Transcript The Role of IMC in the Marketing Process Chapter 2

The Role of IMC in the Marketing
Process
Chapter 2
Learning objectives
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To understand marketing process
To understand the concept of target marketing
To recognize the role of market segmentation
To understand the use of positioning
To know various decision area under
marketing mix
Marketing & Promotions Process
Model
Marketing Strategy and Analysis
Strategic Marketing Plan
Opportunity
Analysis
Competitive
Analysis
Target
Market
Selection
The Target Marketing Process
Identify markets with unfulfilled needs
Determine market segmentation
Select a market to target
Position through marketing strategies
Target Market Identification
Isolate Consumers With Similar…
Social class
Lifestyles
Economic status
Geographic
location
Marital status
Needs
Age
Market Segmentation
• Dividing a market into distinct groups
– With common needs
– Who respond similarly to a marketing situation
Bases for Market Segmentation
Demographic
Geographic
Socioeconomic
Gender
Region
Income
Age
City size
Education
Race
Metropolitan area
Occupation
Life stage
Density
Birth era
Household size
Residence tenure
Marital status
Psychographic
Personality
Values/Lifestyle
Geographic Segmentation
International Nasi Lemak targets a specific geographic
region
Demographic Segmentation Ad
Benefit Segmentation Ad
PRIZM Social Groups
HIGH
$
LOW
Test Your Knowledge
All of the following are considered market coverage
alternatives except:
A) Undifferentiated
B) Differentiated
C) Concentrated
D) Dispersed
Selecting a Target Market
1
Determine how many
segments to enter
2
Determine which segments
have the greatest potential
Segments
Undifferentiated
Concentrated
Differentiated
Market Positioning
Fitting the product or service to one or more segments
of the broad market in such a
way as to set it apart from competition
Positioning Strategies
Attributes and Benefits
Price/Quality
Use/Application
Product Class
Product Users
Competitors
Cultural Symbols
Positioning by Cultural Symbol
The Marketing Planning Program
Product
Decisions
Promotional
Strategy
Distribution
Channels
Price
Decisions
Branding Goals
Build &
maintain
brand
awareness
and interest
Develop &
enhance
attitudes
toward the
company,
product, or
service
Build &
foster
relationships
between the
consumer
and the
brand
Branding
Brand Identity
vs.
Brand Equity
Branding and Packaging Decisions
BRANDING
Brand
name
communicates
attributes
and
meaning
PACKAGING
Advertising
creates
and
maintains
brand
equity
Has become
increasingly
important
Often the
customers’
first
exposure
to product
Packaging Creates Image
Pricing Decisions
Factors the firm
must consider
What consumers
give up to buy a
product or service
Costs
Time
Demand
Mental activity
Competition
Behavioral effort
Perceived value
Relating Price to Ads and Promotions
Price must be consistent with
perceptions of the product
Higher prices communicate
higher product quality
Lower prices reflect bargain
or “value” perceptions
Price, advertising, and distribution must
be unified in identifying product position
Market Channels
Sets of interdependent organizations
involved in the process of making a
product or service available for use
Channels and Image
• Channels can impact communication
objectives
– Image
– Store displays
– Point-of-purchase merchandising
– Shelf footage
Types of Channels
• Direct
– Driven by direct-response ads, telemarketing, the
Internet
– Often used when selling expensive and complex
products
• Indirect
– Network of wholesalers and/or retailers
Push vs. Pull Strategies
Test Your Knowledge
An ad in a publication aimed at veterinarians explains why
they should recommend Eukanuba cat food to the owners of
the cats they treat.
This is an example of:
A) Consumer advertising
B) A promotional pull strategy
C) A harvesting strategy
D) A consumer promotion
E) A promotional push strategy