Transcript Marketing Basics

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 
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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?
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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
BCG Matrix
Marketing Mix (4 Ps)
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CRM – Customer Relationship Management
CLV – Customer Lifetime Value
Product Types
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Convenience Product
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Shopping Product
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Little or no shopping around, inexpensive – eg. Soap
Lot of shopping for deals, expensive – eg. house, car
Specialty Product
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Loyalty, not easily found – eg. South Indian Restaurant
Product Life Cycle
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Introduction
Growth
Maturity
Decline
Price
 Skim
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Innovator can charge high price, skim profits
 Penetration
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Low price to penetrate market dominated by
others
 Competitive
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Match competition in a mature, highly
competitive market
 Cost-based /Target-profit
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Based on cost plus a percentage
 Others – geographical, segmented
(eg. Airline prices)
 Price Elasticity
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Elastic products – non-essential, cheap –
demand sensitive to price
Inelastic products – essential – water, gas, etc.
– demand relatively stable
Place (distribution)
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Physical Distribution (Ops. Mgt.)
Channels
Direct – producer sells to customers
 Indirect – producer to wholesalers to retailers to
customers
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Promotion
 Goals
 Increase demand
 Stabilize Sales
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Provide Information
Differentiate
Promotion Strategies
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Advertising
Trade Sales
Public Relations
Direct Marketing
Sponsorship
Source:
http://www.teleread.com/publishing/b
ook-promotion-what-works-whatdoesnt/