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Marketing Management

The document outlines the fundamentals of marketing management, including definitions, concepts, and the evolution of marketing strategies. It highlights the importance of understanding target markets and delivering value through various marketing approaches, such as the 4Ps (Product, Price, Place, Promotion). Additionally, it discusses case studies of successful marketing campaigns, including Coca-Cola's 'Share a Coke' and the practices of companies like iD Fresh and Rapido.

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0% found this document useful (0 votes)
20 views106 pages

Marketing Management

The document outlines the fundamentals of marketing management, including definitions, concepts, and the evolution of marketing strategies. It highlights the importance of understanding target markets and delivering value through various marketing approaches, such as the 4Ps (Product, Price, Place, Promotion). Additionally, it discusses case studies of successful marketing campaigns, including Coca-Cola's 'Share a Coke' and the practices of companies like iD Fresh and Rapido.

Uploaded by

anukshrana001
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
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CHRIST

Deemed to be University

MARKETING
MANAGEMENT

Excellence and Service


CHRIST
Deemed to be University

Module 1:
Introduction to Marketing Fundamentals
 Meaning and Definition of Marketing
 Scope of marketing
 Evolution of marketing - The Production Concept, The Product Concept, The
Selling Concept, The Marketing Concept, The Holistic Marketing Concept
 Core Marketing Concepts,
 Marketing Environment.

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Dr. Philip Kotler


The Father Of Marketing Management

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Dr Philip Kotler defined marketing as

“The science and art of exploring, creating, and delivering


value to satisfy the needs of a target market at a profit”

According to the American Marketing Association (AMA)

“Marketing is the activity, set of institutions, and processes


for creating, communicating, delivering, and exchanging
offerings that have value for customers, clients, partners,
and society at large”
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https://www.idfreshfood.com/about-us/

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Exploring the need of the target market


Highlighting the purpose of launching this business, Musthafa stated, “We wanted to
ensure that busy working women had access to healthy and good quality idli-dosa
batter.” rise in urbanization, increase in the number of nuclear families, and growth in
the number of dual-income households

Creating
Idli, Dosa, Malabar Parota, ragi idli, dosa batter, Natural paneer, Smart sip tender
coconut, curd, rava idli batter, Vada Batter, Filter coffee(forayed into the Indian
coffee market by addressing the unmet demand for ready-to-make authentic filter
coffee)

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Delivering
By 2009 and 2010, the founders decided that it was time to expand and grow across the
country. iD Fresh, which started in Bengaluru, is now present in Chennai, Mumbai,
Pune, Hyderabad, Delhi, and Dubai. Direct-to-home distribution (B 2 C) During
lockdown

Communicating
Id Fresh Refrigerators, Trust shops, partnering with Disney+ Hotstar, Mother’s Day,
Independence Day campaign

Exchanging offerings for a value


Price.

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Id Fresh Trust Shops

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Rapido was founded in 2015 by Aravind Sanka, Pavan Guntupalli, and SR


Rishikesh.

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Rapido's target audience is commuters.


Rapido's core user segmentseeking a safe,
affordable, and convenient public transportation
option is young people between the ages of 20 and
35, but they are also trying to attract people who are
50–55 years old. Rapido's target audience is mainly
commuters who travel in their day-to-day lives. Its
main goal is to offer services to commuters who
prefer open and safe commute options in
comparison to over-expensive cab rides. They also
need a way to get around that's efficient in rush
hour traffic.

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Target Audience: Tech-savvy,


time-conscious, budget-
conscious, and often prefer
quick, flexible, and cost-
effective transportation
options.

Need: Avoiding traffic jams,


reaching destinations faster,
and having an affordable
commuting solution.

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Price

•Affordable Pricing: Offering lower pricing compared to


traditional cabs, with a per-minute or per-kilometer
charge.

