The Marketing Concept Marketing Mix. What is “The Marketing Concept”? Satisfy customers’ needs...

The Marketing Concept

Marketing Mix

What is “The Marketing Concept”?

•Satisfy customers’ needs and wants

•Make a profit

What is a “Market”?

•All potential customers that share common needs and wants, and have the willingness and ability to buy the product

What is a “Customer Profile”?

•A complete “picture” of a prospective customer by combining geographic, demographic and psychographic data

DEMOGRAPHICS•Age•Ethnic background•Income•Family Life Cycle

– Single– Married– Married + Children– Divorced

Psychographics

•Lifestyle

•Hobbies

•Interests

•Attitudes

•Values

Target Market

• A specific group of consumers that an organization selects as the focus of its marketing efforts or Marketing MIX

Successful Targets Must (Be):

• Sizable

• Measurable

• Reachable

• Demonstrate Behavioral Variation

Targeting - Evaluating the various segments and selecting the one(s) that promises the best Return on Investment

MARKETING MIX(4 P’s of Marketing)

• PRODUCT

• PLACE

• PRICE

• PROMOTION

PRODUCT

• Relates to function of product planning

• What to make or sell

• When to make it or sell it

• How much to make or sell

• Level of quality

• Packaging/Brand/Label

PLACE

• Relates to the marketing function of distribution

• Direct or indirect distribution (use a middleman?)

• Where to sell?

• Level of intensity?

• Storage?

PRICE

•Pricing methods

•Pricing strategies

•Discounts?

•Competition?

•Profit margin desired?

PROMOTION

•Advertising

•Sales promotion

•Public relations/publicity

•Personal selling

•Visual merchandising

How is the Marketing Mix (4

P’s)

used in the Marketing Plan?

• Used to “position” a product in the minds of the consumer, and to relate the product to a particular market.

• This is called “target marketing”.

Class Exercise:

• Product

• Place

• Price

• Promotion