Advanced marketing management

1. Advance Marketing Management 1
Prepared By Tarun Patel
Advance Marketing Management
STD :- T.Y.B.B.A. 6th
Semester (Marketing)
NO. CHAPTER NAME WEIGH
TAGE
1 Marketing Information System & Measuring MarketDemand 15%
2 Marketing Management Process 5%
3 Segmentation , Targeting , Positioning 15%
4 Developing Product Strategy 10%
5 Marketing of Services 10%
6 Principles of Personal Selling 10%
7 Rural Marketing 10%
8 International Marketing 10%
9 Direct Marketing 5%
10 Latest Trends in Marketing 10%
Prepared By Tarun Patel

2. Advance Marketing Management 2
Prepared By Tarun Patel
Chapter :1 Marketing Information System & Measuring Market Demand
 Meaning- MIS :-
“A Marketing Information System MKIS consists of people, equipment
and procedures to collect, analyze, evaluate and distribute needed,
timely and accurate information to marketing decision makers.”
 Marketing Intelligence :-
“ A Marketing Intelligence system is a set of procedures used by managers to
obtain everyday information about development in marketing environment.”
 Need and Importance of MIS :-
(1) Anticipation of consumer demand.
(2) Anticipation of marketing.
(3) Changing demand and supply.
(4) Competition.
(5) Technical Development.
(6) Consumerism.
(7) Information explosion.
 Sales Potential :-
“ Sales potential is the sales limit approached by company demand as
company marketing effort increase relative to that of competitors.”
 Market Potential :-
“Market potential is the limit approached by market demand as industry
marketing expenditures approach infinity for a given marketing environment.”
 Components of MIS :-
(1) Internal record system. (2) Marketing Intelligence System.
(3) Marketing Research.
(4) Marketing Decision Support System. (M.D.S.S.)

3. Advance Marketing Management 3
Prepared By Tarun Patel
 (1) Internal record system.
 The order to payment cycle.
 Sales information system.
 Databases, data warehouses and data mining.
 (2) Marketing Intelligence System.
 Train and motivate sales force.
 Motivate distributors and intermediaries.
 By purchasing competitors.
 Purchase information from outside.
 Setup customer advisory panel.
 Circulate marketing intelligence.
 (3) Marketing Research.
“ Marketing Research is the systematic design, collection, analysis and reporting of data and
findings relevant to a specific marketing situation facing the company.”
(1) Suppliers marketing research.
(2) The Marketing Research Process.
i. Define the problem & Research objectives.
ii. Develop research plan.
 Data sources. ( Primary data , Secondary data )
 Research approaches. ( observational , focus , survey , experimental research. )
 Research instruments. (questionnaire , psychological tools )
 Sampling plan. ( sampling unit , sample size , sampling procedures )
 Contact methods. ( mail questionnaire , personal interview )
iii. Collect the information.
iv. Analyze the information.
v. Present the findings.
vi. Make the decision.
 (4) Marketing Decision Support System. (M.D.S.S.)
“ A coordinate collecting of data system, tools and techniques with supporting software
and hardware by which as organization gathers and interprets relevant information from
business and environment and turns it into a basis for marketing action.”

4. Advance Marketing Management 4
Prepared By Tarun Patel
Chapter : 3 Segmentation , Targeting , Positioning
1) Segmentation :-
“ The process ofdividing the market into homogeneous groups has similar need based on
some variable is known as segmentation.”
 Levels of market segmentation :-
(1) Mass Marketing. (4) Individual customer Marketing
(2) Niche Marketing. (5) Self Marketing.
(3) Local Marketing.
 Steps of Market Segmentation :-
 Bases for market Segmentation :-
1) Consumer Market :-
- Geographic Segmentation. ( Region , City size , Density )
- Demographic Segmentation. ( Age , Gender , Income , Religion , Generation , Social class )
- Psychographic Segmentation. ( Life style , Personality , values )
- Behavioral Segmentation. ( Benefits , User status , Usage rate , Loyalty status , Attitude )
- Multi Attribute Segmentation. - Targeting multiple Segmentation.
2) Business Market:- ( Refer from notes…………… )
(1) Needs – based segmentation.
(2) Segment Identification.
(5) Segment Positioning.
(6) Segment “ Acid test ”
(7) Marketing mix Strategies.
(3) Segment Attractiveness.
(4) Segment Profitability.

