Marketing Basics What is Marketing Process of meeting

Marketing Basics

What is Marketing? Process of meeting needs/demands Needs – Essentials – Generally not taxed Demands – Wants, Luxuries, usually taxed Market – All that do or could buy a product – customer must have Ability Authority Willingness

Marketing Process Mission Statement Why are we in business? Sets the tone. Organizational Objectives What do we want to achieve? Marketing Objectives What can marketing achieve to help Org. goal?

Mission Statement

Marketing Plan Situation Analysis BCG matrix SWOT analysis Balanced Scorecard Business Canvas Develop Goals for each SBU Strategies Segmentation – Demographics, Usage Targeting – Undifferentiated, Differentiated Positioning – Manage perception – Toyota, Lexus

Marketing Mix (4 Ps) CRM – Customer Relationship Management CLV – Customer Lifetime Value

Product Types Convenience Product Shopping Product Little or no shopping around, inexpensive – eg. Soap Lot of shopping for deals, expensive – eg. house, car Specialty Product Loyalty, not easily found – eg. South Indian Restaurant

Product Life Cycle Introduction Growth Maturity Decline

Price Skim Innovator can charge high price, skim profits Penetration Low price to penetrate market dominated by others Competitive Match competition in a mature, highly competitive market Cost-based /Target-profit Based on cost plus a percentage Others – geographical, segmented (eg. Airline prices) Price Elasticity Elastic products – non-essential, cheap – demand sensitive to price Inelastic products – essential – water, gas, etc. – demand relatively stable

Place (distribution) Physical Distribution (Ops. Mgt. ) Channels Direct – producer sells to customers Indirect – producer to wholesalers to retailers to customers

Promotion Goals Increase demand Stabilize Sales Provide Information Differentiate

Promotion Strategies Advertising Trade Sales Public Relations Direct Marketing Sponsorship Source: http: //www. teleread. com/publishing/b ook-promotion-what-works-whatdoesnt/