Marketing

Ch. 1: Marketing is all around us  Marketing  Planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational objective  Goods = Tangible items that satisfy needs and wants  Services = Intangible…can’t physically touch them  What does this mean in your own words?

Ch. 1: Marketing is all around us  7 Marketing Core Functions 1. Channel Mgt. = Getting goods into customer’s hands 2. Marketing Information Mgt. = Info on customers & trends 3. Market Planning = How to market to different customers 4. Pricing = $ needed to make a profit / $ customer’s will pay

Ch. 1: Marketing is all around us  7 Marketing Core Functions 5. Product/Service Mgt. = Developing, maintaining,& improving 6. Promotion = Inform, persuade, & remind. Enhance public image 7. Selling = Providing the customer with what they want

Ch. 1: Marketing is all around us  All 7 core functions need to support the Marketing Concept  The idea that a business should strive to satisfy the customers’ wants while generating a profit for the business  The Customer and all of his or her needs are the focal point of all business activities  Stay in touch with the customer  Monitor purchasing behavior  Research!!

Ch. 1: Marketing is all around us  Utilities  Attributes of goods/services that make them capable of satisfying consumers’ wants and needs  5 Utilities 1. Form 2. Place 3. Time 4. Possession 5. Information

Ch. 1: Marketing is all around us  Form: Making products that consumers need and want – Special features or ingredients  Place: Having a product where customers can buy it – Online / Mail / Retail  Time: Having products available when consumers want them – Store hour / Holiday events  Possession: Exchange of a product for money – Cash / Credit / Layaway  Information: Communication with consumers – Information about the product and how to use it

Ch. 1: Marketing is all around us  Market  All people who share similar needs and wants and who have the ability to purchase the given product  Even if you want to buy something, if you cant afford it, you’re NOT in the market  Consumer Market = Purchases for personal use  Organizational Market = Business to Business…Purchases for use in opperations

Ch. 1: Marketing is all around us  Market Share  The % of total sales volume generated by all companies that compete in a given market  Ex. Coke own an approximate 26% market share of soft drinks  Target Market  The group that is identified for a specific marketing program  Focus of the business  Can be more than 1 target market  Customer Profile = Info about target market (Demographics and Psychographics)

Ch. 1: Marketing is all around us  The Marketing Mix - Four Marketing Elements (4 P’s) 1. Product:  What a business offers customers  Features, Brand name, packaging, service, & warranty  New uses & new markets extend life of the product 2. Price :  $ customers are willing and able to pay for the product  Consumers and Businesses

Ch. 1: Marketing is all around us  The Marketing Mix - Four Marketing Elements (4 P’s) 3. Place (some times referred as Distribution):  Locations and methods used to make products available to customers (Store, catalogs, or internet)  Countries, Stores, transportation method 4. Promotion  Ways to encourage customers to purchase products and increase customer satisfaction  Message, media selected, special offers, & timing

Ch. 1: Marketing is all around us  The Marketing Mix - Four Marketing Elements (4 P’s)  Is one of the four p’s pf marketing more important than the others?  What would the 5 th P of Marketing be?  People  Decisions on the 4 P’s are based on the people they want to make into customers!