Transcript 1.3.5 Marketing strategy student version1x

1.3.5 Marketing strategy - cartoon
1.3.5 Marketing strategy - syllabus
Candidates should be able to:
• Define the marketing mix
• Define the product life cycle
• Analyse extension strategies
• Assess the Boston Matrix & product portfolio
• Evaluate marketing strategies for different
types of market (mass and niche; B2B and
B2C marketing)
• Evaluate consumer behaviour – how firms
develop customer loyalty
Definitions: the marketing mix
What is the marketing mix?
• The integration of ________________
_________________________ designed
to achieve the marketing objectives of the
business
• It is also known as the ______
Definitions: product
What does the ‘product’ include?
What is the aim?
Definitions: place
What does ‘place’ include?
In general the more places there are to buy a
product from the better, unless…?
Where could chocolate be sold?
Definitions: price
What does ‘pricing’ include?
Definition: promotion
What does ‘promotion’ refer to?
E.g.
It is NOT just advertising
How do market conditions affect the marketing mix?
If this was an exam question, how would you
answer?
The Product Life Cycle
The product life cycle is the path of a
product from its introduction onto the
market, to its eventual disappearance
The product life cycle: five stages
Development stage:
Introduction stage:
Growth stage
Maturity stage
Decline stage
Extension strategies
Extension strategies occur at the end of
the maturity stage when a product is
improved or changed in order to increase
sales and prevent it falling into decline.
How useful is the product life cycle?
Product Portfolio
What is a product portfolio?
Product Portfolio Analysis – The Boston Matrix
What is product portfolio analysis?
• Assessing the existing products to help
develop a ___________ range of goods
and services
What is the Boston Matrix?
• A way of analysing a firm’s products
based on market share and market
growth
Product Portfolio Analysis – The Boston Matrix
• Large firms with a wide range of products
are most likely to use the Boston Matrix
e.g. Unilever
• It is used to try and spread the risk
• It can help a business focus on products
with the most potential
The Boston Matrix: the question mark
Question mark:
The Boston Matrix: the dog
The Dog:
The Boston Matrix: the cash cow
The Cash Cow:
The Boston Matrix: the star
The Star:
What can the Boston Matrix be used for?
It can be used to ensure that a firm has a
suitably balanced product portfolio:
Question marks are needed to
they may grow into
Stars are needed to
they may bring in new customers
Cash cows can be ‘milked’ for __________
to pay for question marks and stars
Dogs are not very __________ although
inevitable!
Drawbacks of the Boston Matrix?
The Boston Matrix and the product life cycle
Consumer marketing and B2B marketing
What is consumer marketing?
•E.g.
•It is aimed at the general public
• Typically there are lots of potential buyers
and lots of sellers
What is business to business marketing?
•Typically there are fewer buyers and many
fewer sellers
How do firms develop customer loyalty?