Week notes- Feb. 23rd-27th
Week notes- Feb. 23rd-27th MKTG 360
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This 31 page Class Notes was uploaded by Cassidy Reid on Friday February 27, 2015. The Class Notes belongs to MKTG 360 at Washington State University taught by Dr. Jeff Joireman in Winter2015. Since its upload, it has received 108 views. For similar materials see Principles of Marketing in Marketing at Washington State University.
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Date Created: 02/27/15
Geo Notes Feb 23 Lithi cation hardening of soft sediments into rock Clastic Sedimentary Environment Agents of Transport Wind 0 Most selective agent 0 Results in well sorted sediments Sand Silt or dust sand grains may be frosted Example Description 0 Very well sorted Quartz sandstone Cross Bedding Water 0 Selection and sorting vary Depends of strengths of currents Example Faster moving waves on a beach can move gravels deeper grainsized decreases Glacial ice 0 Least selective Results in poorly sorted sediments Note lack of bedding or other structures Gravity Results in poorly sorted sediments angular Common Sedimentary Environments Continental Clastic dominates Streams uvial Desert minor chemical 0 Lake Glacial Shoreline clasticChemicalBiochemical Deltaic where rivers enter the ocean Tidal Flat exposed at low tide Beach Marine mostly chemical and biochemical Continental Shelf Continental Margin Reefs Deep Sea Examples of Clastic Sedimentary Wind transportation be able to recognize from a slide Dunes can form in deserts and shorelines Water transport be able to recognize from a slide Rivers and streams Alluvial Fan Delta Beach Sandstone can form in all these locations The particles that makeup the sandstone will vary depending on where they originated and were they were deposited Biochemical Sedimentary Environments Carbonate deposition 0 Marine Setting Limestone and Dolostone Composed of Carbonate Minerals Calcite Aragonite Property Effervescence o Precipitated by organisms or inorganically Reefs are mound shaped organic structures composed of carbonate skeletons of organisms like coral How Atolls are formed reefs formed around extinct volcanoes The volcanoes erode and sink as the ocean plate subsides but the reef continues to grow at a faster pace than subsidence Floating organisms also secrete calcium and cilica skeletons When they die they settle on to the ocean oor creating limey and silica rich sedimentary rocks like limestone and chert Where does coal come from Where does the oil and gas that we use in cars and trucks come from Chemical Sedimentary Environment Evaporite deserts and marine Salts form as water evaporates from a shallow basin 0 Forms minerals like Halite and Gypsum Modern Ex Great Salt Lake Death Valley 0 Ancient Ex Mediterranean Sea Feb 25 Metamorphism to change form Metamorphic rocks changed rocks A rock whose mineralogy texture or composition or all three has changed due to increased temperatures pressures or moving uids like hot water Factors Controlling Metamorphism Tempurature Pressure Fluids hot water can transport ions chemical weathering Temperature as temperature increases 0 Minerals convert to new higher temperature minerals o Diffusion The movement of atoms due to thermal energy heat forming new minerals Recrystallization crystals grow larger or change shape Rocks become weaker and easier to deform Pressure Con ning Pressure general pressure applied equally in all directions like converging plates Directed Pressure differential stress unequal pressure greater in one direction like converging plates 0 The mineral grains will become aligned when acted on by directed pressure 0 Directed pressure results in FOLIATION preferred orientation of platy at or elongate minerals 0 Looks Layered Fluids 0 Released during recrystallization H20 C02 plus dissolved ions 0 Effects Speeds up reaction rates catalyst Classi cation of Metamorphic Rocks Metamorphic rocks are classi ed as foliated or nonfoliated Foliated Rocksneed to describe the following nature of foliation size of crystals The degree to which minerals are segregated in different mineral bands These features tell about the Metamorphic Grade of the rock Metamorphic Grade is the degree to which a rock has changed from the parent rock or protolith the original rock type Low Grade low pressure and low temperature may still contain features of parent rock fossils sedimentary structures etc High Grade high pressure and high temperature features of parent rock usually destroyed Metaphoric Grade increases as T and P increase Types of Metamorphism Contact Metamorphism has to have a heat source but low pressures Regional Metamorphism has low to high pressures and temperatures Foliates Rocks during pressure Rock Name Grain Size Slate very ne PhyH e ne Schist medium coarse Gneiss coarse minerals in bands Migmatite part igneouspart metamorphic Regional metamorphism