Copyright © 2007 Pearson Education Canada Marketing “The process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational objectives.” Copyright © 2007 Pearson Education Canada

Marketing Past and Present Over time the orientation of business has changed: Production Sales Marketing Social Responsibility Copyright © 2007 Pearson Education Canada

Copyright © 2007 Pearson Education Canada Marketing Concept “To determine the needs and wants of a target market and then deliver a set of satisfactions in such a way that the product (a good or service) is perceived as better value than the competition.” Copyright © 2007 Pearson Education Canada

Socially Responsible Marketing Identify and Satisfy Consumer needs Deliver satisfaction better than the competition Enhance society through good corporate citizenship Copyright © 2007 Pearson Education Canada

Socially Responsible Marketing SRM can be divided into two main areas: Programs that conserve, preserve, and protect the environment Programs that support causes (cause marketing) Copyright © 2007 Pearson Education Canada

The Marketing Process Needs Assessment Identify and Select Target Market Develop Marketing Strategy ----------- Product Price Distribution Mar. Com. Evaluation and Control Marketing (Full Scale) Test Marketing Copyright © 2007 Pearson Education Canada

Copyright © 2007 Pearson Education Canada Marketing Mix Marketing Mix Product Price Mar. Com. Distribution Consumer Public Image Copyright © 2007 Pearson Education Canada

Copyright © 2007 Pearson Education Canada Product Strategy A product may possess tangible and intangible characteristics. Product decisions are numerous and embrace: Quality Features Brand Name Size and Format Service Guarantees Copyright © 2007 Pearson Education Canada

Product Differentiation “A strategy that focuses marketing activity on the unique attributes or differential advantages of a brand in order to distinguish it from other brands. Visa…All you need Tim Hortons…Always Fresh Copyright © 2007 Pearson Education Canada

Copyright © 2007 Pearson Education Canada Price Strategy Establishing a fair and equitable price for consumers while being profitable for the organization. Wal-Mart…Everyday low prices. Always. Copyright © 2007 Pearson Education Canada

Copyright © 2007 Pearson Education Canada Price Strategy A host of factors are considered when establishing price: Cost of manufacturing Desired profit level Location of customer Degree of competition Copyright © 2007 Pearson Education Canada

Distribution Strategy The selection and management of marketing channels and the physical distribution of products. A marketing channel is a series of firms that participate in the flow of goods and services from producers to final users. Producer Distributors Users Copyright © 2007 Pearson Education Canada

Distribution Strategy Essential distribution decisions include: Mode of transportation Degree of coverage in a market Use of direct channels and/or indirect channels Relationship-building programs with channel members Copyright © 2007 Pearson Education Canada

Marketing Communications Strategy Companies now employ “integrated marketing communications” strategies. Advertising Public Relations Sales Promotion Event Marketing Direct Response Interactive Personal Selling Consumer or Final User Coordination and integration creates more impact. Copyright © 2007 Pearson Education Canada

Marketing Communications Strategy Traditional forms of communications are now integrating with new forms of communications. Traditional TV Radio Outdoor Print New Sponsorships Online Text Messages Buzz ↔ Copyright © 2007 Pearson Education Canada

Copyright © 2007 Pearson Education Canada Public Image A good reputation is an important asset and reputation is earned through good marketing. Customer Sensitivity Community Support Social Responsibility Marketing Copyright © 2007 Pearson Education Canada

Evaluation and Control An organization measures the results of a marketing strategy against the objectives that were established. Test marketing prior to a national rollout Surveys to uncover new needs and trends Periodic financial reviews (actual versus plan) Objectives Sales Market Share Profit Copyright © 2007 Pearson Education Canada

Relationship Marketing Model Suppliers Producer Wholesaler Retailer Consumer Common needs and joint objectives are established Each stakeholder is a partner in a long-term relationship Teamwork and cooperation replace conflict and competition Investment in technology required Copyright © 2007 Pearson Education Canada