INTRODUCTION TO MARKETING By Megan Rees Where do we see Marketing?  Commercials  Newspapers  Magazines  Billboards  Buses  Park benches  Pop-ups.

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Presentation transcript:

INTRODUCTION TO MARKETING By Megan Rees

Where do we see Marketing?  Commercials  Newspapers  Magazines  Billboards  Buses  Park benches  Pop-ups  Internet Ads  Sides of Buildings  Home mailers   Social Media  Infomercials  Radio  In movies and TV shows  In-Store ads  Celebrity branding

The 4 P’s of Marketing  Product  Price  Promotion  Place

Product – An item that satisfies a need or want  Goods & Services – Products are divided into physical goods and intangible services.  Goods – You can see and touch  Services – provided for you by other people

Product Vocabulary  Brand/Image  Unique name, symbol, or design that identifies the product, service, or company  When is brand an important factor?  Image – Unique, memorable quality of the brand  Quality  Low price  Innovation

Product Vocabulary  Packaging  Protection  Information  Attracting attention  Useful to customer  Uses – Other uses for the same product

Product – Target Market  Target Market - A group of customers that the business is aiming for.  Target market Segmentation: Gender Age Range Level of Income Lifestyle Ethnicity Social Class Religion Culture Occupation Education Level Marital Status Household size Stage in family life cycle Geographical Location Interests Corporations

Who is the Target for these TV Shows?

Price - The amount a customer pays for the product  How do you determine value?  Production Cost – cost of making the item Also includes advertising, salaries of employees, cost of running business  Selling Price – amount you are charging the customer  Profit – amount you are making after subtracting the production cost from the selling price.

Price  Patent: The exclusive right granted by a government to an inventor to manufacture, use, or sell an invention for a certain number of years.  Competition: Another concept to setting price is considering your competitors prices. If your prices are much higher or much lower, that can affect your sales and also how your company is viewed.  “This brand costs the most—It mu st be the best.”  “This costs the least—it must be a piece of crap.”  “This is way overpriced—I’m not buying it.”  “This is expensive, but it’s the only place I can get it.”  “This is a great price! I’m getting a good deal!”  “I can get this cheaper at store X, I’ll get it there.”  If you have no competition, you can usually get away with charging more. But it’s only a matter of time until someone copies your idea.

Promotion - All methods of communication from the marketer to the customer  Goal: Get your product in the customer’s head as much as possible.  Slogans  Logos  Jingles

Slogan - A short memorable phrase to remind the consumer of a product  15 minutes could save you 15% or more on car insurance  Finger-lickin’ Good  Taste the Rainbow  Anything can happen when your man smells like a man  Dangerously Cheesy  You can do it, we can help.

Logo - A graphic mark or emblem used to aid and promote instant public recognition.

Jingles - A catchy tune that contains lyrics that promote a product.  Toys R Us  Pillow Pet  Les Olsen Company  Meow Mix  Twinkle Toes  Red Robin  McDonalds

Place - Where and how the product is distributed  Also known as Distribution  Differences in Quantity Large production, small quantity needed  Differences in Assortment Many similar products in one location  Differences in Location From manufacturer to customer  Differences in Timing of Production and Consumption Higher demand different times of the year Make products available in the RIGHT place at the RIGHT time in the RIGHT quantities. ManufacturerDistributerStoreCustomer

Propaganda Techniques  The spreading of ideas, information, or rumor for the purpose of helping or injuring an institution, cause, or person.  Propaganda uses arguments that, while convincing, are not necessarily valid.  Propaganda is based on social psychological research.  There are A LOT of types of propaganda messages—we will only look at 12.

 “Everybody is doing it”  Invites those not already on the bandwagon to join those already on the road to certain victory  Used to convince the audience that this is a mass movement and it is in their best interest to join

 Deals with famous people or depicts happy, attractive people  Makes the target audience feel that if they buy the product, they too will be happy or successful.  “Beautiful people” is so rampant in advertising that it creates unrealistic expectations:  “Don’t feel bad you don’t look like the girl in the magazine—the girl in the magazine doesn’t look like the girl in the magazine.”

 Making one side or product look better by mentioning only some of the facts  Brand X detergent cleans better than Brand Y

 “Plain folks” or “ordinary people” sell  Convince the target audience that the product reflects the common sense of the people.  Use of ordinary language, clothing, people in an attempt to align their product with the “average person.”

 Use emotionally appealing words, but present no concrete argument or analysis.  Broad statements used to associate the product with audience beliefs and values  The “All-American” candidate  A quality job well-done  Trusted like a true neighbor  We’re the best

 Arouse emotions such as fear, humor, love, or desire  The ad makes you cry (Hallmark cards)  The ad makes you angry (Politics)  The ad makes you nervous or afraid (Home security)

 Negative words or names used to create an unfavorable opinion of the competition  Can name a specific company, or be general  Not just pointing out how their product is better, but pointing out that the competition is worse

 Using a jingle, word, color, or theme that is repeated over and over again, thus getting stuck in someone’s head so they can buy the product.  Can be a song or just a phrase  Repetition can also be ads that repeated a lot

 Exaggerating a fundamental aspect of the product that is true, but only to a certain degree.  Making it appear more powerful, meaningful, or real that is actually is.  Often used in a comical way

 Using graphs, charts, percentages, and other “official” looking documentation to prove the viability of the product.

 A famous or respected person endorses this product  Can be celebrities, political leaders, or experts in a certain field.

 Also known as “Association”  Projecting positive or negative qualities to another to make the second more acceptable or discredit it.  Transfer the positive qualities of one thing to the product.