Marketing Midterm 3401 LSU, MKT 3401 Exam 1 (LSU-Karam)
Pertaining to "Competition" of the Market Analysis: Who is Nike's biggest competitor today? What is the new population they are targeting?
Sketcher's. "Athleizure"
pricing Strategy where you start out pricing as high as you can for as long as possible before competition catches up. Ex. Audi, BMW
Skimming
3 factors of Conditions analysis:
Social Factors, Technology Factors, Legal & Political factors
the whole revolution of Water thing, and McD's selling "cage free" eggs pertain to ____ _____.
Societal Orientation
Satisfying the customer's needs and wants providing them with product or service that they will use, *WHILE KEEPING THE ENVIRONMENT GREEN, CLEAN, AND SAFE.* (Marketing orientation + attention to environmental situations/*Sustainability*) ex. Tom's shoes.
Societal orientation
____ products have both a Higher price, and Higher Risk and lots of time and involvement. Ex. Jewelry store. should be easy to find.
Specialty products
pricing Strategy involving Price Matching the competition. You find out what the market will bear and you just equal that market price. Hope that it doesn't negatively affect.
Status quo pricing
Images can be created as quick as ___ of a second. And opinions can be formulated in only ____ seconds.
1/24th of a second. Opinions in 10 seconds.
ratio of inaction to action in NFL is __ to __
10 to 1
What should you examine about competition in a market analysis?
Figure them out and keep up with them. There is not one company that does not have competition. It used to be Google. Who will it be in the future? Example: FedEx, UPS, and USPS are keeping up with each other
What turns into expertise?
Knowledge
Credibility =
Knowledge + Confidence + Connection
In sustaining your default look and dealing with others' facial reactions to you, its important to:
Maintain Poise!
How can you manage nervousness to appear confident?
Maintain a default look that looks comfortable. Manage your inflections
if it depends, then
"IT DEPENDS!"
What are some examples of external/personal information?
- Family and Friends - Opinion leaders - word of mouth - celebrity endorsement - "buzz marketing"
4 Criteria of Segmentation: - know characteristics of pop. - Can you Communicate and Distribute to them? - can they respond to their need or want to purchase it? - is the population big enough? (LSU to target hispanics too small, but Houston would do)
- Identification - Accessibility - Responsive - Substantial (IARS)
John Camp's/Kant 4 "keys to being successful" - Have to be able to:
1. Market yourself 2. Sell yourself 3. Network (K-now ppl) 4. Maintain Contact (sustain long term relationships)
Just __% goes to coaches and referees
7% coaches & refs
2 Labeling Purposes:
Informational and Persuasive
* key Technology in transportation: ____. This is __ to customers. People willing to pay extra to know.
Tracking. VALUABLE
Customers switch because of customer service more than anything else. True or False?
True
Speaking too fast is more persuasive than speaking too slowly. True or False?
True! Speaking too quickly is more persuasive than speaking too slowly
Eye contact is overrated. True or False?
True. Eye contact is overrated
Companies look for ___ and ____ as some of their core values.
Trust and Honesty
What is the reason why price makes a customer switch?
Unfair, underhanded, illegal, gauging, etc. Ex. Hurricane generators, shipping and handling
self doubt you have following a purchase
Cognitive dissonance
the self doubt you have after a purchase
Cognitive dissonance
serves as a source identifier
Color
____ Identifying: stir emotions in sports and business. ___ Identification ex: McD's Taco Bell bell, SportsCenter
Color, Audio
BIASED information from major media. Billboards, internet, tv, radio.
Commercial
4 Components of Market Analysis (The 4 C's):
Company Competition Customer Conditions
(Motel 6) ____: wanted customers to see that nice people also stay there.
Affiliation
The first part of the Profit Chain is service, starting with good ____ satisfaction.
EMPLOYEE
3rd level of Marketing Strategy Framework: (deals with the Marketing Mix - 4 P's)
Implementation
any way of promoting that gets them into your store. Contests, discounts, etc.
Sales Promotions
3 types of presenters;
- Show runner - Neophyte - Artists
#4 characteristic:
Smart
What did you learn from "United breaks guitars"?
- Customer service is important - Social Media has huge impacts
key factors to help enhance celebrity endorsements:
- Familiar to public - High esteem w/public - Proper fit
Odd/Even aka "_________" pricing tactic. Odd numbers note a _____.
"Psychological" (odd/even) - odd = bargain. $499.99, $900, $100 - Expensive restaurants use single digits $8, $9, $10 to make look fancy but bargain.
Word of Mouth is also known as "_____". People talk. Frozen movie, everyone talked about it.
"Sneezing"
4 parts of the Promotional Mix:
- Advertising - Public Relations - Sales Promotions - Personal Selling
What is the criteria for effective segmentation?
- Identification: Identify best target - Accessible: Reach them through promotions and distribution. ex. frito lays chips - Responsive: Can audience respond to you? - Substantial: Big enough population to drive profits
Purpose of promotions: - - -
- Inform - Persuade - Remind
3 unique populations at Wal-Mart: (a Multi-Segmented targeter)
- Low incomes living day to day - People who like name brands - Rich people wanting household goods
What are three effective methods of targeting?
