Chapter 11 Marketing

Marketing strategy elements

- Marketing plan -target your audience and how to reach them -Marketing segmentation- dividing your markets into segments, or groups, of people with similar characteristics - determine best marketing mix -monitor each element of the marketing environment to ensure effectiveness

What is the objective, the process, and the scope of marketing?

-deliver value to your customers with the goal of satisfying their needs while achieving long-term profitability for your organization. -scope includes traditional goods and services, people, places, events, and ideas. - Creating, communicating, and delivering value to customers -Managing customer relationships in ways that benefit the organization and its stakeholders

Marketing Concept

A business philosophy that makes customer satisfaction- now and in the future- the central focus of the entire organization

Value

A customer perception that a product has a better relationship than its competitors between the cost and benefits

Marketing plan

A formal document that defines marketing objectives and the specific strategies for achieving those objectives

event marketing

Creating a brand-marketing event or serving as a sole or participating sponsor of events created by others

Market Segmentation

Dividing potential customers into groups of people or segments

Behavioral Segmentation

Dividing the market based on how people behave toward various products. This category includes both the benefits that consumers to seek from products and how the consumers use the products

Demographic Segmentation

Dividing the market into smaller groups based on measurable characteristics about people, such as age, income, ethnicity, and gender

Psychographic Segmentation

Dividing the market into smaller groups based on the consumer attitudes, interests, values, and lifestyles

Geographic Segmentation

Dividing the market into smaller groups based on where the consumers live. This process can incorporate countries, cities, or population density as key factors

customer loyalty

When customers buy a product from the same supplier again and again -- sometimes paying even more for it than they would for a competitive product

Customer Satisfaction

When customers perceive that a good or service delivers value above and beyond their expectations

Marketing

an organizational function and a set of processes for creating, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders

place marketing

consists of activities undertaken to create, maintain, or change attitudes and behavior of target consumers toward particular places

cognitive dissonance

consumer discomfort with a purchase decision, typically for a higher priced item

business buyer behavior

describes how people act when they are buying products to use either directly or indirectly to produce other products

Consumer behavior

description of how people act when they are buying, using,and discarding goods for their own personal consumption. consumer behavior also explores the reasons behind people's actions.

secondary data

existing data that marketers gather or purchase for a research project

what is the role of the customer in marketing?

having loyal customers willing to pay more for your product through (CRM) acquiring, maintaining, and growing profitable customer relationships through delivering unmatched value.

Describe the consumer and business decision-making process

keep in mind cultural, social, personal, and physiological factors . (look at chart)

primary data

new data that marketers compile for a specific research project

form utility

satisfies wants by converting inputs into a finished form

place utility

satisfies wants by providing goods and services at a convenient place for customers

time utility

satisfies wants by providing goods and services at a convenient time for customers

ownership utility

satisfies wants by smoothly transferring ownership of goods and services from seller to buyer

people marketing

sports, politics, and art dominate this category.

market share

the percentage of a market controlled by a given marketer

Observation research

Marketing research that does not require the researcher to interact with the research subject

Survey research

Marketing research that requires the researcher to interact with the research subject

Utility

The ability of goods and services to satisfy consumer "wants"

Marketing mix

The blend of marketing strategies for product, price, distribution, and promotion

Mass Customization

The creation of products tailored for individual consumers on a mass basis

green marketing

The development and promotion of products with ecological benefits

Target Market

The group of people who are most likely to buy a particular product

Customer Relationship Management (CRM)

The ongoing process of acquiring, maintaining, and growing profitable customer relationships by delivering unmatched value

Environmental Scanning

The process of continually collecting information from the external marketing environment

Marketing research

The process of gathering, interpreting, and applying information to uncover marketing opportunities and challenges, and to make better marketing decisions

Business Marketers (B2B)

Marketers that direct their efforts toward people who are buying products to use either directly or indirectly to produce other products

Consumer Marketers (B2C)

Marketers who direct their efforts toward people buying products for personal consumption

idea marketing

Marketing activities that seek to gain market share for a concept, philosophy, belief, or issue by using elements of the marketing mix to create or change a target market's attitude or behavior.

explain the roles of social responsibility and technology in marketing

Marketing and society: -Marketers are expected to actively contribute to the needs of the broader community -Leading-edge marketers have responded by setting a higher standard in key areas Technology and marketing: -Shift in power from producers to customers -Mass customization: Creation of products tailored for individual consumers on a mass basis