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Developing marketing Mix


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What is a marketing mix? What is the Promotion mix? What are communication objectives? What are communication mix stratergies?

What is a Product?
Types of Consumer Products
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GENERIC term that Includes

Convenience Shopping Specialty Unsought


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Goods Services Places Organizations People, etc..

Four Ps of Marketing

Marketing Mix

Product Price

Place

Target Market
Promotion

Elements of the MKG Mix that compose a cohesive MKG program Marketing manager Product Features Brand name Packaging Service Warranty Price List price Discounts Allowances Credit items Payment period Promotion Advertising Personal selling Sales promotion Publicity Place Outlets Channels Coverage Transportation Stock level Cohesive marketing mix Promotion Promotion Product Price Place Place .

The Promotional Mix PR Direct MKG Personal Selling Advertising Sales Promotion Product Place Price Advertising Strategies Promotion 4P’s (Distribution) Place .

Personal Selling Sales Promotion Short-term Incentives to Encourage Sales.The Marketing Communications Mix (Promotion Mix) Advertising Any Paid Form of Nonpersonal Presentation by an Identified Sponsor. Personal Presentations by a Firm’s Sales Force. Public Relations Direct Marketing Advertising Strategies . Direct Communications With Individuals to Obtain an Immediate Response. Building Good Relations with Various Publics by Obtaining Favorable Publicity.

Basic Communication Model Sender (Source) Message Channel (Medium ) Receiver (Consumer) Feedback Advertising Strategies .

What are the 4 main Communication Objectives?     I… P… R… C… .

Setting Communication Objectives Informative Advertising Inform Consumers or Build Primary Demand Persuasive Advertising Build Selective Demand Specific Communication Task Accomplished with a Specific Target Audience During a Specific Period of Time Advertising Objective Comparison Advertising Compares One Brand to Another Reminder Advertising Keeps Consumers Thinking About a Product .

and plan media selection Minimal advertising expenditures emphasizing low price to reduce inventory Advertising Strategies . create advertisements . trade advertising to introduce product Create product acceptance and brand preference if there are competitive products Extensive advertising expenditures emphasizing advantages of the product and brand Maturity Decline General promotion objective Maintain and enhance brand loyalty convert buyers and distributors of competitive brands Reminder and emotional advertising and promotions to promote repeat purchases and differentiate brands Minimal expenditures just enough to phase product out Advertising strategy Screen concepts.Changes in Advertising Objectives during the Product Life Cycle Sales Time PreIntroduction Define objectives and plan the promotional campaign Introduction Growth Develop product awareness. stimulate generic demand. and attract distributors primary demand advertising to get potential purchasers to try the product.

Communication Mix Strategies Strategy that Calls for Spending A Lot on Advertising and Consumer Promotion to Build Up (Pull) Consumer Demand. . Strategy Selected Depends on: Type of ProductMarket & Product Life-Cycle Stage Strategy that Calls for Using the Salesforce and Trade Promotion to Push the Product Through the Channels.

SWOT  What is a SWOT Analysis? .

5 Eyes Marketing Strategy Past Present Future Yourself Competitors .

.Situation Analysis S W O T Things the company does well. Things the company does not do well. Conditions in the external environment that do not relate to existing strengths or favor areas of current weakness. Conditions in the external environment that favor strengths.

… Identify opportunities outside the product/consumer level Threats: focus on specific competitors . EG. gaz prices. obesity rate. health consciousness. develop a market  • • development strategy based on the growing senior population Avoid basic opportunities: population growth. economic slow down.SWOT Do not limit the S and W to the Product Opportunities: • Do not describe what you will do.

Developing an Effective Marketing Program  Requires analyzing marketing problems/opportunities This analysis has 3 steps and is grounded in primary and secondary marketing research data Customer Analysis Competitive Analysis Opportunity Identification Analysis of Organization Capabilities 3 generic strategies for achieving a differential advantage over competitors are available:  •Product Differentiation •Overall Cost Leadership •Special Market Focus Offering Product Differentiation & Low Cost Once an opportunity has been identified marketing strategy must be developed .

Assessing competitor’s objectives. strategies.BENCHMARKING = Analyzing Competitors Identifying the company’s competitors  Assessment of strengths and weaknesses of competitors. and reaction patterns Selecting which competitors to attack or avoid . strengths and weaknesses.

Competitive Leadership Companies Gain Leadership Positions by Delivering Superior Value to their Customers Through These Strategies: Product Leadership Intel/Sony Operational Excellence Alaska Airlines/Dell Customer Intimacy Ikea/VW .

Competitive Marketing Strategies .

usually characterized by a specific target market and a marketing program to reach it. . Marketing tactics are detailed day-to-day operational decisions essential to the overall success of marketing strategies.Marketing Strategy and Tactics A marketing strategy is a means by which a marketing objective/goal is to be achieved.

