of principles of marketing. basically

many people don't really understand what marketing is.

we see advertising

and have experienced working with salespeople

but that's really only a small small part

marketing. so what we're going to do in this module

is to look at what marketing is.

the American Marketing Association in July of 2013

gave this definition of marketing. marketing

is the activity, set up institutions

and the processes. so marketing is the activities and processes

for creating offerings and when we talk about

offerings we mean products but also

services and ideas that meet

other individuals' needs. so marketing

is the processes for creating offering,

communicating those offerings,

delivering those offering,

and exchanging those offerings

so that there's a perceived value

from customers, clients, partners

and society at large. so a large part

marketing is doing all this so that

potential customers see the value in what our organization

offers.

the midwest higher education compact is comprised of a number of universities in

higher ed

and they had a team with people from

Indiana Illinois and Kentucky -- professors from

private and public two and four-year

institutions -- that looked at what are the competency

or what students be able to know

and do when they complete their degree in marketing.

and so what we're to teach you

about marketing based upon those identified competencies.

the first competency identified

is market sensing and this basically means that marketers should be

able to sense

or know what's going on in their external market

by collecting and analyzing

data and this means data about

competitors, about the economy, about changes in technology,

about changes in our society and culture

and what they value, changes in demographic

trends, changes in our legal

and political environment as well as international and ecological factors.

marketers also sense

things that are little bit more internal to the organization

like market share, what customer needs and

industry trends and data. so

the first aspect of marketing is to be able to sense

what's happening in the marketplace. the next

major competency of marketers is to

then interpret that market so that we can see

the meaning and the relationships between

consumers and our organizations

and our products so that we can facilitate

that value creation we talked about earlier

in the definition of marketing. another major

aspect marketing is, after sensing

and interpreting the market, to actually go about

creating value with our products or services

and we do that by developing what's called

a marketing mix -- we will address that later today --

that reflect both the

needs and characteristics of the markets that we

are targeting as a result of the information we've gathered.

so the major competencies that marketers

have are to sense the market, interpret the market,

create value for the market but then

also to analyze how well we did that

and get feedback so that we can

understand any gaps that might exist

in meeting the goals that we established in the previous step

and making changes so that we can better

meet needs of whoever it is we're trying to serve --

of our target market. one other major

characteristic

or competency of marketers is that they're very good

at personally communicating the value

of there personal brand -- their unique talents

and strength and characteristics and

packaging those together so that

in interviewing or in other ways

they can't differentiate themselves in the market

and show the unique value that they add.

so what we're going through the study of

these principles of marketing is to study market sensing,

market interpretation, market value creation,

and market analytics feedback and control.

this next slide shows how

each of these stages are then broken-down

in to separate aspects. for example

when we study market sensing, we will be looking at

environmental analysis and researching

consumer behavior and other aspects of marketing.

when we study market interpretation we will be

studying segmentation targeting positioning

and marketing strategy. and I understand these words really don't make a lot of

sense to you now

but if we were to revisit the slide at the of this study of the principles of

marketing

all these terms should make much sense to you.

in this study of market value creation will be looking at

product, pricing, our supply change

management and integrated marketing communications

activities. additionally when we look at market analytics

feedback and control, will be looking at

some metrics and how to manage these customer

relationships. so again this isjust a little bit more depth

on these 4 major competencies

and breaks these competencies

into sub competencies.

an interesting thing question might be

why should I study marketing or what makes me different

as a marketer from other people? again

this comes a presentation that was made

from the MHEC

marketing turning team to the fall

educators conference and we've got some quantitative research

there

which shows there area some key differences between

marketers and other majors in a college --

are even other business majors. so let's look at some things that make marketers

different. first of all

marketers are very results driven and

we know that in business we

have financial, budgeting

and forecasting-- what's gonna happen in the marketplace,

how much are we gonna sell, how much profit are we going to make,

how are we going to achieve these sales -- so

while other people might be good communicators,

marketers are very results driven for organizations.

and companies need that. another key aspect

other about marketers is that we tend to be

futuristic. we look at how much we're going to sell

in the future and how we're going to do that. marketers

also tend to be fairly adaptable.

they are able to work in changing

circumstance. another major characteristic of

marketers is they seem to be the one person in the organization

that is extremely external or customer

oriented. they're very focused

on what's best for the customer and so this is very

key. marketers also tend to be

very interdisciplinary. they work very well and understand their relationship

with

other business disciplines t like accounting & finance and operations.

and they also work with disciplines out of

marketing. in fact much of marketing is based on social sciences

like psychology and sociology but these things

are applied to a business setting and so that makes marketers

very unique and very different and also very valuable to businesses.

some people think that there's no difference between

marketing and selling or advertising because actually selling or

advertising is really the only aspect of marketing

that the general public really sees very often

other than the actual product. marketing thought

is focusing on creating

that value and creating long-term relationships to meet customer needs.

so what's interesting is that while

a peddler or a sales person or a advertiser

might be interest in making this sale,

marketers really interested in

repeat sales and strong relationships to meet customer needs over time.

good salespeople, by the way, are also

very interested in making those relationships.

so what happens is marketers look at this customer

out there in the marketplace -- we might call that our target market --

and try to create and exchange

between our marketing mix -- and that is

our product, our price, our promotion,

our distribution -- to create value.

so where does advertising or selling

it in all of this? well it's very

interesting to note that advertising is part of promotion

which is part of the marketing mix which is part of

marketing. so I hope you can begin to see

how marketing is much more than just promotion

which is much more than just advertising or selling --

in fact there other ways to promote which will study this semester.

so i hope you begin to see that marketing is

much different than just advertising or selling

and and it has a much broader perspective which we will be covering

the semester.