MKT 340 Ch01 ppt

Slide 1-1

© 2016 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Slide 1-2


Define marketing and identify the diverse factors influencing marketing actions.Explain how marketing discovers and satisfies consumer needs.

Distinguish between marketing mix factors and environmental forces.LO 1-3

LO 1-2

LEARNING OBJECTIVES (LO)AFTER READING CHAPTER 1, YOU SHOULD BE ABLE TO:

LO 1-1

LO 1-4 Explain how organizations build strong customer relationships and customer value through marketing.

Slide 1-3


LAUNCHING A NEW BILLION-DOLLARFOOD CATEGORY—IN JUST SEVEN YEARS!

Developing Chobani’s Unique Greek Yogurt

Reaching Customers

Chobani Today

Chobani, Marketing,and You

Chobani

http://kerin.tv/cr6e/v1-1

Slide 1-4


Marketing is NOT Easy

WHAT IS MARKETING?

You Are a Marketing Expert Already

• Involved in 1,000s of Buying Decisions

• Involved in Some Selling Decisions

LO 1-1

Slide 1-5


You Too Could Start a Successful Business While in College!

WHAT IS MARKETING?

Marketing and Your Career

• Goal is to “Do Marketing!”

• Small Businesses Offer Marketing Careers

LO 1-1

Slide 1-6


WHAT IS MARKETING?DELIVERING BENEFITS

LO 1-1

Marketing Seeks to:

Exchange: Trade things of value between buyer and seller so each is better off

• Discover Needs and Wants of Customers

• Satisfy Them

AMA Definitionof Marketing

http://kerin.tv/cr6e/ppt1-2

Slide 1-7


WHAT IS MARKETING?DIVERSE ELEMENTS INFLUENCE MARKETING ACTIONS

LO 1-1

The Organization Itself and Its Departments

Society

Environmental Forces

Slide 1-8


FIGURE 1-1 A marketing department relates to many people, organizations, and environmental forces

Slide 1-9


WHAT IS MARKETING?REQUIREMENTS FOR MARKETING TO OCCUR

LO 1-1

Two + Parties withUnsatisfied Needs

A Desire and Abilityto be Satisfied

A Way for the Partiesto Communicate

Somethingto Exchange

Domino’sPan Pizza


Slide 1-10


HOW MARKETINGDISCOVERS CONSUMER NEEDS

THE CHALLENGE: NEW PRODUCTS

LO 1-2

Consumers May Not Know or Cannot Describe What They Need or Want

Most New Products Fail

• “Focus on the Consumer Benefit”

• “Learn From Past Mistakes”

The Challenge:

Slide 1-11


Dr. Care Vanilla-Mint Aerosol ToothpasteWhat are the “benefits” and“showstoppers?”

LO 1-2

Slide 1-12


StuffDOTWhat are the “benefits” and “showstoppers?”

LO 1-2

StuffDot


Slide 1-13


Life is GoodWhat are the “benefits” and “showstoppers?”

LO 1-2

Slide 1-14



NEEDS VS. WANTS

LO 1-2

Need Want

Does Marketing PersuadePeople to Buy the“Wrong” Things?

Market: People with desire and ability to buy an offering

- VS. -

Slide 1-15


FIGURE 1-2 Marketing seeks to discover consumer needs through research and then satisfy them with a marketing program

Slide 1-16


HOW MARKETINGSATISFIES CONSUMER NEEDS

THE FOUR Ps

LO 1-3

• Promotion

• Place

Target Market: Groups of customers targeted by marketing programs

Marketing Mix: Controllable Factors

• Product

• Price

Slide 1-17



ENVIRONMENTAL FORCES

LO 1-3

• Technological• Regulatory

Environmental Forces: Uncontrollable Factors

• Social• Economic

• Competitive

Customer Value Proposition: Benefits promised to customers to satisfy their needs

Slide 1-18


THE MARKETING PROGRAMCUSTOMER VALUE

LO 1-4

• Best Price • Best Service

Customer Value: Benefits to the buyer from the product/service

• Best Product

Value Strategies

Slide 1-19


Customer Value Strategy for US BankLO 1-4

Slide 1-20


THE MARKETING PROGRAMRELATIONSHIP MARKETING

LO 1-4

• Easy to Understand

Relationship Marketing

• Hard to Do Requires a Marketing

Program Targeting Specific Market

Segments

Slide 1-21


3M’S STRATEGY & MARKETING PROGRAM DISCOVERING & STATISFYING STUDENT STUDY NEEDS

LO 1-4

=3M product that

will combinePost-it® Notes or

Post-it® Flags andHighlighters

3M Highlighter

3M Post-it® Notes or

Post-it® FlagsFelt-tip Markers+


Slide 1-22



LO 1-4

Move from Ideas toa Marketable Highlighter Product

Add the Post-it®

Flag Pen Develop a Marketing

Program for thePost-it® Flag Highlighter and Pen

3M Video


Slide 1-23


FIGURE 1-3 Marketing programs for two new 3M Post-it® brand products targeted at college students and office workers

Slide 1-24



LO 1-4

Developed ThirdGeneration Post-it®

Flag Highlighter

Appeared onThe Oprah Winfrey Show

Slide 1-25


HOW MARKETING BECAME IMPORTANTEVOLUTION OF THE MARKET ORIENTATION

Marketing Concept: Idea that organizations satisfy the customers’ needs while achieving organization’s goals

Market Orientation: Focusing efforts to collect and use information to create customer value

Slide 1-26


HOW MARKETING BECAME IMPORTANTEVOLUTION OF THE MARKET ORIENTATION

LO 1-5

Customer RelationshipManagement (CRM)

Customer Experience

• What Firms Think They Offer Customers

• What Customers Say They Receive

• Identify and develop offerings for buyers

Slide 1-27


HOW MARKETING BECAME IMPORTANTETHICS AND SOCIAL RESPONSIBILITY

LO 1-5

Ethics: Not always addressed with laws

Social Responsibility: To Broader Community• Societal Marketing Concept• Meet customer needs• Provide for society’s well-being

Slide 1-28


HOW MARKETING BECAME IMPORTANTBREADTH AND DEPTH OF MARKETING

LO 1-5

Who Markets? Everyone!

