Zara Mahmood Advertising Clark Chapter 2 Integrated Brand Communication Meineke Car http www nytimes com 2013 09 11 business media appealing to a sense of value for car care html r 0 adxnnl 1 ref media adxnnlx 1378949025 vQOTaFrXcEwEcHE2GsGXZA Branding on word smart Using Kid President epitomizes simple solutions for complex ideas o People not as willing to spend o Long term benefit of preventative car care WHAT IS MARKETING Companies need effective communication in order for its products to succeed in the marketplace Why Marketing 101 Marketing is the way a product is designed tested produced branded packaged priced distributed and promoted Objective of most marketing programs has been to sell products o Matching products availability with company s production capabilities and consumers demand for the product Stakeholders All the individuals and groups who have a stake in the success of the brand Product Category the classification to which the product is assigned Eg Apple Macintosh is in the computer category Marketing Mix four Ps Product design performance Price Place where its made available distribution Promotion marketing communication Marketing is customer focused Used to be more of a sales approach o Started to focus on marketing as a discipline due to competition of other products Marketing should focus first on identifying the needs and wants of the consumer rather than just the company s production capabilities The Concept of Exchange Marketing helps to create a demand for a product leading to an exchange Exchange the act of trading something of value money for a desired product Demand drives exchange Communication exchange provides information and the opportunity for customer company interactions Who Are the Key Players Zara Mahmood Advertising Clark The marketing industry is a complex network of professionals 4 categories of key players o Marketers client Any company or organization behind the brand o Suppliers and vendors materials and ingredients used in producing a product are obtained from here Supply chain used to refer to this complex network of suppliers who produce components that are then sold to the manufacturer Distribution chain Various companies involved in moving a product from its manufacturer to its buyers o Distributors and retailers o Marketing partners agencies What Are the most Common Types of Markets Market not only a place but also a type of buyer Share of Market the percentage of total sales in a product category a brand has Four main types of market personal use o Consumer people who buy goods sand services for household or o B2B Markets companies that buy produces or services to use in their own business or in making other products o Institutional Wide variety of nonprofit organizations that provide services for the benefit of society o Channel include members of the distribution chain resellers intermediaries Channel Marketing the process of targeting a specific campaign to members of the distribution chain Why Is Services Marketing Important Marketing a service based business is different from marketing goods The product is often intangible Most goods manufacturers also offer a service eg Tech setup Service marketing relationship is often more personal Service involves delivery process that has opportunities to deliver messages Customer Service provides follow up services for many goods and answers questions How Does the Marketing Process Work Primary goal of the marketing process is to create and execute a marketing plan Marketing Plan a document that sets up objectives and proposes strategies for using marketing elements to achieve the objectives Steps in the Marketing Planning Process Step 1 Research the consumer market and the competitive marketplace and develop a situation analysis o preliminary background data Step 2 Set objectives for the marketing effort o What the marketing plan should achieve Zara Mahmood Advertising Clark Step 3 Assess consumer needs and wants relative to the product segment market into groups that are likely to respond target specific markets o All segments they want to attract Step 4 Differentiate and position the product relative to the competition o What the brand stands for in the mind of the consumer compared to its competitors Step 5 Develop the marketing mix strategy develop strategies for product design and performance criteria pricing distribution and marketing communication o How are we going to accomplish the objective Step 6 Execute the strategy o What are they going to do and where signs booths logo changes Step 7 Evaluate the effectiveness of the strategy o Tracking the results of their campaign What Key Concepts Drive Marketing Practices Product Driven philosophy Marketers developed a product and then found a market Now marketing is closer to a customer focused philosophy rather than one based on production Marketing Concept marketing should focus first on identifying the needs and wants of the consumer rather than just the company s production capabilities Determine through research what the customer needs and wants Develop manufacture market and service goods that fill those needs and wants o Create solutions for customers problems Consumer people who buy and use products and services general public Customer Someone who has purchased a specific brand or visited a specific retailer Have a closer link to brand or store because they have taken action in visiting buying Have a relationship with the brand or store Differentiation positioning Let the brand stand out as different from its competition Competitive Advantage How a brand is different and superior in some way Added Value refers to the marketing communication activity that makes a product more valuable useful or appealing to the consumer Ensuring the products utility and convenience is one of the tasks of customer oriented marking What Is the Marketing Mix Traditional marketing includes the four Ps Zara Mahmood Advertising Clark Product design performance and quality are key elements of a product s success Pricing Price a seller sets is based not only on the cost of making and marketing the product but also on the seller s expected margin of profit Price Copy advertising copy that us devoted to the type of information like price Psychological Pricing use marketing communication to manipulate the customer s judgment of value Place Making the product available and handling the exchange of payment for the product o How is it purchased shelved