Marketing Lecture Notes

Core Concepts Overview

• Needs, Wants, and Demands

  • Needs: States of deprivation (e.g., food, safety, social belonging, self-expression)
  • Wants: Shaped by culture and individual personality
  • Demands: Backed by buying power
  • Understanding these is crucial for marketers before creating products.

• Market Offerings

  • Combination of products, services, information, or experiences offered to satisfy a need or want.
  • Examples: Tourism experiences (e.g., bungee jumping in New Zealand), information services (e.g., tour guides).

Key Marketing Concepts

• Marketing Myopia

  • Focus on company’s own needs rather than the future or underlying consumer needs.
  • Example: Mobile phones should focus on connectivity rather than just features like cameras.

• Expectations Management

  • Key for marketers to set the right level of expectations for customers.
  • Balance between value and customer satisfaction to avoid dissatisfaction.

• Exchange Concept

  • Act of obtaining a desired object by offering something in return.
  • Example: Paying for bungee jumping experience.

Understanding Markets

• Market Definition

  • Set of actual and potential buyers of a product or service.
  • Includes different stakeholders: suppliers, companies, and consumers.

• Market System Example: Mobile Phones

  • Suppliers provide components like screens, batteries, processors.
  • Companies (e.g., Samsung, Apple) assemble products and use intermediaries to reach consumers.
  • Consumers purchase finished products without direct contact with suppliers.

Environmental Forces

• Influence the relationship between consumers and companies.
• Affects how markets operate; detailed discussion in a future chapter.

Key Question

• What is the most basic concept underlying marketing?
  • Answer: Human needs

Final Thoughts

• Understanding these core concepts is critical for creating effective marketing strategies that align with consumer needs and market dynamics.