Marketing - COMM

Marketing

“Identifying, anticipating, and satisfying customers’ needs and wants while achieving business objectives. Involves researching, communicating, and delivering offerings that bring value to customers.”

What Businesses get

• Loyalty

• information

• money

• influence/reputation

What customers get

• loyalty

• innovation

exchange process

Customers and businesses each get something in the marketing/busines realm

Marketing Basics

• Creating value

• Establish relationships

  • Product (Industrial Rev.)

  • Sales (supply exceeded demand 20s)

  • Market (meeting customer needs 50s)

  • Value (quality for money 00s+)

Market

B2B & B2C

Segmentation

identifying subgroups. We can promote everything to everyone, but it is more efficient to focus on certain groups. Ex: income, demographics, location

Target Market

Who are we going to market to, who are we going to try and attract? focuses on specific group. Advertising can show target market

Positioning

• Where do we fit within all the competition? How brand is perceived. Ex: Ikea, changes where it is.

• Maintain and Improve brand equity

• Trying to maintain positioning so they are thought of in a certain way

Developing Market Strategy

Segment → Target → Position

Segment & target

• undifferentiated - not trying to choose one group

• Segmented & differentiated- focusing on a group

• Niche/concentrated - smaller, more concentrated group. More costly to find but more exchanges

• Micro/customized - customized product - specific for group/customer

On a Continuum - companies can do multiple

Ex: Ice cream

Maintain & improve Brand Equity

You know who we are, how do we keep this going?

Value Proportion

Why buy from you? - you need to think of us when you need something.

• Not buying - solving a problem

  • Not about money

• More problem oriented - more expensive

4 P’s

1. Product

2. Price

3. Place

4. Promotion

Using these 4 P’s are equifinal

Product

creating value. Good, services, and ideas that satisfy demand. How is product creating value for you?

Price

capturing value. actual cost vs. charged amount isn’t always close. Price often demonstrates quality - even if not true.

• ex: GW tuition

• Is the exchange reasonable?

• Marketing - makes exchange seem reasonable based on problems being solved

• Money, Time, Energy

Place

creating convenience and comfort. Needs to be where you want it to be, if not — less likely to purchase

• Availability

• Supply chain

Promotion

communicating value. How do I let you know the value?

• Design - color, logo, product

• Advertising - we’ve done the work and showing to you

Factors Affecting 4 P’s

• Market research

• Consumer Behavior

• General & Specific Environments

Market research

• quantitative and qualitative

• Demographics on reviews - Who is leaving reviews? - can tell us target market

• Data Brokers - collect data & trade it, way for companies to get information.

Because of environmental change, companies need to do this

Consumer Behavior

What activates people to buy something?

• Individual Psychology

• Social factors

Ex: subaru’s in VA

General and Specific Environments

Political, culture, economic, etc

All these things affect marketing plan directly and indirectly

Product Strategy Steps

1. Develop and Screen Ideas

2. Business Analytics

3. Product Development

4. Test Market

5. Commercialization

You can move back and forth in this process

Develop and screen ideas

In the development process there is a built-in screening process.

• Variation and Selection, Part of idea stage

Business Analytics

Is there demand, can we make it? Describe, predict, prescribe. What are all the steps to do something? Internal Selection. Idea Stage

Product Development

someone actually makes thing & puts it out there. turning idea into actual product.

Test Market

Sending to market and seeing if they like it. External Selection Ex: focus group

Commercialization

Full introduction of the product. Possible retention. if successful - other companies may copy

Product lifecycle/dynamism

Shorter lifecycle - faster marketing cycle needs to happen

Dynamic - you need to constantly update marketing strategy

Distribution/Logistics

What’s the process of getting things where they need to go and how does that work?

• You can handle yourself or get someone else to do it

Push vs. Pull Marketing

Push- company getting product to you ex: Starbucks

Pull - there is desire, try to get it from me ex: Pokemon go

Ethics & Marketing

• Promotion

• Pricing

• Predatory Marketing

• CSR + Marketing

Promotion in ethics

• Data privacy

• misleading product info

Pricing in ethics

• Bait and switch pricing

• Hidden Fees

Predatory Marketing

• Mortgages & car loans

• redlining

CSR + Marketing

Satisfies customer & enhance well being

ex: zappos will literally talk to you