- Mass marketing - appeal to a large population - multi segmented: Find multiple segments in a large population - niche: one specialty and do it well, but a little more expensive. ex. William Sonoma - Positioning: Attributes, Benefits, Communication of value
3 Branding strategies that Motel 6 used?
- Positioning - Affiliation - Personality
What makes you likable? - your ____ delivery, and - your ____ delivery.
- Vocal delivery - Visual delivery
what are the two things TV wants that are part of the growing trends in the TV industry. they wanna sell to 18-49 and 25-54,
- Younger viewers and Ownership of the show, rather than having to pay outsiders and pay it off through ads
Categories of Product:
1. Convenience* 2. Shopping 3. Specialty 4. Unsought
What are 4 reasons why a customer switches and takes their business elsewhere?
1. Core-service failure 2. Service encounter failiure 3. Price 4. Inconvenience (NOT LOCATION)
Primary reasons customers switch: 1. 2. _____ ___ ___ (lack of knowledge;people dealt w/no good,links *2nd primary concern of marketing) 3. 4. ___ (*NOT* 'location') 5. 6. Failure to respond to failure 7. ______ behavior
1. Core service failure 2. Service Encounter* Failure 3. Price 4. Inconvenience (not rly "location") 5. Attraction from competition 6. Failure to respond to failure 7. Unethical behavior
Brand: overall shop difference between the two stores (Walmart and Target?) was ____%
1-2% difference
*** (Social): 3 factors that affect Lifestyles
1. Activities 2. Interests 3. Opinions
What are the 4 parts of the Promotional Mix?
1. Advertising: Pay money for TV, radio, etc. Choose properly. How can you reach most effectively? 2. Public relations: Positive light on company brand. Big crisis: GM cars can kill you, recalls, lawsuits 3. Sales promotions: get you into the store 4. Personal selling
Demographics (customer) include: 1. __ (Nurse homes vs. "asst. living") 2. __ *Uggs for men 3. ___ Bilingual products @ H Depot 4. __ can tell by dress/WSJ ads. 5. ___ 6. ___ identify, do not offend!*most dangerous! 7. __NSWE,Politics&MachineofMktg
1. Age 2. Gender 3. Race 4. Income 5. Education 6. Religion 7. Geographical
What are unethical pricing tactics
1. Bait and switch: Price low and say "sold the last one, but we have this" 2. Predatory pricing: price low and knock out competition 3. Dynamic pricing: internet. Constantly changing price
Good customer Satisfaction yields the following: 1. ability to _________________. 2. ____ 3. ____ 4. You sell more!
1. Charge Premium prices 2. Less selling effort 3. Referrals
What four things should you examine before marketing? (Marketing Analysis)
1. Company 2. Competition 3. Customer 4. Conditions
What are 5 traits that help you market yourself?
1. Creative - think about ways to solve problems 2. Aggressive - thinking of another way when you're turned down 3. Enthusiastic - don't wear down the culture 4. Smart - problem solve, get things done, be reliable, intelligent 5. Honesty - trustworthy: most crippling: will get you on your resume: will take care of most of ethics
3 parts of developing long term relationships:
1. Customer Relations 2. Media Relationships 3. Community Relations
What are three marketing concepts?
1. Customer Value 2. Customer Satisfaction 3. Develop long-term relationships
the 3 Marketing Concepts:
1. Customer Value + 2. Customer Satisfaction => 3. Develop Long Term Relationships
Why do we use Celebrities?
1. Drive sales 2. Change perception of product.
3 Types of External Information (ways we get our info):
1. Family/Friends 2. Commercial 3. Public
What are the types of information?
1. Internal: recall, past experiences 2. External: personal, commercial, public,
What is the product life cycle?
1. Introduction 2. Growth 3. Maturity 4. Decline 5. Extension
Product LifeCycle, The 5 phases: 5 is optional depending on outcome of 4th phase (could become obsolete or flourish)
1. Introduction 2. Growth 3. Maturity 4. Decline 5. Extension (optional)
What makes you credible?
1. Knowledge 2. Confidence 3. Connection
The 3 Levels of the Marketing Strategy Framework:
1. Market Analysis 2. Strategy Development 3. Implementation
What is required to be successful?
1. Market Yourself - creating a unique, appealing brand 2. Sell Yourself 3. Know People 4. Maintain Contact - build relationships, follow up
3 Strategies in Targeting the market: 1. __ (Undifferentiated, Water, BC) 2. __ (various targets, Walmart) 3. __ (one specialty, and do it well)
1. Mass marketing 2. Multi-Segmented 3. Niche
2 most important Types of relationships to develop:
1. Media 2. Community
5 Steps of Consumer Decision Making Process:
1. Need Recognition 2. Information Search 3. Evaluate Alternatives 4. Purchase 5. Post-Purchase Behaviors.
What are the 5 steps of the consumer decision-making process?
