Marketing Dialog

Shifath Ahamed

HND/BM/32/33

Miss. Inoka Gunarathne

Marketing

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Executive Summary

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Acknowledgement

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Table of Content

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Task 01
Definitions of marketing

The chartered Institute of marketing – (UK)

“The management process responsible for identifying, anticipating

and satisfying customer requirements profitably.”

Taking a close look at the definition:

Marketing identifies the gap that has been not fulfilled at the moment and then
develops a product that would meet that gap. To do this they will have to plan these
activities so that they could do the process and in planning this they use strategies and
tactical that could lead them to the success. Strategies are the functions taken by the
market over a period of time when tactical are actionable steps taken by the market to
establish the strategies. So without tactical strategies can not be done. Marketing’s on of the
most important function is involves having knowledge on their customers, competitors and
market. Customers needs keep changing and marketing the same product is not reality so
marketing will have to be about understanding the changes the customers and market
having and changing our product according to that.

American marketing Association

“Marketing is the activity, set of institution, and processes for

creating, communicating, delivering and exchanging offerings that have value for
customers, clients, partners, and society at large.”

Taking a close look at the definition:

Being in marketing you will have to be creative and your

competitors will force you to be creative. Since the competitors will be trying to have
something new, new product, new building, new way of dealing customers, new way of
advertising and so on. So being creative and staying creative is very important if you want
to survive. Competitors pressure is always felt by you and to get away from it you will have
to come up with something new something creative.

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Earlier the best marketer was measured by the daily sales he made but now days it is not
only about that but also how long you keep your customers and how you make them come
back again and again to make more purchase. Also it is about making sure the customers
know the details about our products specially the new product that we are introducing. So
marketing do not stop at making the product and just letting the customers know but also
getting the product to them. Supplying the product at places where the customers can buy
it and finally the way you treat a customer after a transaction but making them feel as a
partner in the transaction so he would know that there is a relationship building between
him and the organization.

“Marketing is the management process responsible for identifying, anticipating and

satisfying customer requirements profitably.” (Chartered Institute of Marketing,
2005)

Taking a close look at the definition:

It is a department’s duty to identify the needs of the customers but they

can not stop it there right after they satisfy the needs but they will have to make sure they
understand the changes the customers go through and will be able to forecast what will be
there taste in the future. They will have to do this in a way that the company do not gain
profit out of this.

The Main Characteristics of Marketing oriented Organizations.

When an organization is market oriented it will have some characteristic

that is important to be succeeded. They will have to do certain things to achieve their goals.

The organization looks at a problem at a time. They must concentrate on

one activity and achieve it. What ever they are producing they will have to supply it
consistently. After producing the product they will have to make sure they let know the
customers about the product and all the information they need to know about the product.
They will have to promote it in a way that it will provide all the information they need to
know and that the promotion makes them buy it. After letting the customers know about
the product they company will have to make sure the customers can reach out to the
product and can buy at any place. They will also have to make sure they price the product
at a price that the customers can afford it.

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They must not stop the relationship with the customer after the transaction but make sure
they provide the services they need after they buy it.

These days all the organization use marketing concept but it was not the
same years back. Organizations used many other concepts as product concept where the
organization add features and make the product to it is earlier product. They produce at
the minimum cost they can. They did also followed selling concept which means they do
not only just make the product but also try to convince the customers to buy it through
advertising and personal selling. After all this only after World War 2 the organizations
start to realize they had to change the concepts of them and start to find out what the
customers want and how they can satisfy them.

Evolution of Marketing

Diagrm.

Marketing is a concept where a organization need to find out the

needs of their customers and produce a product that satisfies their needs, better then their
competitors. These different marketing concepts were introduced at different times but it
is not categorized as time period since even now all these concepts are practiced by some
organizations.

Production concept

This was introduced from the time of industrial revolution until the early
1920’s. This is when the company concentrates of producing the product that they can
produce efficiently. Also when they use this concept they will have to make sure if they can
produce and supply enough of the product to meet the customer demand. The two question
they need to ask when they use this concept is

 Can we produce the product?

