Marketing: Helping Buyers Buy (Chapter 13)

General Mills: The Big G

-6th largest food company in the world -$17 billion annually -Trademark for each food brand Ex: animals/people

Product

-A good, service, or idea that satisfies a consumer's want or need

Marketing

-Activity, set of institutions and processes for creating, communicating, delivering, exchanging offerings with value for customers, clients, partners, and society at large.

Consumer Market

-All the individuals or households that want goods and services for personal use and have the resources to buy them

Pronotion

-All the techniques sellers use to inform people about their products and motivate them to purchase those products.

Marketing Research

-Analyzing markets to determine challenges and opportunities, and finding the info. needed to make good decisions *Used to identify products consumers have used in the past and what they want in the future *Uncovers market trends and attitudes held by company insiders and stakeholders.

One-to-One marketing

-Developing a unique mix of goods and services for each individual consumer

Mass Marketing

-Developing products and promotions to please large groups of people

Market Segmentation

-Divides the total market into groups with similar characteristics Ex: Men vs women, skiers vs golfers

geographic Segmentation

-Dividing the market by cities, counties, states, or reigions

Psychographic Segmentation

-Dividing the market by group values, interests, and opinions.

Demographic Segmentation

-Diving the market by age, income, education, and other demographic variables

Secondary Data

-Existing data that has previously been collected by sources like the govt. -No expense and is easily accessible *Not much info.

Purell

-Gojo industry (Maker of Purell) -Joe camford (CEO) -Lost money for 10 years

Focus Group

-Group of people who meet under the direction of a discussion leader to communicate opinions

Niche Marketing

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

Primary Data

-In-depth info. gathered by marketers from their own research Ex: Telephone, online and mail surveys, personal interviews, and focus groups

Business to Business (B2B)

-Individuals and organizations that buy goods and services to use in production or to sell, rent, or supply to others.

Customer Relationship Management (CRM)

-Learning as much as you can about customers and doing what you can to satisfy or exceed expectations

Relationship Marketing

-Rejects the idea of mass production and focuses toward custom-made goods and services for customers.

Target Marketing

-Selecting which segments an organization can serve profitably

Test Marketing

-Testing product concepts among potential product users

Brand Name

-Word, letter, or a group of letters that differentiates one seller's goods from a competitor's

Factors for Pricing Products

1. Competitor's prices 2. Production costs 3. Distribution 4. High/Low price strategies *Middlemen are important in place strategies because getting a product to consumers is critical.

Marketing Concept

1. Customer Orientation -Finding out what the customer wants and then providing it. 2. Service Orientation -Making sure everyone in an organization is committed to customer satisfaction 3. Profit Orientation -Focusing on the goods and services that will earn the most profit.

4 steps in Marketing Research Process

1. Defining the problem or opportunity and determining the present situation (Most important) 2. Collecting research data 3. Analyzing the data. 4. Choosing the best solution and implementing it.

4Ps of Marketing

1. Product -Most important element 2. Price -Amount charged for the product or service 3. Place -Method or places where it's distributed or sold 4. Promotion -Promotion mix including: -Advertising, direct marketing, sales promotion, personal selling, publicity, and public relations