1. Need Recognition 2. Information search 3. Evaluate the Alternatives 4. Purchase 5. Post-purchase behavior
the 2 types of disgruntled customers: 1. ____ one (yells) 2. ____ ___ customer (leave & blog)
1. Openly Angry 2. Remorseful/Silent Angry
4 components of Product:
1. Packaging 2. Warranty 3. Service after sale 4. Brand
What are 3 pricing strategies?
1. Penetration pricing 2. Price skimming 3. Status quo
Purposes of Product PACKAGING 1. _ (against theft) 2. Facilitate ____. 3. __ tells ingredients/info/persuad 4. ____ powerade blue vs. gator orange 5. ____ red bull 6. ___ selling mints altoids can 7. ___ relate 82% to partic. time 8. _ (clicks lipstick)
1. Pertain/Protect 2. Recycling 3. Labeling 4. Color 5. Shape(RedBull/coke) 6. Size 7. Smell 8. Sound
What was the branding strategy of the Motel 6 example?
1. Position: Motel 6 as an economical, clean, enjoyable, and fun place. No amenities 2. Affiliation: Who's at the same place as you. Same as bars. 3. Personality: Insurance companies. Tom Bidet's voice. It's the longest run commercial.
What are 4 marketing/management philosophies?
1. Product Orientation 2. Sales Orientation 3. Marketing Orientation 4. Societal Orientation
2 types of most effective advertising:
1. Product advertising 2. Institutional (Apple, enhancing the brand as whole)
The 4 Marketing Management Philosophies (Orientations):
1. Production orientation 2. Sales orientation 3. Marketing orientation 4. Societal orientation.
What are 6 pricing tactics?
1. Rebates: coined in 1975 2. Single Pricing: dollar store, dollar menu 3. Professional: Lawyers, dentists, car 4. Loss leader: regular company, runs ad pricing name brand product lower than you've seen it. Then they surround you with other products you want - coke, whiskey, popcorn, etc. 5. Psychologicall pricing (Odd/Even) - Odd number notes bargain. Sales advertisements are $100, $2,000, $900. porch is the same. Kay's will say 499.99. Expensive restaurants use $8, $9, $19 6. Precise/Rounding: In negotiation, use precise numbers. They indicate more thought. 62,700 vs 65,000
What are three results of good customer service?
1. Referrals - people will talk good about you. More business. (The floors in his house) 2. Reduced effort to sell - You don't have to advertise much. 3. Premium pricing - If you pay 20% more, you get the best.
What are two types of credibility?
1. Resume credibility - written or spoken resume 2. Authenticity - Who are you? Are you genuine? Are you likable? Are you rigid? Delivery. Charism. What your personality is all about. Trustworthy and sincere.
How do you alleviate cognitive dissonance? 1. 2. 3.
1. Seek approval from friend. 2. Search for that one benefit that validates your decision. 3. Always FOLLOW UP (for businesses, especially w/big purch.)
3 Components of Strategy Development:
1. Segmentation 2. Targeting 3. Positioning
What are the stags of strategy development?
1. Segmentation 2. Targeting 3. Implementation
What are the 3 types of presenters
1. Show runner - can step up and they are just good. Poised. Wonderful. Maybe 10 in the class 2. Neophyte - Good. Average. Not perfect, but above average. 3. Artists - they do weird things on purpose. see past their brand. (all are good, just different)
3 Pricing Strategies:
1. Skimming 2. Penetration 3. Status quo
What are 3 branding decisions? examples...
1. Target is better than Walmart (1-2% difference is sales price) Recession --> Walmart 2. McDonald's, fat kid --> introduced healthy choices and improved sales by 8% 3. Tiffany's sold a $45 bracelet with target market of girls 14-18. Sold enormously well with $35 million, but it wasn't good for the brand. It diluted it. You weren't supposed to get the blue box until you were older.
What are the 3 elements that can improve your credibility? 1. 2. ___ (show you're skilled/competent) 2. ___ (style/swagger/that makes you look able)
1. Trust/Honesty (T.E.A.) 2. Expertise 3. Attractiveness
What are the two types of disgruntled customers?
1. angry - yells, shouts, screams. They don't want free stuff. They want you to listen 2. Remorseful - How was your experience? Good. (but, it's not) They unload on another mechanism.
What are the functions of packaging in branding?
1. contain and protect the product (milk, eggs, computers, whatever 2. Protection against theft: Walmart reported 1.1 Billion dollars in theft. Products would be cheaper without all the packaging. Example: the battery. People will steal, so the packaging has to protect. Greek yogurt is taking up shelf space and moving out butter - butter has become square 3. Labeling: Tells you what's in the product, ingredients; older people care about sodium and fiber. Campbell's is losing to progresso; Progresso took out sodium. Cereal focuses less on sugar. Provides information. 4. Color: Color serves as a source identifier. Purple and Gold LSU. Powerade blue vs. Gatorade orange
How long does it take for a brand to be created?
1/24 of a second! Grunts, "whatever", "psht", will define you! Example: Richard Sherman, Justin and Janet Jackson
"rebate" since ____
1974
Rebates were coined in _____.
1974
Implied and Written
2 types of the Warranty component of a product:
looks at and bases on the benefits, price, quality, atmosphere, part of the country. Dept. at a certain university.
