MarketingMarketing

Topics to Cover Market Target market Marketing mix Market research & Product development Advertising Selling techniques Public relations Export markets & Import substitution

Market Market is a place or contact between a seller and buyer, where goods and services are bought and sold.

There are many types of markets just as there are many types of goods and services.

Nowadays a buyer and seller do not have to meet in order for goods and services to be bought and sold. e.g. goods are bought and sold over the Internet

Target Markets Not all products and services suit everyone, thus markets have to be divided. This is called market segmentation The particular type of market you aim the product or service at is known as the target market.

It is important to identify target market to guarantee success. Must consider: –Age –Location –Season –Gender –Lifestyle

Question: Match the product to their main target market

Question continued-

Marketing Mix Marketing is the process of identifying and anticipating consumer needs AND Identifying products and services that can be produced to satisfy these needs at a profit

Marketing is consumer orientated. This means marketing is all about finding out what products consumers want, developing the product and then getting it to the market.

Marketing Mix (4 P’s) Product- deals with type, design, size colour of product or service. Price- which deals with cost of production and selling price of product, e.g.€0.80

Promotion- deals with advertising, sales promotion and selling techniques. “Have a break have a Kit Kat” Place- deals with channels of distribution for a product and the final place of selling.

5 th P? Sometimes it is suggested that there is a 5 th P? Packaging does not just refer to the way a product is wrapped but also refers to the image that a company will try to create for its product NOTE: Only Price, Product, Place and Promotion are accepted as answers for elements of the Marketing Mix for Leaving Certificate Business

Questions Consider a product that uses its packaging to portray a certain image? Name and Explain!

Questions Match the appropriate P of marketing with the appropriate explanation? 1.Product (a) Cost of Production 2.Promotion (b) Design 3.Place (c) Advertising 4.Price (d) Distribution

Market Research Gathering, recording and analysing information about the market. Reasons for carrying out market research: 1.Consumer needs 2.Market size 3.Price, image, packaging 4.Advertising and Promotion 5.Competitors

Types of Market Research Desk (Secondary Research) - assessing information already available. Cheap and quick e.g. Internet, Central Statistics Office (CSO)

Field (Primary Research) - going to market place obtaining peoples views. More expensive, time consuming yet more accurate e.g. Questionnaire, Observation

Sampling Some sort of selection, should be a representative of market.

Test Marketing A new product is tested on a small number of people to find their reactions

Question Which two of the following are different types of field research? Collecting information on the internet Observing consumer behaviour in a market place Conducting interviews by phone Researching magazines and newspapers.

Answer Which two of the following are different types of field research? Collecting information on the internet Observing consumer behaviour in a market place Conducting interviews by phone Researching magazines and newspapers.

Designing a questionnaire Must be carefully designed Clear and simple No leading questions Should not suggest certain answers.

Example of a questionnaire Q1 Do you eat ice-cream Yes □No□ Q2 What price do you usually pay for an ice-cream? 20c□ 50c□ 80c□ €1□ Q3 What type of ice-cream do you eat? Ice-lolly □ Chocolate □Vanilla□ Strawberry□ If others please elaborate? Q4 When do you eat ice-cream? daily□ weekly □ fortnightly □ monthly □

Task Design a questionnaire (using the word processing programme or Google Forms/Survey Monkey) to research the market for a new chocolate bar called Chocolate Heaven? Consider the 4 P’s when designing the questionnaire!

Product Development Existing product redesigned if necessary. Information collected on market research process. Helps ensure product or service is better than that of competitors and also that consumer needs can be met leading to greater sales and increased profit.

Advertising Giving of information about a product or service. Successful advertisements catch customers: –Attention –Interest –Desire –Action

Question Time Q1 Using the internet and the website search the advertisements for Meteor, Coca Cola and Galaxy chocolate? Can you identify the target market for each advertisement? Q2 Design a suitable advertisement on the computer keeping in mind the key elements of a successful advertisement?

Different types of advertising Informative - gives consumers information about a product or service e.g. price Persuasive - trying to persuade customer to buy goods e.g. Special K Competitive - criticising other products or service e.g. ALDI/Tesco Generic - promote an industry as a whole e.g. need energy, drink loads of soft drinks, cheese/milk

Advertising Media Newspapers and magazines TV and Radio Shopping bags Internet Billboards

Selling Techniques Businesses use several methods to increase sales Often incentives or bonuses offered directly to consumers called sales promotion or special offers

Branding:a brand is a name/sign/symbol/design used by a firm to identify its products and distinguish them from other similar products, e.g.

Some businesses will offer certain goods at a reduced rate with often little or no profit margin. This is known as loss leader Loss leader is intended to attract customers to a store where they will buy more than the deducted item. Can you think of any retailers that use this technique?

LOGO’S and Branding Using a particular logo is known as BRANDING Branding helps differentiate a product from that of a competitor Very successful method of encouraging customer loyalty.

Task Using the internet locate five famous logos, create a presentation and explain the company or product that these logos symbolise.

Question: TRUE or FALSE? Q1 Businesses use selling techniques to increase sales? Q2 Giving a free gift with a product is an example of branding? Q3 Businesses add logos to products so that they will be more identifiable to consumers? Q4 A loss leader is a product which is sold at a higher price to encourage consumers to buy it?

Public Relations Important for a business to have a positive image Most businesses have a PRO (Public Relations Officer) who looks after this area. A PRO makes contact with the public through press releases and press conference

A PRO maybe involved in sponsorship deals, where a firm pay money to have it’s name associated with something Name four companies and the sporting events/teams that they sponsor?

Export Markets and Import Substitution Irish Market is quite small, which makes it difficult for some businesses to survive For this reason businesses try to sell products to other countries, called exporting Majority of Irish Exports are sold to the U.K.

Imports are goods brought into Ireland from other countries Import Substitution - businesses may try to develop goods in Ireland to replace foreign goods on the Irish Market, e.g. Fiacla toothpaste

Goods/Services come to Ireland Money flows out of Ireland to pay for the Imports € Goods/Services leave Ireland Money flows into Ireland €

Recap Market Target market Marketing mix Market research & Product development Advertising Selling techniques Public relations Export markets & Import substitution