Marketing Concepts, Strategies, and Market Segmentation in Business

Marketing

How a business connects with people to solve problems and create value

Difference between marketing and advertising

Advertising is a tactic within the larger marketing strategy

4 Ps of the marketing mix

Product, Promotion, Place

Marketing compared to the queen in chess

Because it's versatile, powerful, and impacts every area of business strategy

Difference between selling concept and marketing concept

The marketing concept listens first, then creates based on customer needs

Unique detail of the student's candle business

Labels featuring Oklahoma sunsets

Fun name of the smoothie stand

Campus Coolers

Primary focus of marketing

Creating value for customers and building strong relationships

Marketing concept emphasis

Understanding customer needs and delivering satisfaction better than competitors

Element of the marketing mix for product availability

Place

Value-driven marketing strategy factor

Customer experience

Ongoing process of gathering market information

Marketing research

Main goal of marketing research

To collect and analyze consumer information to guide strategy

Type of research for cause-and-effect relationships

Causal research

Example of secondary data

Industry reports from Mintel

Net Promoter Score (NPS)

Willingness to recommend a brand

Common mistake in survey design

Not clearly defining the survey objectives

Activia Yogurt primary research insight

Consumers were unaware of Activia's health benefits.

Activia Yogurt packaging preference

Most customers disliked traditional yogurt packaging.

Activia Yogurt consumer self-criticism statistic

80% of women ages 25-55 said they were their own worst critic.

Activia Yogurt preference statistic

Women prefer Greek yogurt over regular yogurt.

Walmart candy sales trend

Candy sales spike before school starts.

Walmart Pop-Tarts sales trend

Pop-Tarts sales spike before hurricanes.

Walmart ice cream sales trend

Ice cream sells more during winter months.

Walmart milk sales trend

Milk sales increase after the holidays.

Marketing research definition

Collecting and analyzing information to guide business decisions.

Causal research

Type of marketing research used to identify cause-and-effect relationships.

Product spike before hurricanes

Pop-Tarts.

Common survey design mistake

Failing to build the survey around the research question.

Market segmentation purpose

To divide the market into smaller groups with shared traits for more effective marketing.

Psychographic segmentation

Segmentation method that focuses on lifestyle, values, and attitudes.

Concentrated (niche) marketing strategy

Focusing on a highly specialized, well-defined market segment.

Target market evaluation question

Is the segment sizable, accessible, and congruent with our brand?

Buyer persona

A fictional but research-based representation of your ideal customer.

Usage behavior segmentation example

Nike making shoes for runners and soccer players.

Geographic segmentation example

Chick-fil-A serving sweet tea in the South and unsweet tea in the North.

Demographic segmentation example

Targeting luxury sports cars to high-income professionals

Geographic segmentation

Involves adjusting products or marketing strategies based on customer location and climate.

Positioning

The process of clearly defining how a product stands out in the minds of consumers.

Unique Selling Proposition (USP)

A product's most compelling benefit stated simply and clearly.

Positioning matrix

A tool used to visually compare brands based on key customer values.

Niche positioning

A strategy that focuses on a specific segment of the market, often highlighted through unique branding.

Positioning statement

A statement that outlines how you want your brand to be perceived in the minds of your target audience.

Repositioning

The process of changing the way a product is perceived in the market.

Under-positioning

A critical risk where a product is not clearly defined in the market, leading to consumer confusion.

Effective niche positioning

Utilizing unique branding strategies to stand out in a crowded market.

Common positioning mistake

Making claims customers don't believe.

Main benefit of a positioning matrix

It visually shows how customers view your brand relative to competitors.

Purpose of creating a buyer persona

To humanize the target market with a semi-fictional customer profile.

Purpose of a positioning statement

To clearly outline how you want your brand to be perceived in the minds of your target audience.

Purpose of positioning in marketing

To clearly define how a product stands out in the minds of consumers.

Biggest risk of not having clear positioning

Customers not understanding why they should choose your product.

Main purpose of repositioning

To freshen up your messaging and capture more market share.

Example of psychographic segmentation

Patagonia appealing to eco-conscious lifestyles.

Example of geographic segmentation

Chick-fil-A offering sweet tea in the South and unsweetened in the North.

Positioning strategy of Dr. Squatch

"Natural soap for men who want to feel like men."

Well-defined market segment characteristics

Identifiable, sizable, stable, accessible, and congruent.

Key benefit misunderstanding

Customers misunderstand the product's key benefit

Narrow target audience

The target audience becomes too narrow

High marketing costs

Marketing costs become too high

Competitors copying marketing

Competitors copy your marketing quickly

Dr. Squatch's positioning

Lowest cost in the market, Selling in large retail chains only, Premium packaging and celebrity endorsements, Natural ingredients and brand personality targeting men

First stage of Buyer Behavior Process

Need recognition

Consideration set

A short list of brands or products a consumer compares before making a decision

Comparing options stage

Evaluation of alternatives

Key tactic for high-involvement purchases

Provide detailed product information and post-sale support

Post-purchase loyalty encouragement

Send follow-up emails, thank you notes, and request reviews

Company using handwritten cards

Chewy

Brand creating need recognition

HelloFresh

Identifying a gap stage

Need Recognition

Internal search in Information Search stage

Recalling a past personal experience

Company enhancing post-purchase loyalty

Chewy

Stage influenced by promotions

Purchase

Main goal in Post-Purchase stage

Encourage immediate repeat buying

Core benefit in product marketing

The fundamental value or need the product fulfills

Not a characteristic of services

Transferability

Primary purpose of product packaging

To communicate the brand, protect the product, and meet legal requirements

Stage marked by intense competition

Growth

Customer Lifetime Value (CLV)

The total revenue a customer brings over their entire relationship with a business

Service Blueprint

To map out visible and invisible service elements for consistency and improvement

Services vs Products

Services are intangible acts

Product Management Example

When Apple removed the headphone jack from its iPhones, it was an example of shifting expected attributes through product management

Shopping Products

Which product category involves customers comparing features and prices before making a purchase?

Maturity Stage

In the product life cycle, characterized by sales leveling off and the focus shifting to holding market share

Kize Raw Energy Bar Packaging Change

Made flavor names visible when boxes were opened

Brand Definition

The story, emotions, and expectations connected to a product or company

Functions of a Strong Brand

Identifying the seller and differentiating the seller

Brand Equity

The added value a brand gives beyond the product itself

Major Branding Strategies

Generic Branding is NOT a major branding strategy mentioned in the video

Branding vs Positioning

Branding creates recognition; positioning creates preference

Children's Food Choice Example

McDonald's branded carrots vs plain carrots

HelloFresh Branding Tactic

Clean, healthy, family-friendly visuals with a green lime logo

Brand Equity Definition

The additional value a brand name adds beyond the product itself

Umbrella Branding

Which branding strategy uses a single master brand name for all products?

Branding vs Positioning Difference

Branding is identity; positioning is strategy

Steps in Creating a Brand

Increase Market Share is NOT one of the four steps in creating a brand

Brand Protection Example

Tiffany blue was used to illustrate the importance of brand protection through trademarks