3. Evaluating the Alternatives (Step 3 - Consumer Making Process)
Vocal delivery is ___% of your emotional impact. Tone, sound like you care. Try Pausing.
38%
What did Al Morabian say?
38% of emotional impact is judged on vocal delivery 55% of emotional impact is judged on visual delivery 7% of emotional impact is judged on verbal arrangement
typical play only lasts ___ seconds
4 seconds
Actual action step: signing for the contract, 4th/critical part of the consumer dec. making process.
4. Purchase.
at 24 minutes worth of replays, ESPN showed ______% more replays than average networks.
41%
How much of emotional impact is judged on visual delivery?
55%
Visual delivery is ___% of your emotional impact. *Facial Expressions, and your *____ look*
55%, Visual = "Default look"
average NFL telecast devotes ___% more time to replays than the 11 minutes of action
56%
injured players got ___ more seconds camera time than celebrating players
6 seconds
The median age of the entire network A&E is 48. what was the median age of Longmire's viewers? (TOO OLD)
60
___% airtime is spent on players Between Snaps in the huddle and standing at L.O.S.
60% total field air time is between snaps
What percent of people will change a purchase decision based upon the indifference of one person?
63%
___% of people will change a purchase decision/go somewhere else just based on the indifference/ex. rudeness of one person.
63%
Only __% of people who have a bad experience will tell the actual service provider.
7%
What percent of people who have a bad experience will tell the service provider?
7%
How much is emotional impact judged on verbal arrangement?
7% Prepare content, but don't be so set on memorization
Let's talk about customer service... Jet Blue Valentine's Day fiasco
7, 100 flights cancelled.
In 10 seconds you can predict with _____% accuracy who someone is as though you listened for 1 hour.
70% accuracy!
During airings of Family Guy ads were viewed ____ million times
709.7
___% of millionaires are involved in volunteer/community events
74%
What percent of people who have a bad experience will tell at least one person and embellish the story to make it more sensational?
77%
___% of customers who have a bad experience will tell at least ONE person and embellish the story to make it sound more sensational.
77%
Value =
= Benefits - Cost
What is persuasion?
A conscience attempt to modify the thoughts and behavior of you, the consumer, AND move you toward a pre-determined goal. (action)
To be successful: you must have these 5 traits:
C.H.A.S.E. 1. Creative 2. Agressive 3. Enthusiastic 4. Smart 5. Honest/Trustworthy
What is the case study of United Breaks Guitars
A person's guitar is broken and he tells the airline (United) employee. They said nothing good in a back and forth exchange. The Power of One: He writes a song and puts it on YouTube. Customer service is violated and the brand is damaged
What are customer demographics?
Age Gender Race: Ex. Coke and Pepsi... Pepsi goes after African american populations and started selling more products. Hispanics and the Home Depot Income (You can tell from their dress and occupation) Ads in the Wall Street Journal are tailored to high-income Education Religion: Identify and DO NOT OFFEND --> offend vs. appeal. Ex. Lent Special Fish Sandwich, Edwin Edwards and his commercial. Geographical: North, south, east, west. Politics and the machine of marketing Who you are trying to appeal to, who not to offend, the more you know, the better you can tailor
What is the altoid packaging example regarding brand objectives?
Altoid took mints off rolls and put them in a tin can. Made their brand stand out. More... Red Bull --> Barbie Can. Vodka bottles are gorgeous
What are two types of service failure?
Ante Moment of Truth
A huge part of 3rd Marketing concept (Developing long term relationships) = _______
Appreciation! Stronger relations when you keep overcoming failure.
What should you be most careful of appearing as?
Arrogant! You can sound smart and knowledgeable, but arrogance will limit your growth. You must be careful not to come across as arrogant. People will judge you harshly.
a little different, extreme dress, diff. lifestyles and looks. This can bring a whole lot of VALUE.
Artist
What are the ABC's of Positioning?
Attributes, Benefits, Communication of value
What is service encounter failure?
Be knowledgable and polite Ex. Kenneth Fienburg was the attorney who had to tell the 911 families that would not be getting more money. Facial expression shows compassion. All but 2% of 2000 understood when he used this
What should you do with service failure?
Be prepared. Show that you care. Have a plan.
What is the heart and soul of business?
Being a good presenter!
What is customer value?
Being able to show how you can add value to the company. Be creative. Customer value = Benefits - Cost... If the benefits outweigh the costs, it's value! Sell the benefits!
Celebrity Endorsement Mel Gibson example
Best selling movie despite it's predictability... He marketed it via talk shows and traveled to opinion leaders, preachers, and told the stories...
Commercial external types of information
Biased information - TV Commercials - Radio - each station advertises for its groups - Newspaper - Magazine: Only if there is a big population of readers. Sports Illustrated - Internet: popup advertisements are in their infancy - Direct mail: more money is spent on this than any other form. Large population - Billboards: 1. Placement and number of cars that pass 2. Advancements in technology. GOLD- Find the piece of land where the pipe int he ground is buried.
