define the business market and explain how business markets differ from consumer markets identify...

Ch6 Business Markets & Business Buyer Behavior

Objective Outline

Define the business market and explain how business markets differ from consumer markets

Identify the major factors that influence business buyer behavior

List and define the steps in the business buying decision process

Compare the institutional and government markets and explain how institutional and government buyers make their buying decisions

Characteristics of Business Market

Market Structure and Demand

Nature of the Buying Unit

Types of Decisions and the Decision Process

Nature of the Buying Unit

Types of Decisions and the Decision Process

Understanding Marketplace

Let’s look at Dow Plastics

Business Markets

Major Type of Buying Situations

straight rebuy

modified rebuy

new task

Players in the process

Users InfluencersBuyersDecidersGatekeepers

Most B-to-B marketers recognize that emotion plays an important role in business buying decisions

Other Process Factors

Environmental Factors

Organizational Factors

Interpersonal Factors

Individual Factors

Process Chart

International Market Manners

“When doing business in a foreign country and a foreign culture—particularly a non-Western culture—assume nothing,”

“Take nothing for granted. Turn every stone. Ask every question. Dig into every detail. Because cultures really are different, and those differences can have a major impact.”

Buying Process

E-Procurement: Buying on the Internet

Business-to-business e-procurement yields many benefits. First, it shaves transaction costs and results in more efficient purchasing for both buyers and suppliers.

Reduces the time between order and delivery. And a Web-powered purchasing program eliminates the paperwork associated with traditional requisition and ordering procedures and helps an organization keep better track of all purchases.

Frees purchasing people from a lot of drudgery and paperwork.

Sources suppliers to reduce costs and develop new products

Institutional and GovernmentMarkets

Institutional market consists of schools, hospitals, nursing homes, prisons, and other institutions that provide goods and services to people in their care.

In the United States federal, state, and local governments contain more than 82,000 buying units that purchase more than $1 trillion in goods and services each year

Chapter 8 Products Brands Services

A deeper look at the marketing mix: the tactical tools that marketers use to implement their strategies and deliver superior customer value.

Objective Outline

Define product and the major classifications of products and services

Describe the decisions companies make regarding their individual products and services, product lines, and product mixes

Identify the four characteristics that affect the marketing of services and the additional marketing considerations that services require

Discuss branding strategy—the decisions companies make in building and managing their brands

Products, Services, and Experiences

Levels of Product and Services

Customer Driven Strategy Mix

Classification of Products

Consumer products

Convenience products

Shopping products

Specialty products

Unsought products

Industrial Products

Materials and parts include raw materials and manufactured materials and parts

Organizations, Persons, Places, and Ideas

Person marketing Place marketing Ideas Social marketing

Individual Product and Service Decisions

Product and Service Attributes

Product Quality

Product Features

Product Style and Design

Branding

Branding helps buyers in many ways. Brand names help consumers identify products that might benefit them. Brands also say something about product quality and consistency—buyers who always buy the same brand know that they will get the same features, benefits, and quality each time they buy

Packaging

Labeling Product Support Services Product Line Decisions Product Mix Decisions

Services Marketing

The Nature and Characteristics of a Service

Service Marketing

Building Strong Brands

Brand Equity

Brand Positioning