1. Welcome to Fleming College and Marketing 14 Kathleen Gordon Email: kathleen.gordon@flemingcollege.cakathleen.gordon@flemingcollege.ca http://flemingcollege.ca/

2. Course Outline Keep Course Outline handouts for reference 15 weeks Mondays- Lecture Wednesdays- Seminar D2L Always bring questions about the material, projects and readings

3. Contemporary Marketing Copyright © 2013 Pearson Canada Inc.

4. What is Marketing? ? ? ? ?

6. Marketing A Philosophy… An Attitude A Perspective A Management Orientation A Set of Activities… Products Distribution (Place) Promotion Pricing

7. Marketing Defined “The activities, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have Value for customers, clients, partners, and society at large.” 1-7Copyright © 2013 Pearson Canada Inc.

8. What do people buy? People don’t buy products or services. Great big little thing…

9. What do people buy? People don’t buy products or services. People buy benefits. Great big little thing…

10. Marketing is the heart of business Until the marketers have done their job – no one else has anything to do. If marketers do bad work the business fails.

11. What do people buy? People have needs and those needs get satisfied by the benefits that the product or service offers. Those benefits come from unique features. People buy benefits. Great big little thing…

12. The Concept of Value A recipe between Benefit and Price The more benefits I get… The less I have to pay… The better the VALUE. Great big little thing… –People don’t buy bad value. It’s all about the benefits.

13. The Evolution of Marketing Copyright © 2013 Pearson Canada Inc.1-13 Production Orientation Selling Orientation An organization concentrated on what it was capable of producing. A quality product at a good price would sell itself. Companies believed the more they sold the more profit they would make. The “hard sell” was the basic philosophy of doing business.

14. The Evolution of Marketing Copyright © 2013 Pearson Canada Inc.1-14 Marketing Orientation The Marketing Concept: “Determining the needs and wants of a target market and delivering a set of satisfactions in such a way that a product is perceived as better value than competing products.” “Have it your way.” …Burger King

15. The Evolution of Marketing Copyright © 2013 Pearson Canada Inc.1-15 Socially Responsible Marketing Social Media Marketing “Conducting all operations in an ethical manner and in the best interests of consumers and society.” “An interactive communications process where brands and consumers engage with each other; a phase of marketing where some control of marketing has shifted to consumers.”

16. Socially Responsible Marketing Copyright © 2013 Pearson Canada Inc.1-16

17. Socially Responsible Marketing 1.Programs that conserve, preserve, and protect the environment – “sustainability” 2.Programs that support social causes (cause marketing) 3.Products, services and practices that are considered ethical. 1-17Copyright © 2013 Pearson Canada Inc. P. 8 describes how Kraft and Frito Lay implement SRM strategies.

18. Being Socially Responsible Copyright © 2013 Pearson Canada Inc.1-18 Toyota supports a worthwhile cause as part of its social responsibility initiatives.

19. Being Socially Responsible Copyright © 2013 Pearson Canada Inc.1-19 Green Works markets naturally derived cleaning products to meet the demand for environmentally friendly products.

20. Concern for the Environment Copyright © 2013 Pearson Canada Inc.1-20 Toyota has been a leader in the development of environmentally friendly automobiles.

21. Ethical Practices http://www.the-cma.org/regulatory/code-of-ethics The CMA Code of Ethics and Standards of Practice (the “Code”) is designed to establish and maintain standards for the conduct of marketing in Canada. Marketers acknowledge that the establishment and maintenance of high standards of practice are a fundamental responsibility to the public, essential to winning and holding consumer confidence, and the foundation of a successful and independent marketing industry in Canada. Members of the Canadian Marketing Association recognize an obligation – to the consumers and businesses they serve, to the integrity of the discipline in which they operate and to each other – to practise to the highest standards of honesty, truth, accuracy, fairness and professionalism.

22. The Market Copyright © 2013 Pearson Canada Inc.1-22 “A market is a group of people (or organizations - or both) Who have a similar need for products or services, Who have the resources to purchase the product or service, and the ability to purchase it.”