When you like and trust a brand, this is easier to do. This is why Nike can do every single item of clothing and introduced the fuel band vs. the FitBit that got recalled.
Branding objective: introduction of new products
pricing that is effective if one key premium product is in the mix. ex. telephones, computers.
Bundling
this info spreading technique puts product in hands of opinion leaders for free "hoping" that they'll spread a good word of mouth. Ethical and Non-Ethical way. Cant tell them to.
Buzz-Marketing
An example of Community Relationships: Yoplait breast cancer awareness lids. This represents a ____ ___ ___.
Cause Related Market.
Friend info: Opinion Leaders are NOT ____.
Celebrities.
What are some examples of how to maintain contact?
Christmas cards, gift giving, so people know who you are and remember you
Article about _____ talks about segmentation, target market, demographics, lifestyles, etc. READ
Cigarettes
Who monitored social media to find out what customers See, Hear, and Say? ex. looked at tweets and posts for complaints and then addressed customers immediately to recover greatly. Some fail on purpose to make a mark from their correction procedures.
Citi Bank
Products of ________: - Inexpensive - Minimal risk - Basic needs
Convenience
"what makes you BELIEVABLE", What we do to make people pay attention to us and to influence. Critical.
Credibility
Why do you believe some people and not others?
Credibility - believability and trust (of person across from you)
Marketing orientation is driven by ____ ____.
Customer *Satisfaction*
Lies at the foot of what marketing is all about.
Customer Satisfaction
Customers switch because of ____ ____ more than anything else. (this goes with C.Satisfaction)
Customer service.
Let's talk about customer service... Delta
Delta spent $1 billion in customer service training
Customer analysis focuses on _____.
Demographics
More money is spent on ___ __ Commercial informing techniques than any other. *LARGE POPULATION and is *Pinpoint specific.
Direct mail
A&E's #1 show was ____ ____, while Longmire was #2.
Duck Dynasty
Profit Chain: Employee ___ leads to good Customer Service, creates customer ___, then if you can create customer ___ then you are able to create customer ___. its a cycle.
Employee Satisfaction -->Service --> Value --> Customer Satisfaction --> Loyalty = Profits
Chrysler Warranty example
Everything has a warranty. Some are implied. Written warranty - laptop, car, etc. Ex. Chrysler was the #3 car company int he world. CEO Lei Coco wanted to transform Chrysler. He saw a trend in women --> minivan. There were a lot of people who just needed to get from point A to point B without breaking down --> k-car, boring but affordable and they slapped a TEN Year 100,000 bumper to bumper warranty
looking at the Conditions in a market analysis includes 3 factors and means analyzing the "_____ _____" and everything that changes in it.
External Environment
What should you examine about conditions in a market analysis?
External environment. Understand it and you can go forward. Look at: social factors activities, interests, and opinions technology legal or political economic factors
___ _____ are the #1 most critical part of Visual delivery
FACIAL EXPRESSIONS
What is the number one visual element?
Facial expression
How much recovery is enough?
Failing and being able to recover is the BEST opportunity. If they don't like you, you cannot build a relationship.
Airline tickets are an example of _____ pricing. Best day of the week to buy a ticket is Tuesday.
Flexible
Tom Baudette was a carpenter, and almost richest man, Introduced new Econolodge cheap stays segment of Motel 6 and sold a bunch to rebrand so didn't seem so cheap. Put together ____ ___.
Focus groups
92% of consumers get info from ____. The MOST TRUSTED info source. (Opinion leaders, Celebrities, and Word of Mouth)
Friends.
What role did John Hancock Insurance co. play in giving back to the COMMUNITY by saving the Boston Marathon?
Gave their money, resources, etc. and said they would put little tags on shoes or shirts and take pictures at the finish line.
#3 skill of importance
Honesty (ethical)
Why do customers switch for inconvenice?
How can CC's coffee put you out of business? Customers park and stay all day, using up your parking spaces.
IF ANY ANSWER ON THE TEST IS "IT DEPENDS" the answer will be:
IT DEPENDS!
What are the objectives of branding?
Identification Repeat Sales Introduction of new products Packaging
How do you make a connection?
Identify and relate to the audience. Know their interests. Denis Rodman - He had a connection due to his love of basketball. North Korea
______ Labeling components: - Instructions - Construction - Communicate to consumer - Nutrition* - *Reduce Cognitive Dissonance
Informational *Nutrition - Campbells is losing to Progresso soups bc they took out sodium and labeled it with emphasis
Ignore the default look of people sitting across form you in an interview.
Instead, assume they are listening.
#1 thing IV leagues look for are ___ and ____ skills
Interpersonal and Communication skills
Shopping products that are a bit more expensive than convenient require more time and _____*
Involvement
How do legal or political affect conditions in a market analysis?
Laws change that make things different. No more TV ads for phones and will have a skull not he package to warn people of their potential risk. Car seats for babies were invented. Companies that made toys shifted to car seats. Someone at LSU's grandpa had a factor that had nylon and it was going out of business - so they made seatbelts and became very successful!
How should you handle a bad customer service experience?
Let them yell! Put out the fire. You have an opportunity to create lasting relationships. Repair the relationship.
