Marketing

What is Strategic Planning?

• Tailor messages for different products (Season tickets, group sales, suites and premium seating, party areas, flex plans, and single-game tickets) 

• Approach each target market differently (Traditional media, social media, grassroots) 

  • Plans are shaped by organizational missions

What are Mission Statements?

Provides a standard to ensure that the business never strays too far from its core goals and values through changing times 

What do Mission Statements ask?

• Statess organization’s purpose and what it wants to accomplish in larger environment/ 

• Answering the following questions — What is our business, who is our customer, what is our value to the customer, what should our business be? 

• It should — be fovused on a limited number of goals, be customer-oriented and focused on consumer wants and needs, capture a shared purpose and provide motivation for the employees of the firm 

What is Market Orientation?

Emphasizes company strengths 

Focuses on customers and the customer experience the company seeks to create 

• Product oriented — “We are an online social network” “We make cosmetics” 

• Market Oriented — “To give people the power to build community and bring the world closer together” “We sell lifestyle and self-expression; success and status, memories, hopes and dreams” 

What are the Key Components of the Marketing Plan?

Executive summary>Situation analysis>marketing strategy>financials>controls 

What is Executive Summary? (MARKETING PLAN)

Summarizes the marketing plan’s main points 

What is Situation Analysis? (MARKETING PLAN)

Analyzes the environment within the following key sections: market summary, swot analysis, competition 

What is Marketing Strategy? (MARKETING PLAN)

Defines the target market and outlines the positioning and marketing mix strategies based on specific measurable and realistic objectives. 

Set of actions taken to meet organizational objectives 

• Specific, measurable, realistic 

• Target markets & positioning 

What is Financial? (MARKETING PLAN)

Details the financial projections, including the sales and expense forecasts and break-even analysis 

What are Controls? (MARKETING PLAN)

Proposes how to monitor and adjust the plan through the following key items: 

• Implementation, organizational structure, contingency planning 

 

What is Marketing Summary (Apart of Situational Analysis)?

• Gives a perspective of overall trends 

• BSG (Boston Consulting Group) Matrix 

• Indentifies opportunities for growth locally, nationally, and internationally. 

  • BCG Index, SWOT analysis, Competition Analysis

What is the BCG Index?***

What is SWOT analysis?

• Internal — strengths (internal capabilities), weaknesses (internal limitations) 

• External:

• Opportunities — external factors that a firm may be able to capitalize on to meet or exceed needs (Brewers going to the world series) 

• Threats — current or potential factors that may change the firm’s perfornace (Avian flu if you’re a chicken farmer) 

What is Competition Analysis***

Direct & Indirect Competition

What are the Phases of Marketing Strategy

Planning>Implementation>Control

What is Implementation in Marketing Strategy?

• Product-Value Creation 

• Price-Value Capture 

• Promotion-Value Communication 

• Place-Value Delivery 

What are Controls in Marketing Strategy?

While the “controls” step in planning sets out how action will be carried out by who, the control part of the marketing strategy: 

• Evaluates performance 

• Course corrects (implements contingency plans) if things go awry 

• Fine tunes strategy based on consumer feedback. 

What are the different growth strategies?

Market Penetration, Marketing Development, Product Development, Diversification

What is Market Penetration (GROWTH STRAT)?

More sales to current customers 

• Add more stores 

• Improve advertising 

• Improve prices 

What is Marketing Development? (GROWTH STRAT)

New markets for current products 

• New demographic markets 

• New geographic markets 

What is Product Development? (GROWTH STRAT)

Modified or new products to current market 

• Instant coffee 

• Other flavors 

• Other drink categories 

What is Diversification (GROWTH STRAT)?

Starting up or buying business beyond current products/market 

• Other product categories like health & wellness areas 

What are some Price Strategies in a Global Context?