23. The Marketing Process Copyright © 2013 Pearson Canada Inc.1-23 The goal of marketing is to attract, retain, and maximize the value of a customer, so that organizational objectives (long term profits) are achieved. Typical objectives: an increase in sales, profit, market share, image improvement

24. The Marketing Process The Marketing Plan Assess Customer Needs Identify and Select a Target Develop Marketing Strategy Develop Customer Relationship Strategy Evaluation and Control 1-24Copyright © 2013 Pearson Canada Inc. Analysis Objective Setting Planning Execution and Measurement

25. Assessing Customer Needs An organization collects information about needs to determine if a market is worth pursuing. 1-25Copyright © 2013 Pearson Canada Inc. Market Analysis – Marketers consider market demand, sales potential, production capabilities and availability of resources. Consumer Analysis – marketers monitor social, demographic and behaviour changes to detect new product opportunities. Why did Coca-Cola launch Coca-Cola Zero? See p. 15 for details.

26. Target Market Identification and Selection A target market is a group of people to which a company markets its products. The target has something in common: age, education, lifestyle, activity. 1-26Copyright © 2013 Pearson Canada Inc. The Think Marketing box on p. 16 describes how Carslberg beer pursued a younger target.

27. Developing a Marketing Strategy: The Marketing Mix Product Price Marketing Communications Distribution Marketing Mix Consumer or Business Customer 1-27Copyright © 2013 Pearson Canada Inc.

28. Product Strategy A product may possess tangible and intangible characteristics. Product decisions are numerous and embrace: Quality Features Brand Name Image Size Format Service Package Design 1-28Copyright © 2013 Pearson Canada Inc.

29. Product Differentiation “A strategy that focuses marketing activity on the unique attributes or differential advantages of a brand to distinguish it from other brands.” 1-29Copyright © 2013 Pearson Canada Inc. ….Think fresh. Eat fresh. Made from Canada

30. Price Strategy Establishing a fair and equitable price for customers while being profitable for the organization. Price decisions consider the following:  Cost of manufacturing a good  Desired profit level  Degree of competition 1-30Copyright © 2013 Pearson Canada Inc. Question: Apple sets its prices above the competition. How is that justified?

31. Distribution Strategy The selection and management of marketing channels and the physical distribution of products. Producers of Goods Distributors of Goods Consumer A marketing channel is a series of firms that participate in the flow of goods and services from producers to final users. 1-31Copyright © 2013 Pearson Canada Inc. Wholesalers and Retailers

32. Marketing Communications Strategy Marketers now focus on an “integrated marketing communications” (IMC) strategy. “The coordination of relevant forms of marketing communications in a unified program that maximizes the impact on consumers is referred to as integrated marketing communications.” Key decision areas are: What message to deliver What media or other forms of communications to deliver the message 1-32Copyright © 2013 Pearson Canada Inc.

33. IMC Mix 1-33Copyright © 2013 Pearson Canada Inc. The IMC Mix is comprised of: Media Advertising (traditional media such as TV, radio, magazines, newspapers, and outdoor; and interactive media such as the Internet, social media and mobile communications. Sales Promotions which offer incentives to encourage purchases. Public Relations communications to improve brand image and reputation. Experiential Marketing which engages consumers with brands in personal ways.

34. Building Relationships and Customer Relationship Management Copyright © 2013 Pearson Canada Inc.1-34 Marketing today is about building relationships - relationships with channel members and consumers Relationships of loyalty and referral. CRM refers to strategies that optimize profitability, revenue, customer retention, and customer satisfaction. Successful CRM programs rely on a strong internal data management system.

35. Visual Model Copyright © 2013 Pearson Canada Inc.1-35

36. Under the Influence is a Canadian radio documentary series, presented by Terry O'Reilly, about the changing world of marketing for CBC Radio One. It premiered on January 7, 2012. http://www.cbc.ca/radio/undertheinfluence/when-brands-mock-other-brands-1.2801749

37. Homework For Monday Sept 21, 2015 Please read Chapters 1 & 2 Hand in the UTI #1

38. Dual Credit Registration Go to www.earndualcredits.cawww.earndualcredits.ca

44. Submission Completion Once you have clicked on Submit, your information goes directly to the Registrar’s Office at Fleming College. It takes approximately 24 hours for this information to be entered and you assigned a student number. I will email Mr. Jensen the list of student names and corresponding student ID numbers on Friday morning. Monday Sept 21 st we will browse through the D2L learning system.