What is unsought (product categories)?
Life insurance, 401-K, health insurance, if they go looking and understand they hook you. hearing aid
Social factors value ____
Lifestyles
the emotional impact you have on somebody.
Likability
Kenneth Feinberg (who listened to 2000 ppl's appeal, only 2% appealed to next level) says most important skill in negotiating is ______.
Listening
Pricing Tactic: When regular companies like Coke price their name brand lower than you've seen it, but then they surround you with other items - chips/dip/whiskey that they'll make their money on.
Loss Leader
What is convenience (product categories)?
Low in level of involvement.... Bubble gum, candy, don't spend time search; quick and easy. KitKat is icon candy.
(Persuasive type Labeling technique) What magic word do we love when we buy something?
MADE IN USA
*Satisfying* customers needs and wants providing them with product/serv. that they will use.
Marketing orientation
whenever the name of the product is the category by which the product is in. ex. Kleenex, Q-Tips, ET and M&Ms examples
Master brand
How is pricing important?
Misplace and it hurt your brand. What's wrong with pricing too low? Karma could have gone to Switzerland, but he only charged $200 an hour, and he didn't seem credible. He sold himself too short.
What are some examples of positioning?
Motel 6 is the cheapest in the national chain. Tom Bodett is the voice behind it. Reposition something then sell it. Have a focus group of 7-9 people. Survey them and find the pros and cons using Research. They found the brand wasn't good. They had a frugal population and a population of travelers. Wrote the book called The Millionaire Next Door. So they kind of changed the brand of Motel 6.
one way of researching. these people pose as a customer, use their services and evaluate everything you do in order to see what the competition does to spark new, innovative ideas. Point is to try to find a source of __ __.
Mystery Shoppers. - Prospect Theory
finding an unfulfilled need and grabbing customers attention deals with
Need recognition
nervous presenter, get it done, effective, MAJORITY of presenters.
Neophyte
In Boston, the ___ ___ puzzle was the most popular, and at another ___ ___ ___ were one of the most popular.
New Balance puzzle, Krispy Kreme doughnuts
What is specialty (product categories)?
Niche store, more luxurious, higher prices, simple, obvious
What is confidence?
Not arrogant or timid. Be natural. You can't be too nervous. Being nervous does not exempt you from being good. Control, manage, and camouflage nervousness.
Identification Repeated sales, then Introduce new products
Objective of Branding
What is Marketing Orientation?
Satisfying the customers needs and wants by providing them with a product or service that they will use. Satisfaction driven.
What is stage one of strategy development?
Segmentation: How will you divide the population? Focus.
Likability leads to what?
PERSUASION!
Pricing strategy where you price it as low as you can in order to get consumers to use and try it and hopefully like it.
Penetration
When do people look at you and judge your personal brand most?
People look at you before you leave the room and after. If you can't manage this, you can't get the personal brand you desire.
Personal Brand formula: ___ + ___ + ____ X _____
Performance + Personality + (Visibility X Trust)
Personal branding =
Performance + personality + visibility + trust
What do people think and do when they see or hear your name... How do you develop this? ___ ____ (how you sell yourself)
Personal Branding
type of promotion where the person/individual goes out and does the work their self. *it depends*
Personal Selling
(Motel 6) _____: like insurance co.'s (Flo, Aflac) - Went and found Tom Baudette for this in Alaska, all they used was his voice but successful.
Personality (Tom B was their personality)
Media training examples
Peyton Manning looking and smiling as he walks. Drew Brees has a good brand. He cares about his team. HE GETS IT. People see you and formulate opinions about you.
What was wrong with Karam's convenience store idea?
Place. The location should've been on the opposite corner where everyone goes out and all the traffic is moving, people can get weekend beer etc. Not at pile up spot.
3rd component of Strategy Development: (1. Segmenting 2. Targeting 3. ____)
Positioning your product
these are from both Consumers AND Business's interests. Look at your purchase and analyze.
Post-Purchase Behaviors
In negotiation, use _____ numbers. It indicates you put more thought into the worth of your product. This is the Precise/Rounding price tactic.
Precise.
What two parts of the marketing mix are used throughout all the decision making of the product lifecycle?
Price and Promotion
______ of the 4 P's looks at the categories of the product because there is a different strategy for each category
Product
4 P's of Implementation's Marketing Mix:
Product Price Placement Promotions
Marketing Mix =
Product + Price + Place + Promotion
Biggest flaw of ____ orientation: You can be the best at it but theres just no population or customer base to want it.
Production orientation
lawyers and dentists' pricing tactic
Professional
the way we communicate with the customer. (4th part of marketing mix)
Promotion
the way a company communicates with a customer
Promotions
the Unbiased, neutral, consumer report sources we use for information. KBB, JP Power&Assoc.
Public
**Dealing with integrity with a variety of mediums to create positivity.**
Public Relations promotions
promotion by maintaining or acquiring a *positive image* on company brand, or changing a negative image. ex. LSU S.Car. game
Public Relations promotions
(Motel 6) ____: positioned where travelers making a living could stay, appealed to the frugal travelers (wanted to spend their $ on something else).
