Marketing aspects of new ventures

Primary Research

Secondary Research

2 types of marketing research

Market Research

It involves conducting research with potential customers to determine its viability. This process helps businesses decide either to launch a product or service and how to market it to potential customers best

Primary research

It involves direct interaction with consumers or third-party entities to conduct pertinent studies and gather valuable data.

Quantitative research

Qualitative research

2 types of primary research

Quantitative research

Is a systematic research approach that focuses on analyzing numerical data.

Qualitative research

Aims to provide insight into the underlying reasons or motivations behind a particular phenomenon, correlation, or behavior.

Secondary research

Uses data and insights from other sources rather than collected directly.

Product and service development process

It involves a holistic approach that includes research, design, testing, and improving the product and the service.

Service Requirement

Output Requirements

2 types of customer requirements

Ideation

Evaluate the ideas with the most promising potential for success in the market.

Prototyping

Once an idea has been selected, the company must prototype its proposed product or service.

Testing

Determine if the product functions as intended or if the desired service offering appeals to the target audience.

Refinement

Once the prototype has been enriched with the analysis feedback, the final product or service can be crafted and delivered to the market.

Flowchart

Is a visual representation of a process or system. It uses symbols connected by arrows to show the steps, decisions, and flow of information.

Cost

Is all the money spent to manufacture a product or provide a service.

Costing

Is the process of allocating costs to various aspects of a business.

Product cost

Is the cost associated with making a product to be sold. Product costs consist of three (3) main components: direct material, direct labor, and manufacturing overhead.

Direct materials

Are the raw materials or components used directly in the production process of the final product.

Direct labor

Refers to the cost of labor involved in producing a product. It includes wages, salaries, and benefits of employees.

Overhead costs

Are the expenses related to the production of a product. These costs include the cost of machinery and the cost of operating the machinery.

Indirect materials

Refer to supplies and materials used in the production process but are not a visible part of the final product.

Indirect labor

Refers to the work performed by individuals not directly engaged in producing goods, such as security guards, drivers, and legal advisers.

Other overheads

Include any additional factory overhead costs that do not fit the abovementioned categories. Electricity expenses cannot be categorized as either material or labor costs.

Service costing

Is a method used to determine the cost of providing a specific service. It involves identifying all the costs related to the resources used in delivering the service.

Fixed costs

Are those expenses that do not change regardless of how much activity the business is doing.

Semi-variable costs

Consist of both fixed costs and variable costs. Labor costs are usually divided into semi-variable expenses, such as fixed costs for monthly salaried employees and variable costs for hourly employees.

Variable costs

Are subject to change depending on the number of units produced.

Unit of measurement

Refers to the standard method used to measure the quantity or volume of a particular service provided.

Pricing or price

Is a crucial factor in influencing consumer choice.

Cost-plus pricing (Markup)

This method involves calculating all the costs associated with manufacturing a product or delivering a service and then incorporating a predetermined markup to determine the appropriate selling price.

Predetermined markup percentage

Is a percentage added to a product or service's cost to determine its selling price.

Procing strategy

Is crucial in marketing as it dramatically impacts the success or failure of a product or service. It directly impacts how consumers perceive the product, considers the analysis of competitors, and ultimately contributes to maximizing revenue and profitability.

Premium pricing

The price of a product or service is set to a high price point to create a perception of higher quality.

Economy pricing

The price of a product or service is relatively low and affordable, targeting customers who want to save as much money as possible on whatever good or service they purchase.

Price skimming

The initial price of the product or service is deliberately set high to generate maximum consumer interest.

Penetration pricing

The initial price of the product or service is intentionally set at a low level to swiftly enter a competitive market, gain a loyal customer base, and generate rapid sales, with the plan of increasing the price later.

Psychology pricing

The price of a product or service aims to influence consumer perception and behavior by using specific price points.

Bundle pricing

This pricing strategy is where multiple products or services are offered together at a discounted price.

Dynamic pricing

The price of a product or service adjusts in response to changing market conditions. It uses algorithms and real-time data to set prices based on various factors such as demand, competition, and customer behavior.

Premium pricing

Economy pricing

Price skimming

Penetration pricing

Psychology pricing

Bubdle pricing

Dynamic pricing

7 Common pricing strategies

Hard services

Soft services

2 categories pf facilities management

Hard services

Refer to physical modifications and adaptations to a building or its structure. Fire safety is a typical example of hard service.

Soft services

Play a vital role in enhancing the overall environment of the workplace, making it more enjoyable for all.

Workplace structure

Is vital for the success of an organization. It helps clarify roles and responsibilities and promotes efficient communication and collaboration.

Virtual office

Physical office

Manifacturing/plant

3 workplace structures

Open office design

A workplace layout that is characterized by minimal walls or barriers between employees.

Cellular office design

A workplace layout that incorporates private, individual workspaces known as

"cells" or offices. The design typically features enclosed rooms or cubicles for each regular employee.

Co-working space design

A workplace layout consists of open work areas with shared desks. It promotes collaboration, flexibility, and a productive environment among employees.

Combination office design

A workplace layout tailored to the organization's specific needs and preferences. This combination can create a dynamic and versatile office environment that supports productivity and collaboration.

Product or line layout

In this layout, only one (1) product type is made in each area.

Process or functional layout

This layout is helpful if there is a low production need.

Fixed position layout

In this type of layout, the products are built in a fixed location, with all the necessary materials and equipment brought to that place.

Combination type of layout

It is a layout that utilizes a combination or a mix of other layouts.

Target market

Is a specific group of consumers or organizations a business wants to sell to.

Product

Price

Place

Promotion

People

Physical evidence

Process

Positioning

The 8 p’s of marketing

Product

Refers to the item the business offers to the customers, whether tangible or intangible.

Price

It refers to the amount that customers are willing to pay for a product or service.

Place

The location of the product or service's purchase, sale, and experience.

Promotion

It refers to the entire set of activities used to promote a product, brand, or service.

People

It is all about the people involved in the launch or campaign, including the company's key executives, endorsers, and the marketing team.

Physical evidence

It refers to anything that helps the target audience trust the business.

Process

A set of steps that help businesses figure out customer problems, look at market opportunities, and make marketing materials to reach the people they want to see.

Positioning

It refers to the capacity to alter how consumers perceive a brand or product in comparison to competitors.

Advertising

Selling

Direct marketing

Sales promotion

Public relations

5 Types of promotions

Advertising

It is a method of mass communication that is used to get people to do something, usually about a commercial product or service.

Sales promotion

Is a marketing strategy in which a company uses short-term campaigns to get people interested in a product, service, or other offer.

Public relations

The set of techniques and strategies for managing how information about an individual or company is disseminated to the public, especially the media.

Paid media

Is when companies use public relations, marketing, and promotional activities they create and pay for themselves.

Earned media

This media type provides word-of-mouth and PR benefits to a business without needing direct payment.

Owned media

Refers to any online platform a business possesses and has complete control over, such as a blog, website, or social media channels.

Value proposition

Captures why a consumer should purchase a company's product or utilize its service.

Unique selling propostion

Refers to a distinctive quality that sets the business apart from the competition.

Branding

Involves the creation of a unique brand identity for a company.