Transcript Chapter 2
AIM:
What is the marketing mix?
Do Now:
Devise a list of 3-4 of your favorite
products (ie/clothing, electronic, etc.)
Why are these items so special to you?
The Market
All potential customers who share common
needs and wants, and who have the ability
and willingness to buy the product
Customers = buy the product
Consumers = use the product
Businesses focus on their
target market
Marketing Concept
Businesses must satisfy customers’ needs and
wants in order to make a profit
Focus on target market
At the Right Price
Right
Goods/
Services
At the Right Time
PROFIT
Communicate
to Customers
At the Right
Place
TARGET MARKET
Focusing all marketing mix decisions on the
specific group of people you want to reach
Marketing Mix/4 P’s of Marketing
1. Product
what product to make
how to package it
what brand name to use
what image to project
2. Price
what customers are willing and able to pay
3. Place
how and where a product will be distributed
4. Promotion
how potential customers will be told about the new
product
what will the message be (ie/when and where will
product be delivered, incentives to buy product)
Aim: Why is understanding your
target market important?
Do Now:
Pass up your homework and answer the
following question:
– What is a Target Market?
Activity – “Who is the Target”?
And for later…
– What is the importance of a target market?
Think about it After doing this activity, what
conclusion can you come to as
to what is the importance of a
target market?
AIM:
Why is understanding your target
market important?
Do Now:
Describe the TARGET MAKRET
of the following iPhone 7
commercials
Morning Ride
Midnight
Today’s Activity
You will be getting an article at random on one of the
following:
– Samsung “Family Hub”
– Keurig “Keurig Kold”
– Amazon “Dot”
Read the article and answer questions # 1 & 2 ONLY
Meet up with others who have the same article
– Discuss who you think they are targeting and if you think
this product will be a success in this target market
After your discussion, answer question #3 by yourself
Share with class
Market Segmentation
Keurig Kold
Samsung Family Hub
Amazon Dot
How do you feel about the cartoon?
Do you think you are targeted by advertisers? Explain.
Market Segmentation
A way of analyzing a market by special
characteristics in order to create a target
market.
– Demographic
– Psychographic
– Geographic
– Product Benefits
1. Demographics
Describe a population in terms of personal
characteristics
– Age
– Gender
– Income
– Ethnic Background
– Occupation
•
•
Control $2.6 trillion and have
about 51% of the wealth in
the US
Prime targets for luxury and
recreational items
•
•
•
•
Skeptical Consumers
Better educated than previous
generations
Financially conservative
Use Electronics
•
•
•
Less spending power
Excellent at Multitasking
Huge influence on spending /
buying
Generation Z
Generation Z / Generation I / Internet
Generation
– Most are children of Generation X
– Never lived without the internet, cell phones
– Digital Natives
– Smaller Families
– Longer life expectancy
– Will be the most educated.
Who do you think marketers
target / why?
Millennial’s
– Huge influence on buying power
– Build brand loyalty
– Optimistic / Confident / Social
– http://www.goldmansachs.com/ourthinking/pages/millennials/
The Generation Gap
The Intern Trailer:
https://www.youtube.com/watch?t=12&v=ZU3Xban0Y6A
How does the cartoon below reflect the
different generations?
Gender
Marketing specific products to specific
genders…OR….
Gender neutral products use different types
of advertisements/spokespeople
Companies can enter other gender’s
market
Income
Disposable Income = the money left after
taking out taxes; marketers who distribute
products that are necessities
Discretionary Income = money left over after
paying for basic living necessities;
marketers who sell luxury products
Ethnic Background
US population becoming more multicultural
and ethnically diverse
You need to make sure your place of
business adapts
2. Geographics
segmentation of the market based on where
people live; local, regional, national, or even
geographic markets
Test markets
https://www.youtube.com/watch?v=xiImi5k9
Ges
3. Product Benefits
Companies market benefits, not just the
physical characteristics of a product
4. Psychographics
studies of consumers based on social and
psychological characteristics; people’s
attitudes and values, lifestyles—how people
spend their money and time
TRENDS
Airhead bites
Do Now: 10/7
What are some product benefits and trends
people ages 23-36 are looking for when it
comes to food?
Activity: Read the McDonald’s
article. Be prepared to discuss
your answers.
WHO IS BEING TARGETED BY
EACH OF THE FOLLOWING
ADVERTISEMENTS?
MAKE SURE TO USE MARKET
SEGMEENTATION!
HOW DO BUSINESSES UTILIZE THE
MARKETING MIX?
Do Now: Review the 4P’s Homework
Assignment
Today’s Agenda – Surge Article
Market Segmentation
Keurig Kold
Samsung Family Hub
Amazon Dot
HOW DO BUSINESSES UTILIZE THE
MARKETING MIX?
Do Now: Review the 4P’s Homework Assignment
Cnn money http://www.youtube.com/watch?v=uuF9Ny_DW0
Surge is back http://www.youtube.com/watch?v=_9dFiwVwqw
http://www.cbsnews.com/news/popular1990s-surge-soda-makes-a-comeback/
Activity:
Read the article and answer the questions that follow.
Hot Topic
Target new price match policy