Marketing final notes
Marketing final notes BUSML3250
Popular in Principles of Marketing
verified elite notetaker
One Day of Notes
verified elite notetaker
One Day of Notes
verified elite notetaker
verified elite notetaker
verified elite notetaker
One Day of Notes
verified elite notetaker
Popular in Marketing
This 25 page Study Guide was uploaded by Alessandra Dickos on Tuesday January 27, 2015. The Study Guide belongs to BUSML3250 at Ohio State University taught by Dr. Reczek in Fall. Since its upload, it has received 216 views. For similar materials see Principles of Marketing in Marketing at Ohio State University.
Reviews for Marketing final notes
Same time next week teach? Can't wait for next weeks notes!
Report this Material
What is Karma?
Karma is the currency of StudySoup.
You can buy or earn more Karma at anytime and redeem it for class notes, study guides, flashcards, and more!
Date Created: 01/27/15
12152014 Four P s of Marketing 0 Product Price Place Promotion Balance Marketing Mix with Price Revenues and Expenses Price 0 Easy to change Directly related to revenue quantity sold Pro ttota revenuesprice times quantity sodtota cost 0 A signal 0 VALUE JUDGEMENT Money goods services favors votes anything of value Determinants of Price 0 Cost 0 Competition 0 Stage in product life cycle 0 Promotion 0 Quality 0 Distribution 0 Target market s demand 4 key pricing topics pricing concepts o pricing strategy pricing tactics legal and ethical issues Pure bundling Offered by the seller Pure components 0 Only components offered at separate prices Mixed bundling Bundle and components offered Price bundling Encourages sales of slow moving items Stock up Trial of new brand Incentive to purchase Prestige pricing 0 Setting a high price to convey an image of high quality or exclusivity Loss leader pricing 0 Setting prices near or below cost in order to attract customers to the store Horizontal Price xing 0 Illegal to all agree on a price within a group Vertical Price Fixing o Retailers cannot have minimum prices but can have max Price discrimination ROBPAT act Cant charge different prices to different retailers Price ads 0 Bait and switch law When can a manufacturerwholesalers charge a different price to different retailers Products different 0 Not competitors 0 Manufacturer Rep 0 Works for manufac Doesn t take ownership of goods Wholesaler Purchases goods and sells to retailers 0 Common with food Agent or broker 0 Legal authority Acts on behalf of the manufacturer 0 Doesn t take ownership Retailer Sells to consumer Logistics 0 Managing the efficient ow and storage of raw materials inprocess inventory and nished goods form origin to consumption Sourcing and procurement production scheduling order processing inventory control warehousing and materials handling and transportation Supply chain 0 Connected chain of all the business entities internal and external that perform or support logistics function 0 Raw materials Parts manufacturersljlresellersconsumers Marketing channel channel of distribution lnterdependent org 0 Ease transfer of ownership 0 Producer to business user or consumer Direct channels 0 Maximum control over presentation to enduser 0 Traditional retail and sales force formats are high cost 0 Resources to build and sell 0 High geographic concentration of buyers 0 Brick and Mortar 0 Face to face Visual presentation High investment and costs 0 Direct Marketing 0 Direct mailcatalog High reach No customer interaction Telemarketing 0 Telephone contact Eases reach Customer perception o Emarketing 0 Seller website High reach Limited sensory experience 0 Direct sales force 0 Personal contact Face to face High cost of salary bene ts expenses Indirect channels 0 Use at least one intermediary bw seller and enduser o Greatly expand reach 0 Builds on distribution expertise of channel partners 0 Relinquishes contro Dual Distribution 0 Involves use of multiple direct channels or both direct and indirect 0 Reach two or more customer segments Disintermediation Traditional intermediaries are eliminated as companies question the value added by layers in the channel Distributer helps 0 Manufacturer 0 Know how competitors handle prices 0 Who is in need of product 0 How to reach and promote 0 Customer feedback 0 Customer 0 Product utility Bridge discrepancy between assortment of goods produced and demanded 0 Time utility Reduced search time increase delivery speed 0 Place utility Reduce distance between consumer and product Intermediaries Transactions 0 Selling 0 Risk taking 0 Assorting 0 Logistics 0 Storing o Sorting o Transporting Facilitating 0 Financing 0 Grading 0 Market info and research Decision factors 0 Customer 0 Company Competition Constraints 0 Channels Distributions 0 Intensive o Stocking in as many outlets as possible Selective o More than one but fewer than all 0 Exclusive 0 Limited number of dealers the right to distribute product ChaHenges Dif cult to change Extended causeeffect relationships Con icting subgoals MAKE SURE PARTNERS MAKE MONEY Retailing Sell products directly to consumers 0 Amount of service product line relative prices Self service 0 no customer service Limited service 0 more customer service Full service 0 Complete assistance Specialty stores 0 Narrow product line 0 Deep