1. The World of Marketing:
UNIT 1
The World of Marketing:
Chapter 1: Marketing is All Around Us
Chapter 2: The Marketing Plan

2. Pick up your textbook & Handout (Remember your number)
Class Activity
Pick up your textbook & Handout (Remember your number)
In groups of 4:
ASSIGN DUTIES:
Task-Master
Time-Keeper
Recorder
Reporter
Create & discuss a list of the 10 most popular products or services today
Answer these questions:
Why are they popular?
How do people find out about them?
List the names and what
Each member’s duties are.
Business & Marketing

3. 10 Most Popular Items:
____ ____ ____ ____ ____ ____ ____ ____ ____

4. Section 1.1- Marketing and the Marketing Concept Student will be able to:
Define meaning of marketing
Explain the four foundations of marketing
List the seven functions of marketing
Understand the Marketing Concept

5. Chapter 1 Section 2 The Importance of Marketing
Student will be able to:
Analyze the benefits of marketing
Apply concept of utility and describe the five economic utilities
Distinguish the four economic utilities that are related to marketing

6. Section 1.3 Fundamentals of Marketing Student will be able to:
Describe the concept of market
Differentiate consumer and industrial markets
Describe market share
Define target marketing
List the four P’s of the marketing mix

7. What Is Marketing?
The process of developing, promoting, and distributing products to satisfy customers’ needs and wants.

8. Products – goods and services that have monetary value

9. Goods – things you can touch or hold

10. Services – you can’t physically touch – tasks performed for a customer
                                             

11. Marketing is based on Exchange
Marketing connects business’ to their customers.

12. Exchange
An exchange takes place every time something is sold in the marketplace.

13. EXCHANGE
When the producer is someone other than the consumer, some form of exchange takes place.

15. Foundations of Marketing
Business, Management, Entrepreneurship
Communication and Interpersonal Skills
Economics
Professional Development

16. 7 Functions of Marketing
Activities that work together to get goods and services from producers to consumers
Each is essential

17. Seven Functions of Marketing
Distribution Deciding where and to whom products need to be sold to reach the final users.

18. 2. Financing Getting the money necessary to operate a business

20. 3. Marketing Information Management Getting information to make sound business decisions. Usually obtained through marketing research

21. For example, after a stay at a luxury hotel, you fill out a form rating the service and accommodations.

22. 4. Pricing How much to charge to maximize profits

23. 5. Product Service Management
Obtaining, developing, maintaining, and improving a product or a product mix in response to market opportunities.

24. 6. Promotion Communicating with potential customers to inform, persuade, or remind them about a business’s products

25. 7. Selling Planned, personalized communication that influences purchasing decisions

26. When Henry Ford first created the Model T, he was the only one mass producing cars. He didn’t have to think about “The Marketing Concept.” But, as more and more producers started making cars, they had to think about what customers need and want in order to stay in business.
Click on the Model T Ford to see Henry Ford’s thoughts about car color in the early 1900’s.

27. Imagine if, in today’s world, you could only buy black
Imagine if, in today’s world, you could only buy black. Many customers would not be very happy!

28. Today’s buyer wants a choice!

29. The Marketing Concept
If automobile manufactures do not give their customers a choice (what they want), they will not stay in business.
That concept is true for all businesses.
You must give the customer what they need and want.

30. That is what we mean by The Marketing Concept
Businesses must know their customers . . .
Businesses must satisfy customers’ needs and wants in order to make a profit

31. Functions of Marketing
Break up into groups of four (4)
Choose a product or service, and research and discuss each of the 7 functions of marketing for that product or service:
Distribution
Financing
Marketing information management
Pricing
Product/service management
Promotion
Selling
Be prepared to share with the class

32. Class Work - April 23, 2017 Textbook: Page 7, #1 – 5
Complete on paper or a new Word document
Save to your NEW “Block-4” folder in “My Documents” as: Marketing-CW-1-1-firstinitialLastname

33. The Importance of Marketing Chapter 1.2

34. Transition - April 23, 2017 Get your “Marketing” text today
Pull out your Chapter 1 “Note-Guide” handout, go to Section 1.2
Get in groups of 4, and list “5 - Examples of Marketing”
One paper per group (with names) (on paper or on Word)
Assign the same duties:
Reporter (Presents)
Recorder (Writes)
Timekeeper (Keeps group on time)
Taskmaster (Keeps group on track)

