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HOW DO COLLEGE STUDENTS STUDY? A NEW PRODUCT CHALLENGE FOR 3M! 1-2

HOW DO COLLEGE STUDENTS STUDY? DISCOVERING STUDENT STUDYING NEEDS 3M Post-it ® Notes or Post-it ® Flags + Felt Tip Highlighters = 3M product that will combine Post-it ® Notes or Post-it ® Flags and Highlighters 1-3

HOW DO COLLEGE STUDENTS STUDY? SATISFYING STUDENT STUDYING NEEDS 1-4

Marketing Marketing is the activity for creating, communicating, delivering, and exchanging offerings that benefit the organization, its stakeholders, and society at large. 1-5

 Marketing Is NOT Easy Affects ALL Individuals, Organizations, Industries, and Countries WHAT IS MARKETING ? LO1  You Are a Marketing Expert Already Involved in 1,000s of Buying Decisions Some Involved in Selling Decisions 1-6

 Marketing Seeks to:  Exchange Discover Needs and Wants of Customers Satisfy Them WHAT IS MARKETING? DELIVERING BENEFITS LO1 AMA Definition of Marketing 1-7

WHAT IS MARKETING? DIVERSE FACTORS INFLUENCE MARKETING ACTIVITIES LO1  Organization Itself  Society  Environmental Forces 1-8

FIGURE 1-2 FIGURE 1-2 A marketing department relates to many people, organizations, and environmental forces 1-9

 Parties with Unsatisfied Needs WHAT IS MARKETING? REQUIREMENTS FOR IT TO OCCUR LO1  A Desire and Ability to be Satisfied  A Way for the Parties to Communicate  Something to Exchange 1-10

HOW MARKETING DISCOVERS CONSUMER NEEDS THE CHALLENGE: NEW PRODUCTS LO2  Consumers May Not Know or Cannot Describe What They Need or Want  Most New Products Fail “Focus on the Consumer Benefit” “Learn From the Past”  The Challenge: 1-11

 Need  Want  Does Marketing Persuade People to Buy the “Wrong” Things?  Market HOW MARKETING DISCOVERS CONSUMER NEEDS NEEDS VS. WANTS LO2 1-12

FIGURE 1-3 FIGURE 1-3 Marketing seeks to discover then satisfy consumer needs through research and a marketing program 1-13

HOW MARKETING SATISFIES CONSUMER NEEDS LO3 Promotion Place  Target Market  The 4 P’s: Controllable Marketing Mix Factors Product Price $

HOW MARKETING SATISFIES CONSUMER NEEDS LO3 Technological Regulatory  Uncontrollable Environmental Forces Social Economic Competitive 1-15

MARKETING PROGRAM CUSTOMER VALUE AND RELATIONSHIPS LO4 Best Price Best Service  Customer Value Best Product  Value Strategies 1-16

Costco and Starbucks What customer value strategy? LO4 1-17

MARKETING PROGRAM RELATIONSHIP MARKETING LO4 Easy to Understand  Relationship Marketing Hard to Do  Marketing Program 1-18

HOW MARKETING BECAME IMPORTANT EVOLUTION OF THE MARKET ORIENTATION LO5  Production Era  Sales Era  Marketing Concept Era  Customer Relationship Era Market Orientation Customer Relationship Management (CRM) Customer Experience 1-19

FIGURE 1-5 FIGURE 1-5 Four different market orientations in the history of American business 1-20

HOW MARKETING BECAME IMPORTANT ETHICS AND SOCIAL RESPONSIBILITY LO5  Ethics  Social Responsibility Societal Marketing Concept Macromarketing Micromarketing 1-21

HOW MARKETING BECAME IMPORTANT BREADTH AND DEPTH OF MARKETING LO6  Who Markets?  What Is Marketed? Goods Services Ideas 1-22

HOW MARKETING BECAME IMPORTANT BREADTH AND DEPTH OF MARKETING LO6  Who Benefits?  Who Buys & Uses What Is Marketed? Ultimate Consumers Organizational Buyers  How Do Consumers Benefit? Utility  Form Utility  Place Utility  Time Utility  Possession Utility 1-23