1. Definitions, Marketing plan & Segmentation
Lecture Review
Definitions, Marketing plan & Segmentation

2. Marketing definitions & strategies

3. Marketing Strategy Achieving marketing goal Target market
Exchange vs value

4. Strategic marketing process
Allocating marketing mix- 4Ps
Product
Price
Promotion
Place

5. Market share Revenue of firm/ revenue of industry
Relative market share – how our firm’s does against our leading competitor

6. Mission Where is our market? What product do we serve?
Who are our customers?
How are we different from others?
Believable

7. Marketing Dashboard Visual display of all the marketing information's
Helpful for managers to have information at a glance
Regularly updated

8. Market Segmentation Aggregating prospective buyers
Have similar wants/needs
Respond similar to marketing actions

9. Marketing Plan Marketing Plan What is a Marketing plan?
action-oriented document
set objectives for the marketing and promotion of business
needs to be followed, monitored and updated
regularly evaluate and control a marketing plan

10. A Perfect Marketing plan Fulfills Five Purposes
sensible and relevant
accurate and realistic targets
customize to suit business and its objectives
keep business prepared for unexpected events or promotions by competition
spot possible threats to business, and prepare for ways to minimize or capitalize on them
Present and future situations of the organization
Specifies expected outcomes (goals and objectives)
Describes the specific actions that are to take place
Assigns responsibility for each action
Identifies the resources needed to carry out the planned actions
Permits the monitoring of each action and its results so that controls may be implemented

11. Marketing plan – Key Areas
Organizational Aspects of the Marketing Plan
Price
Place
Product
Promotion
SWOT
Time
Top managers ask two questions:
Will the marketing plan achieve the desired marketing, business unit, and corporate goals and objectives?
Are there alternative uses of resources that would better meet the firm’s objectives?

12. Situation Analysis - Customer Situation Analysis - External
Know the competition
Why are they good?
Why are they bad?
What can we learn?
Monitor factors from outside
Changes in the market
PEST
Identify your target
Know your current customers
Identify potential new customers
Who, what, when, where, why, and why

13. Implementation Control
As the strategy is developed, a concept for how to implement it should be formed
Communication is often the biggest obstacle to implementing an effective marketing plan – internal culture must support the marketing plan
What will be done? How? When? By Who? At what cost?
Once the plan has been implemented, it should be updated based on some control/feedback mechanisms
Control in the context of a marketing plan is the monitoring and guidance of implementation progress… and feedback for future plans
Formal
Informal
Financial

14. Segmentation (what and why)
What is segmentation and why?
Definition: Dividing the market into distinct groups who might require separate marketing mixes
People have varying wants and needs
Buy in very different ways
Online, mall, catalog, rent-to-own, big box, etc.
Belong to multiple Segments at the same time
What roles do you have?
Mother, daughter, spouse, cook, health care provider, business executive, home owner, taxpayer, etc.
Definition: Dividing the market into distinct groups who might require separate marketing mixes
People have varying wants and needs
Buy in very different ways
Online, mall, catalog, rent-to-own, big box, c-store, etc.
Belong to multiple segments at the same time
What roles do you have?
Mother, daughter, spouse, cook, health care provider, business executive, home owner, taxpayer

15. Segmentation and Markets
Market, segment and target market
Market: People or organizations with needs or wants and the ability and willingness to buy.
Segment: A subgroup of people or organizations sharing one or more characteristics that cause them to have similar product needs.
Target Market: A group of people or organizations for which an organization designs, implements, and maintains a marketing mix intended to meet the needs of that group, resulting in mutually satisfying exchanges. x x x x x x x x x x x x x x x x
X x x x xx
X x

16. Measurable Consumer Characteristics
Segmentation Bases
Marketers divide buyers into groups on the basis of their knowledge of, attitude toward, use of, or response to a product
By their Needs and benefits
By the Decision roles such as Initiator, Influencer, Decider, Buyer, User
Behavioral
Demographic
Psychographic
Geographic
Measurable Consumer Characteristics
Personality traits
Lifestyle
Values
Age and Life-cycle Stage, Life Stage, Gender
Income, Generation, Race and Culture
Geographical units:
Nations, states, regions, counties, cities, or neighborhoods
Other classifications:
Education and affluence, Family life cycle, Urbanization, Race and ethnicity

17. Bases for segmenting Business Markets
Demographic
Industry, company size, location
Operating Variables
Technology, user status, customer capabilities
Purchasing Approach
Power structure, nature of existing relationship
Situational Factors
Urgency, specific application, size of order
Personal Characteristics
Buyer-seller similarity, loyalty, risk attitude

18. Effective Segment Rating Criteria
Measurable
Size, buying power, profile
Substantial
Large enough to merit own product/mix
Growth pattern
Accessible
Reach w/o waste
Differentiable
Respond differently to different offerings
Actionable
Media, message, images, spokespeople, etc.

19. APPLICATION |Case Study Snapchat Spectacles – CLASS DISCUSSION: What is the market segmentation for Snapchat Spectacles?

20. Snapchat Spectacles – CLASS DISCUSSION:
DO you think segmentation was different for Google Glass?

21. Snapchat Spectacles – CLASS DISCUSSION:
WHAT are the key differences between
Success and failure?
Snapchat Spectacles vs. Google Glass

22. Snapchat Spectacles – CLASS DISCUSSION:
HOW do you think Snapchat Spectacles marketing plan differed from Google Glass?

23. Market Segmentation – Risk vs Reward
Harvard Business study found that 85% of 30,000 new product launches failed because of poor market segmentation. With each level of narrowing your focus, you exclude other potential customers from marketing efforts.

24. Market Segmentation – What it’s not
Is there any place further from an ocean than Mitchell, SD?
Where’s the ROI?
Targeted advertising in a state where agriculture is the #1 industry, with beef being the main producer of income.
Hunting and Fishing are popular tourist attractions.
Mitchell, South Dakota - November 27, 2016

25. Market Segmentation – Politics
The number one goal of a marketing plan is to attract more customers!
Differentiation is important, but avoid alienation!
Politics and business do not make good bedfellows.
- Grubhub CEO comments
Mitt Romney’s 47%
Hillary Clinton’s “Basket of Deplorables”
Can’t assume demographics define the audience.

26. Market Segmentation – What it’s not
2012 Vote %
2016 Vote
Democrat 66 49
Republican 34 51
Don’t just grow the piece of the pie, grow the pie!

27. Marketing Efforts Gone Bad

28. Marketing Efforts Gone Bad

29. Marketing Efforts Gone Bad

30. Questions? Comments?
Thank you!