Understanding Principles Of Marketing Pertemuan 09 Matakuliah: J Pengantar Bisnis Tahun: 2009

Bina Nusantara University 3 Marketing Process and Consumer Behavior Outline: What Is Marketing? Target Marketing and Market Segmentation Marketing Research Understanding Consumer Behavior Organizational Marketing and Buying Behavior International Marketing Mix Small Business and the Marketing Mix

Bina Nusantara University 4 What Is Marketing? Process of planning and executing the conception, pricing, promotion and distribution of ideas, goods and services to create exchanges that satisfy individual and organizational objectives Marketing mix of goods and services are: –Developing –Pricing –Placing –Promoting

Bina Nusantara University 5 Value & Satisfaction Benefits include the functions of the product and the emotional satisfactions associated with owning, experiencing or possessing it. Benefits must exceed costs to be of value to the consumer. Value = Benefits Costs Costs

Bina Nusantara University 6 Marketing: Providing Value and Satisfaction Value and Utility –Utility is the ability of a product to satisfy a human want or need. Four kinds: Time Utility Place Utility Ownership Utility Form Utility

Bina Nusantara University 7 Goods, Services, Ideas Consumer goods are products purchased by consumers for personal use Industrial goods are products used by companies to produce other products Services are intangible products that can be purchased

Bina Nusantara University 8 The Marketing Environment External environment is the outside factors that influence marketing programs by posing opportunities and threats. Five environmental factors: Political–Legal Environment Social–Cultural Environment Technological Environment Economic Environment Competitive Environments

Bina Nusantara University 9 Competitive Environment  Substitute products differ from those of competitors but can fill the same need.  Brand competition occurs between similar products.  International competition matches domestic products against foreign products.

Bina Nusantara University 10 Marketing Mix (4 P’s) Product Place Price Promotion

Bina Nusantara University 11 Product and Pricing A product is a good, service, idea to fill need or want. Product Differentiation  the creation of a product feature or product image that differs enough from competing products to attract consumers. Pricing is selecting the best price at which to sell a product. Price Must Create Profit By: –Covering Costs –Attract Customers High-Low Strategy –Low = Large Sales Volume –High = Greater Profit Per Unit Sold

Bina Nusantara University 12 Distribution (Place) Distribution is part of the marketing mix concerned with getting products from producers to consumers. –Decisions about warehousing (storage), inventory control and transportation mode. –Decisions about channels.

Bina Nusantara University 13 Channels Of Distribution ProducerProducerProducer Consumer ConsumerConsumer Retailer Wholesaler Retailer

Bina Nusantara University 14 Promotion Promotion is the techniques for communicating information about products. Four promotional tools: –Advertising –Personal Selling –Sales Promotions –Public Relations What’s the biggest way the Web has changed how you shop for media? Web Effect On Media Shopping

Bina Nusantara University 15 What Is Target Marketing and Market Segmentation? Target markets are groups of people with similar wants and needs. Market segmentation is the process of dividing a market into categories of customer types.

Bina Nusantara University 16 Identifying Market Segments –Geographic variables are geographical units –Demographic variables are characteristics of populations

Bina Nusantara University 17 Identifying Market Segments  Psychographic variables are consumer characteristics such as lifestyles, opinions, interests and attitudes  Behavioral variables are consumer characteristics based on the use of a product, benefits sought from it, reasons for its purchase and brand loyalty Toothpaste w/ -Whiteners -Fluoride -etc.

Bina Nusantara University 18 Market Research and Process Study Consumer Needs/Wants Determine Ways Sellers Can Satisfy Needs/Wants

Bina Nusantara University 19 Research Process Study Situation Select Method Collect Data Analyze Data Prepare Report

Bina Nusantara University 20 What Is Consumer Behavior? Study of the decision process by which people buy and consumer products, influenced by: –Psychological influences: individual’s motivations, perceptions and attitudes –Personal influences: lifestyle, personality and economic status –Social influences: family, opinion leaders and reference groups –Cultural influences: culture, subculture and social class

Bina Nusantara University 21 Consumer Buying Behavior

Bina Nusantara University 22 Marketing Mix- International and Small Business Marketing Mix-International Products- Redesign For Foreign Buyer Pricing- Cover Increased Cost Of Transport/Selling Distribution- Delays In Establishing Network For Startup Promotion- Cultural Differences Marketing Mix – Small Business Products- Limited Buying Market Pricing- Incorrect Cost Estimation Distribution- Location Is Critical Promotion- Local Which Is Cheaper