Sales and Marketing Final (video + post-midterm slides)

If you satisfy one patient, how many patients do you gain?

1. A satisfied patient will return and probably not comment about the good to their families because it is inherently expected.

If you dissatisfy one patient, how many patients do you lose?

5. The patient will be more likely to badmouth the organization than they are to praise it.

What is are the core weaknesses of tech speakers?

They suck and they go long

What are the 3 key pillars of enchanment?

Likeability, trustworthiness, and quality

Where does likeability start?

With a good smile.

What kind of smile do you want to avoid?

Pan-Am smiles --> fake smile

What kind of smile do you want to have?

Duchenne smile; characterized by the addition of usage in eye muscles in the smiling process. Gives you crow's feet.

How must you dress for marketing?

Dress for a tie --> do not under-dress or over-dress. Aim for equal-dressing, as it indicates you are equal.

Under-dressing says what?

"I don't respect you"

Over-dressing says what?

"I am better than you"

What is part of a good handshake?

Eye contact throughout, appropriate verbal greeting, Duchenne smile, fim grip, and for about two or three seconds

Why is it important to be trustworthy?

You can be likeable, but still not trust someone- and hence, you will lose the sale. Celebrities are people we like, but often do not trust

If you want to be trusted, what must you do first?

Trust others first. Amazon has a great return policy because they trust people to return things, hence, the consumer trusts Amazon more

Should you be a baker or an eater?

Be a baker. Do not see the world as a zero-sum game.

What sort of attitude must you default to in order to gain trust?

Say "yes" to everything. Always wonder how can you help someone instead of what can this person do for you.

How do you get perfect products?

Follow the DICEE model and make products following it:

D --> Deep (many features, can do a lot of things)

I --> Intelligent (there was thought put behind it)

C --> Complete (should be a totality of services and product)

E --> Empowering (products shouldn't fight you)

E --> Elegance (solid user interface)

What is an example of an intelligent product?

A vehicle that caps speed when it knows the driver is very young/the parent can put a cap on speed.

How should you describe DICEE products?

In short, sweet, swallowable terms

Ex: If you see something, say something.

Rather than a mission statement, what does Guy Kawasaki suggest organizations to do instead?

Make Mantras. Two or three words.

Ex: Democratize Design (Target)

Ex: Peace of mind (Fed-Ex)

In order to build quality products, why is it critical to conduct a premortem?

Pretend to fail, and come up with reasons why we failed, and then eliminate the reasons we do fail

You don't really get much out of a postmortem

Why should you avoid asking "does anyone have any questions"

Enemies can be created unintentionally, and productivity can be hampered. This is why you do pre-mortems.

Is telling a story a good way to build quality?

Yes. It makes people more attached.

What is the opposite test?

Products being described as the opposite as how your competition is describing their competition.

Everybody is saying the same things.

What does it mean to plant many seeds?

Cover the earth; create products that are very easy to use so you can attract as many people as possible

Type 1 marketing

Sucking up to famous outlets and famous people and hope these oracles like your product, and then advertise your products to you. Hierarhcial structure

Type 2 marketing

Power to the nobodies. Twitter, Facebook, etc. users love a product and share it with their followers, who then share it with theirs.

Do big magazines report on success or create success in marketing?

Report on it. The nobodies create success, they love something and stick by it.

Why is it important to use salient points?

Because people don't think in business terms. People don't think in gigabytes, they think in numbers of songs on their phone. People don't think in miles/gallon, they think in yearly costs.

Is it important to overcome resistance to enchantment?

Yes, it is key to overcome resistance. Seek to change minds in as many ways as possible so you can gain support you thought you never were able to have before.

Why is it important to provide social proof?

It creates a peer pressure effect. Think the Airpods effect. People who have them are noticeable, and it makes more people want to buy Airpods instead of random earbud.

Social proof contributes heavily to marketing success.

Why is it important to agree on something?

If you can agree on something, you can forge relationships and use that as a path forward.

Why is it important to enchant all the influencers?

Families have different people who influence them, whether it be the father, daughter, mom, etc. --> if you enchant all of them, you increase your chance of marketing success

Why is it important to endure?

It pulls people towards you rather than push them away. A band who encourages their fans to record their songs during concerns gets a lot more love and loyalty than one that sends copyright enfocement.

