BMGT 411: Chapter 1

Chapter 1: Marketing Management!

BGMT 411: Chapter 1• What is Marketing:

• Identifying human and social needs

• Identifying needs profitably

• 4 P’s Of Marketing

• Who remembers the 4 P’s from Intro to Marketing?

Slow Tech https://www.youtube.com/watch?v=EzpX0TLKS9Q

BGMT 411: Chapter 1• 4 P’s of Marketing:

• Price

• Product

• Place

• Promotion

• People

• Partnerships

BGMT411: Chapter 1• Marketing Management: The art and science of choosing target markets and

getting, keeping, and growing customers through creating, delivering, and communicating superior customer value

• What is value?

• Price?

• Convenience

• Luxury

• Status

Goods P&G Pamper’s Diapers

Services Kindercare Daycare Centers

Events J Hay

Experiences Skydiving Experiences

Apple Product Experience

http://www.youtube.com/watch?v=Zr1s_B0zqX0

• Other things that are marketed widely:

• People

• Places

• Properties

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• Organizations

• Information

• Ideas

BGMT 411: Chapter 1

• Can you think of companies that:

• Market more than one thing on the list?

• Used to market something, then added additional things to market?

• Became well known for a new marketing entity in addition to the one that got them started?

BGMT 411: Chapter 1

Disney Experiences, Events, People,

IBM Became Known for PC’s, Does not Make them Anymore

Apple Genius Bar and Experiences

Needs, Wants, Demands

Stated Needs: The customer wants an SUV !Real Needs: The customer does not want to pay over 25K !Unstated Needs: The customer would like to get good gas mileage !Delight Needs: Innovative system like SYNC for navigating and linking up iPhone !Secret Needs: The customer wants to be viewed as a trend setter

Needs, Wants, Demands

Stated Needs: The customer wants an SUV !Real Needs: Looking for a luxury SUV that reflect’s executive status !Unstated Needs: The customer would like hassle free service at regular intervals !Delight Needs: Free oil changes for 5 years, Hassle Free ownership !Secret Needs: The customer wants to be viewed as successful among friends and family

BGMT411: Chapter 1• Target Market: The market that presents the greatest opportunity to a marketer

• Demographics

• Psychographics

• Behaviors

• Segmentation: Distinct groups of buyers who might prefer product and service mixes. Segmentation and target markets are very similar

• Often time marketers will try to segment their best customers, and identify key trends to find more like them

BGMT411: Chapter 1

• Value Proposition: A set of benefits that satisfy needs of potential customers, often made real by an offering

• Brand Image: The association in people’s minds hen they think of your product and service

• Companies spend millions of dollars building brands over time, trying to build long term relationships with customers and prospects

http://www.forbes.com/powerful-brands/list/

• Marketing Channels:

• Communication Channels: Mass Media, Targeted Media, Interactive, and Social Media

• Distribution Channels: How to get the finished products or goods to the end consumer, retailers, web sites, etc

• Service Channels: How to get the service into the customers hands vs a product (Ex. Bank)

BGMT 411: Chapter 1

Channel Disruption: Dollar

• Marketing Concepts:

• Production Concept: Products are widely available and inexpensive (Produce as much as you can at the lowest cost)

• Product Concept: Customers prefer products that offer the most quality or innovation

• Selling Concept: Aggressive marketing using communication channels and distribution channels to influence buys

BGMT 411: Chapter 1

• Marketing Vs. Selling:

• Selling: Preoccupied with the sellers need to convert their product to cash

• Marketing: Focuses on the needs of the buyer, satisfying a customers needs not only by the product, but the entire experience around it

BGMT 411: Chapter 1

Holistic Marketing Concept: development, design, and implementation of marketing programs, processes, activities (Everything matters). Added 4 Additional P’s: People, Processes, Programs, and Performance.

• Performance Marketing:

• Financial Accountability: All spends are justified, with a clear ROI metric to measure the campaign

• Social Accountability: Ethical, environmental, legal, and social aspects that help build a brand - often associated with the needs and wants of the target market

BGMT 411: Chapter 1

• The Role of a Marketing Manager:

1. Develop Marketing Strategies and Plans

2. Capture Marketing Insights

3. Connect with Customers

4. Build Strong Brands

5. Shape the Product Offerings

6. Deliver Value

7. Communicate Value

BGMT 411: Chapter 1

Marketing Manager for AltheteTrax

1. Develop Marketing Strategies and Plans

2. Capture Marketing Insights

3. Connect with Customers

4. Build Strong Brands

5. Shape the Product Offerings

6. Deliver Value

7. Communicate Value