What Is Marketing?REVIEW
Objectives Explain why marketing is the business function that identifies customer needs
Use marketing to establish your brand
Apply the four elements of a marketing plan
Create a marketing plan for your business
Identifying and Responding to Customer Needs
Marketing◦ Satisfying the customer at a profit◦ Business function that identifies customer needs and responds to it
◦ Art of getting the customer to come to the product◦ Through marketing the name of your business should come to mean something clear and concrete in
the consumer’s mind
Meet Your Customers’ Needs to Gain Their Loyalty
Market◦ Current and future customers◦ Use marketing to communicate you are committed to meeting their needs
◦ Builds a loyal customer base
Marketing Explain the Benefits of a product
Figure out what benefits the customers in your market will need to get from your product or service
The Marketing Vision Drives All Business Decisions
To market a product or service successfully, ask yourself:◦ Who are my customers?◦ What do they need my product or service to do for them?
◦ The answers will help form your Marketing Vision
Marketing Vision◦ The benefit you want to show customers that your product or service provides
Marketing Establishes Your Brand
Brand◦ The name that distinguishes a business from its competition.◦ Instantly communicates the business’s competitive advantage to the consumer
◦ Televison ads◦ Print ads◦ Other marketing efforts
Focus Your Brand The key to building a successful brand is to focus tightly on the one benefit you want to make sure customers associate with your business
Even entertainers can become a brand◦ Develop consistent image and sound
◦ Toys ◦ Clothing◦ Posters◦ etc
Failure to Success Ford
◦ Edsel◦ Had every gadget that would appeal to everyone◦ Lacked focus◦ Spent over $350 million in advertising◦ No one wanted the car◦ Forced to pull the plug on production of this vehicle
◦ Mustang◦ Had a clear target market of 20 to 30 year olds
◦ “For The Young At Heart”
How To Build Your Brand Step-by-Step process:
1. Choose a business name that is easy to remember, describes your business, and establishes “mind share.”◦ The degree to which your business comes to mind when a consumer needs something
2. Create a logo that symbolizes your business to the customer◦ Distinctive company trademark, or sign
3. Develop a good reputation◦ Make sure your product or service is of the highest quality you can afford to offer◦ Always treat your customers like gold
4. Create a brand personality◦ Customers respond to brand personality and develop a relationship with it◦ Personality will reinforce your name and logo
5. Communicate your brand personality to your target market◦ What type of advertising will best reach your target market?◦ Where should you put flyers?◦ What newspapers or magazines does your target market read?
You Represent Your Brand Always present yourself and your business in such a way that people will have confidence in your product or service
◦ Anything that harms your reputation will damage your sales and profits◦ Anything that boosts your reputation will have a positive impact on your business
Eight things you can do to build your brand and its reputation:1. Provide high-quality product or service2. Maintain the highest ethical standards3. Define your product or service clearly – FOCUS!!!!!!4. Treat your employees well5. Make all your ads positive and informative6. Associate your company with a charity7. Become actively involved in your community8. Make sure your business does not pollute the environment
Mind Share vs. Market Share Mind Share
◦ Advertising
Market Share◦ Portion of the total possible market a company has in relation to its competitors
After your advertising gains mind share, you will still need marketing to get the consumer to make a purchase. Only then can you take market share from your competitors
The Four P’s Every marketing plan has four elements
◦ Product◦ Meets or creates a consumer need
◦ Place◦ Place your product where customers who need it do their shopping
◦ Price ◦ The product has to be priced low enough so the public will buy it, and high enough for the business to make a profit◦ Should reflect your marketing vision
◦ Promotion◦ Consists of advertising, publicity, and promotional items
◦ Business cards◦ T-shirts, caps, clothing, etc.◦ Freebies or discounts
How Can You Tell If Your Promotions Are Working?
Ask your customers◦ Survey◦ Ask new customers for e-mail address, phone number, etc.
Philanthropy Can Bring Positive Publicity
You have a responsibility to help the community you serve◦ Will bring positive publicity◦ Cause-Related Marketing
◦ Marketing inspired by a commitment to a social, environmental, or political cause◦ Donate fixed percentage of its revenue to a particular charity and then publicize this in marketing◦ Donate something your business produces