What Is Marketed? Everything!

• Products(Goods)

• Ideas • Services

Museum Video


Slide 1-29


HOW MARKETING BECAME IMPORTANTBREADTH AND DEPTH OF MARKETING

LO 1-5

Who Benefits? Consumers, organizations, and society

Who Buys & Uses What Is Marketed?• Ultimate Consumers• Organizational Buyers

How Do Consumers Benefit? • Form Utility

• Place Utility

• Time Utility• Possession Utility

Slide 1-30


CHOBANI: MAKING GREEK YOGURTA HOUSEHOLD NAME

VIDEO CASE 1

Chobani Video Case


Slide 1-31


VIDEO CASE 1Chobani Greek Yogurt

1. From the information about Chobani in the case and at the start of the chapter, (a) who did Hamdi Ulukaya identify as the target for his first cups of Greek yogurt and (b) what was his initial “4Ps” marketing strategy?

Slide 1-32


2. (a) What marketing actions would you expect the companies selling Yoplait, Dannon, and PepsiCo yogurts to take in response to Chobani’s appearance and (b) how might Chobani respond?


Slide 1-33


3. What are (a) the advantages and(b) the disadvantages of Chobani’s Customer Loyalty Team that handles communications with customers—from phone calls ande-mails to Facebook and Twitter messages?


Slide 1-34


4. As Chobani seeks to build its brand, it opened a unique retail store in New York City: Chobani SoHo. Why did Chobani do this?


Slide 1-35


5. (a) What criteria might Chobani use when it seeks markets in new countries and (b) what three or four countries meet these criteria?


Slide 1-36


DESIGNING A CANDY BAR

IN-CLASS ACTIVITY 1-1

Slide 1-37


ICA 1-1Design a Candy Bar

TV Ad Ghirardelli Web site

Example:

Designing a candy bar for Ghirardelli



Slide 1-38


Slide 1-39


WHAT MAKES A BETTER MOUSETRAP?

IN-CLASS ACTIVITY 1-2

Slide 1-40


ICA 1-2A Victorious Mouse

If a man (woman) makes a better mousetrap,

the world willbeat a path to

his (her) door.”~ Ralph Waldo Emerson

Slide 1-41


ICA 1-2What Makes a Better Mousetrap?

VideoLive Catch

Website

Metal BaitPedal

Website

Example:Victor® Metal Bait Pedal

AndLive Catch Mousetraps

http://12e.kerin.tv/ppt1-11



Slide 1-42


Slide 1-43


Slide 1-44


Marketing

Marketing is the activity for creating, communicating, delivering, and exchanging offerings that benefit its customers, the organization, its stakeholders, and society.

Slide 1-45


Exchange

Exchange is the trade of thingsof value between a buyer and a seller so that each is better off.

Slide 1-46


Market

A market consists of people with both the desire and the ability to buy a specific offering.

Slide 1-47


Target Market

A target market consists ofone or more specific groups of potential consumers towardwhich an organization directs its marketing program.

Slide 1-48


Marketing Mix

The marketing mix consists of the marketing manager’s controllable factors—product, price, promotion, and place—that can be used to solve a marketing problem.

Slide 1-49


Customer Value Proposition

Customer value proposition is the cluster of benefits that an organization promises customers to satisfy their needs.

Slide 1-50


Environmental Forces

Environmental forces consist of the uncontrollable forces of social, economic, technological, competitive, and regulatory forces that affect the results of a marketing decision.

Slide 1-51


Customer Value

Customer value is the unique combination of benefits received by buyers, including quality, convenience, on-time delivery, and before- and after-sale service at aspecific price.

Slide 1-52


Relationship Marketing

Relationship marketing linksthe organization to its individual customers, employees, suppliers, and other partners for theirmutual long-term benefit.

Slide 1-53


Marketing Program

A marketing program is a plan that integrates the marketing mix to provide a good, service, or idea to prospective buyers.

Slide 1-54


Market Segments

Market segments are the relatively homogeneous groupsof prospective buyers that(1) have common needs and(2) will respond similarly to a marketing action.

Slide 1-55


Marketing Concept

A marketing concept is theidea that an organization should (1) strive to satisfy the needs of consumers (2) while also trying to achieve the organization’s goals.

Slide 1-56


Market Orientation

A market orientation occurs when an organization focuses its efforts to collect and use information about customers’ needs to create customer value.

Slide 1-57


Societal Marketing Concept

Societal marketing concept is the view that organizations should satisfy the needs of consumers in a way that also provides for society’s well-being.

Slide 1-58


Product

A product is a good, service, or idea consisting of a bundle of tangible and intangible attributes that satisfies consumers’ needs and is received in exchange for money or something else of value.

Slide 1-59


Ultimate Consumers

Ultimate consumers consist of the people who use the productsand services purchased for a household. (Also called consumers, buyers, or customers.)

Slide 1-60


Organizational Buyers

Organizational buyers aremanufacturers, wholesalers, retailers, and government agencies that buy products and services for their own use or for resale.

Slide 1-61


Utility

Utility consists of the benefits or customer value received by users of the product.