1. Marketing!

3. What is Marketing?  All the activities carried out by a business to promote and sell its products  Examples?  Sales Promotions (coupons or special deals)  Personal Selling of product to consumer  Open Houses  Publicity in the media  Advertisements in publications/media

4. How are you affected by marketing?

5. Why is Marketing Important?  If products are not effectively marketed, then the business is not likely to succeed.  The amount of effort put into marketing should be proportional to the size of the need.  Ex: If you only produce a small amount of maple syrup each year (enough to sell your neighbors), then you shouldn’t be spending a lot of time marketing that product to farmer’s markets, grocery stores, etc.

6. Why is Marketing Imp..cont.  If no one knows about your product, how are they going to know they can buy it???  Marketing = sales and awareness of product

7. 5 P’s of Marketing 1. Product (or service): Know and understand your product and how it fits in with the community you are selling to. 2. Price: Ensure that you make a profit, and that the consumer agrees with the price versus value of the product. 3. Place: Where do you offer your product? Choose how you’re going to sell (i.e. internet, retail location, wholesale, farmer’s markets) 4. Promotion: How do you get the word out? 5. Positioning: USP (Unique Selling Proposition) What makes your product so special Practice: You produce eggs at your house and hope to start selling them.

8. Marketing Review  What is Marketing?  Why is Marketing important to a business?  What are the 5 P’s of Marketing?

9. Who will you sell your product to?  A target market is a group of customers that the business has decided to aim its marketing efforts and ultimately its merchandise towards

10. What is the next step?  How do you know if your business/product/service is appealing enough to customers that they will buy it? You ask them! This is called “Market Research”

11. Market Research  a series of activities designed to identify customer needs and wants, and satisfy these while making a reasonable profit on a quality product or service.  2 types:  Primary Research  Secondary Research

12. Primary market research  Original and directly interacting with the consumer  Includes:  Surveys  Focus Groups  Conversation

13. Secondary market research  Using other resources to find out information about your target audience.  Includes:  U.S. Census Report  Books  Trade Magazines  Local Chamber of Commerce  Competitor’s websites & annual reports

14. Marketing Plan  See Packet

15. Ideas  Hanging baskets  Pallet Garden kits  Pumpkins  Salsa gardens  Eggs  Pesto project-grow basil, make pesto, sell  Tea gardens  Mini Succulent gardens  Herb gardens  Tomato plants or other potted plants  Ornamental plants  Seasonal plants-poinsettias  CSA baskets

24. Mission Statement  State the goal of the marketing plan  A philosophy, a vision  Answer the questions:  What business are we in?  Who do we serve?  http://www.starbucks.com/about- us/company-information/mission-statement http://www.starbucks.com/about- us/company-information/mission-statement

25.  Ben & Jerry’s is founded on and dedicated to a sustainable corporate concept of linked prosperity. Our mission consists of 3 interrelated parts:  Social Mission: To operate the Company in a way that actively recognizes the central role that business plays in society by initiating innovative ways to improve the quality of life locally, nationally and internationally.  Product Mission: To make, distribute and sell the finest quality all natural ice cream and euphoric concoctions with a continued commitment to incorporating wholesome, natural ingredients and promoting business practices that respect the Earth and the Environment.  Economic Mission: To operate the Company on a sustainable financial basis of profitable growth, increasing value for our stakeholders and expanding opportunities for development and career growth for our employees.  Underlying the mission of Ben & Jerry’s is the determination to seek new and creative ways of addressing all three parts, while holding a deep respect for individuals inside and outside the company and for the communities of which they are a part.

26. Diagnosis  In order to determine how to get where you want to be, you need an accurate, objective picture of where you are now  Write a brief statement assessing the current statement of business  You don’t have much…

27. Product /Service  Identify your product  Name  Color  Shape  Characteristic  Packaging  Labeling

28. Product/Service  What is your competitive advantage? How does your product differ from your competition in terms of exclusive processes or superior ingredients, or other features?  What are your strengths versus your competition’s?  Will require some research  What are your weaknesses versus your competition’s  Determine the cost of each product  Determine the price you charge for each product  What is your product’s personality?

29. Market (Target Market)  ID your customers-who are they?  Male or female  How old  Education level  Type of work  Level of income  How knowledgeable about your product?  What factors influence their purchase decisions? (price, service)  What other people influence their buying decisions?  How would you describe heir personality  Is there anything unique about your customer

30. Market  Do you have a large homogenous customer base, or several small market segments?  What are your customer’s real needs? Perceived needs?  Are you meeting these needs?  What resistance do people have to buying your product?  Identify the location of your customers?

31. Market  List the factors that affect purchasing  Seasonal  Tax considerations  Price  Availability  Convenience  Service  Emotional considerations  Gift

32. Distribution  Identify the most effective methods for getting products to customers  Do customers come to you?  Do you go to the customers?  Do you use dispensers, racks, etc?  Do you mail out samples, use trial offers? Do you use the internet?  Do you make it easy for customers or potential customers to get to your product?

33. Distribution  Have you made it easy for customers or potential customers to get more information about your product?  Identify the need for warehousing of products and distribution channels (for example internet) if not sold directly to the buyer

34. Promotional Strategy  What is your current image in the marketplace?  How are you perceived by your customers?  Is this accurate?  What would you like your image to be in the marketplace?  Will everything in your organization consistently represent the image you want to project?  Employee behavior  Place of business atmosphere  Printed communication

35. Promotional Strategy  How/where will you get new business?  How/where will you get repeat business?  Review your message-see packet

36. Promotional Strategy  List the promotional activities you are (will) currently using  Advertising  Personal selling  Sales promotion (coupons, freebies)  Publicity and public relations

37. Promotional Strategy  Are the benefits you offer being communicated effectively? (OR: How will you know they are working)  Review of advertising: Does the audience for the media selected match your target market profile?

38. Promotional Strategy  Public Relations: is the practice of managing the spread of information between an individual or an organization and the public.  Review public relations activities  What are your plans?  Can you generate any product publicity? How  Special programs

39. Competition  Identify competitors by division, product lines, and markets  Compare your marketing techniques with those of your competitors

40. Pricing  Review product costs for accuracy including all variable and fixed expenses  Fixed costs -are the same every month, every time you pay (rent on a building)  Variable costs -costs vary (price of feed)  Be sure all product carry their share of overhead expenses plus provide for profit.  Overhead expenses  Compare prices of your product with similar products in the industry

41. Pricing  If your prices are higher, do they provide the necessary “added value” to justify the higher price?  If they re lower, why? Is this a part of your marketing strategy?  How price sensitive (elastic) is your market- how much change in buying occurs when prices rise or fall?  Are your prices “top of the line” or “bargain basement?”  Does your current marketing strategy support this price position?

42. Action Plan  Identify goals. Should be concrete, measureable, and realistic  S pecific  M easureable  A chievable  R ealistic  T ime-bound  Example: To increase sales volume by 50% within 6 months

43. Action Plan  Strategy -a general approach you will be taking to achieve a goal.  PERSONAL SALES CALLS  DIRECT MAIL  NEWSLETTERS  NETWROKING  DISCOUNTS FOR LARGE VOLUME CUSTOMERS Example: Goal: To increase sales volume by 50% within 6 months Strategy: Increase promotional strategies by creating an Instagram account and posting once a week about our product

44. Paper Formatting  Needs to be in one document-see example  Do not re-write questions.  Do not start a paragraph or sentence with “no, we do not have a large homogenous market”  Include sub-headings for all components with the name of student who wrote it  Include title page with  Product name  Student names  Marketing Plan  Date  Picture/graphic