What is marketing?

Marketing refers to any actions a company takes to attract an audience to the company's product or
services through high-quality messaging. Marketing aims to deliver standalone value for prospects and
consumers through content, with the long-term goal of demonstrating product value, strengthening
brand loyalty, and ultimately increasing sales

what is selling ?

Selling is one part of a trade or transaction. When one person buys something, the other is selling it.
Anything that involves giving something to somebody in exchange for money is a type of selling.

The exchange may involve a service as well as a product.

what is pricing?

Pricing is a process of fixing the value that a manufacturer will receive in the exchange of services and
goods. Pricing method is exercised to adjust the cost of the producer’s offerings suitable to both the
manufacturer and the customer. The pricing depends on the company’s average prices, and the buyer’s
perceived value of an item, as compared to the perceived value of competitors product.

what is segmentation?

Market segmentation is a marketing term that refers to aggregating prospective buyers into groups or
segments with common needs and who respond similarly to a marketing action. Market segmentation
enables companies to target different categories of consumers who perceive the full value of certain
products and services differently from one another.

What is targeting ?

Targeting in marketing involves breaking the target audience into segments and then designing
marketing activities that will reach the segments most likely to be responsive to your efforts. Target
marketing can greatly increase the success you have in reaching potential customers.

what is positioning?

Positioning refers to the place you want your brand or product to have within a particular target market.
More specifically, the process of market positioning and brand positioning involves how you market your
brand or product to consumers to achieve that position

What is marketing mix?

The marketing mix refers to the set of actions, or tactics, that a company uses to promote its brand or
product in the market. The 4Ps make up a typical marketing mix - Price, Product, Promotion and Place.
However, nowadays, the marketing mix increasingly includes several other Ps like Packaging, Positioning,
People and even Politics as vital mix elements.

What is FMCG?

Fast-moving consumer goods are products that sell quickly at relatively low cost. These goods are also
called consumer packaged goods. FMCGs have a short shelf life because of high consumer demand (e.g.,
soft drinks and confections) or because they are perishable (e.g., meat, dairy products, and baked
goods).

What is barter system?

Barter is an act of trading goods or services between two or more parties without the use of money —or
a monetary medium, such as a credit card. In essence, bartering involves the provision of one good or
service by one party in return for another good or service from another party.

What is shopping goods and examples?

Shopping goods are those items bought less frequently, are durable, and are commonly more expensive
than convenience goods. Examples of shopping goods include furniture and televisions.

What is convenience goods with example?

Convenience goods are those that the customer purchases frequently, immediately, and with minimum
effort. Soaps and newspapers are considered convenience goods, as are common staples like ketchup or
pasta.

What is unsought goods with examples?

Unsought Goods are goods that the consumer does not know about or does not normally think of
buying, and the purchase of which arises due to danger or the fear of danger and lack of desire. The
classic examples of known but unsought goods are funeral services, encyclopedias, fire extinguishers and
reference books.

ERA of Marketing

Simple Trade Era (Pre-Industrial Revolution): The simple trade era was a time when everything was hand
created and only available in a limited supply. It was also a time when basic commodities ruled.
Households would produce what they consumed.

Mass Production Era (1860s-1920s): The production era began during the Industrial Revolution. Products
were produced in mass and at a low cost. Typically businesses only produced one product at a time. Also
during this era, businesses had the mindset of, “if produced, someone will buy” and thus increase
profitability. Due to the current market, businesses could sell anything they produced.
Sales Era (1920s-1940s): As the market continued to become more saturated and intensify, competition
increased among businesses. This created a need for marketing and sales techniques. Companies hoped
through persuasion techniques that they could convince customers to purchase their products. However,
companies were concerned with selling products simply to get rid of them for a profit, not because it
would fulfill the needs of their customers. Everything in the sales era was about the price, not the quality
of the products or the customer needs.

Marketing Department Era (1940s-1960s): The marketing department was defined during this era. We
see advertising, sales, promotions, and anything marketing related all grouped into one department.

Marketing Company Era (1960s-1990s): This is an era when the marketing department takes control. We
see the marketing department help guide a company’s direction. All employees are also involved in
marketing, making it important for the success of the company.

In addition, there is a shift from mass production to the need to satisfy customers. The customers
become king and are now the main focus. Businesses survive because they are here to fulfill the needs of
customers. Distribution channels and pricing strategy are also defined during the marketing company
era.

