Download The Marketing Concept

Bell Ringer
• Jill estimated she would spend $50 a month
on clothing. However, at the end of the year
she discovered she actually spent $711 on
clothing that year. On average how much
money did she spend a month on clothing?
Bell Ringer Answer
• $711/12 months = $59.25
• Jill actually spent $59.25 each month on
clothing.
Daily Motivational Video
• http://www.youtube.com/watch?v=V6xLYt265
ZM
Agenda
•
•
•
•
Bell Ringer / Attendance (5 min)
Motivational Video (7 min)
Chapter 4.1 Vocabulary (6 min)
Chapter 4.1 Lecture and Notes (35 min)
The Marketing Concept
• Approximately ½ of every dollar you spend
pays for marketing costs.
– Marketing Costs include:
•
•
•
•
Product Development
Packaging
Advertising
Sales Expenses
The Marketing Concept
The most important aspect of marketing is
satisfying customer needs.
Customers’ needs should be the primary focus
during the planning, production, distribution,
and promotion of a product or service.
Maintain Relationships
• The marketing concept requires maintenance
of important relationships with customers.
• Maintenance involves:
– Listening to customers
– Carefully monitoring the latest customer trends
• Customer satisfaction is the bottom line for
maintaining successful marketing
relationships.
Customer Focus
• Productivity – the rate at which companies
produce goods or services in relation to the
amount of materials and number of
employers utilized.
Weekend Entertainment Choices
• Weekend entertainment choices must earn a
profit to stay in existence.
• The event’s planners and organizers need to
know the breakeven point of these events.
– Breakeven Point  The minimum attendance
and sales required to cover all of the expenses of
organizing, promoting, and running the event.
Weekend Entertainment Choices
• Factors that individuals must consider when
deciding on attending an entertainment event
include convenience, pleasure, dollar cost, and
opportunity cost.
– Opportunity Cost  the value of the next best
alternative that you forgo when making a choice.
The value is measured in terms of the benefits
that you are giving up.
Activity
• Find local weekend events that are occurring in
Louisville.
– http://www.louisville.com/events)
• List 3 events that are occurring this month in Louisville.
• Choose 1 event.
• Describe the event. (Who, What, When, Where, Why,
How (Price))
• What do you think the breakeven point for the event
is?
• What would be your opportunity cost if you were to
attend the event?