Rebranded
Terms to know about Motel 6 on Test: (3)
Rebranded, Affiliation, Personality
When you don't get good service: __. Have to have a recovery system in place (failure and recovery).
Service Failure
Longmire was about a Wyoming ____
Sherriff
How do you develop long-term relationships?
Show appreciation. Do nice things for people who give you business. Example. Companies give Christmas presents. It is what makes industry wonderful.
dollar store pricing/dollar menu, (specific area of store with one price only)
Single pricing tactic
2nd Level of Marketing Strategy Framework
Strategy Development
What should you examine about a company in a market analysis?
Strengths and weaknesses
What you do to make sure you can keep things moving in a nice direction, recycling, and being good to environment. ex. Patagonia -tires
Sustainability
2nd most critical skill: _____. Interact in a positive way even with differences.
Teamwork
Examples are UPS-stamps idea, FedEx Air, SPEED SPEED SPEED, ability to create machines and be more productive and efficient.
Technology factors (Conditional analysis)
What is likability?
The emotional impact you have on somebody. Get people to pay attention and like you!
Public External Types of information
The unbiased sources we use for information. Neutral. Government. JP Power and Associates. Consumer report. - Clutter: so much to choose from. There are a lot of options and decisions. - Unique Selling Proposition: Separate yourself from the clutter. Believable advertising appeal. pull your product out amongst the population. Ex. Volvo and its safety. Toothpaste industry --> Rembrandt came up with whitening. It resonated throughout the industry - Involvement: Time and energy spent in searching and evaluating a product (Routine, moderate, Extensive) - Evoked set: The final group of choices. Your odds are better if you make it down to this group. Choosing college, you embarked on an information search, ending in an evoked set of LSU, Georgia, and Texas. Front
Tyrann Mathieu: "What questions are they going to ask me?" in NYC photo shoot:
The worst ones. Media will trick you. Want them to write good stories about our brand, thats why we give free seats in stadium.
What is production orientation?
They don't care about the customer, the consumer, or people. They only care about making a product the best they can.
What is sales orientation?
They take what they produce and put it into the hands of skilled sales force and tell them to sell it. Tell and Sell
**preserving the brand example: ___ ___: cheap, sold tons, discontinued wasn't good for Elite brand that should stay special.
Tiffany's bracelet
What about vocal delivery defines you more than you think?
Tone of voice!
*Toothpaste industry with whitening in our industry, resonated throughout. and Volvo Sleek and sales went down.
Unique selling proposition
____ products like health and life insurance that you didn't know you had to have until you had to get it. should also be easy to find.
Unsought
The last 7% of your emotional impact (likability) is your *_____ ____ (or maybe ____ ___).
Verbal Arrangement/Physical Appearance
Who tried manipulating people saying they were making green cars when really weren't? (hence Honesty and Trust issues)
Volkswagon CEO
What are the three product components?
Warranty Service after sale Brand
What is societal orientation?
We ahve grown up with products that feast on this. Marketing Orientation while keeping the environment safe and friendly.
What is post-purchase behavior?
What happens after the purchase. If you keep the product, you may experience cognitive dissonance, doubt. Why did I buy this? You ask a friend and they make you feel better by confirming your choice. Ex. Jewelry shop that has someone pop in and say that they have the piece and they just adore it. Karma bought a new couch and attempted to return it; he likes it now that his friend complimented it. he has not gone back to the store though because heey did nothing to soften his self-doubt. His house is handicap accessible, except for 2 back doors that his wife made him change. Robert comes over, charges him an arm and a leg, comes back to see how he doing in a week. He refers people to him all the time. loves Robert. More loyal customers!
How do economic factors affect conditions in a market analysis?
When times are good, you spend money. During recessions, prices change and the way you run your company should also change.
What is the curse of knowledge?
When you know so much, but you can't break it down in a clear way
What will people remember?
When you mismanage (snap) and that's what they will remember.
Whitney Houston example
Whitney Houston made debut at Super Bowl when she sang the National Anthem in 1991. She sang it so beautifully that people cried. The papers didn't show the game - they showed the tears. She tweaked something mundane and branded it.
What should you examine about a customer in a market analysis?
Who are they? What are their buying habits? How do they change?
What are some examples of societal orientatioN?
You aren't a good steward if you don't recycle. Wal-Mart introduced curly light bulbs. Patagonia --> Sustainability --> recycle. Do things to make society better. Nike and LSU. Nike got in trouble for sweatshop child-labor factories. They created a blueprint for oversees manufacturing. Came up with machinery to eliminate waste. Better stewards! CVS choosing to not sell cigarettes
What is shopping (product categories)?
You don't just run in and buy it. You look into it, shop around, more involvement, greater price.
What is customer satisfaction?
You have to be happy with what you just bought. You want them to come back and talk good about you and give you a high rating
Why is "selling yourself" so important?
You need to be likable!
When you lose trust, your chances of being believable are destroyed. Honesty affects other people. Then... What is destroyed?