Relationship Marketing Era (1990s-2010): During the relationship marketing era, the focus is not only on
creating relationships with customers but also long-term relationships. The ultimate goal for businesses
is to create customer loyalty. Businesses want to create products that will ensure their customers come
back every time.

Social/Mobile Marketing Era (2010-Present): Businesses focus on being social and connecting with
clients in real-time. Due to technology, businesses and customers can communicate 24/7. The customer
is in the driving seat now, not businesses.

WHAT IS PLC in marketing with example?

When a product enters a market, it has a life cycle that traces its journey from being new and valuable to
old and obsolete. It is referred to as the product life cycle or PLC. It (PLC) identifies and explains four
stages of product development- introduction, growth, maturity, and decline
LONG QUESTION

MARKETING MANAGEMENT NATURE&SCOPE

Marketing derived from the word Market. A market is a place where buyers and sellers come together
and exchange products and services. Marketing is a process of determining the needs and wants of
consumers. It helps the customers to provide them with those products that they are looking for. It helps
the company to find out new customers.

NATURE

Customer Focus

Marketing is a customer-centered function of the business. It aims at finding out what customers want
and fulfilling their needs by delivering them the right products.

Creates Market Offering

Marketing provides offers of various goods and services to potential customers. It is the one that
communicates all information regarding products like its prices, uses, quality, and technology to
customers.

Exchange Oriented

It is a process which aims at exchanging products among buyer and seller. Marketing attracts and
influences people to buy the products of the company.

Continuous Activity

Marketing is a regular and continuous activity of business for selling their products. Businesses always
need to monitor the marketing environment and should accordingly plan, implement, and control all
marketing programs.

Goal-Oriented

Marketing is a goal-oriented business activity that aims at achieving the desired sales and profitability. It
focuses on approaching more and more customers and thereby satisfying their needs by delivering them
the required goods or services.

Manages 4 P’s

It is a combination of four elements that are product, place, price, and promotion. The whole marketing
system is made up of these variable factors which are influenced by customer behavior, competition,
trade factors, etc.

Creates Utilities

Marketing creates various utilities such as form utility, time utility, and place utility. It creates form utility
by manufacturing the right product using inputs, time utility by storing goods in warehouses, and place
utility by delivering goods properly to end customers.

Economic Process

It is a process that involves exchanges of goods in monetary terms. Marketing is one by means of which
monetary transactions as per the exchange value of goods take place for transferring goods among
buyers and sellers.

SCOPE

Create Awareness

Informing customers about the company’s products is a must for attracting them to buy products.
Marketing is the medium through which companies communicate with the public and explain the
features or benefits of their products. Marketing helps in creating wide publicity of goods and services in
the market.

Studies Customer’s Wants

Marketing helps in understanding the needs or wants of customers which enables them to provide
satisfactory services. Business through their marketing programs interacts with customers and
understands their behaviors. Proper understanding of customers’ demands helps in designing the right
product which satisfies their needs.
Product Planning

A product refers to a bundle of benefits that offers satisfaction to the consumers. Product planning starts
with the generation of the idea and continues until the product is ready to be launched in the market. To
create a successful product the company must understand the needs of the consumer and the currently
available competition in the market.

Advertising

Advertising is the best tool for marketing. It makes the consumers aware of the product that is going to
hit the market. Through marketing, big companies are able to condition our subconscious mind about
the goodness of the product. The advertisement also helps to increase the sale drastically and ultimately
the profits. Advertising can be done through various media sources such as newspapers, television,
magazines, hoardings, the internet, etc.

Pricing Policies

Determination of the pricing policies of the product is crucial because good pricing policies will definitely
help in attracting more consumers. generally, consumers are highly-priced elastic which means lower the
price, higher will be the demand and higher the price, lower will be the demand. Cost of manufacturing
the product, government policies, marketing, competitors price, etc. are the factors that influence the
price of the product.

Distribution

The selection of the proper distribution channel is very necessary for the product to attract new
consumers towards it. Selecting a distribution channel means defining the route of the goods they will
take while reaching from the producer to the ultimate consumer. Wholesaling and retailing are the two
most popular distribution channels.

