The document provides an overview of key marketing concepts. It begins by defining marketing as creating value for customers through satisfying needs and building relationships. It then discusses the marketing process and exchange transactions. Subsequent sections cover the marketing mix of product, price, place, and promotion strategies. The document also discusses segmenting and targeting markets, developing competitive advantages, and creating marketing strategies. It explores concepts such as the consumer decision process, marketing research methods, branding, and promotional tools like advertising.
DGR_Digital Advertising Strategies for a Cookieless World_Presentation.pdf
MKTG OVERVIEW: 4PS, SEGMENTATION & TARGETING
1. MARKETING OVERVIEW
Prepared by Mark Young
Assistant Professor of Applied Business
University of Alaska Fairbanks Community and Technical College
2. Marketing- set of processes for creating, communicating,
and delivering value to customers and for managing
customer relationships in ways that benefit the
organization and its stakeholders.
Marketing begins with discovering unmet customer needs and
continues with researching the potential market; producing a good
or service capable of satisfying the targeted customers; and
promoting, pricing, and distributing that good or service.
Throughout the entire marketing process, a successful organization
focuses on building customer relationships.
The best marketers not only give consumers what they want but
even anticipate consumers’ needs before those needs surface.
Exchange process- activity in which two or more parties
give something of value to each other to satisfy
perceived needs.
What Is Marketing?
3. Marketing Mix blends the four strategies to fit the
needs and preferences of a specific target market.
→ Product strategy involves the nature of the product and its
package design, brand names, trademarks, and product
image.
→ Distribution strategy ensures that customers receive their
purchases in the proper quantities at the right times and
locations.
→ Promotional strategy blends advertising, personal selling,
sales promotion, and public relations to achieve its goals of
informing, persuading, and influencing purchase decisions.
→ Pricing strategy is setting profitable and justifiable prices for
the firm’s product offerings, sometimes subject to government
scrutiny.
Marketing Mix
5. (1) people or organizations with
(2) needs or wants, and with
(3) the ability and
(4) the willingness to buy.
A group of people that lacks any one of these
characteristics is not a market.
A MARKET IS...
6. MARKET SEGMENTATION
6
Market
People or organizations with
needs or wants and the ability
and willingness to buy.
Market
Segment
A subgroup of people or
organizations sharing one or more
characteristics that cause them
to have similar product needs.
Market
Segmentation
The process of dividing a market
into meaningful, relatively similar,
identifiable segments or groups.
8. THE IMPORTANCE OF MARKET
SEGMENTATION
8
Markets have a variety of product
needs and preferences
Marketers can better define
customer needs
Decision makers can define objectives
and allocate resources more accurately
9. CRITERIA FOR SEGMENTATION
9
Substantiality
Segment must be large
enough to warrant a special
marketing mix.
Identifiability
and
Measurability
Segments must be identifiable and
their size measurable.
Accessibility
Members of targeted segments
must be reachable with
marketing mix.
10. BASES FOR SEGMENTING CONSUMER
MARKETS
10
Segmentation
Bases
Characteristics of individuals,
groups, or organizations used
to divide a total market into
segments.
(variables)
12. STRATEGIES FOR SELECTING TARGET
MARKETS
12
A group of people or
organizations for which an
organization designs,
implements, and maintains a
marketing mix intended to
meet the needs of that group,
resulting in mutually
satisfying exchanges.
Target
Market
15. MULTI-SEGMENT TARGETING STRATEGY
15
A strategy that chooses two or
more well-defined market
segments and develops a
distinct marketing
mix for each.
Multisegment
Targeting
Strategy
21. STRATEGIC PLANNING
21
Strategic
Planning The managerial process of
creating and maintaining a fit
between the organization’s
objectives and resources and
evolving market opportunities.
The goal is long-term
profitability and growth.
23. WHY WRITE A MARKETING PLAN?
23
Provides a basis for comparison of actual
and expected performance
Provides clearly stated activities to work
toward common goals
Serves as a reference for the success of
future activities
Provides an examination of the
marketing environment
Allows entry into the marketplace with awareness
24. DEFINING THE BUSINESS MISSION
Answers the question,
“What business are we in?”
Focuses on the market(s)
rather than the good or service
Strategic Business Units (SBUs) may
also have a mission statement
24
26. MARKETING OBJECTIVES
26
Realistic
Measurable
Time specific
Consistent with
and indicate the
organization’s
priorities
“Our objective is to achieve
10 percent dollar market
share in the cat food
market within 12 months of
product introduction.”
29. ENVIRONMENTAL SCANNING
29
Environmental
Scanning
The collection and interpretation
of information about forces,
events, and relationships in the
external environment that may
affect the future of the
organization or the
implementation
of the marketing plan.
33. PRODUCT/SERVICE DIFFERENTIATION
33
Product / Service
Differentiation
Competitive
Advantage
The provision of something
that is unique and valuable
to buyers beyond simply
offering a lower price than
the competition’s.
39. MARKETING STRATEGY
39
Marketing
Strategy
The activities of selecting and
describing one or more target
markets and developing and
maintaining a market mix that
will produce mutually
satisfying exchanges with
target markets.
40. TARGET MARKET STRATEGY
Segment the market based on
groups with similar characteristics
Analyze the market based on attractiveness
of market segments
Select one or more target markets
40
41. THE MARKETING MIX
41
Marketing Mix A unique blend of product,
distribution, promotion, and
pricing strategies designed to
produce mutually satisfying
exchanges with a target market.
44. CONSUMER BEHAVIOR
44
Consumer
Behavior
Processes a consumer uses to
make purchase decisions, as
well as to use and dispose of
purchased goods or services;
also includes factors that
influence purchase decisions
and the product use.
