1. PRODUCTS & BRANDS

2. PRODUCTS vs BRANDS PRODUCT –anything capable of satisfying a want and need BRAND – a product that is distinguished from those of competitors by a name, sign, symbol, design, etc.

3. HOW MANY WORD PARTNERSHIPS CAN YOU MAKE? __________ __________ __________ __________ __________ BRAND __________ __________ BRAND __________ __________ __________ MANAGER PREFERENCE LOYALTY MANAGER PREFERENCE LOYALTY CLASSIC LUXURY IMAGE ESTABLISHED SWITCHER STRETCHING AWARENESS SWITCHER STRETCHING AWARENESS RECOGNITION RECOGNITION

4. BRAND AWARENESS The degree to which potential customers recognize and know about the product BRAND LOYALTY When customers consistently buy the same product over time

5. WHAT IS BRANDING AND WHY DO WE NEED BRANDS? WHAT IS BRANDING AND WHY DO WE NEED BRANDS? Complete the text with the following words: MONEY NAME DIFFERENTIATE SYNERGY QUALITY COMPETITORS’ VALUE QUALITY COMPETITORS’ VALUE A brand can be a ____________, a term or a symbol. It is used to ____________ a product from ____________ products. The brands guarantee a certain ____________ level. Brands should add ____________ to products. It’s a ____________ effect whereby one plus one equals three. But customers must believe they get extra value for____________.

6. Read MK, p. 60 Do comprehension questions & vocabulary, p. 60-61

7. MARKETINGMARKETING

8. Aim of marketing is: consumer develop needs goals price To ____ products that will satisfy the _____of the consumers ____ them right let the _____ know about the existence of the product doing all of this to reach the ____ that the organization set out for itself

9. Aim of marketing is: To develop products that will satisfy the needs of the consumers Price them right let the consumer know about the existence of the product doing all of this to reach the goals that the organization set out for itself

10. Can you give some examples of products you use that you didn’t know you wanted until someone produced them ? (Google, Facebook, eBay)

11. Marketing is...... C ustomers needs things Marketing means anticipating and creating ________: producing useful _________ __________ didn’t know they wanted until you produced them.

12. Marketing is...... Marketing means anticipating and creating needs : producing useful things customers didn’t know they wanted until you produced them.

13. Selling concept vs. Marketing concept Fill in the missing words: wants buy persuaded fill sold make sell The “selling concept” assumes that resisting consumers have to be ________ by energetic hard-selling techniques to ______ non-essential goods or services. Products are _____ rather than bought. The “marketing concept”, on the contrary, assumes that the producer’s task is to find _____and _____ them. You don’t ______ what you make, you ______ what will be bought.

14. Selling concept vs. Marketing concept The “selling concept” assumes that resisting consumers have to be persuaded by energetic hard-selling techniques to buy non-essential goods or services. Products are sold rather than bought. The “marketing concept”, on the contrary, assumes that the producer’s task is to find wants and fill them. You don’t sell what you make, you make what will be bought.

15. TARGETING & POSITIONING To whom? Price? Where? How is it different from other products or services?

16. 1. Targeting market segmentation market segmentation gender, age, income, lifestyle, level of education, location, marital status, culture target market marketers will choose their target market = segment of the market they want to aim for targeting = process called targeting

17. niche marketing companies concentrate their efforts on a small segment of the market E.g. groups of customers whose needs are not being met at the moment (Bio&Bio chain of healthy food)

18. What else marketers do? market research customer research carry out/do/conduct market research or customer research to identify needs of the target market predict new trends try to predict new trends and crazes in advance create needs create needs that do not exist yet

19. 2. Positioning Are you the newest? The best? The cheapest? The most convenient? The best value? The coolest? The most prestigeous? Do you offer the most features?

20. positioning strategy Decide on a positioning strategy Differentiation from competitors: how different you are from other products Value proposition: what value do you offer? Product dimensions: what do you do? top-of-the-range, value for money, more or less reliable than the competing brand, etc. how customers see the product compared with the other brands on the market

21. Marketing mix basic product is developed - product is adjusted to the needs of the target market the marketing mix (four Ps) is set 1.helps get the right product 2.at the right price 3.through the right distribution channels or place to the right customers 4. This helps choose the right communication channels or promotion

22. 1. Product a good quality product + product features must be appealing to the target market Components:  Packaging  the product’s life cycle  brand

23. PRODUCT LIFE CYCLE INTRODUCTION GROWTH MATURITY DECLINE

24. THE PURPOSE OF EACH STAGE INTRODUCTION develop BRAND AWARENESS; market skimming or penetrationGROWTH develop BRAND PREFERENCE and attract brand-switchers promotion: emphasize your competitive differences maintain steady growth and increase market shareMATURITY the market becomes saturated and there is limited for further growth → prevent the competition from penetrating the established market share; defend your market share maintain BRAND LOYALTY and BRAND IMAGE extend the cash cow stage for as long as possible by using further tacticsDECLINE the main decision: when to WITHDRAW from the market? the sales still contribute towards fixed costs, but further investment, such as advertising, is not likely to pay back

25. 2. Pricing decide on the pricing policy Adjust prices to the market constantly monitor and sometimes change prices Successful pricing policy = good value for money

26. PRICING Set prices Charge a price Prices go down Price sensitive Prices increased Psychological pricing Odd prices Price war Lower prices MK, p. 66

27. 3. Place Distribution channel the route the product travels from themanufacturer to the consumer MK p. 66

28. 4. Promotion the way a business communicates with its customers (which communication channel is used) Four main promotional tools: 1.sales promotions 2.personal selling 3.public relations and sponsorship 4.Advertising

29. For services three more Ps can be added: People - behaviour of a salesperson Process - method or system of offering a service (how: sales, after-sales service) Physical evidence - where the service is delivered from