review of textural changes observed in mudstone protolith as metamorphic grade increases NonFoliated Rocks Determine parent check mineral properties Rock Parent Quartzite Sandstone Marble Limestone Hornfels Fine grained mudstone Regional metamorphismreview of textural changed observed in non foliated protolith dominanty recrystallization lndex minerals lndex minerals are characteristic minerals that de ne metamorphic zones formed under a restricted range of temperatures nad pressures Ex Garnet Prograde path refers to the T and P path of a metamorphic rock based on the index minerals during subduction or burial to higher temperatures and greater depths Retrograde path refers to the T and P path of a metamorphic rock based on the index minerals during its journey back to the surface Contact Metamorphism heat from rising igneous intrusions metamorphoses preexisting rocks lowhigh temperatures low pressures Regional metamorphism metamorphism caused by deep burial or tectonic forces that increase temperature and pressure over board regions owhigh temps lowhigh pressures Deformation Metamorphism Rocks along fault planes are crushedpulverized very low temperature high pressure Metamorphism and the plate tectonic connection Convergent Regional Contact Deformation Divergent Hydrothermal Transform Deformation Hot Spots Contact some hydrothermal Plate lnteriors Burial Regional metamorphism Protolith Mafic Volcanics Chapter 1 01202015 Basking in Re ected Glory BIRGing Cutting off re ective failure CORF Needs Values and Stakeholders American Marketing Association De nitions Marketing is an organizational function and a set of processes for creating communicating and delivering value to customers and for managing customer relationships in ways that bene t the organization and its stakeholders 2004 Marketing is the activity set of institutions and process for creating communicating delivering and exchanging offerings that have a value for customers clients partners and society at large 2013 In sum Marketing is about meeting needs Marketing is about delivering value to all people affected by a transaction What major needs do consumers attempt to satisfy What are the major values people attempt to maximize Who are quotall the peoplequot affected by a transaction in general Needs 0 Difference between actual and desired state Wants Desire to satisfy needs in a certain way Bene t 0 The outcome customer desires meets a need or a want Exchange Transferring value from buyer to seller Demand Desire for productservice resources to pay for it Market 0 Collection of people who have a need for a productservice and are willing and able to spend the resources necessary to obtain it Stakeholders Anybody who has a quotstakequot in outcome of the product or service 0 Seller buyer investor community or place where product made UtilityValue Sum of bene t we receive from a product 0 Can be symbolic prestige Types of Utility 0 Form Convert raw materials into product 0 Place make productsservices available when customers want them 0 Time storing product until customer needs it 0 Possession bene t from owning using enjoying the product Value Proposition Marketplace offering that fairly and accurately sums up value realized if customer buys product or service Value from Customer s Perspective 0 Sum of bene ts we receive from a product Value from Seller s Perspective 0 Pro ts but also prestige pride making community happy 0 Lifetime value of a customer 0 How much is this customer worth to us in the longterm 0 Longterm thinking l Differential bene t unique bene t of product Value to Stakeholders Created when company has competitive advantage over rivals Distinctive competency company s superior capability Differential bene t unique bene t of product Value to Society 0 What is the impact of productservice on society 0 Triple Bottom Line Financial socialcommunity environmental impacts The Value Chain lnbound logistics bringing in the raw materials Operations converting raw materials into product Outbound Logistics shipping out nal product Marketing and Sales Servicing Product or Customer McClelland39s Trio of Needs and Deci amp Ryan39s Self Determination Theory McClelland 19505 Power Individual s desire to control environment Achievement Need for personal accomplishment Affiliation Need for friendship acceptance and belonging Deci amp Ryan 2000 Autonomy Desire freedom from external control Competence need to feel one is competent at tasks Relatedness need to relate to others Processing uency is the extent where a stimulus is easy to process When something is easy to process we like it better Marketing Strategy A careful plan or method for achieving a particular goal usually over a long period of time and under conditions of uncertainty and with potentially limited resources Think of goals Plan course of action to achieve goals Manage resources to achieve goal Strategic Planning