Strategies Lead to Tactics Direct our promotion to males. Strategy Possible Tactics Advertise in magazines read by this group of people .. . Advertise on television programs watched by this group . ages 25 to 40 years old.

Strategic Roles of Most Successful New Products Strategic Role Defend market share position Establish foothold in new market Preempt market segment Maintain position as product innovator Exploit technology in new way Capitalize on distribution strengths Provide a cash generator Use excess or off-season capacity Percentage of responses 0 10% 20% 30% 40% 50% Externally driven Internally driven .

STP Segmentation Targeting & Positioning Market Segmentation Market Targeting Market Positioning .

Marketing Differentiation Strategy A Undifferentiated Marketing Company Marketing Mix Market B Concentrated Marketing Company Marketing Mix Target 1 Target 2 Target 3 C Differentiated Marketing Company Marketing Mix 1 Company Marketing Mix 2 Company Marketing Mix 3 Target 1 Target 2 Target 3 arketing strategies .

The Marketing process  CAMMIS Selling Concept Development Analysis of market opportunity Implementation Market Strategy Design Market testing .

Analyzing the market opportunity Understanding the mkt environment Understandin g consumer behavior Analyzing the mkt opportunity Identifying mkt segments Identifying target mkts .

Environmental factors Economic conditions Competition Technology Concept or an idea Demographic forces Social and cultural forces Political & legal forces .

Market stratergy design The next stage of CAMMIS involves designing and planning the marketing mix elements which are  Product  Price  Promotion  Place and  Positioning .

Most companies prefer to test mkt the marketing mix elements prior to launching in the product formally in the overall mkt. Test mktg is done in a smaller area which is representative of the larger mkt in terms of presence of the target segment. availability of the desired distribution system and the right media.  .Market testing  Marketing mix elements once designed need to be validated with the target segment.

then the company goes in for the last stage of CAMMIS.the implementation stage. In this the marketing plan is implemented with all departments coordinating their activities to work towards it.  .Implementation  Once the mkt testing is conducted and any changes required are made.

In Other words it is the blue print for all the mktg activities such as Marketing objectives Market segmentation Target segmentation Marketing mix startegies Communication mix strategies .Marketing Plan        Marketing plan is complete method of conceiving and defining all activities that are to be carried out to implement the marketing process.

MARKETING PLAN HELPS IN    Providing a focussed approach to all marketing activities Helps to monitor the product performance in the market as per the plan Giving guidelines to other departments in the organization such as sales. to coordinate their activities and resources for achieving the defined marketing objectives Marketing plans depending on the corporate requiremnts can be  short term (for the period of 1 year )  Long term (more than 1 year) . promotion and personnel. production.

 Marketing objectives of any organization are derived from the overall corporate objectives of the organization. plans its activities and sets its objectives in line with the corporate objectives Business strategic planning includes  Corporate mission  Corporate objectives  Corporate strategies  . including the marketing.Marketing objectives Marketing plan is an instrument thru which you can achieve your marketing objectives. In Effect. all departments.

3% of sales turnover to 8.to increase the gross margin by 5. attainable.Periodic reviews of the marketing goals and performance are known as marketing audits. personnel and safety. competition and marketing environment (SWOT) Marketing strategy -If the marketing objective describes what has to be achieved .) Marketing audit.then the marketing strategy details how the objectives are to be achieved.5% within the next six months.7 million in the next financial year . Marketing objectives. “Providing design      choice and value" Dressing the urban and modern women and meeting her daily needs” Corporate objectives -are broader and include all aspects of of the company’ s operations such as production. It involves a set of questions that are asked to determine the status of the firm in relation to its objectives. measurable .2% and to increase the share of sales via our corporate website from 4.Fashion marketing planning process    Mission statement. Marketing plan Implementation Evaluation & control . Specific and time oriented (Our aim is to increase sales turnover from $31. customers. written.3million to $ 35.Should be clear. as well as marketing objectives.“Providing fashionable evening wear and accessories”.

Behaviour     COMPITITOR PROFILING IV. IMPLEMENTATION PLAN • 4P’s . CUSTOMER PROFILING Geographic.that will be used to achieve the objectives .MKG PLAN   I. sales volume target mkt or market share V. Psychographic.used to achieve the objectives VI. Demographic. MACRO ENVIRONMENT ANALYSIS USING SWOT • Internal Analysis: Strengths & Weaknesses • External Analysis: Opportunities & Threats II. MARKETING OBJECTIVES • The goals to be achieved through the marketing plan in such areas as customer satisfaction. MARKETING STRATEGIES • Overall Strategies & STP .