MKT 300 1nd Edition Lecture 3 Outline of Last Lecture II Chapter 1 Terms III Chapter 1 Concepts to Apply Outline of Current Lecture IV Chapter 2 Terms V Chapter 2 Concepts to Apply Current Lecture IV Chapter 2 Terms Strategic management planning Planning strategies to guide a whole company Managerial process of developing and maintaining a match between an organization s resources and its market opportunities Marketing management process Planning marketing activities directing the implementation of the plans and controlling these plans Target market a fairly homogeneous group of customers to whom a company wishes to appeal Marketing mix The controllable variables the company puts together to satisfy this target group 4 Ps Product place promotion price Marketing strategy Specifies target market and a related marketing mix Target marketing Marketing mix is tailored to fit some specific target customers Mass marketing Typical production oriented approach vaguely aims at everyone in the same marketing mix These notes represent a detailed interpretation of the professor s lecture GradeBuddy is best used as a supplement to your own notes not as a substitute Everyone s the same and a potential customer Channel of distribution Any series of firms or individuals that participate in the flow of products from producer to final user or consumer Personal selling Involves direct spoken communication between sellers and potential customers Face to face phone Skype Customer service A personal communication between a seller and a customer who want the seller to resolve a problem with a purchase Key for repeat business Expensive Mass selling Communicating with large numbers of customers at the same time Advertising Main from of mass selling any paid from of non personal presentation of ideas goods or service by an identified sponsor Publicity Unpaid form of non personal presentation of ideas goods or services Sales promotion Refers to those promotion activities other advertising publicity and personal selling that stimulate interest trial or purchase by final customers or others in the channel Marketing plan Written statement of a marketing strategy and the time related details for carrying out the strategy It should have what marketing mix will be offered to whom and how long what company resources shown as costs will be needed at what rate and what results are elected Customer equity Estimates profitability The expected earnings stream profitability of a firm s current and perspective customers over some period of time Breakthrough opportunities Help innovators develop hard to copy marketing strategies that will be very profitable for a long time Competitive advantage A firm has a marketing mix that the target market sees as better than a competitors mix Differentiation Marketing mix is distinct from what is available from a competitor SWOT analysis Derived from the situation analysis Analyze personal strengths and weaknesses and target opportunities and threats OT is external market environment Identifies and lists firm s strengths weakness opportunities and threats Market penetration Trying to increase sales of a firm s present products in its present markets probably through a more aggressive marketing mix Market development Trying to increase sales by selling present products in new markets Think E Z Go golf carts for malls airports etc Product development Offering new or improved products for present markets Campbell soup less sodium soup Diversification Moving into totally different lines of business perhaps entirely unfamiliar products markets or even levels in the production marketing system McDonalds hotels in Switzerland V Chapter 2 Concepts to Apply What are the benefits to marketing planning The decisions that decide what business the company is in and the strategies it will follow usually determine success or failure one time strategy decisions While firms regularly monitor their market and adapt strategies most firms find that some strategies work better than others and some don t work at all Effective strategy planning significantly increases the chances for success Explain how a situation analysis affects a SWOT and objectives hint look at the planning process diagram relationship between the situation analysis the SWOT the critical issues and marketing objectives Customers company and competition determine the strengths weaknesses objectives and threats Which of the 4 P s is most important All are equally important How does satisfying a need differ from providing a benefit Explain with brand example Slim Fast example need must link to acceptable sellable benefit Not benefit to solve need of losing weight by making it embarrassing for men to drink health drinks Give an example of a breakthrough opportunity is it evolutionary or revolutionary Breakthrough opportunity help innovators develop hard to copy marketing strategies that will be profitable for a long time Evolution small changes but does not change the way we think Pedigree dog food zip bag Revolution breakthrough something that changed the way people thought about data Fundamentally change the products create new Instant coffee what are the 4 types of marketing growth strategies Describe the circumstance that would drive the selection of each market penetration same product same market market development new market same product product development new product same market diversification new product new market