Managerial decision process that matches an organization s resources and capabilities to its market opportunities for longterm growth and survival Functional Marketing Planning Decision process that focuses on developing detailed plans for strategies and tactics for the short term that support an organization s long term strategic plan Operational Planning Decision process that focuses on developing detailed plans for dayto day activities that carry out an organization s functional plans SWOT Strengths Weaknesses Opportunities Threats W lHlaw tn Empllete a SW1 Enalvsii Thai used I i arr hiectilare l l hl39 i mfg E man llr Strengths titan mamm Intelleiz tiial Weak aa ea Hl illi hitind Empirlrm ill39l lZIE39IiQ Itu il 2 a Minian mth mm I V 5mm Mama Mammy 39 ll r a iluri quot Ellil llii l r II39IIE39E lt 35 as pmmllal p llumiiit s Hm i 3 l 3 la a E Jil lilllllll Ii Objectives ow from mission statement Set Organizational or SBU Objectives l Effective Objectives Are Realistic speci c measurable and wellmatched with mission statement Example Ok Our objective is to better serve customers Better Our objective is to obtain customer satisfaction ratings of at least 90 in 2014 and retain at least 85 of our 2013 customers as repeat customers in 2014 Establish and Evaluate Business Portfolio Portfolio Collection of brandsunits owned by org that have different income generating potential Portfolio Analysis Evaluating an org s business mix and assessing potential of an org s SBUs Boston Consulting Group s BCG Market Share Matrix Four Steps in Marketing Planning Strategic Plan Overview of Goals Marketing Plan How We ll Get There Document that describes the marketing environment outlines the marketing objectives and strategy and identi es who will be responsible for carrying out each part of the marketing strategy Steps 1 Perform a Situation SWOT Analysis 2 Set Marketing Objectives more narrowly de ned than org objectives 3 Develop Marketing Strategies Select a Target Market Market opportunity analysis size and sales potential of target group and assessment of key competitors Develop Marketing Mix Strategies Product Price Promotion Place of Distribution 4 Implement and Control the Plan Action Plans implementation of marketing strategies Responsibilities Time Line Budget Measurement and Control Control monitoring progress compare actual performance to marketing objectives and adjust strategyobjectives as needed must have good marketing metrics Marketing audits evaluation of objectives strategies structure performance of marketing organization Should be comprehensive systematic independent periodic Self Transcendence Steps in Target Ma eti 39 Segmentatio Identify and Universalism Benevolence e market seg Tradition Evaluate S lf h11nnf1nn Conformitquot 39 Conservation Stimulation Security goodservice to eeds Create Hedonism etitive advantage aw Achievement Power Why Engage in eting Consumers have Given this segment product price promotion place distribution An marketi 0 mix of appropriate marketing mix in turn helps products compete because they are designed to meet more speci c needs Step 1 Segmentation Segmentation Dividing larger market into smaller segments based on meaningful shared characteristics Hybrid Segmentation Segmenting the market based on more than one segmentation variable eg age and ethnicity rather than just age Most segmentation is hybrid segmentation Segmentation Variables Dimensions that divide the market into fairly homogenous groups each with its own needs and wants Figure 33 breaks them down into four categories a Consumere ected ConsumiptiohaSpecitic Empirical Personal Features Usage and Purchase Behaviors Demographics age age cohorts Usage rate gender marital status family life cycle Usage situationoccasion Facts income education occupation social 39 Brand loyalty the behavior class component Geographic location address arid Psychographicstactuai behaviors geodemographics eg leisure activities hobbies Personality Lifestyles and Attitudes and Preferences Regarding Sociocultural Values the Product i Personality traits Benefits wanted Cogmtml ls Lillestyles psychographics and VALE Level of involvement Sociocultural values and beliels Awareness ol product alternatives Brand loyaltyperceived commitment and level of relationship Demographic Segmentation Demographics Statistics on observable characteristics age sex ethnicity income educann Most segmentation involves demographics Demographic segmentation has several advantages Demographics drive much of consumer behavior Demographics can be accurately measured Most costefficient approach to reaching people eg secondary demographic data are easy to obtain Can be used to anticipate changes in a segment s needs over time eg aging baby boomers will soon need AgeGenerational Segmentation Generational Marketing Marketing to members of a generation who tend to share same outlookpriorities Gender