AIM: What is marketing? Do Now: Create a word web for the word “marketing.” What does this word mean to you?

Marketing Products Services Goods Monetary value Satisfy needs and wants Goods Can touch/hold (tangible) Services Tasks performed for a customer Can’t touch The process of developing, promoting, and distributing products to satisfy customers’ needs and wants Customer = the person who buys the product Consumer = the person who uses the product Exchange = what occurs every time something is sold in the marketplace

The Ultimate Driving Machine Marketing "Pop Quiz" The Ultimate Driving Machine

The quicker picker upper

It melts in your mouth, not in your hand

Taste the rainbow.

15 minutes can save you 15% or more on your car insurance

I’m Lovin it…

America runs on ___________

57 varieties

AIM: How does marketing impact your daily life? Do Now: Take Out Homework

7 Functions of Marketing All the marketing activities which you encounter on a daily basis can be classified into one of the following categories: Distribution Financing Marketing Information Management Pricing Product/Service Management Promotion Selling

How Can You Distribute Goods? 1. Distribution deciding where and to whom products need to be sold in order to reach final users physically moving and storing goods Trucks Railroads Air Boats Central warehouses Tracking products How Can You Distribute Goods?

2. Financing getting money that is necessary to pay for the operation of a business Loans Sell Shares of Stock Will the business offer credit to customers

3. Marketing Information Management getting the necessary information to make sound business decisions Marketing Research (surveys, focus group)

4. Pricing how much to charge for goods and services in order to maximize profits determine how much customers are willing to pay what are the company’s pricing strategies?

5. Product/Service Management GOAL = obtaining, developing, maintaining, and improving a product decisions made on the basis of market research Did Facebook always look the way it does now?

6. Promotion communicating with potential customers to inform, persuade, or remind them about a company used to improve a company’s image Examples: Commercials Print Online

7. Selling Providing customers with goods and services they want How are customers provided with what they want? How are their questions answered?

AIM: Impact of Marketing http://finance.yahoo.com/news/buffalo-wild-wings-ceo-disccuses-steve-rannazzisi-9-11-lie-183159998.html

Group Work Working with your group determine how the seven functions of marketing are met for the business you have been assigned. All group members must record findings. Be prepared to present to the class.

AIM: What are the economic benefits of marketing? Do Now: What is a utility?

Utility The value added to a product due to the 7 functions of marketing Utilities are attributes of a product/service that make it capable of satisfying consumers’ wants and needs

What raw materials went into this product? 1. Form Utility changing raw materials or putting parts together to make them more useful Cocoa Milk Sugar Lumber

2. Place Utility Where would you place/distribute this product so customers could buy it? Having a product where customers can buy it Businesses study consumer shopping habits to determine the most convenient and efficient locations to sell their products Retail (supermarket) Online Catalogue

Marketing Story

When would the best time of day/year 3. Time Utility When would the best time of day/year to sell product? having a product available at a certain time of year or time of day (ie/stores stay open later at certain times of year) Halloween Summer (camps, s’mores)

How would you pay for product? 4. Possession Utility the exchange of a product for some monetary value Cash Credit Layaway

How would you inform potential customers? 5. Information Utility How would you inform potential customers? communication with the consumers Salespeople provide information Displays Packaging Advertising (print, television, radio, online)

Results of Added Utility… Higher Demand = Increased Competition = Lower Prices New and Improved Products Can you think of any products that fit the results?