Download information technology entrepreneurshp

INFORMATION
TECHNOLOGY
ENTREPRENEURSHP
CLASS 10: BUILDING & DEVELOPING A BRAND
Elikem Nutifafa Kuenyhia
Management Consultant & Corporate Lawyer
Agenda for class 11
• The 4 Ps.
• The importance of the customer.
• Tactics to maximise benefits of
marketing strategies.
• Draw up a marketing strategy for a
company.
What is Marketing?
• Management process which identifies,
anticipates and supplies customer
requirements efficiently and profitably [CIM
(UK)]
• Marketing is a human activity directed at
satisfying needs and wants through
exchange processes [Kotler]
• The process of winning and retaining
customers [Kuenyehia]
Characteristics of modern
marketing
• It is operational
• It is customer oriented
• It emphasises mutuality of benefit
• It is value driven
Customer!! Customer!! Customer!!
Conduct customer research to understand
what the needs, wants and desires of
customers are.
Customers expect and demand more,
because they know they can get more.
They do not need to deal with companies
that don’t understand and appreciate this.
Elements of marketing strategy
The 4 Ps
• Product
• Price
• Place
• Promotion
How it works…
Awareness
Lack of
awareness
Knowledge
Evaluation
Trial
Adoption
The Customer
Product
Place
CUSTOMER
Promotion
Price
Product
• Physical products
• Experience of the service
• Image and emotional connotations
associated with the product or service
• Entire spectrum of delivering and
consuming the product or service
Approaches to product ideation
• Reactive approach
• Proactive approach
Price
• Will the customer be willing to pay the
price you are asking for?
• How much is the value of your product
worth to the customer?
• What pain of the customer does your
product or service seek to address?
Pricing strategies
• Penetration
– Going with a low prices to beat the
competition
– Involves initial high investments
• Skimming
– Low entry barriers
– Not so tough competition
Pricing tactics
• Price flexibility
• Level pricing
• Introductory pricing
• Discounts
• Allowances
• Geographic terms
Place
It refers to the place or method of
distribution.
Place
Location!!
Location!!
Location!!
Location!!!
Place – Choice of distribution channel
• How many potential customers will you
have?
• Will they be companies or individuals?
• Does the product require explanation?
• Is it an upper or lower end price
product?
Examples of distribution
channels
• Third party retailers
• Agents
• Franchising
• Wholesalers
• Stores
• Own sales staff
• Internet
Promotion
Potential customers must first HEAR
about your product or service and be
CONVINCED to purchase.
Promotion - Components
• Advertising
Communication to potential
customers through the mass media
with the view to;
1.Attract attention
2.Inform
3.Persuade
4.Inspire confidence in the product
Promotion - Components cont.
• Personal selling
Involves the art of persuasive sales on
a one-to-one basis
Promotion cont.
Effective communication must:
– Explain the value of your product or
service to potential customers
– Convince them that your product or
service meets their needs better than
competing or alternative solutions.
Promotion - Tactics
How to get the customer’s attention:
– Classic advertising i.e. newspapers,
magazines, trade magazines, radio, TV,
etc.
– Public relations
– Exhibitions, trade fairs
– Customer visits
– Mass selling
– Copywriting
Promotion cont. - Focus
Focus on the people who make the
purchasing decisions;
E.g. when marketing kids’ toys, the
focus should be on the parents
especially mothers.
Conclusion
There are internal and external
variables which can not be controlled,
no matter the amount of work gone
into a strategy.
Forget about the external factors and
concentrate on the internal factors like
budget, personnel, creativity, etc. in
order to build a solid brand.