Selling

It refers to the process of selling what is manufactured by the company as a product in the market.
selling refers to the supply of goods and services directly or indirectly to the targeted consumers. Selling
involves performing and managing various activities simultaneously such as approaching to the new
consumers, distributing the free samples, making sales on a huge discount, and getting feedback.
Packaging

The packaging is essential for delivering the product safely and secure a good image in the consumer’s
mind. It also helps in the goodwill formulation. Packaging involves designing and producing the external
covering for the product which will keep the product safe and hygienic. packaging is inclusive of the
product information which adds to the appeal of the product which ultimately helps in the sales
promotion.

After-Sales Services

The term marketing includes after-sale services to be provided by the business to its customers.
Resolving issues of the customer’s and problems in case of any product failure will help in developing
better relations with customers.

Collects The Feedback

It involves collecting the feedback or suggestions of customers once the product is sold. Through this,
satisfaction or dissatisfaction level of customers can be easily identified which helps in improving the
service quality using suggestions provided by them.

PRODUCT CLASSIFICATION

Product classification is a marketing and business term that categorizes products based on how and why
consumers purchase them. These distinctions can change the way companies market their products and
affect other aspects of sales, such as pricing and distribution. If you're a marketing or sales professional,
it's especially important for you to understand product classifications and their effects. In this article, we
explain what product classification is, the four types of products and why professionals classify products.

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What is product classification?

Product classification refers to the organization of the different types of products that consumers buy.
Knowing these classifications can help marketers create advertisements for their company's goods and
services. Product classification can help professionals in all levels of business, as it can also help
determine product demand, pricing and the primary demographic to which advertisers can target with
their marketing campaigns.

What are the different product classifications?

There are four main product classifications. Professionals base these categories on consumer habits,
costs and their general characteristics. The four product classifications are:

1. Convenience products

Convenience products describe the items and services that customers purchase on a regular basis with
little thought. Typically, consumers use the same or similar brands for convenience products unless they
are compelled to do otherwise through an advertisement or availability. For example, dish soap is a
convenience product. Another characteristic of convenience products is that they are easy to find. Most
consumers can buy dish soap without conducting research or making a special trip to the store for it.

Marketers may use more techniques that discount other brands in their campaigns when marketing
convenience products. This is because consumers may change their buying habits and switch to a
different brand if convinced, such as through a comparison advertisement. For example, a company may
market their dish soap to be more effective at removing grease from dishes. Marketers may also spend
more time with consumer test groups, to determine how their brand compares to others or create
marketing campaigns that get a consumer's attention by surprising them.

Related: What Is Guerrilla Marketing? (Plus Effective Techniques To Try)

2. Informed purchases

Informed purchases, also known as shopping goods, refers to the products and services that consumers
don't make often and usually perform research before doing so. These types of products can range from
more expensive items, such as a house or car, or more regular purchases, such as a pair of shoes.
Consumers typically take more time to make informed purchases, which can change the way marketers
advertise them.
For example, because consumers typically perform more research or have higher standards for these
purchases, they may include more information in their marketing campaigns and choose more specific
demographic groups to target. For example, a marketing team may choose to target college-aged
consumers when creating advertisements for laptops, as this demographic often needs the product. The
marketing team might also include more information about the laptop's abilities, such as its graphics
quality or operation speed.

3. Specialty items

Specialty items are unique products that marketers can advertise to a certain demographic of consumers
without worrying about their competition. These products can include innovative goods that are one of a
kind on the market or brand-name products that have a loyal fan base. While these items may be more
expensive than others, consumers often feel less of a need to deliberate or research their decision to
purchase a specialty item.

For example, the marketing team for a well-known luxury fashion brand wouldn't need to create
advertisements that compare their clothes to other brands or even include detailed information. Instead,
the brand's name and reputation alone can encourage consumers to purchase their products. These
companies can focus more on building and maintaining customer relationships and brand recognition
than distinguishing themselves from other companies.

4. Mandatory purchases

Mandatory purchases, also known as unsought goods, are products that consumers buy out of necessity
rather than desire. Typically, these products are household or safety items that customers don't feel
excited to buy, such as batteries, smoke detectors, air filters and cleaning products. Sometimes,
consumers may buy these items out of fear or an obligatory response, such as buying a fire extinguisher
or a car maintenance membership just in case of an emergency.