•Dynamic Pricing: Surge pricing during peak hours or in


high-demand areas, but still relatively lower than other
alternatives like traditional taxis or ride-hailing services
(Uber, Ola).

•Discounts & Offers: Periodic discounts, loyalty


programs, or promotional campaigns targeting new users
or specific events (e.g., festivals, holidays).

•Group/Corporate Discounts: Discounts for regular


commuters or corporate employees
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Place.
Rapido operates in several metropolitan areas across India. The places and channels through
which it delivers its services include:

 Mobile App: The primary distribution channel is the Rapido app, where users can book
rides, track bikers, and make payments.

 Geographical Coverage: Focus on highly congested, traffic-prone urban areas such as


Delhi, Mumbai, Bangalore, Hyderabad, Chennai, Pune, etc.

 Strategic Placement: Rapido could focus on expanding in areas with high commuter
traffic, near metro stations, shopping malls, colleges, and offices.

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Promotion
 Digital Advertising
 Referral Programs
 Content Marketing
 Outdoor Advertising
 Brand Partnerships & Sponsorships
 Influencer and Celebrity Marketing
 Seasonal & Festive Campaigns.

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Marketing Mix- 4P’s

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Marketing Mix- 4P’s


• Features
• Sales Promotion • Quality
• Advertising • Branding
• Public Relations • Packaging
• Publicity Promotion Product • Services
• Direct marketing • Warranties
• Personal Selling • PLC

Marketing
mix
• Channels
• Market coverage • Price strategy
• Assortment • Pricing
Place Price • Allowances
• Location
• Inventory • Discounts
• Transport • Payment terms

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Evolution of
Marketing
Concepts

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Production Concept
The idea of production concept – “Consumers will favor products that are available
and highly affordable.”

For example, both personal computer maker Lenovo and home appliance maker
Haier dominate the highly competitive, price-sensitive Chinese market through low
labor costs, high production efficiency, and mass distribution.

Production Affordability Distribution

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Product Concept
The product concept holds that consumers will favor products that offer the most
quality, performance, and innovative features.

Under this concept, marketing strategy focuses on making continuous product


improvements.

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Selling Concept
The selling concept holds the idea- “consumers will not buy enough of the firm’s
products unless it undertakes a large-scale selling and promotion effort.”
Example: life insurance or blood donations..

The selling concept takes an


inside-out view that focuses
on existing products and
heavy selling. The aim is to
sell what the company makes
rather than making what the
customer wants

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Marketing Concept
The marketing concept holds- “achieving organizational goals depends on knowing the
needs and wants of target markets and delivering the desired satisfactions better than
competitors do.”

The marketing concept


takes an outside-in view
focusing on satisfying
customer needs as a path
to profits.

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Customer Concept ( Personalization)


How the organization can achieve growth by capturing and retaining its customers.
Companies shape offerings based on individual preferences - Personalization

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Nike By
You

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The Holistic Marketing Concept


Holistic marketing goes beyond
traditional business exchanges by
Internal Integrated embracing deeper connections and
Marketing Marketing lasting value creation. It values
relationships with customers,
Holistic employees, suppliers, and the
Marketing community, integrating both external
dynamics like market trends and
internal elements such as employee
Societal Relationship morale and organizational culture. This
Marketing Marketing
approach ensures sustained
engagement and mutual benefit
across all stakeholders.
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Coca-Cola’s

“Share a Coke”

Campaign
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Coke rolled out the ‘Share a Coke’


campaign through various channels like
newspapers and TV commercials.

But it was social media channels, particularly


Facebook that the campaign really started
picking up steam. Through Facebook, users
participated in a large scale.

Basically, consumers had to SMS their


friend’s name which would be displayed live
on the iconic Coca-Cola sign located at
Sydney’s King’s Cross.

