Lecture (1-5) Marketing PDF

M a r k e t i n g Lecture One ** Marketing **  01 Market As A Concept Contents 02 Marketing & M. Segments 03 Role of Marketing 04 Importance of Marketing  Market Market is a set of all actual and potential...

M a r k e t i n g Lecture One ** Marketing **  01 Market As A Concept Contents 02 Marketing & M. Segments 03 Role of Marketing 04 Importance of Marketing  Market Market is a set of all actual and potential buyers of a product or an arena, wherein all buyers and sellers were highly sensitive to each other’s transactions, and where what one did affected the other. This definition implies that wherever there is a buyer of a product or service, there is a market. It succeeded in changing the view that market is a place. Further this definition also indicates that market refers to the existence of buyers of a product or service, that when these things get exchanged, the marketing process commences.  Marketing Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large. Marketing refers to activities a company undertakes to promote the buying or selling of a product, service, or good. Marketers can direct their product to other businesses or directly to consumers. The marketing concept proposes that any organization should anticipate the needs and wants of potential consumers and satisfy them more effectively than its competitors.  Marketing Segments Selling Marketing Selling starts with the seller Marketing starts with the buyer Selling starts with the corporation's Under marketing, all activities and existing activities and products products take their direction from the consumer and his needs Selling emphasizes saleable surpluses Marketing emphasizes identification of a market opportunity Selling over emphasizes the exchange Marketing concerns itself primarily aspect without caring for the value and truly with the value satisfactions satisfactions The seller determines what product What should be offered as a product is to be offered is determined by the buyer  Marketing Segments The two major segments of marketing are business-to- business (B2B) marketing and business-to-consumer (B2C) marketing. B2B (Business-to-business) marketing refers to any marketing strategy or content that is geared towards a business or organization. B2C (Business-to-Consumer) marketing refers to the tactics and strategies in which a company promotes its products and services to individual people.  Marketing Segments Differences Point B2B B2C Purchasing volume B2B buy products in large B2C s buy products in smaller volumes volumes Distribution B2B products pass directly B2C products must from the producer to the additionally go through a business wholesaler or retailer Buying nature B2B purchasing is a formal B2C purchasing is informal process process Buying influences B2B purchasing is influenced B2C marketing is only by multiple people in various influenced by the person departments making the purchase Negotiations negotiating for lower prices or B2C marketing (as in Western added benefits is accepted cultures) prices are fixed.  Role of Marketing It is well known that producers and consumers are separated from each other on several counts. Marketing should enable removing these separations. 1. Spatial separation: This refers to the geographical separation between the producers and consumers. Producers have several compelling reasons to locate their operations in a particular place. 2. Separation in time: One of the basic functions of producers is to determine the time when the product/service is required by the consumers. If it does not reach the consumer at the time of need, it loses its appeal to consumers.  Role of Marketing 3. Separation of information: Most of the ills in marketing are caused by lack of information. Marketing information could be relating to various aspects like, product functioning or use, availability, price, etc. 4. Separation in values: One of the major role performed by marketing is to enable both the producers and the consumers to determine the value of the product/service.  Importance of Marketing 1. Marketing Is an Effective Way of Engaging Customers. 2. Marketing Helps to Build and Maintain the Company’s Reputation. 3. Marketing Helps to Build a Relationship Between a Business and Its Customers. 4. Marketing Is a Communication Channel Used to Inform Customers. 5. Marketing Helps to Boosts Sales of the organization through promotion tools. 6. Marketing Is Helpful and powerful tool In Development Of An Economy. 7. Marketing Creates New Jobs and Source of New Ideas. Thank You  Lecture Two Marketing Mix Contents 01 Marketing Mix 02 Product Life Cycle 03 Pricing Strategies 04 Place and Promotion Marketing Mix Marketing Mix The marketing mix has been defined as the set of marketing tools that the firm uses to pursue its marketing objectives in the target market. The term of marketing mix is a foundation model for businesses, historically centered around product, price, place, & promotion, it also known as the (4 Ps). Product A product refers to an item that satisfies the consumer's needs or wants. Products may be tangible (goods) or intangible (services, ideas or experiences). Product strategy includes product design, features, quality, branding, packaging and labeling, services after-sales, guarantees and warranties, returns, and product life cycle. Product Price Price refers to the amount a customer pays for a product or the sacrifice consumers are prepared to make to acquire a product, it is the only variable that related to revenue. Price strategy includes price tactics, Price setting, rebates for distributors, discounts for customers, Payment terms and methods, and pricing strategies. Price Place Place is how and where a company will place its products and services to gain market share and consumer purchases. it refers to providing customer access to the product. Place Strategy includes intensive distribution, selective distribution, exclusive distribution Franchising, transport and inventory. Place Promotion Promotion is the part of marketing where you advertise and market your product. So, you let potential customers know what you are selling. Promotion Strategy includes message strategy (what is to be communicated), channel or media strategy (how to reach the target audience) such as: Facebook, Radio, Television ….etc. Promotion Thank You  STRENGTHS WEAKNESSES S W OPPORTUNITIES O THREATS T SWOT THREE LECTURE ANALYSIS  Contents 1. SWOT Analysis Definition 2. Strengths Points 3. Weaknesses Points 4. Opportunities Points 5. Threats Points 6. Coca Cola Case Study  SWOT Analysis Definition  SWOT analysis is a framework used to evaluate a company's competitive position in order to develop strategic planning.  SWOT analysis assesses internal (strengths and weaknesses) and external (opportunities & threats) factors, as well as current and future potential.  Strengths  Strengths describe what an organization excels at and what separates it from the competition: a strong brand, loyal customer base, a strong balance sheet, unique technology, and so on.  