When advertising these items, marketing teams can focus more on reminding consumers of their need
for these items and building brand recognition that allows consumers to purchase a specific brand with
little thought. Some companies choose to feature reasons why you need these items in their
advertisements, creating a sense of security through the purchase of their product. For example, a
marketing team may advertise a flashlight by showing a person using one in the event of a power
outage.
Why classify products?

Professionals classify products for a variety of reasons. Product classifications can contribute to many
decisions within the life cycle of a product, including the way companies market it, its price, the type of
consumer who buys it and how high the demand for the product is. Here are some other reasons why
professionals classify products:

Marketing

As previously mentioned, the techniques marketing teams may use to advertise a product often depends
on its classification type. Product classification can change a marketing budget and the focus of a
campaign. For example, when marketing a specialty item, a company is less likely to spend money on
forming a focus group to test its product. Instead, they may allocate their resources to brand
management.

Pricing

The type of classification a product receives can change the way retailers and distributors price the item.
Convenience items and mandatory purchases are often more likely to be cheaper than a specialty item
or informed purchase, as consumers value these products' availability and necessity.

Convenience and mandatory items are also often more regular in nature and include products with
lower price points, such as food. Because consumers typically hold less brand loyalty to the products
under these classifications, it's also more important for the companies that sell convenience and
mandatory purchases to assign a lower price to these items to stay in competition with other brands.

Demand

The demand for a product often varies depending on the product classification. Generally, consumers
buy mandatory and convenience products more often than specialty and informed purchases. This
affects how companies manufacture these items and how marketing teams advertise them. Because
consumers may need more encouragement to make purchases that they need less frequently,
companies selling specialty and informed purchase products may need to allocate more time and money
to market their products.
Invention

When deciding which products to produce, a company might consider product classifications. Because
the marketing efforts for each type of product varies, a company may aim to specialize in one type of
advertisement, which limits which products they make. The demand of a product, which has a role in
how professionals create product classifications, can also influence a company's decision regarding the
invention of a product.

Definition of Marketing Mix

The marketing mix is defined by the use of a marketing tool that combines a number of components in
order to become harden and solidify a product’s brand and to help in selling the product or service.
Product based companies have to come up with strategies to sell their products, and coming up with a
marketing mix is one of them.

Table of Content

Marketing Mix 4P

7Ps of Marketing

Marketing Mix Example

Marketing Mix Product

Importance of Marketing Mix

Questions on Marketing Mix

What is Marketing Mix?

Marketing Mix is a set of marketing tool or tactics, used to promote a product or services in the market
and sell it. It is about positioning a product and deciding it to sell in the right place, at the right price and
right time. The product will then be sold, according to marketing and promotional strategy. The
components of the marketing mix consist of 4Ps Product, Price, Place, and Promotion. In the business
sector, the marketing managers plan a marketing strategy taking into consideration all the 4Ps. However,
nowadays, the marketing mix increasingly includes several other Ps for vital development.

What is 4 P of Marketing

4Ps of Marketing MixProduct in Marketing Mix:

A product is a commodity, produced or built to satisfy the need of an individual or a group. The product
can be intangible or tangible as it can be in the form of services or goods. It is important to do extensive
research before developing a product as it has a fluctuating life cycle, from the growth phase to the
maturity phase to the sales decline phase.

A product has a certain life cycle that includes the growth phase, the maturity phase, and the sales
decline phase. It is important for marketers to reinvent their products to stimulate more demand once it
reaches the sales decline phase. It should create an impact in the mind of the customers, which is
exclusive and different from the competitor’s product. There is an old saying stating for marketers, “what
can I do to offer a better product to this group of people than my competitors”. This strategy also helps
the company to build brand value.

Price in Marketing Mix:

Price is a very important component of the marketing mix definition. The price of the product is basically
the amount that a customer pays for to enjoy it. Price is the most critical element of a marketing plan
because it dictates a company’s survival and profit. Adjusting the price of the product, even a little bit
has a big impact on the entire marketing strategy as well as greatly affecting the sales and demand of the
product in the market. Things to keep on mind while determining the cost of the product are, the
competitor’s price, list price, customer location, discount, terms of sale, etc.,

Place in Marketing Mix:

Placement or distribution is a very important part of the marketing mix strategy. We should position and
distribute our product in a place that is easily accessible to potential buyers/customers.

