EVOLUTION OF THE MARKETING CONCEPT EVOLUTION OF MARKETING

EVOLUTION OF THE MARKETING CONCEPT

EVOLUTION OF MARKETING The Production Era production creates demand • products will sell themselves BMI 3 C 2 • Slide (1800 s to 1920 s)

EVOLUTION OF MARKETING production is greater than demand • hire salespeople to find new markets and consumers BMI 3 C 3 • Slide The Sales Era (1920 s to 1960 s)

EVOLUTION OF MARKETING The Marketing Concept Era strive to achieve organization’s goals and satisfy consumer needs • marketing is integrated into each phase of business starting before production BMI 3 C 4 • Slide (1960 s to 1980 s)

EVOLUTION OF MARKETING The Marketing Orientation Era continuously collect information about consumers’ needs, competitors • share this information with other departments and use it to create consumer value BMI 3 C 5 • Slide (1980 s to today)

MARKETING ACTIVITIES

MARKETING ACTIVITIES 7 BMI 3 C Slide Summarize the ten marketing activities and indiciate which high school courses (besides marketing) which you would take if you wanted to get into that field.

MARKETING ACTIVITIES Research 8 BMI 3 C Slide • conduct surveys • gather information • analyse data

MARKETING ACTIVITIES Product Development 9 BMI 3 C Slide • create product to satisfy customer’s needs

MARKETING ACTIVITIES Pricing 10 BMI 3 C Slide • establish how much to charge for the product based on cost of materials, how much consumer is willing to spend

MARKETING ACTIVITIES Packaging 11 BMI 3 C Slide • develop package to attract attention, safely contain product

MARKETING ACTIVITIES Branding 12 BMI 3 C Slide • develop a name, trademark, slogan, logo—identity—for the product

MARKETING ACTIVITIES Sales 13 BMI 3 C Slide • organize or be involved in the process of getting the product into the consumers’ hands

MARKETING ACTIVITIES Physical Distribution 14 BMI 3 C Slide • getting the product from factory to where it is accessible to the consumer

MARKETING ACTIVITIES Inventory Management 15 BMI 3 C Slide • calculating how many of each product need to be stocked to satisfy consumers’ needs

MARKETING ACTIVITIES Storage 16 BMI 3 C Slide • where will you keep the product between production and retailer?

MARKETING ACTIVITIES Promotion 17 BMI 3 C Slide • making consumers aware of your product and its merits

HOMEWORK Read page 18 Answer questions 1 and 2 18 BMI 3 C Slide Read section 1. 5

Take up homework 2. Based on pg. 18, define nonprofit and not-for-profit organizations, what are the differences between the two? 3. Note BMI 3 C 19 1. Slide TODAY’S AGENDA

CONSUMER AND COMPETITI VE MARKETS

CONS & COMP MARKETS Consumer Market • the group you try to attract: target market 21 BMI 3 C Slide • everybody: aggregate market • usually a smaller group, differentiated market based on age, gender, etc.

CONS & COMP MARKETS A target market is a group of potential customers to whom a company directs its marketing program 22 BMI 3 C Slide • EXAMPLES: teens, parents, seniors, extremely wealthy, etc.

CONS & COMP MARKETS Competitive Market • all products and services that compete for consumers’ money within a category 23 BMI 3 C Slide • can be broad (toys) • can be narrow (diet colas) • unrelated (entertainment)

CONS & COMP MARKETS 24 BMI 3 C Slide A product’s marketing efforts try to influence the consumer’s decision towards spending money on that specific product.

THE 4 PS AND 2 CS OR “THE MARKETING MIX AND THE 2 CS”

regulato ry 26 Environmental Factors: Slide promotio ic ec n g on lo o n om h ic tec al i soci Marketing Mix: Controllabl e BMI 3 C price consum place er etit comp ve al product

THE 4 PS AND 2 CS product price place promotion consumer 27 BMI 3 C Slide competition

THE 4 PS AND 2 CS product price place promotion consumer The product is a good, service, idea, or event to satisfy the consumer’s needs. competition 28 BMI 3 C Slide Examples?

