Marketing
and the
Job of the
Marketing
Manager
Chapter
1
1-1
Key Learning Points
The marketing concept
Organizational philosophies about
marketing
Importance of being customer
focused
Marketing manager’s job
Organizational forms of marketing
How marketing is changing
1-2
What is Marketing?
Desk clerk
Valet
Concierge
Maid
Waitress
Reservation
clerk
Take a moment to think
about the word “marketing”
and the type of people who
help to market a service.
Which of the hotel
employees listed at left are
involved in marketing?
1-3
What is Marketing?
Marketing “is involved and
necessary whenever an
individual or organization has a
choice to make.”
– Marketing is the set of activities
that attempts to influence choice.
1-4
What is Marketing?
Churches, governments,
politicians, not-for-profit
organizations, and utility
companies can all use marketing
to their advantage
– Marketing can influence both
attitudes and behavior.
1-5
What is Marketing?
Successful marketing is difficult:
– Requires considerable interaction with
customers.
– Customers often cannot accurately
describe their needs.
– Competitive action is difficult to predict.
– Customer tastes and societal trends
change frequently.
– Precise strategy implementation is
difficult.
1-6
Marketing Philosophies
The Marketing Concept
– Emphasizes a customer focus and
the allocation of resources toward
understanding customers’ needs
and wants.
– Profits result from serving
customers better than the
competition.
1-7
Product a business is to
& Service
“The purpose of
create and Decisions
keep a customer. To
do that you have to produce and
deliver goods and services that
people want and value at prices and
under conditions that are reasonably
attractive relative to those offered by
others to a proportion of customers
large enough to make those prices
and conditions possible.”
- Theodore Leavitt
1-8
Figure 1-1:
Strategic Approaches
to the Marketplace
1-9
Marketing Philosophies
Driven By
Sales
Technology
Marketing
Customer
Little attention is
paid to the customer
Focus: “What we
make, we sell”
Very aggressive;
seeks to maximize
sales volume
Heavy use of
promotion
1 - 10
Marketing Philosophies
Driven By
Sales
Technology
Marketing
Customer
Focus: Research
and development;
customer needs are
secondary
Problem: developed
technology may not
satisfy needs
Great technology
does not guarantee
company success
1 - 11
Marketing Philosophies
Driven By
Sales
Technology
Marketing
Customer
Focus: Marketing
Enormous
investments in
marketing research
Brand management
organization
Problem: Very slow
to respond to
changes in the
marketplace
1 - 12
Marketing Philosophies
Driven By
Sales
Technology
Marketing
Customer
Focus: Benefits
desired by buyers
Stresses long-term
relationships
– Conflicts: marketing
versus finance
– Company reactions
to crisis
– Attitudes toward
marketing: expense
or investment?
1 - 13
Product & Service
Marketing Philosophies
Decisions
Customer Orientation Checklist
Key Decisions
Easy to do
business
with?
Keeps
promises?
Meets the
standards set?
Responsive?
Works
together?
1 - 14
Figure 1-2:
Reversing the
Value Chain
1 - 15
Figure 1-3:
The Dangers of Being
Customer Led
1 - 16
Marketing Philosophies
Does a customer orientation and
the marketing concept inhibit
companies from developing
revolutionary new products?
– No. Marketing managers need to
translate new technology into
benefits that customers desire.
1 - 17
Marketing Philosophies
Marketing as a Value-Added
Activity
– Creating / adding value
• Value additions take many forms:
brands, packaging, service, etc.
– Capturing value
– Sustaining value
1 - 18
Marketing Manager’s Job
The main job of the marketing
manager depends upon:
– The organizational structure
– The industry
– The level in the organization that is
being focused upon
1 - 19
Marketing Manager’s Job
Product-focused organizations
– Product managers develop strategies
for individual brands
– Product group managers manage
closely related clusters of brands
– Super group product managers, or
marketing managers, oversee larger
clusters of brands
– General manager of division has
ultimate responsibility for marketing
1 - 20
Figure 1-4:
Desserts Division
Organizational Chart
1 - 21
Marketing Manager’s Job
Market-structured organizations
– Common in business-to-business and
industrial product sales
• Avoids problem of multiple sales reps
calling on the same organization
• Greater emphasis on understanding market
segments and customers
– Product managers implement programs
developed by marketing managers
1 - 22
Figure 1-6:
Bell Operating Company
Organizational Chart
1 - 23
Product & Service
“The main job of anyone in
Decisions
marketing is to create or
implement a marketing strategy
for the product or service that
meets the needs of the targeted
customers better than the
competitors’ offerings and
achieves the objectives set by
the organization.”
- Russell S. Winer
1 - 24
Figure 1-7:
The Marketing Manager’s
Interactions
1 - 25