2Marketing Mix Four P’s or Marketing ProductPlacePromotionPrice
3Marketing ConceptThe Marketing Concept is the idea that in order to make a profit a business must focus all of its efforts on satisfying the needs and wants of its customers.
4Sales vs. Marketing Oriented Sales Oriented – In the past companies were interested only in making a sale, they held little or no regard for what their customers wanted.Marketing Oriented or customer oriented is when companies focus on customer satisfaction.
5What is the difference between a Customer and a Consumer? Who should the company target with its commercials?
7Marketing adds value to a product. Value – is the satisfaction gained from use of a good or a service. Comparing the price that you pay for a product with all of the benefits that come with it.How does Lexus add value to its products?
8Who are my customers? Activity #2 Seventeen MagazineCadillacPottery BarnAnn TaylorGolf DigestRampageSnackwells Cookies
9Identifying Customers Market – is the group of all potential customers who share common needs and wants and who have the ability and willingness to buy the product.
10Strategies to Promote Products Mass Marketing - using one single marketing plan to reach all consumers.Market Segmentation – dividing the total market into smaller groups of people who share specific needs and characteristics.
11What kind of products can be promoted using mass marketing? What kind of products are promoted using market segmentation?
12Methods of Segmenting the Market GeographicsDemographicsPsychographicsProduct Benefits
13Geographics Segmenting the market based on where people live. Local NationalGlobal
14What businesses should use local segmentation? Why is it important to know where our customers live?
15DemographicsStatistics that describe a population in terms or personal characteristics.AgeGenderIncomeEthnic BackgroundEducationOccupation
16PsychographicsThe study of consumers based on lifestyle, and the attitudes that shape it.“Cocooning” attitude
17Product BenefitsDifferent people use the same product for different uses.ShoesShampooSoda
18Developing a Customer Profile If you combine all the information that you gathered from the geographic, demographic, and psychographic data you can develop a customer profile.
20Reaching Your Customers Once you have a profile and you know who your customers are, then you can target them and position your product in their minds.Target Marketing – focusing all efforts on the specific group of people that you want to reach.Positioning – what you do to get the product into the mind of the prospect!
21Ways to Position your Product Play to the Competition’s WeaknessBK vs. McDonalds Ads.Look for Underserved MarketsFind your nicheLead with your StrengthsReal Thing, 1st etc…Target Different Market SegmentsGodiva vs. Hersheys Markets