Building a Marketing Plan Chapter 8

 Creating and delivering desired goods and services to customers ◦ Winning the customers’ hearts ◦ Pairing needs or wants with satisfaction  Guerilla marketing ◦ Nothing to do with the animal! ◦ Low cost, unique, creative

1. Pinpoint target markets 2. Determine markets’ needs and wants 3. Build strategy around sources of C.A. 4. Satisfy needs and wants through marketing mix. Annual Men’s Night at Borsheims

 Kenny Chesney (my favorite marketer!)  Had local photographer go around in each tour stop and take pictures of landmarks near and dear to concert- goers  Played “Back Where I Come From” while slide show of photo montage plays on giant screen ◦ Nashville version Nashville version

 Important Characteristics of Ideas: ◦ Simple ◦ Unexpected ◦ Concrete ◦ Credible ◦ Emotion-Invoking ◦ Story-telling  Understand your core and hammer it in.

 What is a target market?  Why do you waste money by NOT pinpointing a market?  Ability to provide superior customer service

 Helps you to identify trends ◦ Demographics  Systematically gathering and analyzing data  Do NOT assume a market exists for your product just because you like it!!!

Ch. 8: Building a Powerful Marketing Plan  Market research is the vehicle for gathering the information that serves as the foundation for the marketing plan.  Never assume that a market exists for your company’s product or service; prove it!  Market research does not have to be time consuming, complex, or expensive to be useful. ◦ Web-based market research – online surveys ◦ Trend-tracking

 Who are my customers?  What are they looking for?  What kind of people are they?  How old are they?  What gender are they?  What’s their income and occupation?  How often do they buy my product?  What goes into their decision to buy?  What do they prefer in my product?  When do they shop?  What advertising do they listen to?  What do they think of me?

 Product, place, price, and promotion PRODUCT  Using the product life cycle ◦ Introduction, growth, maturity, decline  What is your unique selling point?  Understanding where the gap is… what do your customers want that they can’t get? ◦ Gary Busey on white hair dye for bears Gary Busey on white hair dye for bears  Prototyping and test marketing

PLACE  How can you best get the product to the customer?  The role of the middle man – the distributor  Possible distribution channels ◦ The Internet ◦ Retail ◦ Direct  Place utility ◦ The value of having a product conveniently near the customer.

Ch. 8: Building a Powerful Marketing Plan Manufacturer Consumer Retailer Consumer Manufacturer Retailer Consumer Wholesaler Manufacturer Retailer Consumer Wholesaler

PRICE  Affects sales volume and profits  Depends on cost structure, market, and value  Nonprice competition is best for entrepreneurs. PROMOTION  Advertising and personal sales  Emphasis on the benefits of the product  Is SERVICE a 5 th “P?” What could a business do to increase its retention rate, or number of customers who return?

 Social networks sites, such as Facebook and MySpace, allow entrepreneurs to connect with potential and existing customers at little or no cost.  More than half of Facebook users are over the age of 25.  These sites now offer business survey tools and advertising functions for promotional purposes.

 Study: 19% of Internet users watch online videos every day.  Online video guidelines: ◦ Think “edutainment.” ◦ Be funny. ◦ Connect with current events. ◦ Involve customers. ◦ Keep it short.  Example video Example video