 Can we produce enough of it?

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Product Concept

This is when the firm’s main focus is on improving the product, adding
features to it, making the product superior each time they launch it. They do this hoping
that the customers will purchase the product because they see a greater quality in the
product. The firm does look over the needs of the customers when they redo the product.
So that it becomes a success.

Selling concept

This concept came when the mass production became common and when the
competition increased firms became to realize they can not just produce the product and
wait till the customers buy it. So they came up with not only producing the product but also
to convince the customers to buy their product through advertising and personal selling.
The main question they need to ask when they use this concept is,

 Can we sell the product?

 Can we sell enough of it?

Marketing concept

After the World War 2, the customer’s needs starting to change and the variety
of products also did change. So hard selling was not enough to sell the product any more so
the organizations came up with a marketing concept. Since the customers had enough
money to select the product they want and the products that actually satisfies their needs.
The main question the organization needs to ask when they use this concept is,

 What customers want?

 Can we develop it while they still want it?

 How can we keep our customers satisfied?

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Societal Marketing Concept

This concept calls up the marketers to build social and ethical

considerations into their marketing practice. This concept focus’s on the stakeholders,
business and it is customers. The 3 items they need to balance is,

 Company profit

 Customer wants

 Society interests

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NEEDS, WANTS AND DEMANDS:

NEEDS:

Human needs are states of felt deprivation. They include basic needs for food, clothing, warmth
and safety as social they need for belonging and affection, and individual needs for knowledge and self
expression. So they can be respected by the society.

WANTS:

The form taken by a human need as shaped by culture and individual personality is wants. A
want is created with in you as soon as you fulfill a want of yours. This happens with out your knowledge.
An America needs food but wants Big Mac, French fries and a soft drink. A person in Mauritius needs
food but wants a mango, rice, lentils and beans. Wants are shaped by one’s society and are described in
terms of objects that will satisfy needs.

DEMANDS:

Demand is human wants that are backed by buying power. Given their wants and resources,
people demand products with benefits that add up to the most value and satisfaction. It is how much
they are willing to buy at a given price of the product or a service.

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MARKETING OFFERS – PRODUCTS, SERVICES AND EXPERIENCES:

Some combination of products, services, information, or experiences offered to a market to

satisfy a need or want. Smart marketers do not only want to let the customers know about their product
or a service but also leave some experience with them and create a brand name and a meaning with the
customers.

Benefits and costs of marketing approach

Marketing is the public face of a organization, because of marketing there are
so many advantages that the organization gets which is a benefit to the organization but no matter what
is said and done marketing also has coats to the organization as well as the general public and the
society.

Benefits of Marketing

Marketing has made it easier for an organization interact with their customers and get
more information and idea’s from themselves itself because having personal relationships with your
customers will defiantly give you more ideas about how you should produce your product, let them
know and what special features you will have to have, to make buy your product.

Social responsibility in marketing has become a huge point to the society in recent times. Since
marketing does not work on it is own but work with the customers and stay close to them the customers
are able to make sure they are heard. They can make the marketers change things and work in a way
that it does not harm any one and at the same time they do not sell something because they produced it
but sell it because the customers needs it. So this has made the marketing of any company to be more
socially responsible including being more responsible for its actions and more responsive in addressing
social concerns. Since the organization ahs the responsibility the business partners and the employees
who work in the organization also become responsible towards the society. To show that they are
socially responsible the organizations will start to sponsor charity and other events that increase the
welfare of the society. By doing these activities the organizations know they have a chance of not
making more revenue or even improve their public image but what will happen for sure if is, it will
increase the reputation of the company and this will lead to customer’s loyalty.

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In managing customers, the organization will concentrate on the customers when they
make decisions and discuss the customer’s role in the market which means the product they will make
or the service they will provide will be a better quality. Customers are anyone who you think that will be
benefited by your product or service. Since the activity of the customers will influence the entire
organization. Customers need never ends so there for, understanding their needs will be a never ending
challenge.

