Week 1 & 2 Continuation - Business Marketing PDF

BUSINESS Marketin g J A I M E L. TAY O B O N G J R. GRADE 12 ABM CRECENCIA DRUCILA LOPEZ SENIOR HIGH SCHOOL  PAGE 1 The students, should be able to... 1.Define marketing and marketing principles; 2.Identify marketing goals; 3.Understand the different approaches to marketing; and...

BUSINESS Marketin g J A I M E L. TAY O B O N G J R. GRADE 12 ABM CRECENCIA DRUCILA LOPEZ SENIOR HIGH SCHOOL  PAGE 1 The students, should be able to... 1.Define marketing and marketing principles; 2.Identify marketing goals; 3.Understand the different approaches to marketing; and 4.Plot Marketing Goals and approaches for Product and Service PAGE 3 CLASIFICATION OF PRODUCTS/GOOD S  PAGE 5 Products that are marketed can be generally classified according to use, differentiation, type, and durability Products/Goods Products/Goods According to Use: According to *Consumer Goods Differentiation: *Industrial Goods *Undifferentiation Goods *Differentiation Goods Products/Goods Products/Goods According to According to Type: Durability: *Convenience Goods *Consumable Goods *Shopping Goods *Semi-Durable Goods *Specialty Goods *Durable Goods *Unsought Goods  PAGE 9 According to Use: Consumer and Industrial Goods Consumer goods are goods that are purchased for consumption. Examples of these are soft drinks, hamburgers, candy, cigarettes, and other similar items. On the other hand, Industrial Goods are purchased in order to make other goods, to serve as a raw material or input in the production of other goods. Example, Aluminum which are used to manufacturer kitchen equipment and cans or electronic  PAGE 11 According to Differentiation: Undifferentiated and Differentiated Goods Undifferentiated goods are products whose physical characteristics are so identical, that it would be difficult, if not impossible, to distinguish one purchased from one vendor or another. Most undifferentiated goods are products that are sourced from nature.  PAGE 11 According to Differentiation: Undifferentiated and Differentiated Goods Typical example of an undifferentiated good is rock salt. When a housewife goes to the wet market to purchase rock salt from two different vendors, determining which one came from one vendor or the other is a challenge. Salt bought from the two different vendors looks, feels, and tastes identical.  PAGE 11 According to Differentiation: Undifferentiated and Differentiated Goods Differentiated Products are varied in their characteristics and features that they are readily distinguishable from one another. PAGE 8 According to Durability: Consumables, Semi-Durable, and Durable Durability refers to the length of 1 time a consumer can derive benefit 2 from the product or good purchased. 3  PAGE 8 According to Durability: Consumables, Semi-Durable, and Durable A consumable is a product whose benefit can only be used by a consumer for only a short period of time, sometimes only a few minutes. For this reason, many 1 misinterpret consumables to exclusively include food, drinks, 2 and other edible items. Although these are consumables, non-edible items such as detergents and 3 toiletries are also considered consumables. The benefit one can derive from soap, for example (for cleaning oneself)  PAGE 8 According to Durability: Consumables, Semi-Durable, and Durable Semi-durables provide benefits to the consumer for a longer period of time, usually 1 spanning several months. Semi-durables are 2 manufactured for longer-term use by 3 consumers. Examples of semi-durables are clothes, shoes, belts, and jackets, etc.  PAGE 8 According to Durability: Consumables, Semi-Durable, and Durable Durables are products that are manufactured to last a long time. They are capable of providing 1 consumers with years of beneficial use. Durables 2 are usually expensive, and many, therefore, require an 3 augmented product to market them effectively. Examples of durable goods are automobiles,  PAGE 8 According to Type: Convenience, Shopping, Specialty, and Unsought Convenience are products that are purchased frequently, are usually 1 inexpensive, and do not require much purchase effort and evaluation. Examples are newspapers, gum, and candy. The key 2 to the successful marketing of convenience goods is its availability 3 in as many retail outlets as possible, catering to consumer need where and when it arises.  PAGE 8 According to Type: Convenience, Shopping, Specialty, and Unsought Shopping goods are purchased less frequently than convenience foods, are relatively more expensive, and require some amount of information search and evaluation prior to purchase. Consumers of 1 shopping goods consider features, evaluate attributes, and compare prices. 2 Examples of shopping goods are shoes, clothes, and handbags. 3 The successful marketing of shopping goods depends on intensive advertising, well-trained salespersons, and positioning company products as superior alternatives to competitors' products.  PAGE 8 According to Type: Convenience, Shopping, Specialty, and Unsought Specialty goods are goods that require unusually large effort on the part of consumers to acquire. Consumers are 1 usually willing to travel great distances to where these good 2 can be purchased. Examples are branded luxury merchandise, 3 works of art, automobiles and homes. Successful marketing of specialty goods require the promotion of strong brand image and identities.  PAGE 8 According to Type: Convenience, Shopping, Specialty, and Unsought Unsought goods are goods that consumers seldom actively look for, and are usually purchased for extraordinary reasons, such as fear or adversity, rather 1 than 2 desire. Examples are investments, memorial plans, and life insurance. These goods require advertising and 3 aggressive selling efforts and are usually marketed using highly-trained and persuasive salespersons.  Primary Demand refers to the total demand for all brands of a particular product or service. It is sometimes referred to as total industry demand. Selective Demand is the demand for specific brand of profuct or service. MEASURING Measuring market demand in the Philippines is MARKET challenging because few accurate published insdustry statistics are available. Because of DEMAND this, companies conduct surveys to establish an estimate of market demand  POT E NT I A L , L AT E NT , A ND CU R R E NT DE M A ND POTE NTI AL CURRE NT Potential demand is VIS I ON Current demand is defined defined when there is no as the number of people of a particular market at present that demand yet for a particular would actually purchase the product/service, but there product or service offered. This exists a market with can be measured in several sufficient financial capability ways, most popular of which is to purchase. "intent to buy" surveys.  L ATE NT In order to satisfy latent VIS I ON demand, marketing Latent demand results when organizations must either: customers in a market are Introduce goods currently unable to satisfy specific desires unavailable that are desired by because there exists no customers product/service in the market Influence and persuade customers that can satisfy them. It can also to reallocate their expenditures result when the product/service towards the company's product is available, but is priced beyond Offer credit, installment, or similar their reach. terms to make the product affordable to customers 01 UTILITY 02 VALUE 03 SATISFACTIO N  U TI LI TY,VALUE AN D S ATISFACTI I ON UT I LI T Y VALU E S AT I S FACT I O N refers to the value customers place on a product or service. Utility refers to the Since consumers have different Satisfaction is the needs and buying capacities, measure of how well total satisfaction consumers assign varying values customer expectations consumers can on the same product or service. The product with the highest from a purchased receive from the quality does not always provide the highest value for customers. product or service consumption of a The perception of value is have been met. product or service. affected by the cost required to acquire the product or service.  To ensure maximum customer value and satisfaction, marketers must: Balance product or service quality and price. Establish consistency among product availability, level of customer service, and efficiency Create buying atmosphere and deliver purchase convenience. 123-456-7890 [email protected] om ASSESSMENT