Marketing Chapter 1 Case Study Flashcard
Chapter 1 Marketing Concept
- Understand the marketplace and customer needs and wants
- Design a customer driven marketing strategy
- Construct an integrated marketing program that delivers super or value
- Build profitable relationship and create customer delight
- Capture value from customers to create profits and customer equity. Marketing satisfies customers’ needs Market place + customer needs concepts
- Needs (physical, social, individual) wants and demands(wants backed by buying power)
- Market offerings (some combination of products, services, information or experiences offered to satisfy a need or want)-Market myopia is sellers mistake of paying more attention to the specific product they offer than to the benefits and experiences produced by these products.
- Value and satisfaction(cant set to expectation too low or high.
- Exchanges and relationships(act of obtaining a desired object from someone by offering something in return)
- Markets(dry of actual and potential buyers of a product or service)
Marketing management is the art and science of choosing target markets and building profitable relationships with them. Designing a customer driven strategy 1 selecting customers to serve 2 choosing a value proposition 3 market management orientations production concept-holds that consumers will favor products that are available and highly affordable -product concept- holds that consumers will favor products that offer the most in quality, performance, and innovative features -Seller concept-typically practiced with unsought goods, blood donations and insurance -marketing conept- holds that achieving organizational goals depends on knowing the needs and wants of target markets + delivering the desired satisfactions better than competitors do -Societal marketing concept- questions whether the pure marketing concept overlooks possible conflicts between consumer short-run wants and consumer long-run welfare.
Customer-Driven Strategy-cannot target all consumers, must divide the total market
Market Segmentation-process of dividing a market into distinct groups of buyers who have different needs Consists of consumers who respond in a similar way to a given set of marketing efforts.
Marketing Mix-is a set of tactical marketing tools that the firm blends to produce the response it wants in the target market. Product-goods and services combination the company offers to the target market Price- the amount of mone customers must pay to obtain the product Place-includes company activities that make the product available to target consumers Promotion- means activities that communicate the merits of the product and persuade target customers to buy it. Swot analysis-by which a company evaluates the company’s overall Strengths-internal capabilities that may help the company reach its objectives Weakness-internal limitations that may interfere with the companys abilities to reach its objtves
Opportunities-external factors that the company may be able to exploit to its advantage
Threats-current and emerging external factors that may challenge the companys performance
Microenvironment- actors close to the company that affect its ability to serve its customers- suppliers, marketing intermediaries, customer markets, competitors, publics.
Macroenvironment- larger societal forces that affect the microenvironment-demographic, economic, natural, technological, political, and cultural.
Phases of the Marketing Research Process
Phase I Determine the Research Problem
- Step 1. Identify and clarify information needs
- Step 2. Define the research problem and questions
- Step 3. Specify research objectives and confirm information value
Phase II. Select the Research Design
- Step 4. Determine the research design and data sources
- Step 5. Develop the sampling design and sample size
- Step 6. Examine measurement issues and scales
- Step 7. Design and pretest the questionnaire
Phase III Execute the Research Design
Phase IV Communicate the Research Results
Primary Qualitative Methods
Focus groups -formal process of bring a small group of people together for an interactive discussion In depth interviews- formal interview process in which a well-trained interviewer asks subject set of ……. emi-structured questions in face-to-face setting Ethnography form of qualitative data collection that records behavior in natural settings to understand ………how social and cultural influences affect individual behaviors and experiences
Read also Chapter One Notes: Overview of Marketing
Projective techniques-word association test, cartoon test, sentence completion
Secondary data -consists of information that already exists somewhere, having been collected for another purpose
Primary data -consists of information gathered for the special research plan
Sampling error – Cannot be eliminated; …….. can be reduced by increasing sample size; can be statistically measured
Nonsampling error -Controllable; cannot be statistically measured Factors influencing consumer behavior
Cultural- subculture-social class Social- Reference groups, family, roles and status
Personal- Age+life cycle stage, occupation, economic situation, lifestyle, personality
Psychological- Motivation, perception, learning beliefs and attitudes
Buyer Physiological factors Motive/drive- a need that is sufficiently pressing to direct the person to seek satisfication
Perception- process by which people select, organize, and interpret information to form a meaningful picture or the world
Learning- changes in an individual’s behavior arising from experience.
Classical conditioning- when we see food we salivate and want it
Instrumental- If we try a sample, we will then become a customer
Belief- descriptive thought that a person has about something
Attitude- descrives a persons relatively consistent evaluations, feeling, and tendencies toward an object or idea.