1. © 2007 Pearson Education. Upper Saddle River, NJ, 07458. All Rights Reserved.Mariotti: Entrepreneurship Entrepreneurship Chapter 3 What Is Marketing? Analyzing Customers and Your Market

2. © 2007 Pearson Education. Upper Saddle River, NJ, 07458. All Rights Reserved.Marriotti: Entrepreneurship What Is Marketing? Satisfying the customer at a profit The business function that identifies your customers and their wants and needs The engine that drives ALL business decisions

3. © 2007 Pearson Education. Upper Saddle River, NJ, 07458. All Rights Reserved.Marriotti: Entrepreneurship Features Create Benefits Feature—fact about a product or service Benefit—what the feature can do to meet a customer’s need Smart marketers emphasize benefits, not features.

4. © 2007 Pearson Education. Upper Saddle River, NJ, 07458. All Rights Reserved.Marriotti: Entrepreneurship Visualize Your Customer Use market research to find out: Who your customers are -income -age -location Where you can find them What they want and need

5. © 2007 Pearson Education. Upper Saddle River, NJ, 07458. All Rights Reserved.Marriotti: Entrepreneurship 4 Types of Market Research 1.Surveys and focus groups—interview people about your business 2.General research—libraries, internet, chamber of commerce 3.Statistical research—facts presented as numbers. Consumer statistics are called demographics. 4.Industry research—trends, growth, etc.

6. © 2007 Pearson Education. Upper Saddle River, NJ, 07458. All Rights Reserved.Marriotti: Entrepreneurship Research Market Before Opening Your Business Be open to criticism Focus your brand—find the one benefit you want to market to customers Ford’s Edsel—lacked focus, too many features, failure Ford Mustang—tightly focused on target market (20–30-year-olds), success

7. © 2007 Pearson Education. Upper Saddle River, NJ, 07458. All Rights Reserved.Marriotti: Entrepreneurship Build Your Brand 1.Business name 2.Logo 3.Reputation 4.Brand personality 5.Communicate brand to target market

8. © 2007 Pearson Education. Upper Saddle River, NJ, 07458. All Rights Reserved.Marriotti: Entrepreneurship 7 Ways to Build a Great Brand 1.Provide high-quality product/service 2.Maintain high ethical standards 3.Define product/service clearly 4.Treat employees well 5.Make ads positive and informative 6.Associate company with a charity 7.Be involved in community

9. © 2007 Pearson Education. Upper Saddle River, NJ, 07458. All Rights Reserved.Marriotti: Entrepreneurship Market Segmentation Market segment = consumers who have similar response to a certain type of marketing Segmentation methods Geographic Demographic Psychographic Behavioral

10. © 2007 Pearson Education. Upper Saddle River, NJ, 07458. All Rights Reserved.Marriotti: Entrepreneurship Product Life Cycle (PLC) 1.Introduction 2.Growth 3.Maturity 4.Decline 5.Where is your product/service in the PLC? Is your market saturated? 4 stages

11. © 2007 Pearson Education. Upper Saddle River, NJ, 07458. All Rights Reserved.Marriotti: Entrepreneurship Market Positioning Distinguish your product/service from others offered to your market segment. Goal: clearly communicated how your product/service differs from competitors. Positioning statement: Ex: (General Motors) is the (leading US automobile maker) that (provides affordable cars) to (American families)