the Universe of Marketing - basic Keywords - for newbies

Marketing: Business process of creating relationships with and satisfying customers.

Needs: Something necessary for people to live a healthy, stable and safe life. When needs remain unfulfilled, there is a clear adverse outcome: a dysfunction or death. Needs can be objective and physical, such as the need for food, water, and shelter; or subjective and psychological, such as the need to belong to a family or social group and the need for self-esteem.

Wants: Something that is desired, wished for or aspired to. Wants are not essential for basic survival and are often shaped by culture or peer-groups.

Demands: When needs and wants are backed by the ability to pay, they have the potential to become economic demands.

Marketing mix aka the 4 Ps model (product, price, place, and promotion): are the set of marketing tools that the firm uses to pursue its marketing objectives in the target market.

Product: Refers to an item that satisfies the consumer's needs or wants. Products may be tangible (goods) or intangible (services, ideas or experiences). The product aspects of marketing deal with the specifications of the actual goods or services, and how it relates to the end-user's needs and wants. The product element consists of product design, new product innovation, branding, packaging, labeling. The scope of a product generally includes supporting elements such as warranties, guarantees, and support.

Price: Refers to the amount a customer pays for a product. Price is the only variable that has implications for revenue. Price also includes considerations of customer perceived value or simply Value. Pricing refers to the process of setting a price for a product, including discounts. The price need not be monetary; it can simply be what is exchanged for the product or services, e.g. time, energy, or attention or any sacrifices consumers make in order to acquire a product or service.

Value: Is the difference between a prospective customer's evaluation of the benefits and costs of one product when compared with others. Value may also be expressed as a straightforward relationship between perceived benefits and perceived costs: Value = Benefits / Cost.

Place: Refers to how the product gets to the customer; the distribution channels and intermediaries such as wholesalers and retailers who enable customers to access products or services in a convenient manner. It also refers to the channel by which a product or service is sold (e.g. online vs. retail), which geographic region or industry, to which segment (young adults, families, business people), etc. also referring to how the environment in which the product is sold in can affect sales.

Promotion: Includes all aspects of marketing communications; advertising, sales promotion, including promotional education, public relations, personal selling, product placement, branded entertainment, event marketing, trade shows and exhibitions. It is focused on providing a message to get a response from consumers that is designed to persuade or tell a story to create awareness.

7 Ps model: Comprises of the original 4 Ps plus process, people and physical evidence, as being more applicable for services marketing.

People: Human actors who participate in service delivery, Service personnel who represent the company's values to customers, Interactions between customers, Interactions between employees and customers.

Marketing decisions that are taken around this P:

Staff recruitment and training, Uniforms, Scripting Queuing systems, managing waits, Handling complaints, service failures, Managing social interactions.

Process: The procedures, mechanisms and flow of activities by which service is delivered. 

Marketing decisions that are taken around this P:

Process design, Blueprinting (i.e. flowcharting) service processes, Standardization vs customization decisions, Diagnosing fail-points critical-incidents and system-failures, Monitoring and tracking service performance, Analysis of resource requirements and allocation, Creation and measurement of key performance indicators (KPIs), Alignment with Best Practices, Preparation of operations manuals.

Physical evidence: Refers to the non-human elements of the service encounter, including equipment, furniture and facilities. It may also refer to the more abstract components of the environment in which the service encounter occurs including interior design, colour schemes and layout. Some aspects of physical evidence provide lasting proof that the service has occurred, such as souvenirs, mementos, invoices and other livery of artifacts. Thus this P includes: the environment in which service occurs, The space where customers and service personnel interact, Tangible commodities (e.g. equipment, furniture) that facilitate service performance, Artifacts that remind customers of a service performance.

Marketing decisions that are taken around this P:

Facilities (e.g. furniture, equipment, access), Spatial layout (e.g. functionality, efficiency), Signage (e.g. directional signage, symbols, other signage), Interior design (e.g. furniture, color schemes), Ambient conditions (e.g. noise, air, temperature), Design of livery (e.g. stationery, brochures, menus, etc.), Artifacts: (e.g. souvenirs, mementos, etc.)

7 Cs model: Comprises of the 4Cs (Commodity, Cost, Channel, Communication) that map to the original 4 Ps plus Corporation, Consumer, Circumstances.

Corporation: Factors in the competitors, organization, stakeholder, compliance, accountability - within the corporation.

Consumer: The factors related to consumers can be remembered by the compass NEWS directions:
N = Needs, E = Education: (consumer education), W = Wants, S = Security

Circumstances: In addition to the consumer, there are various uncontrollable external environmental factors encircling the companies which also can be remembered by the compass NEWS directions:
N = National and International (Political, legal and ethical) environment, E = Economic, W = Weather, S = Social and cultural

Credit:

Wikipedia.org

Image Credit:

Self.com/story/6-incredibly-impressive-women-share-their-best-tips-on-giving-a-big-presentation