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Task 02

Introduction to the product

Our organization is producing Football shoes for all the football players and all type
of football shoes such as grass Football shoes and indoor shoes. Our company Two Foot Pvt ltd
makes shoes that are high in quality and low in price. Our objective is to provide the best quality
shoes at the lowest price possible. Our company has been in the market for few years and now
we are ready to make the next step by promoting our products and producing more of goods. In
that way, as being the marketing manager of the company I have come up with a new product, a
new series of shoes that is light in weight and anyone can come to the show room and order
personalized shoes. Such as having their name or having an icon, design and anything that they
want in the shoe. The main features of these shoes are that they are very comfortable and light in
weight. As all the football players would love to have shoes that are personalized. So having
those people in mind I have come up with this new series of shoes.

Now we have made the product and we are ready to launch it but having all the
environmental factors in our mind we have made our decisions. Being a local company firstly we
are targeting the locals but we know that the market here is not large as the population of the
people who plays football is not very high. So we have also decided to take the product overseas
once we see the success of the product in this market. We also decided to promote football itself
by having major football tournaments and we can use this chance as a promoting event for our
new product. We are thinking of building the football culture in Sri Lanka, which will be a
surplus for our product. We have made the quality of these new shoes to the international
standard with the best leather available and with expert’s ideas.

Before starting on the product we had researches and surveys on what the
footballers expect in a shoe that they think the best is. We have taken customers ideas and needs

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and have used them with our ideas and created these specific shoes. We spend a lot of time on
the research to make sure we get the right information and to make sure they are accurate. We
have also looked in to the stakeholder’s interests. Such as our supplier’s capacity, our
competitors creations and have taken the permission of the government and it is standard. We
could have not done this with out the help of the bank loan. We have got huge loan to support us
with this special product. We have also got some business partners to support us financially. We
have built a new show room just for these shoes as we expect a large number of customers
wanting to buy the product and we do not want to limit the places.

As much as the external environment mattered the internal environment

also does matter and we had to look into so many things before creating the product. Firstly we
had to plan what we going to do and how we going to do this product and what we will needed to
do so. We made a specific team just for this product and separated each activity with each
department. We made clear that this is a whole different operation and the employees had to
work hard. We made clear how the employees have to work and we made the system very clear.
We made bonus programs and other over time work time as well to motivate the employees. So
they work because they it and not because they have to, which will increase the efficiency of the
employees and the resources. So the resources wasted will be less than usual.

Being an up coming organization we had to look into so many things and plan
perfectly if we want to make it big. We had to look into our,

Strength

We had to find out what our strength is and we realized our strength was being a local company
and having that support from the local customers and the fact that they support us for providing
quality product at a lower price then our competitors. We are the first company to produce
football shoes in the island. We had to use this point to the maximum we can. We used the line
“Sri Lanka’s first football shoes manufactures” in our promotions. We do also have one of the
best employees that any big company can have. We have the expertise in this sector of business
and we get great ideas and fresh ideas from these people and new methods to market our product.
Our location is a strength for our company since we are located just out of Colombo and
transportation for the sow rooms and other places is not difficult or expensive and most
importantly the new product of ours and it is special features.

Weakness

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Our weakness is that the market we are operating is not large as we would like since
it is a small island and football is not a culture here like in other developed countries or the
customers are willing to pay a lot of money on shoes that they use to play. We know when we
market this product there will be similar products will be introduce to the market by our
competitors so we will have to keep upgrading our product and just can not introduce it and let
the product take care of itself. Our earlier products have not brought us any reputation but
damaged our reputation so we will have to strive to break that thought from the customers and
will have to make them believe that we are better and our products are better.

Opportunities

The on going FIFA 2010 live telecast in the local channel is an opportunity to
promote our product. So what we doing is we are promoting our product at regular intervals and
sponsoring the channel to telecast the matches live. We are sure that this product will be a huge
success and once it becomes a success we are planning to take to the near countries markets.