Promotion in Marketing Mix:

It is a marketing communication process that helps the company to publicize the product and its features
to the public. It is the most expensive and essential components of the marketing mix, that helps to grab
the attention of the customers and influence them to buy the product. Most of the marketers use
promotion tactics to promote their product and reach out to the public or the target audience. The
promotion might include direct marketing, advertising, personal branding, sales promotion, etc.

What is 7 P of Marketing:

The 7Ps model is a marketing model that modifies the 4Ps model. As Marketing mix 4P is becoming an
old trend, and nowadays, marketing business needs deep understanding of the rise in new technology
and concept. So, 3 more new P’s were added in the old 4Ps model to give a deep understanding of the
concept of the marketing mix.

People in Marketing Mix:

The company’s employees are important in marketing because they are the ones who deliver the service
to clients. It is important to hire and train the right people to deliver superior service to the clients,
whether they run a support desk, customer service, copywriters, programmers…etc. It is very important
to find people who genuinely believe in the products or services that the particular business creates, as
there is a huge chance of giving their best performance. Adding to it, the organisation should accept the
honest feedback from the employees about the business and should input their own thoughts and
passions which can scale and grow the business.

Process in Marketing Mix:

We should always make sure that the business process is well structured and verified regularly to avoid
mistakes and minimize costs. To maximise the profit, Its important to tighten up the enhancement
process.

Physical Evidence in Marketing Mix:

In the service industries, there should be physical evidence that the service was delivered. A concept of
this is branding. For example, when you think of “fast food”, you think of KFC. When you think of sports,
the names Nike and Adidas come to mind.
Marketing Mix Example:

This article will go through a marketing mix example of a popular cereals company. At first, the company
targeted older individuals who need to keep their diet under control, this product was introduced.
However, after intense research, they later discovered that even young people need to have a healthy
diet. So, this led to the development of a cereals product catered to young people. In accordance with all
the elements of the marketing mix strategy, the company identified the product, priced it correctly, did
tremendous promotions and availed it to the customers. This marketing mix example belongs to
Honeycomb, one of the most renowned companies in the cereal niche. Following these rules clearly has
managed to make the company untouchable by all the other competitors in the market.

This makes Honeycomb, the giant we know and love today to eat as morning breakfast!

Related read:

Why planning in marketing is important?

What are the principles of Management?

Marketing Mix Product

All products can be broadly classified into 3 main categories. These are :

Tangible products: These are items with an actual physical presence such as a car, an electronic device,
and an item of clothing or a consumer good.

Intangible products: These are items that have no physical presence but can be felt indirectly. An
insurance policy is an example of this. Online items such as software, applications or even music and
video files are also intangible products.

Services: Services are also intangible products but they are the result of an economic activity that does
not result in ownership. It is a process that creates benefits for customers. Services depend highly on
who is performing them and remain difficult to reproduce exactly.

Importance of Marketing Mix

The marketing mix is a remarkable tool for creating the right marketing strategy and its implementation
through effective tactics. The assessment of the roles of your product, promotion, price, and place plays
a vital part in your overall marketing approach. Whereas the marketing mix strategy goes hand in hand
with positioning, targeting, and segmentation. And at last, all the elements, included in the marketing
mix and the extended marketing mix, have an interaction with one another.
What is Marketing Concept?

Marketing concept is a set of strategies that the firms adopt where they analyse the needs of their
customers and implement strategies to fulfil those needs which will result in an increase in sales, profit
maximisation and also beat the existing competition.

The marketing concept has been widely used by companies all over the world in the present age, but the
situation was not the same earlier. As per this concept, it is said that for an organisation to satisfy the
objectives of the organisation, the needs and wants of the customer should be satisfied. This theory was
first mentioned in Adam Smith’s book “The Wealth of Nations” in 1776 but came into widespread use
only 200 years later.

Therefore, marketing can be said as a process of acquiring customers and maintaining relations with
them and at the same time matching needs and wants with the services or product offered by the
organisation, which ensures that the organisation will become profitable.

What are Needs, Wants and Demand

Marketing concept focuses on the needs, wants and demands of customers. Let us understand them in
brief.

1. Needs:

Needs are basic requirements that enable a healthy and active life. If needs are not fulfilled, it will result
in the dysfunction of the system, which can result in disability or death. It can be objective as well as
physical as in need of food, water and shelter.

2. Wants:

Wants are something that is desired by the person. These are not required for day to day functioning.
Wants are not necessary for basic survival and are mostly moulded by cultural influence.
3. Demands:

When the needs and wants are supported by an ability to pay, it becomes a demand.