5. Advance Marketing Management 5
Prepared By Tarun Patel
2) Targeting :-
“Oncethe company has completed the segmentation of the market it will have to select one
or more segment. Selecting and producing the productfor this segment is known as
targeting.
 Evaluating & selection of target marketing refer from notes……………..
 Segment -by - segment invasion plan also refer from notes……………
3) Positioning :-
“ Positioning is an act of designing the company’s effort and image so that they occupya
meaningfully and distinct position in the mind of the target consumers.”
 Differentiation :-
“ Differentiation is an act of designing a set of meaningful differences to distinguish the
company’s offer from competitor’s offer.”
(A) Product Differentiation :- (B) Service Differentiation :-
- Form. - Easy ordering.
- Features. - Delivery.
- Performance Quality. - Installation.
- Conformance Quality. - Customer Training.
- Durability. - Customer Consulting.
- Reliability. - Maintenance and repair.
- Reparability.
- Style.
(C) Personnel Differentiation :- (D) Image Differentiation :-
- Competence. - Symbols,colors,slogans.
- Courtesy. - Physical plant.
- Credibility. - Events & Sponsorships.
- Reliability. - Using multiple image building techniques.
- Responsiveness.
- Communication.
(E)Channel Differentiation :-

6. Advance Marketing Management 6
Prepared By Tarun Patel
Chapter : 4 Developing Product Strategy
 Product Life Cycle (PLC) Strategy :-
(1) Introduction : A period of slow sales growth as the productis introduced in the market.
Profits nonexistent because of the heavy expenses incurred with productintroduction.
(2) Growth : A period of rapid market acceptance and substantial profit improvement.
(3) Maturity : A period of slowdown sales growth because the producthas achieved
acceptance by most potential buyers. Profit decline because of increased competition.
(4) Decline : The period when sales slow a downward drift and erode.
1) Introduction Stage :
Characteristics :-
 This the stage when a new productis just introduced in the market.
 The sales growth tend to be slow.
 There are heavy distribution and promotional expenses. Hence costis more.
 The profit are either negative or very less because of higher costs.
 A distribution network is still to be setup.
Strategies :-
 Rapid skimming strategy.
 Slow skimming strategy.
 Rapid penetration strategy.
 Slow penetration strategy.
2) Growth Stage :
I. It improves productquality and adds new features and improved styling.
II. It adds new models and flanker produces.
III. It enters new market segments.
IV. It increases its distribution coverage and enters new distribution channels.
V. It shifts from productawareness advertising to product-preference advertising.
VI. It lowers prices to attract the next layer of price – sensitive buyers.
3) Maturity Stage :
I. Market Modification.
II. ProductModification.
III. Marketing – Mix Modification.
1. Prices. 2. Distribution. 3.Advertising.
4. Sales promotion. 5. Personal selling. 6. Services.

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Prepared By Tarun Patel
4) Decline Stage :
Characteristics :-
 There is a decline in a sales. Because of technological – customer preference change.
 Profit also decline due to decline in sales.
 Companies reduce their promotion budget and reduce their price further.
 Some companies may withdraw from smaller market segment.
Strategies :-
I. Increasing the firm’s investment.
II. Maintaining the firm’s investment level until the uncertainties about the industry are
resolved.
III. Divesting the business quickly by disposing of its assets as advantageously as possible
IV. Harvesting the firm’s investment to recover cash quickly.
V. Decreasing the firm’s investment level selectively, by dropping unprofitable customer
groups.
 New Product Development Process :-
(1) Idea generation.
i) Interacting with others.
ii) Creativity Techniques.
 Attribute Listing , Mind mapping, new contexts , Forced relationship.
(2) Idea screening. ( Drop – error , Go – error )
(3) Conceptdevelopment and Testing.
- Concept Development.
- ConceptTesting.
- Conjoint Analysis.
(4) Marketing Strategy.
- Market size, Structure, Sales, Market share, and Profit goals.
- Price, Distribution Strategy and Marketing budget for the first years.
- Long run sales and profit goals and Marketing mix Strategy.
(5) Business Analysis.
- Estimating Total Sales.
- Estimating costs and profits.
(6) ProductDevelopment.
(7) Marketing Testing.
- Selection of test market.
- Time of test marketing.
(8) Commercialization.

8. Advance Marketing Management 8
Prepared By Tarun Patel
Chapter : 5 Marketing of Services
 Meaning of Services :-
“ A service is any act or performance that one party can offer to another that is
essentially intangible and does not result in the ownership of anything.”
 Characteristics / Features of Services :-
(1) Intangibility.
(2) Inseparability.
(3) Variability.
(4) Perishability.
 Marketing Strategy for Service Firm :-
(1) Three Additional P’s :-
1) People . 2) Physical Evidence. 3) Process.
(2) Managing Differentiation :-
1) Offering. 2) Faster & Better delivery. 3) Image.
(3) Managing Differentiation :-
1) Strategic Concept.
2) Top management commitment.
3) High standards.
4) Self Service Technologies. ( SSTS )
5) Monitoring Systems.
6) Satisfying customer complaints.
7) Satisfying employees as well as customer.
(4) Managing Productivity :-
1) Have service providers work more skillfully.
2) Increase the quantity of service by surrendering some quality.
3) Design a more effective service.
 Various Service Gaps :-
- Gap between consumer expectation and management perception.
- Gap between management perception and service quality specification.
- Gap between service quality specification and service delivery.
- Gap between service delivery and external communication.
- Gap between perceived service and expected service.