Segmentation Women Take care of 75 of family nances 80 consumer purchases 65 of new cars 51 electronics Variety of companies stereotypically masculine now tailoring marketing to women eg Home Depot Gillette Reebok Men Companies used to target women now targeting men Princess Resort Scottsdale AZ Darker wood TVs in locker room quotKeep your shorts onquot package and European facial a Barber facial Geodemographic Segmentation Combination of geographic and demographic information Creates classi cations of actual addressable mapable neighborhoods where consumers live and shop Looking for clusters of similar people Assumes quotpeople of a feather ock togetherquot PRIZM by Claritas 66 clusters by Zip code Psychographic Segmentation Psychographics Uses psychological sociological anthropological factors to develop segments Examples Motives status Personality sensation seeking CultureSubculture interdependent Lifestyles activities interests opinions VALSZ Values Lifestyles System Based on psychological characteristics that relate to consumer behavior Can Identify Prevalence of 8 Types by Zip Code Usage Rate Segmentation Segment based on how frequently people use a product Former potential 1st time low med heavy users Companies often target heavy users 8020 Principle 20 of customers 80 of demand Less costly to advertise to and more loyal Brand loyalty programs are popular Need to know what consumers expect from their relationship with you eg personal greeting when entering Starbucks Loyal customers are great but don t make them mad bc they will respond more negatively to a service failure SituationSpeci c Segmentation Segment based on special occasions 39Whenthen Scripts When I encounter situation X always buy Y Examples Christmas Valentines Mother s Day etc Bene t Segmentation Segment by bene t people seek For exampleToothpaste Bene t Segments Seneenr Segment Seeielele Segment Werner Segment independent Segment lP iiineipal benefit enugitt Flatter prerluet Brightneee at teeth Danae preventinn Priee appearance itieniegrapnie etrenptlie Children Teena petting peeple lLaree iamiliee Mien Spaniel eelnaaierei Ueere e i apearmini Smekere Heavy Lieere Heater neera elraraeterietiee lllaeeree teethpaete Brande rlieprnperlinnaielp Creigate Uitre Brita Greet Cheapeet brand lairnrecil Liieeiple etharaeterietiea Hednnietia entitle Ce neereetiae Vielaenrienteti Searee Adapted irern Fiaeeell l Haley quotBenefit Seernentaiien n EieeieienCirientee Beeearen Teal Jeernal elf Marketing 3 July 1969 pp 313 35 Publienetl ea tine Ameriean Marketing neeeeiatien Reprinted lea permieeien Person in Situation Segmentation Divide market up on the basis of the bene ts certain types of individuals person desire in certain situations situation Different strokes for different folksin different situations An Example Shoes in Two Segments and Two Contexts Another Example Old Spice Step 2 Targeting Steps in Targeting Decide if Market Segment is Likely to be Successful Describe the Segment Pro le typical customer Choose Targeting Strategy Undifferentiated appeal to masses Differentiated different strokes for different folks Concentrated go after just one segment Individualized even more narrow than concentrated OnetoOne Marketing tailored to individual build relationship Microtargeting and narrowcasting eg during an election deliver tailored messages based on voters speci c concerns Behavioral targeting eg deliver speci c ads based on the websites an individual has visited Countersegmentation Over time 2 segments may merge into 1 with similar needs May require adopting a broader target with the same product Criteria for Successful Targeting Sizeable Large enough to justify its own marketing mix Identi able and Measurable If not can not determine whether it s sustainable Stable Easier to predict and anticipate needs Products won t be out of date too quickly Accessible Must be able to reach segment with marketing mix Responsive The segment responds differently than another segment If not no need to develop unique marketing mix In Line with Company s Goals and Resources A company may not want to go after all segments Step 3 Positioning Four Steps in Positioning Evaluate direct and indirect competition Direct Starbucks vs Tully s Indirect Starbucks vs McDonald s Create productservice with competitive advantage Unique sellingvalue proposition Develop marketing mix to appeal to target segment Product price promotion place of distribution Develop a brand personality for the product Measure response and adapt strategy if needed May need to reposition productservice May involve introducing a 39retro brand Creating the Brand Personality Brand Personality A distinctive image that captures a product s or service s essence character bene ts Where does my brand stand Ask customers what characteristics are important Measure your brand and competition on those dimensions Plot and evaluate your brand s