Understanding Principles Of Marketing Pertemuan 09 Matakuliah: J0712 - Pengantar Bisnis Tahun: 2009.

Understanding Principles Of Marketing

Pertemuan 09

Matakuliah : J0712 - Pengantar BisnisTahun : 2009

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Marketing Process and Consumer Behavior

•Outline:

•What Is Marketing?•Target Marketing and Market Segmentation•Marketing Research•Understanding Consumer Behavior•Organizational Marketing and Buying Behavior•International Marketing Mix •Small Business and the Marketing Mix

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What Is Marketing?

• Process of planning and executing the conception, pricing, promotion and distribution of ideas, goods and services to create exchanges that satisfy individual and organizational objectives

• Marketing mix of goods and services are:

– Developing

– Pricing

– Placing

– Promoting

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Value & Satisfaction

• Benefits include the functions of the product and the emotional satisfactions associated with owning, experiencing or possessing it.

• Benefits must exceed costs to be of value to the consumer.

Value = Value = BenefitsBenefits CostsCosts

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Marketing: Providing Value and Satisfaction

• Value and Utility– Utility is the ability of a product to satisfy a

human want or need. Four kinds:• Time Utility• Place Utility• Ownership Utility• Form Utility

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Goods, Services, Ideas

• Consumer goods are products purchased by consumers for personal use

• Industrial goods are products used by companies to produce other products

• Services are intangible products that can be purchased

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The Marketing Environment

External environment is the outside factors that influence marketing programs by posing opportunities and threats. Five environmental factors:

•Political–Legal Environment•Social–Cultural Environment•Technological Environment•Economic Environment•Competitive Environments

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Competitive EnvironmentSubstitute products differ from those of competitors but can fill the same need.

Brand competition occurs between similar products.

International competition matches domestic products against foreign products.

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Marketing Mix (4 P’s)

ProductProduct

PlacePlace

PricePrice

PromotionPromotion

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Product and Pricing

• A product is a good, service, idea to fill need or want.

• Product Differentiation the creation of a product feature or product image that differs enough from competing products to attract consumers.

• Pricing is selecting the best price at which to sell a product.

• Price Must Create Profit By:– Covering Costs– Attract Customers

• High-Low Strategy– Low = Large Sales Volume– High = Greater Profit Per Unit

Sold

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Distribution (Place)

Distribution is part of the marketing mix concerned with getting products from producers to consumers.– Decisions about warehousing (storage),

inventory control and transportation mode.– Decisions about channels.

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Channels Of Distribution

ProducerProducer ProducerProducer ProducerProducer

ConsumerConsumer ConsumerConsumer ConsumerConsumer

RetailerRetailerWholesalerWholesaler

RetailerRetailer

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Promotion

Promotion is the techniques for communicating information about products. Four promotional tools:– Advertising– Personal Selling– Sales Promotions– Public Relations

36%

18%11%

5%

30%Comparison Shop

Get More Obscure Titles

Buy More Stuff

Use Online Suggestions

No Change

What’s the biggest way the What’s the biggest way the Web has changed how you Web has changed how you

shop for media?shop for media?

Web Effect OnWeb Effect OnMedia ShoppingMedia Shopping

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What Is Target Marketing and Market Segmentation?

• Target markets are groups of people with similar wants and needs.

• Market segmentation is the process of dividing a market into categories of customer types.

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Identifying Market Segments

– Geographic variables are geographical units

– Demographic variables are characteristics of populations

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Identifying Market Segments

Psychographic variables are consumer characteristics such as lifestyles, opinions, interests and attitudes

Behavioral variables are consumer characteristics based on the use of a product, benefits sought from it, reasons for its purchase and brand loyalty Toothpaste w/

-Whiteners-Fluoride-etc.

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Market Research and Process

• Study Consumer Needs/Wants

• Determine Ways Sellers Can Satisfy Needs/Wants

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Research Process

Study SituationStudy Situation

Select MethodSelect Method

Collect DataCollect Data

Analyze DataAnalyze Data

Prepare ReportPrepare Report

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What Is Consumer Behavior?• Study of the decision process by which

people buy and consumer products, influenced by:– Psychological influences: individual’s

motivations, perceptions and attitudes

– Personal influences: lifestyle, personality and economic status

– Social influences: family, opinion leaders and reference groups

– Cultural influences: culture, subculture and social class

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Consumer Buying Behavior

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Marketing Mix- International and Small Business

• Marketing Mix-International

• Products- Redesign For Foreign Buyer

• Pricing- Cover Increased Cost Of Transport/Selling

• Distribution- Delays In Establishing Network For Startup

• Promotion- Cultural Differences

•Marketing Mix – Small Business•Products- Limited Buying Market•Pricing- Incorrect Cost Estimation•Distribution- Location Is Critical•Promotion- Local Which Is Cheaper