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Share a Coke is a multi-national marketing


campaign of Coca-Cola. It debrands the traditional Coke
logo, replacing "Coca-Cola" from one side of a bottle
with the phrase "Share a Coke with" followed by a
person's name. In the year 2012, Coca-Cola had teamed
with Oligvy and Mather Australia who were advertising
agency partner, to launch their ambitious digital media
campaign named ‘Share a Coke’. The campaign was first The result was that 1.25 million
launched in Australia in 2012 and the later in Britain in more teens tried a Coke during the
2013. Where customers could custom make their own following summer and sales of
bottles.
participating Coca-Cola packages
rose by a phenomenal 11% in the
US. '

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Connecting with
the consumers at a
personal level

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• The Share a Coke campaign was


subsequently rolled out in over 80 countries
• In the United States, where the campaign is
credited with increasing sales by more than
2%
• In 2017, the company started shareacoke.com
where the consumers could hear a short song
with their name in it. Later in 2018, the
company added name labels that could be
removed and stuck anywhere else like
clothes, phones, books etc.
• Share a Coke Campaign success taught us Share a Coke bottles with
different names on them, as sold
that personalization can only be highly in the United States
engaging and effective if it can be shared
with a wide audience.
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Results of Coca Cola ‘Share A Coke’ Campaign


The ratio to young to adult consumption of Coca-Cola was up by 7%.

(ii) The campaign earned around 18.3 Lakhs media impressions.

(iii) The Facebook website saw traffic increased by 870% while the Facebook page,
on the other hand, grew by 39% in terms of fans.

(iv) Around 76,000 virtual Coke cans were shared online.

(v) A total of 378,000 custom Coke cans were printed across the country.

(vi) The campaign created a positive image of Coca-Cola as a brand.


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The Share a Coke campaign began in Australia in 2011 when Coca-Cola personalized
each bottle with the 150 most popular names in the country. Since then, the U.S. has
followed suit, printing first names across the front of its bottles and cans in Coke's
branded font. You can even order custom bottles on Coke's website to request things like
nicknames and college logos.

Objectives of Coca Cola ‘Share A Coke’ Campaign

(i) The first and primary objective was to increase their sales as it was the summer period in Australia.

(ii) The second objective was engaging with its customers by talking to them.

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Share a Coke Campaign


1. How did the "Share a Coke" campaign influence consumer perception of the Coca-
Cola brand in terms of personalization and emotional connection?

2. In what ways did the "Share a Coke" campaign impact Coca-Cola's brand visibility
and recognition in different markets?

3. How did the use of individual names on Coca-Cola bottles and cans affect brand
loyalty and customer engagement during the "Share a Coke" campaign?

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How Coca-Cola Integrates Relationship, Integrated, Internal, and Socially


Responsible Marketing

 Relationship Marketing: Coca-Cola’s “Share a Coke” campaign transformed its iconic logo with popular
names, encouraging people to find and share a Coke with loved ones. By fostering personal connections, this
campaign deepened customer loyalty and strengthened bonds with the brand.
 Integrated Marketing: Coca-Cola maintains consistency across all marketing channels, from TV ads to
social media. For instance, the “Taste the Feeling” campaign unified its message and visual style across
platforms, reinforcing the brand’s values and broadening its appeal.
 Internal Marketing: Coca-Cola prioritizes its employees through robust training and development programs,
ensuring alignment with the company’s mission. By nurturing a culture of innovation and collaboration, these
efforts resonate through its marketing strategies.
 Socially Responsible Marketing: Coca-Cola is committed to sustainability with initiatives like “World
Without Waste,” aiming to recycle a bottle or can for each sold by 2030. This dedication to environmental
responsibility not only enhances the brand’s reputation but also connects deeply with environmentally
conscious consumers.

