Page 13 - DMGT408DMGT203_Marketing Management

Marketing Management/Essentials of Marketing

Notes that you serve? E.g., Developing a marketing communications strategy and branding
strategies will help you do this.
6. Developing Channels to Distribute Product/Service: To develop deep and wide channels
for distributing your product and/or services.
7. Establishing a Marketing Budget: Budgeting for the cost of all promotional activity -
salaries/commissions of sales people, advertising, sales promotions, trade show
promotions, print/media packages, etc.
8. Trial, Error: To finance trial, error with your marketing activities to determine what
works best.
9. Tracking Results: Track your marketing results to determine what's working the best.
10. Following Through: Keep your promises to your customers with reference to the customer
service and operations providing on-time, quality product.
1.1.5 Marketing Tasks

In a nutshell, marketing is demand management and the demand for products and services often
requires different approaches for a variety of reasons. There may also be other situations where
demand management would require different types of handling.

Example: Demand for hotel accommodation at Mussoorie declines during a severe winter.
Philip Kotler and Sidney J. Levy identified eight major demand states in two different articles:
1. Negative Demand: This situation is faced when a major part of the target market dislikes
the product and may even pay a price to avoid it. The marketing task is to unearth and
analyse the reasons for this state, and to learn if a product redesign or change in marketing
mix elements can help.

Example: Unpleasant and painful medical treatment has a negative demand.
2. No Demand: The customers may be unaware or indifferent towards the product. The remedy
is to create product awareness and connect product benefits to customers' needs and wants.

Example: Small brands often face no demand situation.
3. Dormant Demand: This may occur when the currently available products fail to satisfy the
strong needs that customers feel. To meet the latent demand more effectively, the marketing
task is to develop product or service if the market size is favourable.

Example: Cigarettes with no ill effects.
4. Falling Demand: Sooner or later, companies face this situation with respect to their products
or services. The task is to reverse this trend, and marketing should find out the reasons and
take swift remedial action. New markets, product feature modification, or more focused
and effective promotion may hold the solution.

Example: There is a falling demand for desktops these days.
5. Fluctuating Demand: Many companies experience this pattern, the demand varying
according to the season, or festivals, etc. The task is to synchronise marketing efforts to
alter the demand pattern by adopting flexible pricing, and sales promotion techniques.

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