THE 4 PS AND 2 CS product price place promotion The price is what is exchanged for the product, usually money. consumer 29 BMI 3 C Slide competition

THE 4 PS AND 2 CS product price place promotion The place is a means of getting the product into the consumer’s hands. consumer 30 BMI 3 C Examples? Slide competition

THE 4 PS AND 2 CS product price place promotion Promotion is the means of communication used by the seller to inform the buyer. consumer 31 BMI 3 C Examples? Slide competition

THE 4 PS AND 2 CS product price place promotion consumer The consumer is the individual or group of individuals who may use your product. 32 BMI 3 C Slide competition

THE 4 PS AND 2 CS product price place promotion The competition is other firms that could provide a product similar to yours. consumer 33 BMI 3 C Who competes with Nike? Pepsi? Mc. Donalds? Ford? Slide competition

THE MARKETING MIX WORKSHEET

Marketing Mix worksheet 2. Start thinking about 4 Ps and 2 Cs assignment BMI 3 C 35 1. Slide HOMEWORK

Marketing Mix worksheet 2. Read “Future Shop”, page 20, answer questions 3. Group activity & discussion 4. Note 5. Work on assignment due Friday BMI 3 C 36 1. Slide TODAY’S AGENDA

INFORMATION TECHNOLOGY Read “Future Shop” on page 20, answer questions. At your table, compare answers to #1, list 3 advantages (benefits) and 3 disadvantages (costs). 37 BMI 3 C Slide What can Future Shop do to capitalize on the advantages or downplay the disadvantages? Compare your answers to #2

THE MARKETING MIX WORKSHEET

MARKETING STRATEGIE S

MARKETING STRATEGIES 41 BMI 3 C Slide A strategy is a method to carry out an action plan to reach a goal. A marketing strategy explains how a company will carry out the marketing plan, its goals, and the marketing mix formula to achieve those goals.

MARKETING STRATEGIES The Marketing Plan contains: 42 BMI 3 C Slide • a section outlining marketing goals of the business • target market(s) • a list of as many competitors as possible

MARKETING STRATEGIES The Marketing Plan contains: 43 BMI 3 C Slide • a research section, with a plan for gathering and analysing info • how the product will be positioned, with rationale • pricing strategy

MARKETING STRATEGIES The Marketing Plan contains: 44 BMI 3 C Slide • distribution channels & logistics • promotional and advertising proposal

MARKETING STRATEGIES Brand strategies The primary goal is to communicate the value of a product or service to the consumer. - perceived benefit BMI 3 C perceived cost 45 = Slide value

MARKETING STRATEGIES Brand strategies see example on page 26 46 BMI 3 C Slide It attempts to position the product or service by creating a positive value equation in the consumer’s mind.

THE VALUE EQUATION GROUP ACTIVITY

MARKETING STRATEGIES Distribution strategies Focus on the best way to deliver a product/service to the target market. CONSUMER 48 BMI 3 C RETAILER Slide MANUFACTURER

MARKETING STRATEGIES Distribution strategies • PUSH: “If the product is out there where people will see it, they will buy it. ” 49 BMI 3 C Slide • focus on selling the good to the retailer, importer or wholesaler

MARKETING STRATEGIES Distribution strategies 50 BMI 3 C Slide • incentives, promotions, product display case offered in exchange for product placement • The manufacturer needs to push the product through the chain

MARKETING STRATEGIES Distribution strategies • PULL: “increase distribution by increasing consumer demand” 51 BMI 3 C Slide • focus is on selling the good to the consumer

MARKETING STRATEGIES Distribution strategies 52 BMI 3 C Slide • convince consumers that they need the product, and that specific brand • requires a strong advertising and promotions campaign

MARKETING STRATEGIES Distribution strategies 53 BMI 3 C Slide The pull strategy is difficult to use alone, the push strategy can be. Most strategies use a combination of the two.

HOMEWORK 1. Study for test on : Review notes, 1. 1, 1. 2, 1. 4 -7. 54 BMI 3 C Slide Make sure you understand any of the terms you jotted down at the beginning of the unit!

WARNING! VIDEO: FAMOUS AMOS This video contains extreme eighties hairstyles! Viewer discretion is advised. WATCH THE VIDEO, WRITE DOWN EXAMPLES OF THE 4 PS

TODAY’S AGENDA 1. Bell work 2. Take up homework 3. Note 4. Video 56 BMI 3 C Slide * For test on Monday: Review notes, 1. 1, 1. 2, 1. 4 -7.

BELL WORK 57 BMI 3 C Slide List three items you frequently purchase. Identify the product, price, place(s) where it can be bought, how it is promoted, who the target market (consumer) is, and who provides competition for that product. Be prepared to share one.

HOMEWORK For test on Monday: Review your notes 58 BMI 3 C Slide Reread 1. 1, 1. 2, 1. 4, 1. 5, 1. 6, 1. 7.

59 BMI 3 C Slide END OF UNIT 1