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Analysis of Unilever’s Holistic Marketing Practices

 Socially Responsible Marketing: Unilever’s “Sustainable Living Plan” aims to reduce the company’s
environmental footprint while increasing its positive social impact. Brands like Dove and Ben & Jerry’s are
known for their campaigns that promote body positivity and social justice, respectively.
 Relationship Marketing: Unilever’s brands engage with customers on issues that matter to them. For example,
Dove’s “Real Beauty” campaign fosters a deep connection with consumers by challenging beauty stereotypes
and promoting self-esteem.
 Integrated Marketing: Unilever ensures consistent messaging across its brands and platforms. The company
uses a combination of traditional and digital marketing to reach a wide audience while maintaining coherence in
its brand messaging.
 Internal Marketing: Unilever invests in its employees through initiatives like the Unilever Sustainable Living
Lab, which encourages innovation and collaboration. This focus on internal engagement helps align the
workforce with the company’s sustainability goals and marketing efforts.

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Core Marketing Concepts

 Needs, Want, Demand


 Marketing offers (Product, service, information, Experiences)
 Customer value and Satisfaction
 Exchange
 Relationships and Network
 Market, Marketing, Marketer, and Prospect

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Core Marketing Concepts

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Needs are things that satisfy the basic requirement (Food,


Water, Shelter, Clothing) – Survival based

Wants are requests directed to specific types of items. (


Red Bull, Dominos Pizza) To have food is a basic need of
human beings, but to have Snickers when hungry is a want
created by marketers.

Demands are requests for specific products that the buyer


is willing to and able to pay for. ( Rs115/- Redbull- 250
Ml)

Demand = Willingness to pay + Ability to pay

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1. Lan is very hungry. She needs some food for sure. However, she does not
have enough money to buy a bowl of Pho. She really ........… To eat Phở.

2. Everyone .................... water to survive. On average, a person can survive


only 3 days without water.

3. Nina has already had 50 pairs of shoes and sandals. She does not need
more shoes, but whenever she goes to shopping malls, she still ......... to
buy more shoes.

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Customer value is best defined as how much a product or service is worth to a


customer. It's a measure of all the costs and benefits associated with a product or
service. Examples include price, quality, and what the product or service can do for
that particular person.

Actual Performance is equal to expected performance : Satisfied Customer

Actual Performance less than expected performance : Dissatisfied Customer

Actual Performance greater than expected performance : Delighted Customer

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Products
These are tangible items that can be held, such as pens or apples. Products
are usually purchased once and can be returned or transferred to others

Services
Refers to any act or benefits offered by the service provider to the consumer
for a price, and does not result in the ownership of anything. Service is
Intangible in nature.

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Market, Marketing, Marketer, and Prospect

A market is the set of actual and potential buyers of a product or service.


Marketing involves activities such as consumer research, product development,
communication, distribution, pricing, and service are core marketing activities

Marketers must also deal effectively with customer-managed relationships.


Marketers are no longer asking only “How can we influence our customers? And
even “How can our customers influence each other?”

A prospect is a potential client, someone who is in the market for your product and
has the resources needed to buy it but has not purchased it yet. (Future customer)

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Exchange and Relationship


Exchange is the act of obtaining a desired object from someone by offering something
in return. In the broadest sense, the marketer tries to bring about a response to some
market offering.

Marketing consists of
actions taken to create,
maintain, and grow
desirable exchange Create Maintain Grow
relationships with target
audiences involving a
product, service, idea, or
other object.

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https://justvend.in/web/
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https://bmsce.ac.in/home/news/1/justvend-smart-app-based-vending-machine-developed-by-bms-students
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MARKETING ENVIRONMENT

Internal Factors External Factors

 Goals, Mission
 Human Resources
 Capital Resources
Micro Macro
Factors Factors

 Suppliers  Demographic Env


 Competitors,  Economic Env
 Market Intermediaries  Natural Env
 Customers.  Technological Env
 Public  Political Env
 Socio –Cultural Env
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MICRO ENVIRONMENTAL FACTORS

Market
Suppliers Competitors
Intermediaries

Public Customers

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McDonald’s has stopped using


tomatoes in food preparations at most
of its locations in India as the country
suffers from adverse weather
conditions causing prices to
skyrocket.