Your credibility Example. BP asked LSU to help repair their brand. Help people forgive them. You have to know hwat people think of you - strong, weak, damaged credibility?
How do you take the K-car (cheap, will get you to work and back reliable everyday for the blue - collar worker)? (a SEGMENT of ppl who just need that simple a-b car)
a Warranty!! ex. 100k miles or 10 yrs all while offering bumper to bumper protection.
The Public info involves: a. ____ (lots of choices) b. _ (pull your product out amongst others*Volvo) c. __ __ (final list of considerations)
a. Clutter b. Unique Selling proposition c. Evoked Set
TV's chief advantage over the web:
ability to reach huge audiences
What is TV's new approach using?
analytical data of heavy buyers of specific products and shopping habits. ex. burger lovers, yogurt buyers, movie tickets and car buying
What kind of vocal delivery is expected?
articulate, clean and clear
Learning to develop and maintain long term relationships leads to __ __. Ex. giving christmas presents.
brand loyalty
What is buzz marketing?
chooses to put a product int he hands of an opinion leader for the purposes of them using the product for free and hoping they spread good word of mouth. MoPad --> Vespa --> gave bikes to football players at Ohio State University, hoping that they will say something good about the product. The ethical concern is that you can't tell them to say something good.
What are the four product categories?
convenience, shopping, specialty and unsought
Talk shows are radio's second most popular format, while _____ ___ is the 1st most popular
country music
People have different ideas about what ____ is
credibility
Delta Airlines spent $1 billion to train their employees in better ___ ____.
customer Service
good *Employee* satisfaction leads to good ____ ____
customer satisfaction
Let's talk about customer service... with doctors
every doctor has "bed-side" manner... studies prove that if they feel care is authentic, people are less likely to sue if something messes up. FEAR word of mouth!
What is ante service failure?
everyday good service that you expect. everyday good behavior
What is core-service failure?
failure in the service function. Ex. dropped calls
The best option is to have kids actually engaging as much as possible and actually playing with the brand, and having signs without logos, one grocery store used the same shade of red color that HEB uses in stores as a source identifier. Children gain ___ through playing with these logos and establishes long lasting positive feelings toward the image.
familiarity
What is the "Need Recognition" in a consumer decision - making process?
find an unfulfilled need and grab their attention
What are some examples of customer value?
first class flights... getting on early, off early, refreshments. Create benefits that are bigger than costs.
What is the "Information search" in a consumer decision - making process?
get as much information as you can to make the right decision. The more convenient the product the less risk.
What is the importance of identification in branding?
get your product seen from a cluster of others. The stronger, the more you're drawn. Nike - very cultivated. Naked swoosh
what problem did the Longmire show have? whats this "cancelled you fav tv show" article about?
had the wrong audience and wrong owner, - targeting the right audience; or - Demographics
What are some activities, interest, and opinions? (conditions in market analysis)
help make up your life-style decisions. Life styles change all the time. Companies who can adapt get a huge population
the more convenient information search is = __ __
less risk
What are the 4 components of implementation in strategy development?
marketing mix has 4 components: 1. Product 2. Price: elite vs. inexpensive 3. Place: Where will your company be? 4. Promotion: Advertising, public relations, sales promotions
the mortal sin of football:
missing a snap
"Simplicity is complex"
present it in a clean way
What is status quo pricing?
price match competition. Match product and hope it doesn't negatively affect product
What do companies look for?
professional advancement
What are the most important components of customer satisfaction?
service, quality, and delivery
What is price skimming?
set the price as high as you can for as long as you can until competition catches up
What is penetration pricing?
set the price as low as you can to get market share, name recognition, and get people to try the product.
Corporate branding - Microsoft
show a side never seen before. CRITICAL! Every adverstisement had a personality they wanted to link themselves to.
Sensational and Exceptional, can sell anything
show runner
Museums use ____ as their crucial source of funding their exhibits, they make them more interactive but also more branded.
sponsorships
when is the TV network's peak ad sales season?
spring
radio talk shows still bring in numbers, big numbers, liberals and social media campaigns just scare adders away bc they don't want to take the risk of being associated with:
strong personalities like Limbaugh's, religion and politically charged, sensitive topics that may offend people so much that they talk bad about the station online, thus reducing the amount of listeners
What is moment of truth service failure?
terrible moment happens, your chance to make it right
Examples of technology? (in a market analysis)
tracking packages, online banking, Amazon's newest venture - drone's that will drop packages at your door, but it's a long way away. They have hurdles to cross. Robotics in medicine
What are some social factors? (Conditions in market analysis)
values of the day Samsonite's luggage after 9/11. Security Systems after mass murders. Value life styles. Levi Straus - Poor wore Wrangler, even poorer wore Lee, richer wore Levi. Levi lost market shares when low-cut jeans came into style. They said they wouldn't do it. Other companies gave the customers what they wanted.
online/digital has a lack of __
viewability
Visibility =
viral - people talk about and use your product. Trust can destroy a personal brand
____ warranties. can help you differentiate yourself from competition. auto, laptops
written
Figure out your default look - everyday look you have. If you can frame and package it better, then....
you can persuade people
Performance =
your success