Threats

The threats for this product is that after the introduction of this product the competitors
will come up with a better product then this and we will have to add value to this product at a
given break and new features to the product. The competitors might sell the same product at a
lower price and if they do that then we will have to reduce our price which might effect on our
revenue.

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PEST Analysis

It is important to our organization that we take environment into consideration before we

begin our marketing process. We need to take care of the internal environment firstly taking
some stuff into consideration such as

The employees who work had for our production and need to make sure we provide them
their needs and be fair with them. Take their ideas and needs into our consideration. We will
have to pay them on time and pay them more than the minimum wages. We will have to make
sure our machines are at a useable condition and it can be used up to its efficiency. The other
major thing we had to concentrate is on our finance so that we will not be bankrupt. When we
look into the external environment our major stakeholders are our customers, our suppliers and
the distributors who will get our product to our customers. We must also look into the political
part of the organization and as well as the culture of the locals and will have to present the
product in a way that it actually get through to the customers better than our competitors product.
Having the new technology that is useful to our production

will always take us a step over than our competitors.

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Market segmentation

Our company produces sports wear cloths and sports shoes and here I am going to
compare about how we have planned to segment our new series of shoes and as well as we also
have planned to make series of sports perfumes on our own name.

Of course the shoes are mainly made for the customers who are interested in comfortable
play time and purchase it at a price that they can afford it. We have planned to market this
product around the country and we have decided to have a small change in price due to the
demographical variables. We have planned to set the price higher at the capital of the country
then the other cities since their purchasing power is higher than the customer In the developing
side. At least 10% increase in price will be seen but at the same time we will have to make sure
we offer the product at the best price. In Colombo we will be marketing the shoes, not only in
our show room but also in the country. We want our product to be available at other famous
outlets in the cities. Since some part of the population will only shop at famous places. We are
targeting all the teenagers and elders who play football, whose passion is football. So we will
have to use geographic segmentation to use this method. People in the cities would not mind
paying some more money for a quality product where the people in the country side will put so
much of thoughts to buy a product that may cost a bit more just for its brand. So we can not risk
charging a high price for these products around the island.

The perfume that we are planning to produce will be a luxury product. This is
a series of perfumes that are made by some of the best football nations, national flowers. It will
be more costly just for our brand name and it will be rich in quality and price. We are planning
on signing a famous idol for the advertising and use the person’s influence to make the
customers buy our product. This product is targeted only at the few main cities that are in the
island but it is not a demographical segmentation for this product and we are planning to use
behavioral variables. So we are aiming to have consumers that will buy the product because they
like the product and they believe in our product. We will have to become the favorite of the
customers and our perfume will have to be special to them.

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Target Strategy
As the comparison between them boys and girls who play football, boys are way
more than the girls that decided to concentrate more on making shoes for the male part of the
market. The age limit that we aim for is the school boys to late twenties aged people. So when
we separate our market in to many small parts, it helps us concentrate more on a market and it
will help us to be more efficient and effective. We also targeted in a way that we know exactly
how many groups of customers that we are planning to satisfy and what we have to do to satisfy
each and every one of them.

So as we have targeted the male customers in the market and mostly it is the
young teenagers we will have to make researches on what these people like in a football shoes,
and what they are looking for when they are above to buy a football shoe. We have given some
of our product to some teenagers and asked them to use it for a while and then give us the
feedback of what they think about our product. So when we launch the product we know what
we have to improve. We can get these researches and feedbacks done in a school or a college
where the results will be faithful.

Even with the fragrance of the perfumes we are trying to target the customers,
which means we will be naming each perfume with each countries name and the supports of the
particular nation will be moved by this. This product mainly targets the many female lovers of
football who loves football but who do not play it. As we have done our researches and realized
that there are many female spectators in Sri Lanka for Football. We will also make the perfume
for male customers but the main market would be the female football lovers. This product will be
only sold under famous shops and stores that have earned a name for themselves. As we are
targeting the female market we will have to make sure we sell our products in places that they
would like to visit very often.

