Presentation on theme: "IP Program SUSTAIN ACTIVE_16.05.2014 Dr. Yvonne Brodrechtova Marketing Tools."— Presentation transcript:
IP Program SUSTAIN ACTIVE_ Dr. Yvonne Brodrechtova Marketing Tools
Marketing … is the science and art of exploring, creating, and delivering value to satisfy the needs of a target market at a profit. … is the science and art of exploring, creating, and delivering value to satisfy the needs of a target market at a profit. … is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large. Definition of marketing Source: Kotler 2003; American Marketing Association, 2014
Green marketing Definition of green marketing ? consists of all activities designed to generate and facilitate any exchanges intended to satisfy human needs or wants, such that the satisfaction of these needs and wants occurs, with minimal detrimental impact on the natural environment … consists of all activities designed to generate and facilitate any exchanges intended to satisfy human needs or wants, such that the satisfaction of these needs and wants occurs, with minimal detrimental impact on the natural environment. … is the marketing of products that are presumed to be environmentally safe. Source: Polonsky, 1994; American Marketing Association, 2008
Five reasons for increased use of green marketing 1. Organizations perceive environmental marketing to be an opportunity that can be used to achieve its objectives 2. Organizations believe they have a moral obligation to be more socially responsible 3. Governmental bodies are forcing firms to become more responsible 4. Competitors' environmental activities pressure firms to change their environmental marketing activities 5. Cost factors associated with waste disposal, or reductions in material usage forces firms to modify their behavior
Example: Forest products industries ( Green) marketing can help to ensure new opportunities for the forestry sector Customer-oriented industry (adaptation is necessary for survival) Production-oriented industry (very traditional, slow to respond)
(Green) marketing mix 1. 1.The marketer‘s task is to build a marketing plan to achieve company‘s desired objectives The marketing plan consists of numerous decisions on the mix of marketing tools to use The marketing mix is the set of (green) marketing tools the firm uses to pursue its marketing objectives in the target market. The core of marketing is
The marketing mix (a set of marketing tools) Source: Kotler 2003 ADDITIONAL MARKETING TOOLS BASIC MARKETING TOOLS PLACE PROMOTION PRICE PRODUCT PHYSICAL EVIDENCE PROCESS PEOPLE quality, brand name, design packaging product variety and features services, warranties, returns list price discounts, allowances payment period credit terms advertising, sales promotion public relations sales force direct marketing channels coverage assortments locations inventory transport
PRODUCT CONCEPT I.: The product continuum „The best way to get and keep customers is to constantly figure out how to give them more for less.“ € € € Core product Proprietary grading Special packaging Web-based ordering Total product Source: Juslin and Hansen, 2011
PRODUCT CONCEPT II.: Product life-cycle „Watch the product life cycle, but more importantly, watch the market life cycle.“ Source: Juslin and Hansen, 2003 IntroductionGrowthMaturityDecline PROFITS SALES WPC Wooden I-joists OSBSoftwood lumber Plywood 0
GREEN PRODUCT CONCEPT „Who should ultimately design the product? The customer, of course.“ Product Product life cycle Product quality Product differentiation Product branding
DISCUSSION WHAT DECISION CONCERNING YOUR (GREEN) PRODUCT IS MOST IMPORTANT IN YOUR MARKETING (BUSINESS) PLAN? concept of product, quality, brand name, design, packaging, product variety and features, services, warranties, returns.
PRICE I. „Sell value, not price.“ Price paid Value received LowMediumHigh Low Medium High Missed opportunities Price= Value Unharvested value Source: Kotler, 2003
PRICE II. The firm has to consider many factors in setting its pricing policy: 1. Selecting the pricing objective 2. Determining demand 3. Estimating costs 4. Analyzing competitors’ costs, prices, and offers 5. Selecting a pricing method 6. Selecting the final price 7. Adapting the price 8. Initiating and responding to price changes „The best respond varies with the situation.“
DISCUSSION WHAT (GREEN) PRICE ADAPTATIONS SHOUD YOU INCLUDE IN YOUR MARKETING /BUSINESS PLAN? geographical pricing, price discounts, price allowances, discriminatory pricing, promotional pricing.
PROMOTION I. The marketing communication mix consists of: Advertising Sales promotion Public relations and publicity Personal selling Direct and interactive marketing „Integrated marketing communications is a way of looking at the whole marketing process from the viewpoint of the customer.“
PROMOTION II. „The best advertizing is done by satisfied customers.“ Identify target audience Source: Kotler, 2003 Measure results Design message Select channels Establish budget Decide on media mix Determine objectives Manage integrated marketing com. The communication process
DISCUSSION WHICH (GREEN) MARKETING COMMUNICATION MIX ARE YOU CONSIDERING IN YOUR MARKETING (BUSINESS) PLAN? advertising, sales promotion, public relations, sales force, direct and interactive marketing.
PLACE I. The marketing channel is a link between the producer and consumer to fulfill its functions (forest products industries): Delivering products Gathering and transferring information Developing and disseminating communications Placing orders with manufactures Prompting delivery Etc. „Establish channels for different target markets and aim for efficiency, control, and adaptability“