Download Analyze your Customers

What is Marketing?
• All the processes used to identify
create and maintain exchange
relationship to satisfy individuals.
The Marketing Mix 4
P’s of Marketing
The product or service needed to meet
consumer demand and satisfy them.
Consumer demand affected by :
•Quality
•Perception
•Price
•Promotion
•Trends
•Economy
The amount paid for good or service.
Factors that help determine price
•Availability of product
•Product perception(Nike vs. DS)
•The economy
Product
Having the product at the right place
and at the right time.
Involves:
•Packaging
•Storage
•Handling
•Transportation
Place
distribution
•Online store
•inventory
Price
All the communication strategies used
to create favorable impression of
good.
•Advertising
•Publicity
•Personal selling
•Sales promotion
Promotion
The Marketing Concept
• Identifying and satisfying the needs
of customers during the development
and marketing of a product
– Develop products better than the
competition
– Giving consumers quality and variety
• Feedback and economic votes
• Target customers by making a
connection with
– Culture
– Values
– Rituals
– Social Class
– Family
– Gender
• Make the
connection.
• It may backfire if
the connections
tends to be a
stereotype,
offensive or
insulting
• The process of making decisions
occur in six steps
1.
2.
3.
4.
5.
6.
Define the problem
Identify the choices
Evaluate the choices
Choose one
Act on your choice
Review your decision
Target the Consumer
Market
• The entire population that could
possible be a consumers.
– Advertisers must determine who they
want to reach out of this group
• Target segment- subgroup
of the market who you chose to focus all
advertising on
The Market
• Mass Market
• All potential
customers- for
everyone
Market Segmentation
Behavioral Segmentation
Dividing the whole into
parts
caffine
free diet
Regular
No
caffine
Low
cards
Diet
• A group of people with common
characteristics
– Must be large enough to divide
– Five most common segments
• Demographics
• Geography
• Psychographics
• Benefits derived
• Usage & Commitment
• Statistical
characteristics of
human populations
– Age, race, martial
status, education,
gender, religion,
income, etc
– Demographics is
useful in choosing
the media to reach
a target segment
African American, Females, 18-40
that use make up
• Segmentation
based on location
• People who live
near each other
share
characteristics,
values and culture,
& recreational
activities
Makes since to advertise
more ski equipment in
Colorado than in California
where surfing is popular.
• Focuses on the a
consumer’s
activities, interest,
opinion, and
lifestyle.
• Insight to people’s
motivation helps
them to
understand what
advertisements
appeal to them
More likely to see healthy snacks, vitamin
and exercise equipment advertisements i
a magazine like this than in soap opera
digest
• Focus on
getting and
keeping and
switching users
to your
product.
• Heavy users of
a product are
responsible for
majority of
sales.
Benefits
• Benefits customers
want from the
same category or
goods.
• People get different
things from the
brand they love.
Nike carries soccer shoes, tennis
shoes, running shows, casual
• Positioning- The process of making
an advertiser’s product different from
other similar products.
– Elements of positioning strategy
• Substance- product must be able to back
their claim
• Consistency-keep same basic message for
product over time
• Simple theme-short distinctive theme, not
to confuse
Positioning themes
• Two type of themes
• Physical
– Focus is on the objective physical
characteristic of the product
– Ex “ 0 to 60 in 3 seconds”
• Perceptual
– Emotional or subjective opinion about
the product.
– “makes you feel like a million bucks”
Most common basic themes
• 1. Benefit positioning
– Talk about a single benefit important to
consumers
• 2.User Positioning
– Show how product fits the users lifestyle
and useful to consumers
• 3.Competitive Positioning
– Make your products stand on in a crowd
by comparing it to other brands
Advertisers –criteria for
selecting best segments
• Different segments have a different level
of appeal.
Where
you live
What
price can
you pay?
How old
are you?
Male or
Female
What you
do for a
living?
Effective Target Markets
characteristics
• Common important needs
• Can afford the product or service
• High demand for the product or
service
• Adequate date available about the
market- (develop a good marketing
mix)
Marketing Research for
Advertising
Marketing research
• The process of planning, colleting,
and analyzing the data needed to
solve marketing problems.
• Used to create new marketing plan
or to make changes to an old one.
Marketing
Research Steps
Identify and
define problem
Develop the
research Design
Determine the
data collecting
method
Collect data
Analyze Data
Report the Data
• Primary Research
Method
– Surveys or questionnaires
– (open ended or closed
ended questions
– Focus groups- groups of
people that study the topic
– Observation methods –
one way mirrors, mystery
shoppers
– Experiments
Measure the
effectiveness of an
advertising message
Secondary Market Research
• Collecting and analyzing data
previously gathered for other
purposes
– Saves time and money
– Learn about the industry, trends and
consumers
Secondary Methods
• Internal company reports
• Trade and professional association
• Non profit organizations
• Government reports
• Business websites
• News and media sources