The Potential questions to list strengths points are: 1. What is our competitive advantage? 2. What resources do we have? 3. What products are performing well?  Weaknesses  Weaknesses stop an organization from performing at its optimum level. They are areas where the business needs to improve to remain competitive: a weak brand, high levels of debt, or lack of capital.  Potential questions to list weaknesses points are: 1. Where can we improve? 2. What products are underperforming? 3. Where are we lacking resources?  Opportunities  Opportunities refer to favorable external factors that could give an organization a competitive advantage. Example; new technology, seasonal-time, & so on.  Potential questions to list Opportunities points are: 1. What technology can we use to improve operations? 2. Can we expand our core operations? 3. What new market segments can we explore?  Threats  Threats refer to external factors that have the potential to harm an organization. For example, a drought is a threat to a wheat-producing company, as it may destroy or reduce the crop yield.  Potential questions to list threats points are: 1. What new regulations threaten operations? 2. What do our competitors do well? 3. What consumer trends threaten business? Coca Cola Case Study  Coca Cola Case Study  In 2015, a Value Line SWOT analysis of The Coca-Cola Company noted strengths such as its globally famous brand name, vast distribution network, and opportunities in emerging markets.  However, it also noted weaknesses and threats such as foreign currency fluctuations, growing public interest in "healthy" beverages, and competition from healthy beverage providers.  Coca Cola Case Study  Its SWOT analysis prompted Value Line to pose some tough questions about Coca-Cola's strategy, but also to note that the company "will probably remain a top-tier beverage provider.  Five years later, the Value Line SWOT analysis proved effective as Coca-Cola remains the 6th strongest brand in the world (as it was then). Coca-Cola's shares have increased in value by over 60% during the five years after the analysis was completed. TH KU AN END LECTURE FOUR PEST ANALYSIS http://www.free-powerpoint-templates-design.com CONTENTS 01 Political Factor 02 Economic Factor 03 Social Factor 04 Technological Factor PEST ANALYSIS  PEST ANALYSIS  PEST is an acronym for Political, Economic, Social and Technological. This analysis is used to assess these four external factors in relation to your business situation.  Basically, a PEST analysis helps you determine how these factors will affect the performance and activities of your business in the both short and long-terms.  It is used in collaboration with other analytical business tools like the SWOT and Five Forces analyses to give a clear understanding of a business situation (internal and external).  PEST ANALYSIS o For a business to be successful, they need a few things: A Solid Product A solid Budget Identifiable Brand Customers Satisfaction Good Marketing plan Strong Selling Position Strong Management Team  PEST ANALYSIS o Throughout the endless target market research, customer acquisition costs, and project risk assessments, you forget about outside influencers. o If you’re aware of the influencers, they can aid your business. But if you don’t know them, they can cripple your business before it begins. PEST FACTORS  Political Factor  Political Factor: the government regulations and legal factors are assessed in terms of their ability to affect the business environment and trade markets.  The main issues addressed in this section include political stability, tax guidelines, trade regulations, safety regulations, and employment laws.  Political factors affecting business in term of revenues and profits since it affecting economically, socially and technology things related to the business.  Economic Factor  Economic Factor: Through economic factor, businesses examine the economic issues that are bound to have an impact on the company and its business.  This would include factors like inflation, interest rates, economic growth, the unemployment rate and policies, and the business cycle followed in the country.  Economic factors affecting business in term of revenues and profits that can lead to recession and affect both the business and consumer.  Social Factor  Social Factor: a business can analyze the socio-economic environment of its market via elements like customer demographics, cultural limitations, lifestyle attitude, etc.  With these, a business can understand how consumer needs are shaped and what brings them to the market for a purchase your products and services.  Social factors affect consumer attitude, it is more unpredictable than economic and political factors. Because it influence your target market and people are unpredictable.  Technological Factor  Technological Factor: How technology can either positively or negatively impact the introduction of a product or service into a marketplace is assessed here.  These factors include technological advancements, lifecycle of technologies, the role of the Internet, and the spending on technology research by the government.  Technological factors affecting business in term of revenues and profits i.e.; How hurt will sales be if X technology doesn’t work? How will it affect business in the long and short term? Thank You Five Forces Analysis Definition Five Forces Analysis - Definition It is a framework for analyzing a company's competitive environment. The number and power of a company's competitive rivals, potential new market entrants, suppliers, customers, and substitute products influence a company's profitability. Diagram Five Forces Analysis - Diagram Threat of Bargaining power New Entrants of Suppliers Porter's five forces Threat of Bargaining power Substitutes of Customers Competitive Rivalry Suppliers Power Suppliers Power - Example How much power do your Suppliers have over you ? Suppliers Power is not exist that is mean increases the strength of our entry in the market. Buyers Power Buyers Power - Example How much power do your Buyers have over you ? Buyers power have no direct impact on our brand because company deals with them without an Intermediaries. Substitutes Threat Substitutes Threat - Example What products could your customers buy instead of yours? For our brand, company planned to invade the market that is through using differentiate strategy, this strategy eliminate the effect of the threat. Potential Entrants Threat Potential Entrants Threat- Example How easy is it for businesses to Enter Your Market? It is not a barrier especially in the agriculture field because the government pays special attention to this field in the economic development plans and encourage investors in this area. Competitive Rivalry Competitive Rivalry - Example How intense is your competition with your competitors? Your product is very competitive; Provide unique and different products. Ability to absorption strength of competitors. Create new and strong relationships with customers. use of new distribution channels. Thank You