35. Examples of Marketing:
Billboards
Radio and TV commercials
Print advertisements
Decals on vehicles
Banners
Sales
Customer service
Flyers
Brochures
Web advertising
Word of mouth
Budgets
Company communication
Personnel management

36. The Importance of Marketing Chapter 1.2

37. Chapter 1 Section 2 The Importance of Marketing
What You’ll Learn
The benefits of marketing
The meaning of economic utility
The five economic utilities and how to distinguish the four that are related to marketing

38. Economic Benefits of Marketing
Marketing bridges the gap between you and the maker or seller of an item

39. Economic Benefits of Marketing
New and Improved Products --businesses look for opportunities to please the customer

40. Economic Benefits of Marketing
Lower Prices – marketing activities add value and increase demand. When demand is high, manufacturers can produce at a lower price. They can sell at a lower price but increase the quantity sold. Thus, profits are higher even though prices are low.

41. Economic Benefits of Marketing
It adds VALUE

42. Added Value = Utility
In economic terms, utility does not mean your closet or the electric company.

43. There are five types of Utility:
Added Value = Utility
Attributes of a product or service that make it capable of satisfying consumers’ wants and needs.
There are five types of Utility:

44. 1. Form Utility
Changing raw materials or putting parts together to make them more useful – making and producing things.
Sand into glass
Wood into paper
Silk into fabric

45. Having a product where customers can buy it.
2. Place Utility
Having a product where customers can buy it.

46. It Involves
Location – may be through a catalog or at a retailer (actual store) – or, Internet.
Transporting the product to the location.

47. 3. Time Utility
Having a product available at a certain time of year or a convenient time of day.
Planning and ordering
Time of day and week
Time of year: holidays and seasons

48. 4. Possession Utility
The exchange of a product for some monetary value.

49. Payment may be made by Cash Personal checks Credit cards Installments
(layaway)

50. 5. Information Utility Involves communication with the consumer.
ads
packaging
signs
displays
owner’s manuals

51. Which types of utility are related to marketing?
Form utility is a function of production, NOT marketing

52. These utilities ARE directly related to marketing:
Place
Time
Possession
Information

53. Fundamentals of Marketing
Chapter 1 Sec. 3

54. Section 1.3 Fundamentals of Marketing What You’ll Learn
Describe the concept of market
Differentiate consumer and industrial markets
Describe market share
What target marketing is
The four P’s of the marketing mix

55. Market – all potential customers who have the ability and willingness to buy

56. Consumer Markets
Consist of consumers who purchase goods and services for personal use.

57. Industrial Markets
Business-to-business (B-to B) markets include all businesses that buy products for use in their operations.

58. Market Share
A company’s percentage of the total sales volume generated by all companies that compete in a given market.

59. Target Marketing
Focusing all decisions on a very specific group of people who you want to reach.

60. Customer Profile
To develop a clear picture of their target market, businesses create a customer profile.
It lists information about the target market, such as age, income level, occupation, attitudes, lifestyle, and geographic residence

61. Customers – people who buy the product
Consumers – people who actually use the product
Is mom the customer or the consumer? The kids?

62. Marketing Mix Basic marketing strategies – the four P’s
Product
Place
Price
Promotion

63. Product Strategies What product to make How to package it
What brand name to use
What image to project

64. Place Strategies
How and where a product will be distributed.

65. Price Strategies
Reflect what customers are willing and able to pay.

66. Promotion Strategies
How potential customers will be told about the new product
What the message will be
When and where it will be delivered
What inducements are there to buy

67. The Marketing Mix The elements are interconnected Product Place Price
Promotion

68. The Marketing Mix – The 4 P’s
Contains countless alternatives.
Management must select a combination of marketing mix decisions that will satisfy target markets and achieve organizational goals.

69. Class Work - April 23, 2017 Textbook: Page 11, #1 - 4 Page 19, #1 – 4
Complete on paper or a new Word document
Save to your NEW “Block-4” folder in “My Documents” as: Marketing-CW-1-3-firstinitialLastname

70. Lesson Assessment Break up in groups of four
Each group needs to answer the following:
Define in your own words: “What is Marketing”
List the components of the marketing mix.
Create a fictional product, its target market, and the customer profile
Save to your Block folder as: Marketing-Ch-1-Assessment-filastname