Chapter 1 Review. Marketing 12

Transcription

1 Chapter 1 Review Marketing 12

2 Concept Check Define Marketing in your own words ANS: Your answer should include something about manipulating the variables which are the 4Ps (product, price, place and promotion) so that consumers will want to buy your product or service and the organization will meet its objectives (financial, sales, ethical, societal, etc.)

3 Whose needs must be satisfied for effective marketing to take place? Concept Check ANS: consumers! Determining needs and wants very complex Part of Consumer Behaviour (Ch 5) / black box

4 Concept Check An organization can t satisfy the needs of all consumers, so it must focus on one or more subgroups, which are its ANS: Target market. - grouping of consumers with similar needs/wants. WHY? Consumers are varied with different likes, needs and wants Likely marketing mix chosen for one group of consumers may not be good for another EX The Bay

5 Concept Check What are the four marketing mix elements that make up the organization s marketing program? ANS: product, price, place, promotion

6 Concept Check What are uncontrollable factors? ANS: Factors relating to the market environment: Social consumer characteristics, culture, demographics Economic value of currency, employment rate Technological new inventions and innovations, technology Competitive - # of competitors and what they will do Regulatory laws, restrictions

7 Concept Check What is the Marketing Concept? ANS: Recognizing the importance of the consumer and satisfying their needs and, at the same time, trying to achieve organizational goals Customer relationship management important to identify, understand and develop a relationship with customers over time Trust Emotional connections

8 Concept Check What is the difference between goods and services? ANS: Goods physical objects, tangible Services intangible

9 Who Benefits From Marketing? Book says: Consumers who buy, organizations that sell and society because it enhances competition which, in turn, both improves the quality of products and services and lowers their prices. BUT H&M disposable fashion (see the documentary - The True Cost) Question whether quality is improved Is price really lower? (ex. Breyers)

10 Applying Marketing Concepts and Perspectives Question 1 What consumer wants/benefits are met by the following products or services? A) carnation instant breakfast? Convenient, saves time, nutrition, vitamins B) Adidas running shoes? Status/brand name, comfortable, cushioning for foot when running C) Hertz Rent-A-Car? Saves time if you don t have a car but need to get somewhere D) television home shopping programs? Convenient don t need to leave the house; delivered to your door; lots of selection

11 Applying Marketing Concepts and Perspectives Question 2 What consumer wants/benefits are met by the following substitute products or services? A) ham and egg breakfast? Tastes better, smells better, more filling B) regular tennis shoes? Less expensive, cushion and support might not be needed C) taking a bus? Cheaper than renting a car, no need to find or pay for parking D) department store? Can get help from/ask questions of sales people, can touch or try on product, easier to return if necessary

12 Applying Marketing Concepts and Perspectives Question 3 Who are the target market customers (students) for the night school courses in marketing, accounting and finance? Older adults who work during the day Students who may want or need these courses to help them in their job Small business owners

13 Applying Marketing Concepts and Perspectives Question 4 What actions involving the four marketing mix elements might be used to reach the target market in Question 3? Product include meals if students are coming right after work (dinner time); offer certification for a set of courses Price prices do not have to be too low because students likely work; offer discount on tuition if they enroll for a set of courses Promotion distribute informational flyers and brochures to homes and businesses in the local area Place locate a satellite campus downtown; offer courses at times convenient for students

14 Applying Marketing Concepts and Perspectives Question 5 What environmental factors does the university need to consider in designing marketing program? Social factors increasing need for higher education to get better job; work related educational requirements for professional development Economic factors price of course and whether people can afford it Technological factors increasing number of students taking courses on-line Competitive factors are there many other schools nearby with similar course offerings?

15 Websites Very corporate Target market the business owner, not ultimate consumer Capitalizing on the Coca cola brand Very few pictures almost all text Value conveyed through stability/trust in the brand Red is corporate colour; draws attention on a grey corporate background (e.g. IBM)

16 Websites Very different from other site Filled with content (almost too much) Target market the consumer (lifestyle) Colour red everywhere Lots of pictures and visuals; video Definitely engaging in relationship marketing Trying to engage customer and build connection through happiness, culture, innovation

17 Websites Very crisp pictures and background target market the consumer (wannabe seen as serious athlete) Focus on product line and high performance All pictured athletes are ripped/in excellent shape Value conveyed by seeing sports through the lens of their customers Most people dream of being high level athletes BUT most people only watch high level sports on TV AND purchase equipment/clothing that is worn by those athletes they watch Selling a dream Definitely engaging in relationship marketing Even provides useful applications for customers Route tracking Join Nike+ to help with training

18 Assignment Due: Present at beginning of class on Tues Oct 6. Quote from textbook Who Benefits From Marketing? Consumers who buy, organizations that sell and society because it enhances competition which, in turn, both improves the quality of products and services and lowers their prices. Does competition always improve product/service quality? Does it always lower prices? Find an example of a situation when competition has improved product or service quality and lowered the price. Then find an example of a product or service where competition has NOT resulted in improved quality and/or lower price. Be prepared to do a short presentation describing your findings and why you feel product/service quality not improved and/or price not lower. Include a picture of each product/service.