1. BUSINESS MARKET & BUSINESS BUYER BEHAVIOUR
Dony Eko Prasetyo, S.IP.

2. Business
Market

3. Business Market
The Business Market - all the organizations that buy goods and services to use in the production of other products and services that are sold, rented, or supplied to others.
Business markets involve many more dollars and items do consumer markets.

4. Business Market Characteristic
Sales in the business market far exceed sales in consumer markets.
Business markets differ from consumer markets in many ways.
Marketing structure and demand
Nature of the buying unit
Types of decisions and the decision process

5. Business Buyer Behavior
Business buyer behavior refers to the buying behavior of the organizations that buy goods and services for use in the production of other products and services that are sold, rented, or supplied to others.
The buying behavior of organizations that buy goods and services for use in the production of other products and services that are sold, rented, or supplied to others.
Also included are retailing and wholesaling firms that acquire goods for the purpose of reselling or renting them to others at a profit.

6. Model of Business Buyer Behavior

7. Factors Influencing Consumer Behavior
Cultural
Culture
Subculture
Social Class
Social
Reference Groups
Family
Roles & Status
Personal
Age & Life-Cycle Stage
Occupation
Economic Situation
Lifestyle
Personality & Self-Concept
Psychological
Motivation
Perception
Learning
Beliefs & Attitudes

8. Maslow’s Hierarchy of Needs

9. Major Influences on Business Buyer Behavior

10. Segmentation

11. Market Segmentation
Market segmentation is the process that companies use to divide large, heterogeneous markets into small markets that can be reached more efficiently and effectively with products and services that match their unique needs

12. Segmenting Consumer Markets
Geographic segmentation
Demographic segmentation
Psychographic segmentation
Behavioral segmentation

13. Segmenting International Markets
Geographic location
Economic factors
Political-legal factors
Cultural factors

14. Market Segmentation To be useful, market segments must be: Measurable
Accessible
Substantial
Differentiable
Actionable

15. Selecting Target Market Segments
Market Targeting
Selecting Target Market Segments
Target market consists of a set of buyers who share common needs or characteristics that the company decides to serve

16. Evaluating Market Segments
Market Targeting
Evaluating Market Segments .
Segment size and growth
Segment structural attractiveness
Company objectives and
resources

17. Target Marketing Strategies
Market Targeting
Target Marketing Strategies
Undifferentiated marketing targets the whole market with one offer
Mass marketing
Focuses on common needs rather than what’s different

18. Target Marketing Strategies
Market Targeting
Target Marketing Strategies
Differentiated marketing targets several different market segments and designs separate offers for each
Goal is to achieve higher sales and stronger position
More expensive than undifferentiated marketing

19. Target Market Strategies
Market Targeting
Target Market Strategies
Concentrated marketing targets a small share of a large market
Limited company resources
Knowledge of the market
More effective and efficient

20. Target Market Strategies
Marketing Targeting
Target Market Strategies
Micromarketing is the practice of tailoring products and marketing programs to suit the tastes of specific individuals and locations
Local marketing
Individual marketing

21. Target Market Strategies
Market Targeting
Target Market Strategies
Local marketing involves tailoring brands and promotion to the needs and wants of local customer groups
Cities
Neighborhoods
Stores

22. Target Market Strategies
Market Targeting
Target Market Strategies
Individual marketing involves tailoring products and marketing programs to the needs and preferences of individual customers
Also known as:
One-to-one marketing
Mass customization
Markets-of-one marketing

23. Choosing a Targeting Strategy
Market Targeting
Choosing a Targeting Strategy
Depends on:
Company resources
Product variability
Product life-cycle stage
Market variability
Competitor’s marketing strategies

24. Socially Responsible Target Marketing
Market Targeting
Socially Responsible Target Marketing
Benefits customers with specific needs
Concern for vulnerable segments
Children
Alcohol
Cigarettes
Internet abuses

25. Differentiation and Positioning
Product position is the way the product is defined by consumers on important attributes—the place the product occupies in consumers’ minds relative to competing products
Perceptions
Impressions
Feelings

26. Differentiation and Positioning
Positioning maps show consumer perceptions of their brands versus competing products on important buying dimensions

27. Differentiation and Positioning
Choosing a Differentiation and Positioning Strategy
Identifying a set of possible competitive advantages to build a position
Choosing the right competitive advantages
Selecting an overall positioning strategy
Developing a positioning statement

28. Differentiation and Positioning
Identifying Possible Value Differences and Competitive Advantages
Competitive advantage is an advantage over competitors gained by offering consumers greater value, either through lower prices or by providing more benefits that justify higher prices

29. Differentiation and Positioning
Choosing a Differentiation and Positioning Strategy
Identifying a set of possible competitive advantages to build a position by providing superior value from:
Product differentiation
Services differentiation
Channel differentiation
People differentiation
Image differentiation

30. Differentiation and Positioning
Choosing the Right Competitive Advantage
Difference to promote should be:
Important
Distinctive
Superior
Communicable
Preemptive
Affordable
Profitable