Basic Marketing Concepts Marketing Concept The idea that
Basic Marketing Concepts
Marketing Concept The idea that a customers’ needs and wants must be satisfied in order to make a profit. Businesses must have the right goods and services at the right time, at the right price, and in the right place. In addition, the marketer must determine a plan of communicating to potential customers.
Target Market Involves focusing marketing decisions on a specific group of people to reach with the product. Age Gender Income Ethnicity Region Values REGION GENDER ETHNICITY INCOME AGE VALUES
Market Segmentation Analyzing a market by specific characteristics in order to create a target market. Once a target market is identified, a business can customize products and marketing strategies to a specific group of customers.
The Marketing Mix Made up of the 4 P’s: Product- What? Price- How Much? Place- Where? Promotion- How? The Marketing Mix depends upon how well the target market is defined and how well strategies are directed toward that target audience.
Situational Analysis The foundation of a marketing plan. Includes a thorough examination of internal and external factors affecting a business. Creates an overview of the organization/business.
Determining Situational Analysis FACTORS: Demand demand trends Social and cultural factors Demographics Psychographics Economic and business conditions State of technology for this class of product Laws and regulations
Demand Trends What are the demand trends of the product/service? Where will it be purchased? How and how often will it be purchased? When (time of day, seasonal period, time of life) will it be purchased?
Social and Cultural Factors How successful will an organization be that is focusing product appeal to a certain social or cultural group? The organization must consider the very important factors of language and education.
Demographics Characteristics of human populations and population segments used to identify consumer markets. Educational attainment or enrollment Geographic area Income Age Gender Race Home ownership Employment status
Psychographics Refers to the types of people who will purchase the product or service. Personalities Values Keep in mind how people consume media.
Economic and Business Conditions Understand the changes of income of the potential consumers. The current conditions and trends questions include: What is the geographic area for the product? What is the best industry for the product?
State of Technology for the Class of Product Understand the life cycle of the product. Long term Short term How does technology affect the product or service? Is this product entering a new market or a mature market?
Laws and Regulations Be sure to check the laws and regulations that will affect the product or service that is offered. Are there any changes occurring that may affect the product or service?
Questions to Think About Define marketing in your own words. Describe the type of target market categories required.
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