Marketing Essentials

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Marketing Essentials
Marketing Is All Around Us
What Is Marketing?
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• Think of a product or service that appeals to
  you. List as many reasons why you like it. How
  does the manufacturer or service provider know
  the product or service would appeal to you?

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• Think of a product or service that no longer
  appeals to you. List as many reasons why youve
  stopped consuming it. How can the manufacturer or
  service provider regain your loyalty?

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Marketing

• Marketing is a process of identifying satisfying
  the NEEDS of consumers.

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What Is Marketing?
Marketing is the process of 1.Developing
coming up with the ideas of what to
sell. 2.Promoting - getting the word out about
what you sell 3.Pricing Deciding how much to
charge 4.Selling Convincing people to
buy 5.Distributing getting what you sell to the
people who need and want them Do the five
things above to satisfy customers wants and
needs.
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Wants vs. Needs
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Maslows Hierarchy of Needs
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• The process by which companies create value for
  customers and build strong customer relationships
  in order to capture value from customers in
  return.

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Maslow Activity

• Choose a product (any product). Design/sketch an
  ad that reaches one of Maslows Hierarchy of
  Needs.

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Customers vs. Consumers

• Customers buy a product.
• Sometimes for themselves
• Sometimes for others
• Consumers use the product.
• Example Parents who buy cereal or video games
  from retailers are customers. The kids who
  play the video games or eat the cereal are the
  consumers.

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Name 6 stores in our local area

• Do you know if these stores would be considered
  goods producing businesses or service producing
  businesses?
• Lets look at the next slide before we decide

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Satisfying Wants and Needs with products.
Products Goods and Services
Goods A tangible item you can carry away with
you. Examples Hammers, automobiles, soda pop,
clothing, and computers Services An activity you
pay someone else to do for you. Examples Dry
cleaners, amusement parks, attorneys, and movie
theaters Exchange Buying or selling a good or
service
Now see if you can correctly label your local
businesses.
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The Marketing Concept

• This is an idea or belief system that is very
  important if your business is going to be
  successful.
• The marketing concept states that in order to be
  successful, businesses must focus all their
  efforts on
• Satisfying customers' needs and wants
• They must do this better than the competition in
  order to make a profit.

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Marketing brings about 2 benefits to us as
customers/consumers..

• Can you guess the first one?

• view Bill Cosby Commercial
• What do you think Competitors (Pepsi) did in
  response to this ad?
• How could they still get people to buy Pepsi?

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The Benefits of Marketing

• New and improved products
• Businesses create new products and improve
  existing products to maintain their current
  customers or attract new ones.

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The Benefits of Marketing

• Can you guess the second one?
• Lower
• Lower
• Lower
• Lower
• Prices

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The Benefits of Marketing

• 2. - Lower prices
• Lower prices benefit customers while businesses
  benefit by selling more product at the lower
  price.

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SWOT analysis

1. SWOT analysis The acronym for Strengths,
   Weaknesses, Opportunities, and Threats. A SWOT
   analysis reviews the potential for success or
   failure of a business or product.
2. Strengths and weaknesses are Internal -
   Businesses must continually review internal
   strengths and weaknesses. For example, McDonalds
   introduced the fruit cup as an alternative to
   fries. After one month of its introduction,
   McDonalds evaluated the strengths and weaknesses
   of the product.
3. Opportunities and threats are External factors
   that will also affect operating the business. For
   example, staying informed of what current
   products are offered by competitors. For example,
   when Coke introduced its new product Vault, Pepsi
   suffered a decrease in sales for its existing
   product Mountain Dew

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SWOT video
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S.W.O.T

• Strengths
• Advantages the business already has going for
  them.
• Resources they already have.
• Brand awareness that already exists.
• Money they have to work with
• Internal things which they have some control over
  that are already in their favor.
• Weaknesses
• Things the store already has going against them.
• Additional costs to the business
• Pre existing negative perceptions of the
  business.
• Internal things which they have some control over.

• Opportunities
• Potential for growth
• Potential to reach New Markets
• Potential to change negative image
• New trends or fads that would be to their
  advantage.
• Positive economic situations
• External things going on that are working for the
  business, but which they have very little control
  over.
• Threats
• Poor economic situations
• Competitors coming up with similar products or
  currently having similar products
• Possibly Negative response from public
• Environmental obstacles
• Political obstacles
• External things going on that are working against
  the business, but which they have very little
  control over.

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SWOT

• The most important aspect of the SWOT analysis is
  to make even the weaknesses and threats sound
  like positives.
• Team SWOT
• 2nd activity