Y9 Chapter 1 Marketing, Competition & the customers

Marketing, Competition & Customers

Digital Marketing

  • Presented By : Dr Vinie

Objectives

  • Understand the role of marketing

  • Explore reasons marketing changes and business responses

  • Differentiate between niche marketing and mass marketing

  • Identify market segments

Role of Marketing

  • Definition: Promoting and selling products/services.

  • Key Roles:

    1. Identifying Customer Needs: Through research.

    2. Promoting Products: Advertising and strategies to attract customers.

    3. Setting the Right Price: Aligning price with customer affordability and business profit.

    4. Increasing Sales: Encouraging customer purchases for higher revenue.

    5. Building Brand Loyalty: Creating a strong brand image.

Unique Selling Proposition (USP)

  • Task: Create a USP for a familiar product.

  • Social Media Post Example: Promote a product using its USP.

Case Study: Coca-Cola's Global Marketing Strategy

  • History: Leading soft drink brand for over a century.

  • Marketing Approach:

    • Traditional (TV ads, Billboards)

    • Modern (Social media, Influencer campaigns)

    • Memorable ads: "Share a Coke", global sponsorships.

  • Questions:

    1. Product variety and its importance.

    2. Competitive pricing strategies.

    3. Importance of distribution network.

    4. Role of promotional strategy in brand loyalty.

    5. Consistency in global campaigns.

Understanding Consumer Behavior

  • Importance of analyzing consumer spending patterns.

  • Factors that influence changes:

    • Competitors' pricing

    • Consumer income changes

    • Shifts in tastes and fashion

    • Advertising and promotions

Business Response to Consumer Changes and Competition

  • Strategies:

    1. Product Development: Innovate or improve products.

    2. Improve Efficiency: Optimize production processes.

    3. Increased Promotion: Elevate marketing efforts.

    4. Look for New Markets: Expand target demographics.

Niche vs. Mass Marketing

  • Definitions:

    • Niche Marketing: Targets specific customer needs (e.g., gluten-free snacks).

      • Advantages: Less competition, higher pricing.

      • Disadvantages: Small customer base, growth challenges.

    • Mass Marketing: Aims for broad audience (e.g., general toothpaste).

      • Advantages: High reach, potential sales growth.

      • Disadvantages: High competition, less personalization.

Market Segmentation

  • Definition: Dividing a large market into smaller segments with shared characteristics or needs.

  • Importance of Market Segmentation:

    • Focus on specific needs.

    • Better marketing strategies.

    • Increased customer satisfaction and loyalty.

Segmentation Types

Geographic Segmentation

  • Definition: Based on location factors.

  • Examples: Urban vs. Rural, hot vs. cold climates.

Demographic Segmentation

  • Definition: Based on individual characteristics.

  • Examples: Age, gender, income, education levels.

Conclusion

  • Understanding marketing dynamics and consumer behavior is crucial for business success.

Thank You