Book Title
Marketing 5th Edition

978-0077729028 Chapter 1 Slides

April 8, 2019 Powerpoint Slides With Teaching Notes
Power Point Slide Teaching Notes
1-1: Overview of Marketing
1-2: Learning Objectives These questions are the learning objectives
guiding the chapter and will be explored in
more detail in the following slides.
1-3: Building Value Online Ask students: How many of you shop at
Starbucks? What do you find most
valuable about their products?
Answers will include: It taste great, they
are many choices, the company supports
green initiatives.
As the text indicates, there are many ways
Starbucks distinguishes itself from similar
1-4: What is Marketing? Point out that this new definition is
somewhat controversial, because many
feel it includes everything within
Ask students: Do you agree? Answers
might include uncertainly in the definition
of value.
1-5: What is Marketing? Ask students about problems they have
for which there are no products to meet
their needs.
They might think about products that they
could use for their homes, their computers,
organizing their work, their cars.
This is how marketers generate ideas for
new products – by uncovering consumer
1-6: Marketing is about Satisfying Customer
Needs and Wants
Students might mention groups based on
age or gender, but the ad is targeted to
those who find style to be an important
Other benefits might include the status of
the Lexus brand.
1-7: Marketing Entails an Exchange Each party to the exchange gives up
something of value:
The customer usually gives up money;
however, sometimes they also give up
time and information.
The firm gives up the good or service. The
exchange in the end is mutually beneficial.
1-8: Marketing Requires Product, Price, Place
and Promotion Decisions
This is an overview of the 4P’s which will
be discussed in greater depth.
Ask students to choose a product they see
in the classroom – VitaminWater, Coke,
Aquafina – and ask them to describe the
4P’s for this product.
1-9: Product: Creating Value Students often can relate to goods and
services, but the marketing of ideas is a
new concept to them. Use the example of
drunk driving prevention;
Ask Students: How is that idea marketed?
Organizations such as Mothers Against
Drunk Driving or Students Against Drunk
Driving often receive support from
brewers and distillers in promoting
responsible drinking and safe driving.
Ask Students: What is the exchange these
groups are asking consumers to enter?
Answer: They want you to consume
alcohol in a manner that is consistent with
safety, which means sacrificing some
1-10: Price: Capturing Value A good example of how price expresses
value is the variations in price associated
with air travel.
The prices can vary based on demand for
the flight, timing, and destinations.
Pricing strategies will be discussed in later
chapters, but you may also wish at this
point to introduce the notion of market
pricing versus cost pricing.
1-11: Place: Delivering the Value Proposition Place delivers the product to the
customers. Students may overlook the
importance of this component of the
marketing mix because it is not as readily
visible from the consumer perspective. To
get this point across, suggest a few
products and then trace the path those
products likely take from manufacturer to
retailer to consumer.
It might be hard to see on the ad – but it is
interesting to note that Odwalla would
want to tell customers where to find the
Some marketers list their distributors if
they have limited distribution. It might be
difficult to see but on this ad Odwalla tells
customers to find this product in the
produce section in the circled area.
1-12: Promotion: Communicating Value Calvin Klein’s provocative advertising has
helped create an image that is filled with
youth, style, and sex appeal.
1-13: What Element of Marketing is This? Ask students what element of marketing
is represented in this picture?
Students should recognize that this
represents “Place: Delivering the Value
Proposition. “ This ad focuses on a type
of distribution outlet: self-serve
frozen-yogurt. .
1-14: Marketing Can be Performed by
Individuals and Organizations
This exhibit illustrates how the same
product, a desktop computer, can be sold
from firm to firm, from firm to consumer,
and then be used consumer to consumer to
sell C2C.
Ask students whether they’ve bought
from other consumers online. Many
options are available to buy C2C online,
especially with the development of online
cooperatives like etsy.com. Follow the
web link to visit this site.
1-15: Marketing Impacts Stakeholders Marketers affect many stakeholders.
Customers represent one stakeholder
group but others include all those in the
supply chain, employees, and society at
Supply chain partners include
manufacturers, agents, wholesalers,
retailers, and so on. Companies market to
employees with employment marketing,
also known as internal marketing, to
recruit and retain the best employees.
1-16: Marketing Helps Create Value Marketing has been through several eras.
This exhibit graphically represents the
changes over time from an emphasis on
production to one based on value-based
The production-oriented era took place
around the turn of the 20th century, when
most firms believed a good product would
sell itself.
In the sales-oriented era, production and
distribution techniques improved and
supply outpaced demand. Firms found an
answer to overproduction by focusing on
In the market-oriented era, the focus was
on what customers wanted.
Now, we are in the value-based era, which
maintains the market orientation but also
includes a focus on giving greater value
than the competition.
Value reflects the relationship of benefits
to costs. Value-based marketing means
implementing a marketing strategy
according to what customers value.
1-17: Value-Based Marketing Ask students how this campaign for
Pepperidge Farm Cookies is about value.
It does this by describing their ingredients
in very luxurious terms…very impressive
for a supermarket cookie that is not highly
1-18: Check Yourself 1. Marketing is an organizational
function and a set of processes for
creating, communicating, and
delivering value to customers and for
managing customer relationships in
ways that benefit the organization and
its stakeholders.
2. Needs and wants
3. Product, price, place, and promotion
4. Individuals and organizations
5. Production, sales, market, and
1-19: Value Based Marketing The Adding Value box emphasizes how
value depends upon what’s important to
Levi Strauss offer jeans that are affordable
and stylish.
1-20: Companies that Put the Customer First Features the Ritz Carlton. This clip
focuses on creating customer service with
augmented experiences offered to the
Note: Please make sure that the video file
is located in the same folder as the
PowerPoint slides.
1-21: How Do Firms Become Value Driven? Firms become value driven by focusing on
four activities.
1-22: Connecting With Customers
Using Social & Mobile Marketing
Ask students why it is important share
information using social and mobile tools?
1-23: Check Yourself 1. Value-based marketing isn’t just about
low price; it is also about creating
strong products and services.
2. Marketers are steadily embracing new
technologies, such as social and
mobile media, to allow them to
connect better with their customers
and thereby serve their needs more
1-24: Marketing and Society Focusing on many
Marketing has shifted its focus
dramatically; it also has evolved into a
major business function that crosses all
areas of a firm or organization.
1-25: Marketing Is Pervasive across
Marketing Channel Members
Effectively managing supply chain
relationships often has a marked impact on
a firm’s ability to satisfy the consumer,
which results in increased profitability for
all parties.
1-26: Marketing and Society Focusing on many
Kellogg’s asserts:
Our values: we act with integrity and show
Our foods: we produce a range of foods to
meet your tastes and health needs.
Our marketing practices: long-standing
commitment to responsible marketing.
In our communities: great things can
happen when a company is an active
corporate citizen.
Our environment: we’re helping to
preserve and protect our natural resources.
1-27: Marketing Enriches Society Oprah is very entrepreneurial and an
excellent marketer.
Her organizations also benefit society
under the umbrella of the Oprah Winfrey
This web link brings you to her webpage
for Oprah’s Angel Network.
1-28: Check Yourself 1. Expands global presence, pervasive
across organization, pervasive across
supply chain, makes life easier,
enriches society, can be
2. To do the right thing, the firm will
emphasize society. This is a good time
to introduce the debate of whether it is
best to do right by society or right by