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Market Intermediaries

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Resellers are distribution channel firms that help the company find customers
or make sales to them. These include wholesalers and retailers that buy and
resell merchandise.

Physical distribution firms help the company stock and move goods from
their points of origin to their destinations. FedEx, blue Dart

Marketing services agencies are the marketing research firms,


advertising agencies, media firms, and marketing consulting firms that help
the company target and promote its products to the right markets.

Financial intermediaries include banks, credit companies, insurance


companies, and other businesses that help finance transactions or insure against
the risks associated with the buying and selling of goods.

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Competitors

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The challenge originally took the form of a


single blind taste test. At malls, shopping
centers, and other public locations, a Pepsi
representative sets up a table with two
white cups: one containing Pepsi and one
with Coca-Cola. Shoppers are encouraged
to taste both colas and then select which
drink they prefer. Then the representative
reveals the two bottles so the taster can
see whether they preferred Coke or Pepsi.
The results of the test leaned toward a
consensus that Pepsi was preferred by
more Americans

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In 1975, Pepsi began showing advertisements based on the Pepsi Challenge, in


which ordinary people were asked which product they preferred in blind taste
tests. The campaign suggested that, when it came down to taste alone, consumers
preferred Pepsi over Coca-Cola. In at least some of these tests, the Coca-Cola
was kept at 0 °C, which is too cold for the taste to come out, whereas the Pepsi
Cola was kept at regular refrigerator temperature, rigging the test. This prompted
Coca-Cola's creation of the successful Diet Coke in 1982, and the unsuccessful
New Coke three years later, both of which led to a major shifting point in the cola
wars. However, the Pepsi Challenge was a marketing campaign and not a
scientific study. Subsequent studies with scientific controls found only modest
differences between Pepsi and Coke.

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Public
The company’s marketing environment also includes various publics. A public is any
group that has an actual or potential interest in or impact on an organization’s ability to
achieve its objectives

1. Citizen-action publics : Consumer organizations, environmental groups, minority


groups,
2. General public : Public in society
3. Local publics : local community residents and organizations.

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PUBLIC

In July 2020, HUL renamed


its flagship skin care brand
Fair & Lovely as Glow &
Lovely after fairness
products came under social
pressure amid a global
debate about racial
inequality.

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Coca-Cola Forced To Shut Bottling Plant in India

Coca-Cola…has been ordered to shut


down its bottling plant in Varanasi,
India following local complaints that
the company was drawing excessive
amounts of groundwater. After an
investigation, government authorities
ruled that the company had violated its
operating license

https://www.business-humanrights.org/en/latest-news/coca-cola-forced-to-shut-bottling-plant-in-
india/#:~:text=Coca%2DCola%E2%80%A6has%20been%20ordered,violated%20its%20operating%20license...

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MACRO ENVIRONMENTAL FACTORS

Demographic Economic Natural

Legal &
Technological Cultural
Political

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The Demographic Environment

Demography is the study of human populations in terms

1. Age
2. Gender
3. Occupation
4. Marital Status
5. Education
6. Family Size
7. Family life cycle
8. Geographic shifts in population

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The Economic Environment


The economic environment consists of factors affecting consumer purchasing power
and spending patterns.

1. Demand & Supply


2. Personal income
3. Family income
4. Purchasing power
5. Disposable income ( Income left after tax deduction)
6. Discretionary income ( Income left after necessities are paid)
7. Savings
8. Inflation

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 MTR's rava idli was invented during World War II due to a rice shortage.

 BigBasket and Reliance Fresh adjust their pricing strategies and promote
alternative vegetables during shortages. brands also introduce ready-to-cook
onion paste or powdered onion to meet demand despite supply constraints

 Xiaomi and Realme target this segment by launching budget-friendly models


with premium features, leveraging advertisements that highlight value for money.

