Transcript Chapter 4 - MsCMcDermott

Do Now
 Define marketing.
 What is the most important aspect of
marketing?
What are some things marketers
do to keep customer satisfaction
high?
Chapter 4
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Sports and Entertainment Marketing
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Chapter 4
Hit a Home Run with
Customers
4.1 The Marketing Concept
4.2 Discover What People Want
4.3 Target Markets
4.4 Customer Service
Sports and Entertainment Marketing
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Lesson 4.1
The Marketing Concept
Goals
 Explain the central focus of the
marketing concept.
 Explain the reasons for increased
sports and entertainment options.
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THE MARKETING CONCEPT
 marketing concept
 keeping the focus on the
customer’s needs for a product or
service
 About half of every consumer dollar spent
pays for marketing costs.
 Satisfying customer needs is the most
important aspect of marketing.
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Maintain Relationships
 Successful customer relationships are
critical to the marketing concept.
 Customer satisfaction is the bottom line
for maintaining successful marketing
relationships.
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 What is the
most
important
aspect of
marketing?
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INCREASED SPORTS AND
ENTERTAINMENT OPTIONS
 U.S. citizens have more discretionary
income than in the past.
 drives up demand for sports and
entertainment
 increases competition
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Customer Focus
 productivity
 rate at which companies produce goods or
services in relation to the amount of
materials and number of employees utilized
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 successful marketing strategy
 identify customer
 needs
 location
 provide products perceived as superior
 maintain successful customer relationships
 offer the appropriate marketing mix
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product
price
promotion
location
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Weekend Entertainment
Choices
 breakeven point
 the minimum sales and attendance
required to cover all of the expenses of
organizing, planning and promoting the
event
 profit
 revenue earned beyond the breakeven
point
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Opportunity Cost
 opportunity cost
 the value of the next best alternative that
you forgo when making a choice
 The value is measured in terms of the
benefits that you are giving up.
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 List expenses of a planned entertainment
event along with the planned ticket
prices.
 Create Excel spreadsheet to identify the
breakeven point in dollars & attendees.
 How can we ensure revenues exceed the
breakeven point?
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DO NOW:
 Categorize ten recent purchases as a
need or want.
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Lesson 4.2
Discover What People Want
Goals
 Explain the importance of understanding
buyer behavior when making marketing
decisions.
 List and describe means of collecting
marketing information for use in decision
making.
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UNDERSTAND BUYER
BEHAVIOR
 economic market
 all of the consumers who will purchase a
product or service
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Consumer Spending Habits
 benefits derived
 the value people believe they receive from
a product or service
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 comparative advantage
 the capability to produce products or
services more efficiently and economically
than the competition
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Consumer Wants and Needs
 hierarchy of needs
 identifies five human areas of needs
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 emotional purchases
 spending with little thought during emotional
times
 rational purchases
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define wants and needs
assess priorities and budget
conduct research
compare alternatives
make a well thought out purchase
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 patronage purchases
 based on loyalty to a particular brand or
product
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 What is meant by benefits derived?
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Activity:
 Categorize your 10 recent purchases
from the list you created yesterday with a
partner as
 Emotional
 Patronage
 Rational
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GATHER INFORMATION
 Marketers are often involved in every
step of the decision-making process.
 Help a consumer recognize a need, provide
info, assist with purchase, and follow up
after the sale.
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 The decision-making process involves
the following steps.
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recognize a need or a want
conduct product research
evaluate choices
decide what to purchase
evaluate the product after the purchase
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Information Needed for
Marketing Decisions
 Information about consumers that is
important to consider include
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demographics
shopping behaviors
how consumers spend money
product and brand preferences
frequency of purchases
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 The business environment impacts
consumer spending as follows:
 economic uncertainty reduces consumer
spending
 marketplace competition provides
consumers with choices
 technological advances have impacted
how consumers research and buy
products
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Sources of Information for
Businesses
 internal sources
 a business’s own customer records, sales
records, production records, and operation
records
 external sources
 government reports, trade and
professional organizations, business
publications, commercial data, and
information services
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 primary data
 obtained for the first time and specifically
for the particular problem or issue being
studied
 secondary data
 information previously collected for
another purpose but is now found useful in
the current study
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Activity:
1. Explain the importance of understanding
buyer behavior when making marketing
decisions in your own words on the back
of your 10 recent purchases – TURN IN
2. Complete 4.2 Questions document
 To be finished for homework if necessary
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Activity:
 Describe the process you would go
through when purchasing a new car in
paragraph form.
 You must clearly outline the steps of the
decision-making process as well as the
following concepts: market, benefits
derived, comparative advantage, and the
type of purchase.
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