Chapter 13: Marketing Helping Buyers Buy

B2B Market

consists of all the individuals and organizations that watn goods and services to use in producing other goods and services

Consumer Market

consists of all the individuals or households that want goods and services for personal consumption or use and have the resources to buy them

Promotion

consists of all the techniques sellers use to inform people about and motivate them to buy their products or services

One-to-one Marketing

developing a unique mix of goods and services for each individual customer

Benefit Segmentation

dividing the market by determining which benefits of the product to talk about

volume (or usage) segmentation

dividing the market by usage (volume of use)

demographic segmentation

dividing the market into segments based on variables such as age, life-cycle stage, gender, income, occupation, education, religion, ethnicity, and generation

Psychological Segmentation

dividing the market using groups' values, attitudes, and interests

Segmenting the Consumer Market

geographic, benefit, psychographic, demographic, volume or usage segmentation

The Consumer Decision-Making process

1. need recognition 2. information search 3. evaluation of alternatives 4. purchase 5. post purchase behavior

The Marketing Process

1.) Find Opportunities 2.) Conduct Research 3.) Identify a Target Market 4.) Design a product to meet the need based on research 5.) Do Product Testing 6.) Determine a brand name, design a package, and set a price 7.) Select a distribution system 8.) Design a promotional program 9.) Build a relationship with customers

Global Factors

By going online, businesses can reach many of the world's consumers easily and carry on a dialogue with them about the goods and services the want

Marketing Concept

1. Customer Orientation: find out what consumers want and provide it for them 2. Service Orientation: make sure everyone in the organization has the same objective of customer satisfaction 3. Profit Orientation: focus on those goods and services that will learn the most profit and enable the organization to survive and expand to serve more consumer wants and needs

The Marketing Research Process

1. Define the question and determining present situation 2. Collecting research data 3. Analyse the research data 4. Choosing the best solution and implementing it

Marketing Mix

1. Design a Product 2. Setting a price for the product 3. Putting the product in a place where people will buy it 4. Promoting the product 4P

Several factors make B2B marketing different

Customers in the B2B market are relatively few Business customers are relatively large; that is, big organizations account for most of the employment in the production of various goods and services B2B markets tend to be geographically concentrated Business buyers are generally more rational and less emotional that ultimate consumers; they use product specifications to guide buying choices and often more carefully weigh the total product offer, including quality, price, and service B2B sales tend to be direct, but not always Whereas consumer promotions are based more on advertising, B2B sales are based on personal selling

Economic factors

Economic changes also affect what people want to and can buy

Niche Marketing

Identifies small but profitable market segments and designs or finds products for them.

Competitive Factors

Marketers have to pay attention to the dynamic competitive environment

Sociocultural Factors

Marketers must monitor social trends to maintain their close relationship with customers, since population growth and changing demographics can have an effect on sales.

Target Marketing

The process of selecting which market segments the organization will emphasize in attempts to satisfy customers better than its competitors

Relationship Marketing

lead away from mass production and toward custom-made goods and services, the goal is to keep individual customers over time by offering them new products that exactly meet their requirements

Marketing

the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large

Geographic Segmentation

the process in which businesses divide a market by cities, countries, states or regions

Market Segmentation

the process of dividing a market into meaningful, relatively similar, and identifiable segments or groups

Environmental Scanning

the process of identifying factors that can affect marketing success. They include global, technological, sociocultural, competitive, and economic influences

Consumer Relationship Management (CRM)

the process of learning as much as possible about customers and doing everything you can to satisfy them - or even exceed their expectations - with goods and services

Test marketing

the process of testing products among potential users

Market Research

when marketers analyze markets to determine opportunities and challenges, and to find the information they need to make good decisions

Four eras of Marketing Evolution

1. The Production Era 2. The Selling Era 3. The Marketing Concept Ara 4. The Customer Relationship Era

Prices depend on factors such as

Competition, Customers, Product distribution and promotion

Technological Factors

Using consumer databases, blogs, social networking, and the like, companies can develop products and services that closely match consumers' needs.

Brand name

a word, letter, or group of words or letters that differentiates one seller's goods and services from those of competitors

Product

any physical good, service, or idea that satisfies a want or need plus anything that would enhance the product in the eyes of consumers, such as the brand

Mass Marketing

developing products and promotions to please large groups of people. Try to sell the same products to as many people as possible