 Installment-based payment options and Joint loan

 Swiggy and Zomato promote premium offerings like "Swiggy One" and gourmet
food delivery, targeting consumers with higher disposable incomes.

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 MakeMyTrip and Thomas Cook India aggressively market international


travel packages during festive seasons, leveraging discretionary spending
for luxury vacations.

 Campaigns like "Mutual Funds Sahi Hai" encourage individuals to invest


their savings, using relatable family-based storytelling to resonate with
Indian consumers.

 Companies like Hindustan Unilever introduce smaller-sized "sachet"


products (e.g., shampoo or detergent) to maintain affordability during high
inflation periods.

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The Natural Environment

The natural environment involves the physical environment and the natural
resources that are needed as inputs by marketers or that are affected by marketing
activities

1. Weather condition
2. Environmental sustainability & Pollution
3. Natural resources (Renewable, Non renewable sources)

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Air Conditioner Sales During Heatwaves

Companies like Voltas and


Blue Star launch campaigns
during summer highlighting
energy-efficient ACs. They
also offer exchange
programs and EMI options
to attract customers during
peak heat seasons.

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The Technological Environment

1. Internet
2. Smart phone
3. Robotics
4. Virtual reality & Augmented reality
5. GPS
6. Bluetooth
7. Artificial Intelligence

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IKEA has launched a new


augmented reality (AR) application
that allows users to test IKEA's products in real
time through Apple iOS 11’s ARKit technology.
Dubbed IKEA Place, the iPhone- and iPad-
compatible free application features realistically-
rendered, true-to-scale 3D products. "The app
automatically scales products, based on room
dimensions, with 98 percent accuracy," noted a
press release by the company.

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Mobile geofencing, sometimes


called geotargeting, is a location-
based service (LBS) that enables a
brand to use the location data of an
SMS subscriber. Mobile geofencing
has existed for years, but as society
has shifted to adopt mobile
technology, developers and brands
understand the value that mobile
geofencing can add to their SMS
marketing campaigns.

For example, companies like Uber and Lyft use mobile GPS permissions to connect a
driver to a passenger’s location. Starbucks also uses mobile app geofencing to know
when a customer has walked into the proximity of a store.

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The legal & political Environment

The political environment consists of laws, government agencies, and pressure


groups that influence or limit various organizations and individuals in a given
society.

1. Consumer laws
2. Public policy
3. Product safety
4. Advertisements
5. Local, state, national, and international trade policy .

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In 2021, ASCI directed fairness cream brands like Fair & Lovely
(now Glow & Lovely) to modify ads that perpetuated color bias.

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In 2015, the Food Safety and Standards Authority of India (FSSAI) banned Maggi
noodles due to allegations that they contained excessive lead and were mislabeled
regarding monosodium glutamate (MSG) content

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The Cultural Environment

The cultural environment consists of institutions and other forces that affect a
society’s basic values, perceptions, preferences, and behaviors. People grow up
in a particular society that shapes their basic beliefs and values.

1. Core beliefs
2. Secondary beliefs
3. Shifts in cultural values
4. Patriotism- Country of origin products
5. Ethnocentrism

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Domino's outlets in Gujarat have a permanent vegetarian menu

Yes, Domino's Pizza outlets in Gujarat have


a permanent vegetarian menu. In 2018,
Domino's made the decision to permanently
serve only vegetarian food in Gujarat after
noticing that customers in the state prefer
vegetarian options. To indicate that they
only serve lacto-vegetarian food, Domino's
has green dots on their doors and boards

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Scope of Marketing
1. Study of Consumer Behaviour.
2. Identify Their Wants and Requirements
3. Planning & Product Development
4. Pricing and Policy Determination
5. Distribution
6. Promotion
7. Consumer Satisfaction
8. Customer Retention and Loyalty.
9. New Product Development
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MARKETING

RESEARCH

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