REVIEWWHAT IS THE MARKETING CONCEPT?

Businesses should strive to satisfy customers while making a profit.

WHAT IS A TARGET MARKET?

A group of people identified as the most likely to become customers – specifically classified by wants/needs and other segmentation factors.

TODAY’S OBJECTIVES Describe the elements

of the marketing mix. Explain the impact of

electronic commerce on business and marketing.

THE MARKETING MIX

THINK ABOUT IT Have you ever

made a batch of brownies?

What ingredients do you need?

What happens if one of the ingredients is missing?

THE MARKETING MIX The marketing mix includes the

tools that markets use / control in order to influence potential customers in a target market.

It is also known as the 4 P’s. Decisions made about the 4 P’s

are based on the people marketers want to win over and make into customers.

Marketers must first clearly define each target market before they can develop their marketing strategies (the 4 P’s).

Without a solid mix of marketing strategies, a product is not likely to succeed in the marketplace.

THE MARKETING MIX

1.Product2.Place3.Price4.Promotion

Because of the importance of customers, some marketers add a 5th “P” to the mix.

PEOPLE

WHAT’S THE DIFFERENCE?

MARKETING FUNCTIONS MARKETING MIX

Financing, Product Planning, Marketing Research, Pricing, Channel Management, Promotion, Selling

Functions pertain to the business as a whole.

Product, Place, Price, Promotion, People

Mix applies to a specific target market.

Marketing Functions Market Segmentation Target Market Marketing Mix

PRODUCT Refers to tangible, physical characteristic or features of a product / service

Examples include:Brand nameQualityPackagingAccessories / services

PLACE Is about

getting the products to the customer

Also referred to as distribution

Examples include:Specific storesDistribution

channelsTransportationOrder

Processing

PRICE What is

exchanged for the product

Should reflect what customers are willing & able to pay (demand)

Examples include:Pricing strategySuggested

retail priceSeasonal

pricingBundling

PROMOTION Communication of information

Refers to activities related to advertising, personal selling, sales promotion, and publicity

PEOPLE Usually refers to a defined target market

Examples include:Health-conscious women

Active teenagers

Young professionals

MARKETING MIX ASSIGNMENT

ProductCookies & Cream Poptarts

easy to take on the goOther flavors available

Eat cold or toast it

PlaceGrocery stores everywhere!

Price

$2.99 per box

Compare with:Toaster Strudels

Granola Bars

Promotion

TV Commercials on Nick & Cartoon Network

PEOPLEschool-age

children