location in a perceptual map Five Major Dimensions of Brand Personality Brand Personality Sincerity Excitement Competence Sophistication Ruggednese Downtoeertn Daring 39 Reliable Upper class Outdoorsy 39 Honest Spirited lnteilligent Charming Tough Wholesome v imaginative I Successful Cheerfull Ulpetodate What is a Product 0 Anything tangibleintangible that through exchange process satis es consumerbusiness customer needs 0 Products can be 0 physical goods tangible 0 services 0 ideas 0 people or 0 places Layers of a Product 0 Core Product 0 All bene ts provided by product 0 Actual Product 0 Physical good or service Augmented Product 0 Actual prod features supporting product eg warranty repair service after sale Classifying Products Durable 0 Provide bene t over long term 0 High involvement in decision Nondurable 0 Provide bene t over short time 0 Low involvement in decision Convenience Products Convenience Products 0 Low price purchased often widely available 0 Not much time in decision making Types Staples Necessary items widely available 0 Emergency 0 Buy in a situation of dire need 0 Fast Moving Consumer Goods 0 Consistently high turnover Other Product Categories Shopping Products 0 High involvement decision Specialty Products 0 Provide unique bene t Unsought Products 0 Consumer not aware needs Often impulse buys Quality as a Product Objective Product Quality Overall ability of product to satisfy a need Quality Dimensions Reliability Durability Precision Safety Ease of Use Versatility Innovann Innovann Something new or different 0 Typically purchased by a few then spreads through population Types 0 Continuous 0 Modify existing product to set it apart Knockoffs 0 Copies existing product with a few changes Dynamically Continuous 0 Innovation that requires a fair amount of relearning Convergence When 2 technologies come together to create gt than the sum of its parts Discontinuous Innovation 0 New product changes way we live Traits Related to Emergent Nature Those high in emergent nature report higher Rational processing 0 Re ection Verbal and Visual Processing a balance Openness Creativity Optimism Emergent nature only moderately correlated with innovativeness and lead user status ie it is not the same as those constructs Study 2a Product Development Groups Four groups of 6 people asked to further develop the Smartbox Concept to be appealing to consumers Control Group Average on all three traits emergent nature innovativeness lead user status High lnnovativeness Group High on lnnovativeness and low on Emergent Nature and Lead User Status High Lead User Status High on Lead User Status and low on Emergent Nature and lnnovaUveness High Emergent Nature Group High on Emergent Nature low on Innovativeness and Lead User Status Product Development Steps Idea Generation how can we meet needs Product Concept DevelopmentScreening a Evaluate technicalcommercial success potential Develop Marketing Strategy Business Analysis viability of product Technical Development re nedperfected Test Marketing in Limited Markets a Some top test markets Rochester Greensboro Commercialization launch new product N 39 P P FPquot l Consumer Adoption Stages Awareness media blitz lnterest start to see bene ts search info Evaluation Trial before purchasing Adoption buy product Con rmation good experiences loyalty P P FP NE What lmpacts Rate of Adoption Relative advantage Compatibility with Other Products Complexity Trialability gtUUl 39 5 Observability Product Lines A company s complete collection of product offerings to meet a single need Managing Product Lines Limited Line Strategy 0 Meet need of a smaller target segment Full Line Strategy Attempt to meet needs of broad consumer market Strategies for Product Line Extension A igi r r 7 r1 1 u wi z il altit jliiilil Ett ilftt itf P Prnduitt Line Extensions l 5 3 quotl39 n 7 7 I at a a L i Strettl ting Filling ii Contracting a F liftititit ti E Edging new a 1 adding SiEEEf product llinE fl El 7 items to line L orstyles Dropping items 1 f g i I 39 l I quotI l I ia i d l l l Huh1W whim i 39I l Downward if v t 39 m 1 39I i Upward i BackgroundHypothesis People from Eastern Cultures eg India more likely to think hoHsUcaHy People from Western cultures more likely to think analytically o Hypothesis People who think holistically should be more likely to see a t between a parent brand eg McDonalds and a quotbrand extensionquot eg onion rings than people who think analytically Issues at Different Stages of Lifecycle Introduction Stage 0 Get rsttime buyers to adopt product Growth Stage 0 Encourage loyalty expand offerings increase market share Maturity Stage 0 Increased competition price competition reminder advertising Decline Stage 0 Should I Stay or Should I Go Now Connecting with Brands E ii Relationships l lntenss sttiss l lil1sstssisssstquotsl M r until 1c am 1 finnsumsr V l rsnsl iFIssnnsnts quotis I quot vrquotquot V aquot