assortment Department stores 0 Wide variety of product lines Convenience Stores 0 Limited line of highturnover goods Superstores Nonfood goods plus food goods Category killers Deep in category with sales staff Low price retailers discount stores offprice retailers Product assortment and service decisions 0 Product assortment Services mix 0 Store layout 0 Store atmosphere Showrooming Consumers examine products in physical stores then go online to nd lowest price Retailers lmmediacy service experience Wholesalers Buy mostly from producers and sell to retailers industrial consumers and other wholesalers Help manufacturers reach many small customers at a low cost Wholesaling o All activities involved in selling goods and services to those buying for resale or business use 0 Selling and promoting 0 Buying and assortment building 0 Bulk breaking o Warehousing 0 Transportation 0 Financing 0 Risk bearing 0 Market info 0 Management services and advice 0 Trends 0 Need for greater efficiency 0 Addedvalue customer relationships 0 Increase customer demand for more services 0 Increase use of technology to boost productivity Distribution Place 0 Process of getting your products in the hands of your customers can be extensive very few customers care how it s done 0 More efficientl more pro table Promotion 0 Any comm that informs persuades reminds builds relationships with potential buyers of a product to in uence an opinion 0 Promotion mix Advertising El El Paid form of nonpersonal presentation and promotion of ideas goods or services by an identi ed sponsor Most visible element Extremely effect at creating awareness and generating interest Building good relations with the co s various publics by obtaining favorable publicity building up a good corporate image and handling or heading off unfavorable rumors stories and events Free media attention Importance grows as cost of other media grows Promo Shortterm incentive to encourage the purchase or sale of a product or service Aimed at consumers or channel members Used in conjunction with other forms of IMC Short term and long term Personal selling El El El El Personal presentation by the firm s sales force for the purpose of making sales and building customer relationships Require help of salesperson More expensive Can add signi cant value Direct and online marketing El 0 Factors Direct connections with carefully targeted individual consumers to both obtain an immediate response and cultivate lasting customer relationships Nature of the product Product life cycle Target market characteristics Type of buying decision Funds available Push or pull strategy a Push Company pushes the product to resellers who push it to consumers a Pull Company promotes directly to nal consumers Create a demand vacuum that pulls the product through the channel 0 Introduction 0 Growth 0 Maturity o Decline lMC Integrated Marketing Communication 0 Designing marketing activities 0 Ads PR sales promo personal selling directonline marketing 0 To provide clarity consistency max communication impact across all audiences consistent clear compelling Goal prompt action 0 Purchase and also Gather more info Try a free sample Make a donation Volunteer Change attitudes towards brand idea person Change nonpurchase behavior Vote Exposure 0 When a stimulus comes within range of someone s sensory receptors 0 Don t have to notice Attention Info has actually been noticed Extent to which processing activity is devoted to a particular stimulus 0 Voluntary Personal relevance 0 Involuntary When a customer is exposed to something surprising o Personally relevant Stimulus factors 0 Size 0 Color 0 Volume 0 Pleasant o Surprisingunexpected Habituation getting used to something loses its stimulus Informativenew product Persuasiveincreasing competition to build selective demand Reminder admature products to keep customers thinking about it Who creates ads 0 Consumers Ad departments within rms 0 Copywriters artists media buyers technical production coordinators Ad agencies 0 Copywriting artwork technical production and formulation of media plan 0 Media experts researcher legal advisors Rational Appealself interest Emotional appealemotions Moral appealsense of right and proper Press relationsagency Creation and placing of newsworthy info to attract attention to a person product or service Product publicity Publicizing speci c products Public affairs 0 Building and maintaining national or local community relations 0 Investor nancial community 0 Developmentdonors or non pro ts 0 Lobbyinglegislators and government PR and Publicity Make people aware Maintain positive public visibility Enhance image Overcome negative imagecrisis management 0 Special events Publicity outcome of PR 0 Free but uncontrollable Control Ads Sales Promo Personal Selling PR Word of Mouth in uences 23 of all sales NO control Social media content strategy 0 Think about audience 0 Want active social interactions 0 Offer an incentive 0 Increase quality of reviews 0 Encourage talking and targeting 0 Social incentives get info faster to wellconnected people 0 Sales Promo 0 Programs marketers design to build interest in a product Shortterm incentive Ads 0 Most control pull Trade promotion 0 Less control 0 Push Short term Consumer Pull Shortterm