competitor strengths.

Setting Marketing Objectives

Defining clear, measurable goals for what the marketing plan should achieve, such as increasing sales, market share, or customer loyalty.

An e-commerce business may set an objective to increase online sales by 20% within six months.

Developing Marketing Strategies

Deciding on the overall approach to achieve the marketing objectives, such as selecting target markets and positioning.

A skincare brand may decide to focus on digital marketing to reach younger customers and position itself as eco-friendly.

Implementing the Plan

Executing the marketing strategies by allocating resources, setting timelines, and coordinating activities.

A retail company plans an integrated campaign using social media ads, influencer partnerships, and in-store promotions.

Monitoring and Controlling

Continuously tracking performance against objectives and making adjustments as needed.

A company uses analytics to monitor website traffic and ad performance and adjusts its marketing tactics accordingly.

Step

Description

Example

1. Situation Analysis

Understanding the current market environment and company capabilities.

Conduct a competitor analysis to identify market trends and gaps.

2. Set Objectives

Defining what the marketing plan aims to achieve.

Increase brand awareness by 30% within the next year.

3. Develop Strategies

Deciding how to achieve the objectives, including target market selection and positioning.

Target millennials by using social media platforms like Instagram and TikTok to promote sustainable products.

4. Implement Plan

Putting the strategies into action, such as launching campaigns or promotions.

Launch a multi-channel advertising campaign across digital and print media.

5. Monitor & Control

Tracking progress, analyzing results, and making necessary adjustments to stay on track.

Use key performance indicators (KPIs) such as conversion rates and customer feedback to adjust tactics.

Topic

Explanation

Example

Product Planning and Development

Designing new products or changing existing ones to better meet customer needs.

Samsung frequently releases updated smartphone models to incorporate new technology and meet customer demand.

Product Life Cycle (PLC)

The stages a product goes through from its introduction to the market to its decline: Introduction, Growth, Maturity, and Decline.

During the introduction stage, electric vehicles were promoted heavily to raise awareness and attract early adopters.

New Product Development

Steps involved in creating and launching a new product, from idea generation to commercialization.

Coca-Cola develops new beverages, such as Coca-Cola Zero, by conducting market research and taste tests.

Branding, Packaging, and Labeling

Branding creates a unique name or image, packaging involves designing the container, and labeling provides product information.

Coca-Cola's red and white branding, bottle shape (packaging), and logo help customers easily identify the product.

Stage

Characteristics

Strategies

Example

Introduction

Low sales, high costs, little to no profit

Create awareness through advertising and promotions, focus on building a market presence.

Electric cars were in the introduction phase with heavy advertisements and subsidies to build awareness.

Growth

Sales increase, profits begin to rise

Enhance product features, expand distribution, reduce prices slightly to attract more customers.

Smartphone manufacturers focus on innovation and expand globally to capitalize on growing demand.

Maturity

Sales growth slows, high competition

Differentiate from competitors, improve features, and enter new markets to sustain growth.

Coca-Cola maintains its position by launching new flavors and variants in different markets.

Decline

Sales decrease, profits drop

Cut costs, target a niche audience, consider product discontinuation or innovation.

DVD players have declined due to the rise of streaming services, leading some companies to exit the market.

Topic

Explanation

Example

Designing Distribution Channels

Choosing the best way to get products from the manufacturer to the customer.

Apple sells products directly through its own stores (Apple Stores) and online, as well as through third-party retailers.

Managing Conflicts and Controls in Channels

Addressing disagreements among distributors, retailers, and other channel members to ensure smooth product flow.

Manufacturers may set pricing policies to prevent retailers from selling below a certain price.

Retailing

Selling goods or services directly to the end consumer through physical stores, online platforms, or both.

Amazon uses an e-commerce platform to sell a wide variety of products directly to customers globally.

Topic

Explanation

Example

Role of Promotion in Marketing

Promotion communicates with customers to inform, persuade, and remind them about the product or service.

Coca-Cola uses TV ads, digital marketing, and promotions to stay top-of-mind among consumers.

Integrated Marketing Communication (IMC)

Ensuring all marketing communications (advertising, sales promotion, PR) deliver a consistent message.

Nike uses a mix of social media campaigns, sponsorships, and commercials that convey a cohesive brand message about performance and fitness.

Determining Promotional Mix

Selecting the right blend of advertising, sales promotions, personal selling, and public relations.

McDonald's uses TV ads, in-store promotions, digital ads, and local events to attract different segments.

Topic

Explanation

Example

Service Marketing

Marketing that focuses on selling intangible services rather than physical goods.

Airbnb markets experiences and stays by highlighting customer stories and the unique experiences offered.

Social Media Marketing

Using social media platforms to promote products and engage customers.

Brands like Wendy’s use Twitter for direct interaction with customers and playful marketing campaigns.

Green Marketing

Promoting products or services based on their environmental benefits.

Patagonia markets its eco-friendly clothing and commitment to sustainability to appeal to environmentally-conscious consumers.

Customer Relationship Management (CRM)

Strategies for managing a company's interactions with current and potential customers to build long-term relationships.

Amazon uses data analytics to provide personalized product recommendations and offers to customers.

Rural Marketing

Developing marketing strategies to reach and serve rural customers effectively.

Hindustan Unilever adapts packaging sizes and prices to suit rural markets, such as selling small sachets of shampoo.

Promotional Tool

Description

Example

Advertising

Paid promotion through TV, radio, online, print, etc.

Coca-Cola uses TV commercials to reach a wide audience.

Sales Promotion

Short-term incentives to encourage purchase, such as discounts, coupons, or contests.

McDonald's offers limited-time discounts or "buy one get one free" deals to increase sales.

Public Relations

Building a positive company image through media, events, and community engagement.

Starbucks engages in community events and promotes sustainability efforts to build a good brand image.

Personal Selling

Direct interaction with customers to sell products, often through salespeople or representatives.

Real estate agents use personal selling to provide property tours and negotiate sales.

Direct Marketing

Direct communication with customers via email, mail, or phone to encourage purchases.

Amazon sends personalized emails with product recommendations based on past purchases.