* * Chapter Thirteen Marketing: Helping Buyers Buy Copyright © 2010 by The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin

* * What is Marketing? Marketing -- The activity, set of institutions and processes for creating, communicating, delivering, and exchanging offerings with value for customers, clients, partners and society at large. WHAT’S MARKETING? LG1 13-2

* * Designing a Product to Meet Consumer Needs Product -- A good, service, or idea that satisfies a consumer’s want or need. Test Marketing -- Testing product concepts among potential product users. Brand Name -- A word, letter, or a group of words or letters that differentiates one seller’s goods from a competitor’s. DEVELOPING a PRODUCT LG2 13-3

* * Providing Marketers with Information Marketing Research -- Analyzing markets to determine challenges and opportunities, and finding the information needed to make good decisions. Research is used to identify products consumers have used in the past and what they want in the future. Research uncovers market trends and attitudes held by company insiders and stakeholders. SEARCHING for INFORMATION LG3 13-4

* * Collecting Data Secondary Data -- Existing data that has previously been collected by sources like the government. COLLECTING SECONDARY RESEARCH DATA LG3 Secondary data incurs no expense and is usually easily accessible. Secondary data doesn’t always provide all the needed information for marketers. 13-5

* * Collecting Data Primary Data -- In-depth information gathered by marketers from their own research. Telephone, online and mail surveys, personal interviews, and focus groups are ways to collect primary data. COLLECTING PRIMARY RESEARCH DATA LG3 13-6

* * The Marketing Environment The MARKETING ENVIRONMENT LG4 13-7

* * Two Different Markets: Consumer and B2B Consumer Market -- All the individuals or households that want goods and services for personal use and have the resources to buy them. The CONSUMER and B2B MARKET LG4 Business-to-Business (B2B) -- Individuals and organizations that buy goods and services to use in production or to sell, rent or supply to others. 13-8

* * The Consumer Market The size and diversity of the consumer market forces marketers to decide which groups they want to serve. Market Segmentation -- Divides the total market into groups with similar characteristics. Target Marketing -- Selecting which segments an organization can serve profitably. MARKETING to CONSUMERS LG5 13-9

* * The CONSUMER DECSION MAKING PROCESS AND OUTSIDE INFLUENCES LG5 The Consumer Decision-Making Process 13-10

* * The Business- to-Business Market Learning Reference Groups Culture Subcultures Cognitive Dissonance KEY FACTORS in CONSUMER DECISION-MAKING LG

. * * The Business- to-Business Market There are relatively few customers. Customers tend to be large buyers. Markets are geographically concentrated. Buyers are more rational than emotional. B2B MARKET DIFFERENCES LG6 Sales are direct. Promotions focus heavily on personal selling