Fsrinrmsnss ism i ll Identity E issp hrsissl Isr snsil Erand Sslisnns I t 39 wns sis u l EJWETEHEE y H 39 39 39J I Bonding with Brands Identity Nostalgia Interdependence Love CRM A systematic tracking of consumers preferences and behaviors over time in order to tailor the value proposition as closely as possible to each individual s unique wants and needs Allows rms to talk to individual customers and adjust elements of marketing programs in light of how each customer reacts Use computers software databases and the Internet to capture information at each quottouch pointquot between customers and companies to allow better customer care CRM proposes that customers are relationship partners with each partner learning from the other every time they interact Lifetime Value of Customer Lifetime Value of Customer Potential pro t an individual customer generates over hisher lifetime Customer Equity Customer value treated like a nancial asset involving an investment and a return Want to attract and retain customers who offer the best investment Focus on High Value Customers CRM can identify customers who have a high lifetime value and return for the company More intense marketing efforts eg personal sales can target the more valuable customers Less labor intense marketing eg direct marketing can target less valuable customers Basic Steps in CRM Know your customer in as much detail as possible Characteristics needs nature and frequency of prior purchases responsiveness to previous ads problems with the rm returns etc Differentiate customers based on needs and value to the company High value vs low value customers Tailor marketing mix based on valuesneedsetc Interact with customers and nd ways to improve the interactions Take on role of customer and nd out how good your customer service Reach out to customers and use incoming calls as selling opportunities lmprove complaint handling Customize products to individual customers Customize marketing efforts to different customers based on needs responsiveness Integrated Marketing amp CRM Promotion Overview Promotion Coordination of a marketer s communication efforts to in uence attitudes and behavior Promotion Strategy A plan to use advertising public relations personal selling and promotion in the most effective manner possible Main goal a Communicate a competitive advantage Four Elements of the Promotion Mix Advertising Impersonal paid communication in which sponsor is identi ed Public Relations Communicating about company in order to build understanding acceptance and relations with the public Can also be used to inform public about products co goals Personal Selling When a company rep communicates directly with a potential buyer to communicate about a good or service Sales Promotion Marketing activities beyond Advertising PR and Personal Selling that encourage purchase behavior Integrated Marketing Overview Communication Exchanging shared meanings through symbols Goals of Marketing Communications Inform persuade remind build relationships Integrated Marketing Communication Theory Process used to plan develop execute and evaluate coordinated brand communication programs over time to targeted audience Communication Model Transferring meaning from a source to a receiver Integrated Marketing Communication IMC Coordinating all aspects of marketing communication to send a single message Characteristics of IMC Uni ed voice Ultimate focus is on customer not company Goal is to develop relationship with customer Communication goes both ways Meet needs of both customer and broader stakeholders Keeps communication open owing continuous Measures results Steps in IMC Identify Target Audience Database marketing helps at this step Establish Communication Objectives Marketing Budget Different Techniques Top Down of sales competitive parity Bottom Up based on objectives Push move product to customer through channels Pull create desire among customers Design the Promotional Mix AIDA Objectives Attention interest desire action Evaluate Effectiveness of Communication quotBuzz Marketingquot Buzz WOM communication that is viewed as authentic WOM When consumers provide info to other consumers WOM Marketing Give people a reason to talk about your product Buzz Marketing Use some form of highly visible entertainmentnews to communicate about your product Viral Marketing Entertaining messages passed from custm to custm Guerrilla Marketing Promotion where you least expect it What is Product Placement The insertion of branded products or services into mass media content with the intent of in uencing consumer attitude or behavior Why product placement Oversaturation of traditional advertising outlets Reach a captive and involved audience quotFly under the radarquot may help avoid counterarguing and enhance persuasion Today it is a 3368 dollar industry and growing appearing in various media TV Film Books Video Games Music and Music Videos