Types of Marketing Concept

Five types of marketing concepts are as follows:

1. Production Concept

2. Product Concept

3. Selling concept

4. Marketing concept

5. Societal marketing concept

Production Concept

This concept was based on the assumption that customers are primarily interested in products which are
accessible and affordable. This concept was introduced at a time when business was focused mainly on
production. It says that a business will be able to lower costs by producing more quantity or mass
production of goods.

Solely focusing on producing goods may lead to the firm deviating from its objective.

Product Concept
The product concept is based on the assumption that customers will be more inclined towards products
that are offering more quality, innovative features and top-level performance.

In this type of marketing concept, a business focuses on creating high-quality products and refining it
every time in order to develop a better and improved product.

Selling Concept

While the previous two concepts focused on production, the selling concept is focused on selling. It
believes that customers will be buying products only when the product is aggressively marketed by the
company. It does not focus on building relationships with customers, and ensuring customer satisfaction
is also not deemed necessary.

Marketing Concept

A marketing concept places the centre of focus on the customer. All the activities that are undertaken by
an organisation are done keeping the customer in mind. The organisations are more concerned about
creating value propositions for the customers, which will differentiate them from the competition.

Societal Marketing Concept

This is the fifth and most advanced form of the marketing concept. Here the focus is on needs and wants
of the customer as well as ensuring the safety of the customer and society first. It believes in giving back
to society and making the world a better place for all human beings.

Marketing Challenges The Business Organizations Facing Today

Rapidly changing customer needs, wants, and expectations;

Increasing domestic and global competition;

Heterogeneous and fragmented market

Increasing popularity of Internet;

Rapid technological changes;

Challenge of selecting among too many options; and

Challenge of generating leads.

Rapidly Changing Customer Needs, Wants, and Expectations

Today, the needs, wants, and expectations of the customer are changing rapidly. It is a great challenge
not only for small marketers but for big players too. It requires extensive study of market trends and
consumer behavior while developing a new product or updating an existing product.

Increasing Global and Domestic Competition

Competition today is global rather than just domestic. Marketers have to compete not only with
domestic players but with global players too. The intense and global competition is a great challenge for
marketers to deal with.

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Increasing Popularity of Internet

With the increase in popularity of the Internet a new spectrum of marketing channel is emerged. The
worldwide increase in the number of Internet users brought a shift from traditional print-based media to
new online platforms. It presents a new set of marketing challenges - the challenge of deciding how
much to allocate to digital v/s print-based media; the challenge of using social media marketing largely
because of regulatory issues and concerns over its measurability; and the challenge of doing more with
less money as the rise of the Internet made communication cheaper and efficient.

Challenge of Selecting Among Too Many Options

The greatest challenge the marketers facing today is simply too many options. Too many potential
customer segments. Too many product or service options. Too many communication tools. It is really
difficult and challenging for marketers to choose among too many options. The marketers today don't
suffer from lack of opportunities or options. The picture is totally opposite today. Now they suffer from
too many opportunities or options.

Ways to Overcome These Challenges

For the success of any business overall performance is required to be taken care of. Not only financial
performance but also marketing performance. Marketing performance includes - sales volume, market
share, and, customer satisfaction. Various marketing challenges make it difficult for marketing managers
to achieve the targeted marketing performance. But, there are ways to overcome such challenges. We
are here to share the best possible ways to overcome the marketing challenges the business
organizations facing today.

Create a Learning Organization

Business organizations must include learning as a key to improvement in their organizational values.
Proper training must be given to marketing employees and it should be considered as an investment
rather than as a cost. Marketing managers are required to continually question their own views of the
marketplace. Learning is not a one-time activity it's a continuous process, ability to learn can be a key
competitive advantage for any business.

Market Research

Marketing organizations must invest in market research and they are required to make extensive use of
it. Organizations are required to be good at using information about markets, customers, and
competitors. Market research must be focused on understanding customer needs, wants, and
expectations.

Reevaluate the Old Mix - Four Ps to Four Cs

With the increasing globalization, competition, and popularity of the Internet the old marketing mix is
facing many new challenges; and to tackle these challenges marketing management must reevaluate the
old marketing mix to new mix by converting four Ps to four Cs.

