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AQUACULTURE MARKETING:
GETTING DOWN TO THE BASICS
Kwamena Quagrainie
Purdue University, West Lafayette, IN
Email: [email protected]
Tel: 765-494-4200
WHAT IS MARKETING?
Marketing
is a planning process:
The conception, pricing, promotion, and
distribution of goods, services, and ideas
To create exchanges that satisfy individual and
company objectives
ELEMENTS OF THE MARKETING MIX (4Ps)
Fundamentals of Selling, Charles M. Futrell
SELLING INVOLVES MARKETING
Selling
is just one of many marketing
components
Personal
selling includes:
Personal
communication of information
Persuasion
Helping
others
Goods
Services
Ideas
DIFFERENCE BETWEEN SELLING AND
MARKETING CONCEPTS
Selling Concept
Marketing Concept
1. Emphasis is on the product.
1. Emphasis is on customers’ wants.
2. Company first makes the product and then
2. Company first determines customers’ wants
figures out how to sell it.
and then figures out how to make and deliver
a product to satisfy those wants.
3. Management is sales-volume-oriented.
3. Management is profit-oriented.
4. Planning is short-run, in terms of today’s
4. Planning is long-run, in terms of new
products and markets.
products, tomorrow’s markets, and future
growth.
5. Stresses needs of seller.
5. Stresses wants of buyers.
YOU NEED TO BE GOOD AT BOTH
Awareness
of offerings
Awareness
of the motivators
involved in buying
A
plan
WHAT ARE YOU OFFERING (PRODUCT)?
Need
Want
Satisfying some consumers’
ideal or desire
“Eating fresh food”
Satisfying needs through
culturally / socially influence.
“Eating local fresh food”
Benefit
Meeting outcome that
motivates buying behavior.
“Eating fish for heart health”
PEOPLE BUY MORE THAN THE PRODUCT
People
buy -
satisfaction:
Image
of eating
fresh
vs. frozen
shrimp
What
vs. sardines
the product will
do
Its
perceived quality
STRESS PRODUCT FEATURES
Feature
Many
– product characteristics
sales people emphasize features
Examples:
What
Size, Color, Price, Shape
features can a fish farmer emphasize
Price,
size, quality, etc
STRESS PRODUCT’S ADVANTAGES
Advantage
The
– a performance characteristic
chances of making a sale are increased
by describing the product’s advantages
How
product compares with others
How
a product can be prepared
Examples:
Local & Fresh; Hormone-free
production
STRESS PRODUCT’S BENEFITS
Benefit
– a result of advantage
People
are interested in what the product will do for
them
Benefits
can be both practical and psychological
Benefits
should be specific statements, not
generalizations
Emphasizing
benefits increases sales
STRESS “FAB” - EXAMPLE
“… my fish are bigger than
what you will find on the
market (advantage);
they are grown with a
nutritionally balanced
feed without any growth
hormone (benefit); and is
available fresh
(feature)”
PRICING
Price affect consumer purchases – price conscious
Price as an Indicator of Value
=
So for a given price, value decreases as perceived
benefits decrease and vice versa
Price can affect perceptions of quality; prices send
signals to customers about quality and value
MARKETING CHANNEL
Makes
products available when and where
they are wanted
Reduces
consumer’s cost
Reduces
transaction costs
Transportation
and storage
CONSUMER DISTRIBUTION CHANNELS
Direct Channel
Channel 1
Producer
Consumer
Channel 2
Indirect Channel
Producer
Channel 3
Producer
→
Retailer
Consumer
Retailer
Consumer
Indirect Channel
Wholesaler
BENEFITS OF DIFFERENT CHANNELS
Direct
Channel
Indirect
Channel
Producers can serve
customers better.
Producer gets much
of what the
consumer pays.
Customers are used
to buying from
certain retailers.
Intermediaries help
by:
Control of pricing,
service and delivery.
creating utility and
transaction efficiencies.
PROMOTION
Inform
/ remind consumers of available
products;
Inform
consumers of locations;
Reduce
search time for alternatives;
Persuade
consumers to select your product
over others;
Build
relationships with consumers.
PROMOTION AND ITS GOALS
Informs
Coordination
of Marketing
Communication
Builds Relationships
Efforts to
Influence
Attitudes or
Behaviors
Persuades
Reminds
WHAT ARE THE OPTIONS?
Marketer
Mass
Media
Personal
Advertising,
Sales promotions
Personal
selling
Other
Public relations
Word of mouth
Which is the most credible?
RECAP
Marketing
Selling
is just one of many marketing components
Marketing
Be
is a planning process
mix elements – 4Ps
aware of customer motivations
Stress
product FAB – Features, Advantages & Benefits
Price
affects purchases but is also an indicator of value
Contact:
Kwamena K. Quagrainie
Email: [email protected]
Tel: 765-494-4200