• Exporting (Lower risk, lower return) — Selling domestically produced products to foreign markets 

• Licensing — legal process where one firm pays to use or distribute another firm’s resources 

• Franchising — Contractual agreement in which the franchisor provides a local owner-operator the right to use its name and marketing and operational support in exchange for a fee and share of profits 

• Joint venture — domestic firm partners with foreign company to create a new entity in a foreign market 

• Direct ownership (Higher risk, higher return— domestic firm actively manages foreign company or overseas facilities 

What are the Different forms of Analytics?

• ROMI (Return on marketing investment) 

• Isolate the metrics of how successful your brand is. What are you trying to achieve with your marketing? 

• Revenue Analysis 

• Market Share Analysis 

• Profitability Analysis 

What is a Brand?

Name, term, sign, design, or a combination intended to identify the goods/services of a firm and to differentiate them from competitors 

What does a Brand do?

A Brand identifies and differentiates a firm’s product 

• Brand loyalty contributes to a firms’ long-term success and profitability 

• Brand recognition — consumers often frow attached to certain brand logos and symbols 

• Brand image signifies what the brand stands for in the mind of others 

What are the components of a successful brand?

• Deliver a product that provides value 

• Create a consistent brand image 

• Create consistent messaging 

• Capture feedback 

What is Brand Equity?

Goodwill that an established brand has built over its existence 

As brand value increases, firms achieve: 

• Higher market share 

• Increased brand loyalty 

• Able to charge higher premiums 

• Revenue premium (increase) 

How do you Measure Brand Equity?

• Awareness — Recall (commonly used names can be bad), recognition 

• Measuring Brand Awareness — Direct traffic, search volume, social listening/media monitoring (How much matters—but what they say matters more) 

What does Brand Asset Valuator test?

Differentiation — The brand’s point of difference 

Relevance — How appropriate the brand is to you 

Esteem — How well regarded the brand is 

Knowledge — An intimate understanding of the brand 

What are the Different Branding Strategies?

Extension — Profit form recognition and acceptance a brand already has within a different product category 

• Rock Town Distillery — liquor to hand sanitizer category for covid 

• Tasty (Online content creator) 

Revitalization — Rebranding to rebuild trust 

• Cup foods George Floyd 

• Toyota “moving forward” — no breaks 

Co-Branding — Leverage the equity of another firm’s brand to increase own brand equity 

• Qdoba and Packers 

Private-label — Lower-cost alternatives to manufacture brands 

• Simple packaging signals value 

• Targets younger consumers, lower SES 

What are the different aspects of Promotion?

• In-store sales promotion 

• Campus visual awareness 

• Word of mouth 

• Online promotion 

What is a New Product?

Product:

• Goods 

• Services 

• Ideas 

• The experience after consumption 

What’s the modern trend with New Products?

• Faster & more economical transportation 

• Mass production 

• Rise of electronic communication 

What are the 7 Stages of New-Product Development?

1. Idea generation 

2. Idea screening 

3. Concept Testing 

4. Business analysis 

5. Product development 

6. Test marketing 

7. Commercialization 

What is Product Adoption?

Diffusion 

Consumer-Adoption Process:

• Awareness 

• Interest 

• Evaluation  

• Trial 

• Adoption 

What is the Diffusion of Innovation Theory?

There are multiple types of adopters 

• Innovators 

• Early adopters 

• Early majority 

• Late majority 

• Laggards 

What is the Product Life-cycle?

• Introduction Stage — has few or no competitors with slow increase of sales 

• Growth Stage — When sales, profits, and competition increase 

• Maturity Stage — When sales level and competition increases 

• Decline Stage — When products becomes unprofitable 

What are the differences between Products and Services?

• Products are tangible items that are part of an exchange between a buyer and a seller. Products can be seen, touched, owned, and stored 

• Services are intangible solutions that are also an exchange between buyer and seller. Unlike products, services cannto be touched, owned, or stored for later use. Another defining feature of a service is the customer is typically a part of the service expierience. Imagine buying tickets to your favorite band in concert. You will have to attend the concert to realize the full benefit of the service experience. 