9. Advance Marketing Management 9
Prepared By Tarun Patel
Chapter : 6 Principles of Personal Selling
 Sales Professionalism / Process of personal selling :-
 Negotiation :-
“ Negotiation is an act performed by both the parties. It also means exchange.”
 Relationship marketing :-
“ Actions taken by the company in winning a long term relationship with the buyers are
called as relationship marketing.”
 Steps Establishing Relationship Marketing Programme.
1. Identify the key customers.
2.Assign a skilled relationship manager to each.
3.Develop a clear job description for relationship manager.
4. Appoint a manager to supervise the relationship manager.
5.each relationship manager must develop plans.
 Importance of relationship marketing :-
1.Helps to know customer need and there fulfill it. 4. Word of mouth.
2. Customer loyalty increase. 5. New relationship.
3.Easily know customer’s difficulty. 6. Additional benefits.
(1) Prospecting and Qualifying.
(5) Closing.
(4) Over coming objections.
(3) Presentation & Demonstration.
(2) Pre-approach.
(6) Follow-up and Maintenance.

10. Advance Marketing Management 10
Prepared By Tarun Patel
Chapter : 7 Rural Marketing
 Meaning :-
“ The study of rural marketing consist of all the operation involved in the movement of farm
producefood, raw materials etc from the farms to the final consumers.”
 Characteristics / Features :-
1. The income is seasonal in nature.
2. Geographically Scattered.
3. Language, Regional , Cultural difference.
4. The market is under developed.
5. Largely Agricultural oriented.
 Importance :-
1. Increasing competition in urban markets.
2. Socio economic changes in rural markets.
3. Rise in rural prosperity.
4. Better developed infrastructure facilities. (Transport system, Rural electrification.)
 Problems :-
1. Transportation. 8. Market segmentation in rural area.
2. Communication. 9. Branding.
3. Availability of appropriate media. 10. Packing.
4. Warehousing.
5. Village structure in India.
6. Rural markets & Sales manager.
7. Inadequate banking & Credit facilities.
 Marketing Strategies in Rural Marketing :-
 Product Strategies :- Price Strategies :-
(A) New productdesigns. (A) Low costor cheap products.
(B) Brand Name. (B) Avoid sophisticated package.
(C) Small unites package. (C) Refill packs & Reusable packs.
(D) Low price packaging. (D) Application of valued engineering.
(E) Sturdy product.
 Distribution Strategies :- Promotion Strategies :-
(A) Use of co-operative societies.
(B) Use of public distribution system.
(C) Agriculture input dealer.

11. Advance Marketing Management 11
Prepared By Tarun Patel
Chapter : 8 International Marketing
 Meaning :-
“ International marketing is the performance of business activities that is responsible for the
flow of good/service to consumer in more than one country.”
 Domestic Marketing v/s International Marketing :-
(1) Difference in political system. (8) Difference in marketing infrastructure.
(2) Different in legal system. (9) Cultural Differences.
(3) Difference monetary system. (10) Economic Differences.
(4) Different in markets characteristics. (11) Differences in language.
(5) Difference in procedureand documentation. (12) Distance.
(6) Difference in trading practices.
(7) Difference in trading currency.
 Problems & Risk of International Marketing :-
(1) Political & differences.
(2) Cultural differences.
(3) Economic differences.
(4) Differences in the currency unit.
(5) Differences in the Language.
(6) Differences in the marketing infrastructure.
(7) Trade restrictions.
(8) High costof distances.
(9) Differences in trade practices.
 Orientation Towards International Market :-
Chapter : 9 Direct Marketing
 Meaning :-
“ Direct Marketing is the use of consumer – direct channels to reach and deliver goods and
services to customers without using marketing middleman.”
 Database Marketing :-
 Database : “ A customer database is an organized collection of current data about
individual customer products forthe purposeof marketing customer’s relationship and
for the sales of productor services.”
 Database Marketing :-
“ Database Marketing is the process of building, maintaining and using customer
database and other database products,retailers,suppliers etc for the purposeof
contacting and transacting.”

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Prepared By Tarun Patel
Chapter : 10 Latest Trends in Marketing
 Reengineering :-
“ Reengineering is a process of appointing tips to manage customer value
building processes & trying to break down walls between department.”
 Out sourcing :-
“ Out sourcing is a process in which the company has greater willingness to buy
more goods & services from outside belabors when they can be obtained more
cheaply & better this way.”
 Customer Share :-
“ The percent of those who purchase the item of interests from the given form is
known as customer share.”
 Benchmarking :-
“ Benchmarking is a process in which a firm studies the best practice companies
to improve their own performance.”
 Market space :-
“ Market space is digital in nature when can include shopping on the internet
also, today a lot of shopping has shifted from marketplace to market space.”
 Marketplace :-
“ the marketplace is physical as when one goes shopping in a store.”
 Meta market :-
“ Concept of meta market describes a cluster of complimented products &
services that are closely related in the minds of customer but are spread across
the diverse set of industries.”
 Multi – Attribute segmentation (GEO clustering):-
“ Marketers no longer talks about the average consumer or only few market
segments rather, they are increasingly combining several variables in an afford to
identify smaller better define target groups.”
 Integrated Marketing :-
“ Integrated direct marketing means recognizing the importance of advertising,
sales promotion, public relation & direct marketing to prepare a overall