Why is it important to build an ecosystem?

When everything interconnects, the greater likelihood people come in, get more and more involved, and less likely to leave.

Why is it important to invoke reciprocation?

Because the feeling of reciprocation is so strong. It makes lifelong bonds and connections, and you build loyalty.

What is the optimal response to thank you?

You're welcome, I know you would do the same for me. --> it is a double sided blade.

Why is it important to enable people to pay you back?

If people feel like they owe you, they won't ask you to do things for them. You are doing them a favor by letting them pay you back.

Is it important to be a good presenter?

Yes. it is a key to enchanting.

What are the aspects of a good presentation?

#1: Customize the introduction (more personable/relatable)

#2: Sell your dream (iPhone is not the same as $188 of parts, it is cool and revolutionary and has an app for everything)

#3: 10 slides in 20 minutes using 30 pt. font (10/20/30 rule)

How do you use technology to enchant?

#1: Remove the speedbumps (obstacles make people hate)

#2: Provide value (information, insights, assistance)

#3: Engage (respond fasting, be flat in response, be frequent)

How do you enchant your boss?

Drop everything else and do what you are asked to do.

Prototype things fast, don't do things last minute.

Deliver bad news early, as nobody likes bad surprises and you are given more time to fix things.

How do you enchant people who work below you?

Provide a MAP, empower their actions, and suck it up (do dirty jobs)

M- Master new skills

A - Autonomously working

P - Purpose in the work.

What is a key point in delegation?

Only ask people to do things that YOU are willing to do, and prove it first

What are the 10 key points of enchantment?

#1: Achieve Likeability (like a shoe shiner)

#2: Achieve Trustworthiness (like Amazon/Zappos)

#3: Achieve Quality (via DICEE) (like Apple)

#4: Launch your product (plant many seeds & tell stories)

#5: Overcome resistance (social proof, enchant all influencers)

#6: Make your enchantment enduring

#7: Master presentation (10/20/30 rule, customized intro)

#8: Use technology (remove speedbumps)

#9: Enchant up (prototypes, drop everything for boss)

#10: Enchant down (use the MAP format, do the dirty work)

What is mass marketing?

Developing a marketing mix to appeal to the broadest group of people.

How do consumers in the market want products?

Products with the same Pricing, which are both Promoted and Delivered the same way.

What is the biggest advantage of mass marketing?

There is a significant cost-advantage.

What is the biggest disadvantage of mass marketing?

People have different demands. needs, and habits.

A mass marketing methodology may miss out due to casting to wide and too general of a net

What is market segmentation?

The process of dividing a market into meaningful, relatively similar, and identifiable segments or groups

The grouping of consumers into clusters of those with similar wants or needs.

What is the advantage of market segmentation?

Organizations are able to tailor one or more elements of the marketing mix when their consumers are divided into clusters & segments.

What parts of the marketing mix can be tailored when using market segmentation?

All of them: price, product, place, and promotion can all be tailored to respond to a certain consumer cluster

What is a concentration strategy?

A strategic approach in which a business focuses on a single market or product.

This allows the company to invest more resources in production and marketing in that one area.

What is the biggest weakness of a concentration strategy?

It carries the risk of significant losses in the event of:

A drop in demand

Increase in the level of competition.

What is a multi-segment strategy?

Through research, marketers divide potential customers into groups based on common sets of characteristics.

These traits pinpoint similar professions, income levels, geographic groups, lifestyles, aspirations and perceptions.

When companies target more than one segment, they practice multi-segment marketing

What is the goal of a multi-segment strategy?

For an organization to chooses two or more well-defined market segments and developing a distinct marketing mix for each in hopes of better results for each

How many segments does a concentration strategy target?

One segment

What is the niche strategy?

Catering to a very narrow segment of the market.

When is a niche strategy most useful?

When a business has a good or service with features that appeal to a particular minority market subgroup

A typical product marketing using a niche strategy will be what?

Easily distinguished from other products.

And

Produced and sold for specialized uses within its corresponding niche market.

Pursing several market segments with varying marketing mixes is what kind of strategy?

A Multi-segment Strategy

What is product differentiation?

