1.01 Understand marketing’s role and functions in business to facilitate economic exchanges with customers.

“Marketing is beneficial to consumers because it brings new and improved products to the market, as well as lowering prices.” List five products you or your family use that are new or have been improved List five products your family uses that now have lowered or reduced prices List five stores which have lowered their prices

Marketing is… The process of developing, promoting, pricing and distributing products in order to satisfy customers’ needs and wants. All activities needed to get a product from the manufacturer to the consumer.

A TARGET MARKET is… The group of consumers a business desires to have as ___________. Example? Customer vs. Consumer –See if you can figure out the blanks w/ your table mates.

Activity 1 Complete “Target Market Match” Individual Work You have 5 minutes or less.

Target Market Match Walmart –People on a limited budget Lane Bryant –25 yr old women, size 20 Hollister –Teenage boys Kids R Us –Family w/ 3 children under the age of 6 Applebees –People looking for an inexpensive sit down restaurant

Target Market Match Claire’s Boutique –Teenager needing costume jewelry for the prom Home shopping channel –A person who is living sixty miles from the nearest jewelry store McDonalds –People who do not have time to cook Bass Pro Shop –Avid hunter/fisherman Petite Sophisticates –21 year old career women, size 5

Do you know the difference? Consumer vs Industrial Durable vs nondurable

DURABLE VS NONDURABLE Durable goods tend to have a long useful life. For statistical purposes, a durable good is expected to last at least three years, according to the Economics and Statistics Administration. –Examples: Jewelry, furniture, washer/dryer, some clothes Non-durable Goods consumed in a short time or that have useful lives of less than three years. –Examples: Food, medicine, some electronics

ACTIVITY 2 Get with your 8 o’clock appointment Discuss definitions and complete examples for section #3 You have 5 minutes

WARM UP: Label paper Review Copy and answer the following questions: 1.Trey purchases notebooks for his daughter to use in school. Trey is known as the 2.The group of consumer that a business desires to have as customers are it’s:

The marketing concept is… A business approach that directs all marketing efforts towards satisfying customer’s wants and needs.

Elements of the Marketing Concept Customer Orientation: Do it the customer’s way Company Commitment: Do it better Company Goals: Do it with success in mind

Market Planning The process businesses utilize to achieve their goals. Businesses must reflect using SWOT analysis to understand where they are currently in the marketplace and to determine the direction they want to navigate.

The benefits to marketing are… New and improved products Lower prices

Do You Know??? Taylor purchases shoes for mom –Customer Customer orientation and company commitment & goals –Marketing concept Hollister desires to have teenagers as customers –Target marketing Taylor asking for a BMW –want

ACTIVITY 3 Get into groups of 4 or 5 Get the following paper: TARGET MARKET Poster People (ONE PER GROUP) from the front table. Take the rest of the day to complete this activity. –You can use the magazines, scissors, and glue from the supply cabinets – You can use the computer to print out pictures (UP TO 4).

Activity 4 Warm Up - individual Label the paper “marketing categorizing” - divide the piece of paper into six sections, labeling the sections 1). wants 2). needs 3). consumer/ industrial good/service 4). durable/ nondurable goods 5&6). chose 2 (idea, people, place, or organization). Students are to obtain pictures from magazines and find TWO examples of each term (should have 12 pictures all together.

Classify the functions of marketing Selling –Determining and responding to customer’s needs and wants through personalized communication. – It is intended to influence purchase decisions and increase customer satisfaction. – For example, at The Limited, Taylor searches for a birthday present for her sister, when Gwen (a _________________) asks if she could help her find the correct size.

Classify the functions of marketing Pricing –Determining a value to charge for products. –It is important to consider what competitors are charging and the amount customers are willing and able to pay. –For example, when deciding what ________to charge for their latest athletic shoe, Nike must take into consideration the cost of producing, _______________, and distributing the shoe

Classify the functions of marketing Product/service management –Designing, producing, maintaining, improving, and obtaining products to meet customer’s wants and needs. –For example, redesigning the Toyota __________ to have more/better features.

Classify the functions of marketing Channel Management –Transporting, storing, and handling goods from the manufacturer to the consumer –For example, John Deere lawn equipment is __________________ to Home Depot by tractor-trailers

Classify the functions of marketing Marketing Information Management (MIM) –Gathering information, analyzing information, and utilizing information for use in making marketing decisions. –For example, Amazon.com sends a ______________to customers who purchased the latest New York Times best sellers.

Classify the functions of marketing Promotion –Communication used to inform, persuade, or remind customers about a business’s products. –The most common form of promotion is advertising. – For example, McDonalds decides to broadcast a 30 second television ______________ during the Super Bowl.

NAME THAT FUNCTION! A billboard gives a description about the grand opening of a new store. –Promotion Styles of athletic equipment are selected to be sold in a department store –Product/service management (PSM) A consumer answers survey questions after sampling a new blue ray player –Marketing/Information Management (MIM) A salesperson answer a customers questions about the care of a leather coat. –Selling Management of a local clothing store decides to begin carrying a line of Miami Heat jerseys –PSM

NAME THAT FUNCTION! Shoes are transported from the factory to NIKE by truck. –Channel management Ties sold at Macys have a markup of 35% based on cost. –Pricing Management has decided to use TV commercials rather than newspaper ads. –Promotion Winter coats discounted 25% –Pricing Cotton for use in the production of t-shirts is stored in a warehouse. –Channel management

Activity 5 Get with your 12 o’clock appointment Complete “ 1.01 Vocabulary Matching Review” You have 10 minutes. Project