2

Marketing

• Is the action of promoting and selling

products or services

• Goal:−to create products meeting consumer wants and

needs based on the marketing mix

−to guide products through the product life cycle,

capitalizing on opportunities in each stage

−to understand consumers through marketing

research

3

Marketing

• Becomes successful with certain

characteristics:−directing marketing strategies to a target

audience

−knowing where company content fits in the

buying cycle

−using customer-centric examples

−providing meaningful images in content

marketing

−using interesting, varied media

−guiding consumers on taking the next step

−expanding and extending a product’s reach

4

The Marketing Mix

• Consists of four interrelated marketing

strategies used to meet consumer needs−Product

• is a good and/or service designed to meet

consumer wants and needs

• is determined by conducting studies and surveys

−Price• must be low enough to attract consumers

• must be high enough to cover costs and create

profit

5

The Marketing Mix

• Consists of four interrelated marketing

strategies used to meet consumer needs−Promotion

• activities to persuade consumers they need the

product

• includes packaging, commercials, trials, etc.

−Place• is a location where products and/or services are

sold

• includes stores and location within a store

6

Product Life Cycle

Stage 1

Introduction

Stage 2

Growth

Stage 3

Maturity

Stage 4

Decline

7

Understanding Consumers

• Means understanding the needs they attempt to meet when making purchases, including:

−physical• for necessities, safety, security and health

− includes food, clothing, transportation, etc.

−social• to feel loved and accepted

− includes fancy clothing, make-up, cologne, etc.

−psychological• for prestige and approval

− includes luxury items which make the consumer feel

important

Remember Maslow’s hierarchy of needs pyramid? These apply for

consumers too.

8

Production & Distribution

• Goal:−to produce and distribute goods and services in

the most efficient and cost-effective manner• Consists of three roles:

−facilities• physical elements needed for production

− need a good layout and location

−processing• changing or combining resources to create a

product or service− adds value by transforming resources into products

−people• invaluable human resource

− plan, operate and supervise the process

9

Production

• Must be effective and efficient by doing the

following:−forecasting demand

−scheduling production of goods and services

−managing inventory

−controlling quality

10

The Production Concept

• Refers to the philosophy buyers prefer goods

and services which are widely available and

inexpensive−the basis of this concept is the emphasis on low

production costs, high production efficiency and

mass production

11

Factors of Production

• Are the resources available to supply

products and services

• Include:−land

• natural resources available for production

−labor• human input for production process

−capital• man-made objects, such as machinery and

equipment, which are used in production

−entrepreneurship• the drive to develop an idea into a business

12

Distribution

• Is getting produced goods and services to

consumers in a timely manner

• Is typically from producers to wholesalers

and retailers

• Uses the following four modes of

transportation:−waterways

−railroads

−trucks

−airlines