• Services are different b/c they’re intangible, inseparable from product, perishable, variability 

What is SERQUAL?

Expected vs. Experienced/perceived service based on:

• Reliability 

• Responsiveness 

• Assurance 

• Empathy 

• Tangible 

Expected Service + Perceived Service > Service Quality > Customer satisfaction > Customer loyalty 

What are the 3 Additional P’s in the Marketing Mix for Services?

• People — Booking site, who you talk to on the phone to reserve, cleaning staff—every person you interact with is a touchpoint),

• Process — How service is delivered, step-by-step),

• Physical evidence — Tangible cues that signal quality—since services are intangible, people take in cues from the environment—hotel lobbies, thread count, fonts, cleanliness) 

What are Factors that Impact Price?

Supply and demand 

• Determines where price hits 

• Price elasticity (FUNDAMENTALS READING) 

Competition and the availability of substitutes 

• If a product is unique or one of a kind (Like iphones at first), you can charge a higher price 

• As competition and substitutes increase, price typically seems to decrease, or brands differentiate themselves 

Variable and fixed costs 

• Fixed costs are locations (Like when ppl sold phsyical business during COVID) (Variable changes depending on input products and stimuli) 

The economy and consumer confidence 

• If people feel the economy is unstable, they probably won’t make big purchases 

What is the Psychology of Pricing?

Price anchoring  

• Consumers rely on the first price they see to set their expectation 

• You may think they’re better than they are. 

Artificial time constraints 

• Trigger a sense of urgency 

• Limited time fall drink, so you’ll buy that obsessively 

• Limited time deals 

Price appearance 

• The less information (cents, commas, etc.) the easier it is to process 

• Longer prices appear heavier, more expensive 

• It’s only 1k—physically and financially lighter seeming 

What are Pricing Strategies?

Skimming — High price point to communicate quality 

• Just a trim instead of a haircut—Just trying to take the top off the consumer pool 

• Differentiate based on Quality. Innitially starting out. Niche marketing. Emphasize quality—we have a product that’s only trying to capture a certain audience 

Penetration: low price point to undercut competitors 

• Walmart uses it—doesn’t do well in other countaries 

Competitive: Price point similar to competitors to encourage customers to evaluate products (forces brands to differentiate) 

• What sets them apart? Have some other differentiating characteristics than just price 

Yield Management — Companies segemented customers into groups willing to pay different prices for the same product 

• Airlines—you’re always going from A to B. But people will spend different money depending on timing and such. Different classes of seats—perferred economy (just farther forward) 

What are Aditional Pricing Strategies?

Mark-up (most common and easiest) (COST plus) Pricing; 

• Profit Margin = Money Eaerned – cost 

• Static price 

• Price Bundling 

Charge a higher price for bundles than individual items 

• Channel packages, Adobe Creative Suite 

• Netflix Hulu 

• Prestige Pricing 

Product priced higher than competitors to signal it is higher quality/esteem 

• Common for luxury brands like Louis Vuitton, Land Rover, and Starbucks 

What is Loss-Leader Pricing?

Causes financial loss for firm but might attract more customers 

• Eggs or dairy—But it’s okay because you’ll buy other things along the way that will make up the loss. 

What are Seasonal Discounts?

Prices lowered during off season to maintain customers and introduce new ones to the brand 

• Ice-cream is cheaper in winter 

• Disney in cold temperatures is cheaper to push customers to come during this time 

• Think of it as demand pricing based on seasons 

What is Odd/Even Pricing?

Odd pricing gives a feeling of a discount 

Even pricing is easier to process 

• %19.95 vs. %20.00 

Technology and Pricing Aspects?

Mobile applications 

• New era of pricing transparency 

• Price comparison apps, like GoodRX 

• Geolocation will track price sensitivity 

Dynamic Pricing 

• Grown explosively 

• Ex: Apartment prices fluctuate based on availability 

Name-Your-Own-Price 

• Auction site searches to match price set by consumer 

• Promotions income inclusivity