57. SOURCES OF SECONDARY DATA
57
Government Agencies
Trade and Industry Associations
Business Periodicals
News Media
Internal Corporate Information
Online
http://www.coca-colastore.com
58. PLANNING THE RESEARCH DESIGN
58
Which research
questions
must be answered?
How and when
will data be
gathered?
How will
the data
be analyzed?
?
60. SURVEY RESEARCH
60
Survey Research The most popular technique
for gathering primary data in
which a researcher interacts
with people to obtain facts,
opinions, and attitudes.
61. FORMS OF SURVEY RESEARCH
61
Focus Groups
Executive Interviews
Mail Surveys
Telephone Interviews
Mall Intercept Interviews
In-Home Interviews
63. QUESTIONNAIRE DESIGN
63
Clear and concise
No ambiguous language
Unbiased
Reasonable terminology
Only one question
Online
http://www.createsurvey.com
64. OBSERVATION RESEARCH
64
Observation
Research A research method that relies on
three types of observation:
people watching people
people watching an activity
machines watching people
66. ANALYZING THE DATA
66
Cross-
Tabulation A method of analyzing data that
lets the analyst look at the
responses to one question in
relation to the responses to one or
more other questions.
67. PREPARING AND PRESENTING THE
REPORT
Concise statement of the research objectives
Explanation of research design
Summary of major findings
Conclusion with recommendations
67
69. WHAT IS A PRODUCT?
69
Product
Everything, both favorable and
unfavorable, that a person
receives in an exchange.
Tangible Good
Service
Idea
70. TYPES OF CONSUMER PRODUCTS
70
Market
Development
Diversification
Increase market share among
existing customers
Attract new customers to
existing products
Introduce new products
into new markets
Create new products for
present markets
Convenience
Product
Shopping
Product
Specialty
Product
Unsought
Product
A relatively inexpensive item that
merits little shopping effort
A product that requires comparison
shopping, because it is usually more
expensive and found in fewer stores
A particular item for which
consumers search extensively and
are reluctant to accept substitutes
A product unknown to the potential
buyer or a known product that the
buyer does not actively seek
72. HOW SERVICES DIFFER FROM GOODS
72
Intangible
Inseparable
Heterogeneous
Perishable
73. PRODUCT ITEMS, LINES, AND MIXES
73
Product Item
Product Line
Product Mix
A specific version of a product
that can be designated as a
distinct offering among an
organization’s products.
A group of closely-related
product items.
All products that an
organization sells.
75. BRAND
75
Brand
A name, term, symbol, design,
or combination thereof that
identifies a seller’s products
and differentiates them from
competitors’ products.
76. BRANDING
76
Brand
Name
Brand
Mark
Brand
Equity
That part of a brand that can be spoken,
including letters, words, and numbers
The elements of a brand that
cannot be spoken
The value of company and brand names
Global
Brand
A brand where at least 20 percent of the
product is sold outside its home country
81. THE ROLE OF PROMOTION
81
Promotion
Communication by
marketers that informs,
persuades, and reminds
potential buyers of a
product in order to influence
an opinion or elicit a
response.
82. THE ROLE OF PROMOTION
82
Promotional
Strategy
A plan for the optimal use of
the elements of promotion:
Advertising
Public Relations
Sales Promotion
Personal SellingCompetitive
Advantage
83. THE ROLE OF PROMOTION
IN THE MARKETING MIX
83
Overall Marketing
Objectives
Marketing Mix
• Product
• Place
• Promotion
• Price
Target Market
Promotional Mix
• Advertising
• Public Relations
• Sales Promotion
• Personal Selling
Promotion Plan
84. THE PROMOTIONAL MIX
84
Promotional
Mix
Combination of promotion
tools used to reach the
target market and fulfill the
organization’s overall goals.
Advertising
Public Relations
Sales Promotion
Personal Selling
85. THE PROMOTIONAL MIX
85
Advertising Impersonal, one-way
mass communication about
a product or organization
that is paid for by a
marketer.
87. PUBLIC RELATIONS
87
Public
Relations
The marketing function that
evaluates public attitudes,
identifies areas within the
organization that the public
may be interested in, and
executes a program of action
to earn public understanding
and acceptance.
88. THE FUNCTION OF PUBLIC RELATIONS
Maintain a positive image
Educate the public about the company’s objectives
Introduce new products
Support the sales effort
Generate favorable publicity
88
90. STAGE IN THE PRODUCT LIFE CYCLE
90
Light
Advertising;
pre-
introduction
publicity
Heavy use of
Advertising;
PR for
awareness;
sales
promotion
for trial
AD/PR
decrease;
limited
sales
promotion;
personal
selling for
distribution
Ads decrease;
sales
promotion;
personal
selling;
reminder &
persuasive
Advertising,
PR, brand
loyalty;
personal
selling for
distribution
Introduction Growth
Maturity
DeclineSales($)
Time
91. GOALS AND TASKS OF PROMOTION
91
Informing Reminding
Persuading
Target
Audience
PLC Stages:
Introduction
Early Growth
PLC Stages:
Growth
Maturity
PLC Stages:
Maturity
92. THE AIDA CONCEPT
92
AIDA Concept
Model that outlines the
process for achieving
promotional goals in terms
of stages of consumer
involvement with the
message.
95. ALTERNATIVE MEDIA
95
Ads in Movies
Interactive Kiosks
Computer
Screen Savers
Shopping Carts
DVDs
Advertainments
Cell Phone Ads
Subway Tunnel Ads
Floor Ads
Video Game Ads