Product differentiation is a strategy whereby companies attempt to gain competitive advantage by offering value that is not available in other products or services.

What kind of strategy is product differentiation?

A positioning strategy that works best in a broader multi-segmented approach

When selecting market segments, what are the criteria?

-Identifiable

-Accessibility

-Motivated buyers

-Able buyers

-Profitability

-Desirability

-Consistency

-Availability

What is identifiable in terms of market segmentation?

Can we clearly define and recognize the group (demographics, behaviors, needs)?

What is accessibility in terms of market segmentation?

Can we reach this group through promotion or distribution channels?

What are motivated buyers in terms of market segmentation?

Does the group already show interest or need for what we offer?

Are the members inclined to buy the product/service?

What are able buyers in terms of market segmentation?

Does the group have the financial means to purchase our product or service?

What is profitability in terms of market segmentation?

Will targeting this group generate enough revenue to justify the investment?

What is desirability in terms of market segmentation?

Will associating with this group align positively with our brand's image?

What is consistency in terms of market segmentation?

Does this segment align with our brand messaging and values?

What is availability in terms of market segmentation?

Is this group currently loyal to another brand, or are they open to switching?

What are the bases for segmentation?

-Sociodemographic

-Geographic

-Psychograpic

-Usage

-Cohort

What are the sociodemographic bases?

Age, gender, ethnicity

What are the geographic bases?

Physical location/area of residence

What are the psychographic bases of segmentation?

Lifestyles, social class

What are the usage bases of segmentation?

Usage rates, types of usage, brand loyalty

What is the heavy-half consumer in relation to usage rates?

The 80/20 (pareto) principle:

20% of your consumers account for 80% of your product sales.

What is type of usage in relation to usage rates?

How the product/service is used.

Ex: Orange juice manufacturers can develop different marketing mixes geared to different types of usage segments

What is brand loyalty?

A favorable attitude toward and consistent purchase of a single brand over time

What is hardcore loyalty?

Consumers who buy only one brand all the time

What are split loyalists?

Consumers who are loyal to two or three brands

What are switchers?

Consumers who show no loyalty to any brand (typically, they just look at price)

What is benefit segmentation?

The process of grouping customers into market segments according to the benefits they seek from the product

What is cohort segmentation?

Grouping of consumers bound together in history by a set of events.

What are some examples of cohorts created by cohort segmentation?

-Depression-era consumers

-WWII consumers

-Post-war consumers

-Boomers I & II

-Generation X

-N-Gen

-Millenials

-Gen Z

When segmenting business markets, what is is most often looked at?

-Demographocs

-Operating variables

-Purchasing approaches

-Usage segmentation

What are demographics in relation to segmenting business markets?

The size of the company, the industry type, and the customer's location.

What are operating variables in relation to segmenting business markets?

The technology, product use, and customer capabilities.

What are purchasing approaches in relation to segmenting business markets?

Purchasing procedures, purchasing criteria

What is usage segmentation in relation to segmenting business markets?

Grouping people based on product usage or purchase.

Of all the segmentation strategies, which one is the most valuable?

Usage segmentation

An segmentation strategy that divides the market based on the percentage of a product that consumers buy/services is what?

Usage segmentation

What are healthcare marketers attempting to determine in terms of heuristics of segmentation?

If segmenting and tailoring offerings to a segment is even worth the time/effort.

What do healthcare marketers want to affect?

The actual purchase, which is the most accurate level of market segmentation

What should healthcare marketers describe in terms of segmentation?

-Several possible methods for segmenting the market, whether targeting individuals or companies.

-The most helpful way to segment

-Comparing alternative segmenting methods

What is health-care starting to act more like?

Traditional business vis-a-vis market segmentation strategies

Healthcare organizations are starting to behave like regular companies by using business-style marketing strategies, especially when dividing up their target audiences.

What is one of the most important things to develop?

Customer loyalty

What is relationship marketing?

An organization's attempt to develop a long-term, cost-effective link with a customer for the benefit of both parties

Relationship marketing provides what kind of shift to transactions?

From individual transactions to the establishment of longer term relationships.

In healthcare, this is the regular, ongoing contact with patients

What is special about relationship marketing?

It tends to focus on what the customer is buying rather than what the organization is providing --> value-based approach