Personal Selling Sales 0 When a company rep contacts a prospect directly regarding a product 0 Critical for PUSH BZB products complex and expensive quotpersonal touchquot 0 Link between customers and rm 0 Rich source of market info 0 Most exible method 0 Most expensive per contact 0 Most successful at gaining the sale and increasing customer satisfaction management involves 0 Planning implementing and controlling the personal selling effort of the rm Personal Selling Twoway ow or comm bw a buyer and seller 0 Designed to in uence decision 0 Process 0 Prospecting and qualifying Preapproach Approach 0 o 0 Presentation and demonstration 0 Handling objections 0 Closing o Followup Direct Marketing 0 Channel without intermediaries 0 Element of promotion mix Fastestgrowing form of marketing 0 Bene ts buyers I Convenience n Ready to access products w Access to comparative info a Interactive and immediate Sellers a Tool for customer relationships I Lowcost ef cient fast alternative a Flexible w Access to buyers not reachable through other channeb Forms n Personalselling n Directmail a Catalog n Telephone a Direct response TV a Kiosk a Digital B Online 0 Website Socialnetwork 0 Email 0 Ads or promos 3 types of media earned 0 fans paid 0 strangers owned 0 customers 0 Understand Competition SWOT 5 C s of Marketing o collaborator 0 company 0 competitors 0 context 0 customer Porter s 5 Forces 0 Threat of entrant Drive prices down 0 Threat of substitutes Used in place of your own product 0 Power of Supplier Drive up prices of your inputs 0 Power of buyer Drive down your prices 0 Step 1 Identify Competition 0 How do you compare in VALUE 0 Step 2 Identify Substitutes 0 Also look at the future 0 Avoid Competitor Myopia Identify competitors both at industry and market level Marketall companies trying to satisfy the same customer need 0 Step 3 Consider the Power of Buyers 0 Buyers have power with some buyers holding more power than others 0 Step 4 Consider the Power of Suppliers 0 Suppliers can wield a signi cant amount of power if cost or availability supply suddenly changes 0 Step 5 Consider Barriers to Entry 0 Some businesses don t have to worry about competition emerging High lndustry Pro ts 0 Weak suppliers 0 Wear customers High entry barriers Few opportunity for substitutes Little rivalry Low industry pro ts associated with 0 Strong suppliers 0 Strong customers Low entry barrier Many opportunities for substitutes lntense rivalry 4 key actions 0 which factors should be 0 eliminated o raised 0 reduced 0 created Market Leader expand total demand protect current market expand market share develop 0 new users 0 new uses 0 more usage x or prevent weakness maintain consistent prices keep strong customer relationships conUnuousinnovann increase pro tablility with increasing market share produce highquality products creating good service experiences build close relationships functional bene ts are dangerous o emotional bene ts 0 selfexpressive bene ts 0 social bene ts Market Challenger aggressive bid for more market share 0 second mover advantage Market Follower don t rock boat 0 copy or improve upon leader s products 0 costs low or quality and services high Market Nicher big enough to be pro table 0 high growth potential 0 little interest from competitors 0 specialization Market Customer Product Marketing mix Customer value analysis 0 Bene ts that target customers value and how customers rate relative value of various competitors o ers Perceptual maps positioning 0 Global Marketing 0 Outside organization s home country Targeting Market 0 Marketing Mix Internationalization Increase globalization of US markets 0 Increasing number of US Global Consumer Culture 0 People united by common devotions 0 Brand name 0 Celebrities 0 Leisure activities Cross cultural marketing strategy 0 Economic Environment 0 Market conditions 0 Cultural Environment 0 Norms and customs 0 Values o Socialization process 0 Can affect ALL aspects on consumer behavior expectations perceptions views PoliticalLegal Environment Low RiskReturn 0 Export 0 Licensing Contract manufacturing 0 Joint venture 0 Direct investment High RiskReturn Standardization 0 Same marketing mix worldwide Cosmopolitanurban areas LocalizationAdaption 0 Adjust marketing strategy and mix elements to each target market Pattern advertising 0 Plan globally act locally Broad outlinesbasic positioning adapt with details 0 Differences in culture Global segmentation Dividing world market into distinct subsets of customers that have similar needs Marketing ethics 0 Persuading vs manipulating Business eithics Rules of conduct that guide actions in the marketplace Corporate marketing ethics Broad guidelines everyone in the org must follow that cover distributor relations ad standards customer service pricing product development and ethical standards Consumerism Protect the rights of consumers Social marketing 0 Marketing that builds awareness about a social issue and works to change people s behaviors or attitudes for the public good
Are you sure you want to buy this material for
You're already Subscribed!
Looks like you've already subscribed to StudySoup, you won't need to purchase another subscription to get this material. To access this material simply click 'View Full Document'