We will be positioning our product in a way that it makes a great image on our
customers mind like it is a quality product. We are going to develop our own unique selling
proposition to both our products. For the shoes it will be the “Most stylish” football shoes from
the local companies and for the perfume the USP will be “Most durable” perfume. So with this
we can build our brand name and as well as get a position in the market for our product
permanently. So since we have decided e going tot promote our product with these USP we will
have to make sure we live up to the standard. We will have to work more on our shoes style and
perfumes durability then anything else because we have said they are the best in them.

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Buying Process
Digrm.

When our customers are going to buy our product they will go through a series of decision
making process and we will have to pass all those questions that rise in their minds and this
happens maybe the first few times that they purchase our product but once they get use to our
product and once they start believing in our product they will skip this process and will just buy
it.

Buying process starts with the need recognition so once they realized they have a
need for a football shoe or a perfume the first thing the customer look for is the information he
knows about the brands so we will have to make sure we inform enough information about our
product so that any customer will have a clear idea about what our product and what it contains.
After the customer get all the information he can he will decide to choose between brands of
products and we will have to be the best brand if we want the customer to choose us over our
competitors and finally the customer would purchase the product. After buying the product and
using it the customer will have an experience on the product and if they are not happy about the
product then they might not want to purchase the same product again.

Buyers Characteristic
Diagrm.

Cultural Influence:

Cultural factors affect any human beings wants since they have grown up learning
things from their family and the culture they have seen. So we will have a hard time convincing
our customers in the cultural way since football does not have a huge cultural influence in the
island but we do realize the cultural shifts of more young people getting involved in football and
wanting to play it. These days customers have become more health conscious so we will have
make sure our product is health friendly and also these days locals have become more conscious
about the animals and human using their skins to produce product so we will have to make sure
we let them customers know we do not use animal skin in our product. We can use these points
in our promotion to get customers to buy our product.

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Social Influence:

Social influence is mainly the family of the customer belongs to and in what of social
status they belong to. Customers who will be interested in football shoes are the families and
social groups who have been participating in football generation by generation. There are few
ways of targeting these customers by having an initiator if we impress a person then he will
defiantly suggest other about our product and we will have an mouth to mouth advantage. This
person can be the influencer and anyone who ahs the financial power to buy our product will be
the decider. Whoever purchases our product will be the buyer and if he uses it then he will be the
user of the product. The role of purchasing has been shifted to the male in a family and now we
will have to promote our product in a way that it attracts the male.

Personal Influence:

A person’s lifestyle is measured by how they spend their time and money. So we
have to target those buyers whose lifestyle is sports and specially football.

Psychological Influence:

The customers now filter their decisions with the information they know about the
product which means we will have to make sure we let our customers know the maximum
information they should know about our product in order to make them buy our product. All the
customers have their own attitude towards a product and to change these attitudes it will take a
lot of efforts from us to change it if they have a bad attitude against our product. We will have to
find out the key issue that they are having with our product so we can work on that and make
them believe that what they believed is wrong.

Perceptual Filter:

Customer’s Perceptual filter will play a part when they are going to buy our product
if they have bought our product already. This can be positive if they have a good view on your
product and it can be negative if they do not have a good view and also if they have had bad
experience buying some other similar product. Also this is when they know the information
about our product they will have an idea of our product and we will have to make sure our
product do satisfy that image that they have about it. So this promotion thing can be called as the
exposure step in perceptual filter and after that come the attention which means they get to
know about our product through this promotion. By doing this we will make an awareness about
our product to the customers and we can promote our product in many ways that is interesting

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and makes the customers want to watch it over an over again so we can make a fun or a funny
promotion to retention.

Motivation:

Before buying a product the customers will need to have a motivation to buy the product
they need to buy and all these decisions hey make and the things that motivate them could be
their personal statues but what we can do is, we can offer more information for this type of
people so they can get the information about our product easily in web sites and magazines so it
will be easy for them to make the decisions.

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