YEAR 11 Business Unit 3: Building a Business Thursday 12th September Mr Nicholls

Objective To continue to develop our understanding of the term ‘marketing’. To identify how marketing involves identifying and meeting customer needs.

To start with…

Solution

Today We need to continue our investigation into the world of marketing. Please take notes of all of our key points.

The key. In order to meet customer needs, a business must: Sell them PRODUCTS that they want. Charge a PRICE that they are willing to pay. Make them available in the right PLACE. Make them aware by using PROMOTION. This is commonly known as the MARKETING MIX. Price Product Place Promotion

Think about products… So consider some of the products you’re aware of. How does the business ensure you want to buy it? How do they advertise it in a manner that’s appealing? Let’s consider the iPod…

iPod Marketing Mix

Question… How will a business know if it has successfully marketed a product to consumers? What might some of the key points that a business will look for be?

Another question… How might a business find out what consumers are looking for in order to fully: Anticipate Understand Satisfy Customer needs?

Market Research What do you think we mean by the term Market Research? Why might it be important? How might it help a business? What methods might there be?

What might some of the advantages and disadvantages be of each? Market Research Simple… Primary Research: Primary research involves the collection of data that does not already exist. Secondary Research: Market research that's already compiled and organized for you. What might some of the advantages and disadvantages be of each?

Welcome! Our objectives for today are: To consider links between Market Research and the Marketing Mix

Primary Research Advantages: Disadvantages: Up to date. Specific to company needs. Collects information that is specifically for that company and no other. Quick method of getting information. Disadvantages: Can be difficult to collect and take a while. Can be expensive. May provide odd results if the sample is not large enough or if the questions are wrongly worded.

Secondary Research Advantages: Disadvantages: Cheap! Quick as work has already been done. Likely to be accurate and updated. Disadvantages: Could be out of date. Could be incomplete. Could be specific to a company or product that doesn’t apply. Could be too general. Won’t contain specifics if they could be sensitive information.

Typical layout… Normally the company will need to make sure they follow a specific layout for their questioning, so will work something along the lines of: What are the characteristics (age/sex etc) of the person answering the question? What do people know about the product or service? How often do people use or buy the product or service? What people think or feel needs improving about the product or service.

Rules…

Also… The business conducting the research will need to carefully consider how they are going to record the answers from the people: Open Questions – allowing people to give whatever answer they wish – otherwise known as Qualitative Data. Closed Questions – requiring a yes or no answer or a choice of answers to select normally collated numerically – otherwise known as Quantitative Data. Scales – a good way of measuring attitudes of people – again, Qualitative Data.

Summary A whirlwind account of marketing and market research – to be continued next session! Reflection time – please take a moment to consider what we have done today and what you have achieved – if there are any points that you are unsure of, please make sure you note them down so I can make sure I fully explain them next session!