Product / Customer Needs

Price / Cost to the Users

Place / Convenience

Promotion / Communication

Difference between Selling and Marketing :

S.No. SELLING MARKETING

01. Selling refers to creating products and selling them to customers. Marketing refers to
finding wants of people/customer and fill them.

02. Selling revolves around the needs and interest of the seller. Whereas Marketing revolves
around the needs and interest of the consumer.

03. It emphasis more on product or service. It emphasis more on consumer needs and wants.

04. Selling is a only an integrated part of the marketing process. While marketing is a wider term
consisting of number of activities.

05. Selling is based on short term business planning. Marketing is based on long term
business planning.

06. It manufactures the product first. It identifies the market first.

06. It manufactures the product first. It identifies the market first.

07. It is sales volume oriented. It is customer satisfaction with profit oriented.

08. It views business as a goods producing and selling process. It views business as a consumer
satisfying process.

09. Here seller is considered as king pin of market. Here consumer is considered as king pin of
market.

ket segmentation is an extension of market research that seeks to identify targeted groups of consumers
to tailor products and branding in a way that is attractive to the group. The objective of market
segmentation is to minimize risk by determining which products have the best chances of gaining a share
of a target market and determining the best way to deliver the products to the market. This allows the
company to increase its overall efficiency by focusing limited resources on efforts that produce the best
return on investment (ROI).

Types of Market Segmentation

There are four primary types of market segmentation. However, one type can usually be split into an
individual segment and an organization segment. Therefore, below are five common types of market
segmentation.

Demographic Segmentation

Demographic segmentation is one of the simple, common methods of market segmentation. It involves
breaking the market into customer demographics as age, income, gender, race, education, or
occupation. This market segmentation strategy assumes that individuals with similar demographics will
have similar needs.

Example: The market segmentation strategy for a new video game console may reveal that most users
are young males with disposable income.

Firmographic Segmentation

Firmographic segmentation is the same concept as demographic segmentation. However, instead of

analyzing individuals, this strategy looks at organizations and looks at a company's number of employees,
number of customers, number of offices, or annual revenue.

Example: A corporate software provider may approach a multinational firm with a more diverse,
customizable suite while approaching smaller companies with a fixed fee, more simple product.

Geographic Segmentation

Geographic segmentation is technically a subset of demographic segmentation. This approach groups

customers by physical location, assuming that people within a given geographical area may have similar
needs. This strategy is more useful for larger companies seeking to expand into different branches,
offices, or locations.

Example: A clothing retailer may display more raingear in their Pacific Northwest locations compared to
their Southwest locations.

Behavioral Segmentation

Behavioral segmentation relies heavily on market data, consumer actions, and decision-making patterns
of customers. This approach groups consumers based on how they have previously interacted with
markets and products. This approach assumes that consumers prior spending habits are an indicator of
what they may buy in the future, though spending habits may change over time or in response to global
events.
Example: Millennial consumers traditionally buy more craft beer, while older generations are
traditionally more likely to buy national brands.

Psychographic Segmentation

Often the most difficult market segmentation approach, psychographic segmentation strives to classify
consumers based on their lifestyle, personality, opinions, and interests. This may be more difficult to
achieve, as these traits (1) may change easily and (2) may not have readily available objective data.
However, this approach may yield strongest market segment results as it groups individuals based on
intrinsic motivators as opposed to external data points.

What is Marketing Environment

Marketing Environment concerns the influences or variables of the external and internal environment of
a firm that controls the marketing management’s capability to construct and preserve the flourishing
relationships with the consumer. An assortment of environmental forces affects a company’s marketing
arrangement. A few of them are governable while others are unmanageable. It is the task of the
marketing manager to modify the company’s policies together with the shifting environment. Macro and
micro environment comprise the structure of the marketing environment.

Micro Environment in Marketing

Micro-environment elements are close to the firm and incorporate the suppliers, showcasing delegates,
consumer markets, public, competition, and marketing intermediaries. Micro-environment likewise
concerns the inward environment of the organization and influences marketing as well as all the
departments like management, R&D, finance, Human assets, purchasing, operations, and bookkeeping.

Macro Environment in Marketing

The Macro environment is the uncontrollable factor of the company. For this reason, it has to structure
its policies in the limits set by these factors. Macro-environment on the whole deals with the
demographic, economic, technological, natural, socio-cultural and politico-legal environment aspects of
the markets. Let us now look into these elements in detail.