Upgrade to Pro — share decks privately, control downloads, hide ads and more …

Introduction to business: marketing

Ted Major
March 10, 2016

Introduction to business: marketing

CC-BY-SA

Ted Major

March 10, 2016
Tweet

More Decks by Ted Major

Other Decks in Education

Transcript

  1. Marketing
    cc licensed ( BY NC SD ) flickr photo by TF28 ❘ tfaltings.de: http://flic.kr/p/8R1gEq

    View full-size slide

  2. Quiz
    • Closed book/closed notes
    • Put away phones until quiz is over
    • You may collaborate with your team
    • You are responsible for the answers on your
    quiz
    • You do not have to choose the same answers
    as your team

    View full-size slide

  3. In your notes, write the first word that
    comes to mind:

    View full-size slide

  4. Four P's
    • Product
    • Price
    • Place
    • Promotion

    View full-size slide

  5. What is marketing?

    View full-size slide

  6. Marketing
    creating, communicating, and delivering
    value to customers

    View full-size slide

  7. cc licensed ( BY NC ND ) flickr photo by imagematters1:
    http://flic.kr/p/2cDA5w

    View full-size slide

  8. Product <-> Something of Value
    • Product?
    –Goods
    –Services
    • Value?
    –Money
    –Something else?

    View full-size slide

  9. Something of value?

    View full-size slide

  10. Value of personal information
    • Address; $.50
    • Zip: $.50
    • Education: $12.00
    • DOB: $2.00
    • Employment: $13.00
    • Phone: $.25
    • Unlisted: $17.50
    • Cell: $10.00
    http://www.turbulence.org/Works/swipe/calculator.html

    View full-size slide

  11. cc licensed ( BY ) flickr photo by Slideshow Bruce: http://flic.kr/p/74JKE2

    View full-size slide

  12. cc licensed ( BY NC ND ) flickr photo by Daniel Pouliot: http://flic.kr/p/6JyKDJ

    View full-size slide

  13. Utility = usefulness
    • Form
    • Place
    • Time
    • Possession

    View full-size slide

  14. Transactions -> Relationships
    • Why?
    • New customers cost more than old
    –5-10x, Sears study found 12x

    View full-size slide

  15. Customer lifetime value
    • Value of long-term business from customer
    • Taco Bell?
    • $12,000
    • Starbucks?
    • $14,000
    • Publix?
    • $75,000
    • Lexus?
    • $600,000

    View full-size slide

  16. Customer Equity
    • combined customer lifetime values of all
    customers

    View full-size slide

  17. cc licensed ( BY NC SD ) flickr photo by mliu92: http://flic.kr/p/9NHpEK

    View full-size slide

  18. Cadillac v. BWM
    • 1976: Cadillac had 52% luxury market
    share
    –Poor customer equity
    • BMW: lower market share
    –higher customer equity

    View full-size slide

  19. cc licensed ( BY NC ND ) flickr photo by Motovique: http://flic.kr/p/b34us4

    View full-size slide

  20. Customer Equity
    • BWM now #1 luxury brand, ahead of
    Mercedes-Benz
    • Cadillac market share dropped to 8%

    View full-size slide

  21. cc licensed ( BY ) flickr photo by comedy_nose:
    http://flic.kr/p/cZ1ZWS
    Target marketing

    View full-size slide

  22. The market
    cc licensed ( BY ) flickr photo by Muffet: http://flic.kr/p/adCYv

    View full-size slide

  23. Market segmentation
    cc licensed ( BY ) flickr photo by Muffet: http://flic.kr/p/af7Vr

    View full-size slide

  24. Target marketing
    cc licensed ( BY NC ) flickr photo by
    presta: http://flic.kr/p/6838Fd

    View full-size slide

  25. Segmentation methods
    • Demographic
    • Geographic
    • Psychographic
    • Behavioral

    View full-size slide

  26. Marketing Mix
    • Four P's:
    • Product
    • Price
    • Place
    • Promotion

    View full-size slide

  27. Marketing research
    • Market?
    • Primary data
    • Secondary data

    View full-size slide

  28. Primary data
    • Observation
    • Surveys
    • Interviews
    • Focus groups
    • Experiments
    –Cherry Vanilla Dr. Pepper: 61 formulas,
    3904 tastings
    –Frito Lay chips: 4-psi breaking strength

    View full-size slide

  29. Primary data
    • Advantages?
    –Recent
    –Relevant
    –Proprietary
    • Disadvantages?
    –Expensive
    –Time to design/collect
    –Expertise in research design/analysis?

    View full-size slide

  30. Secondary data
    • Already-existing information
    • Census
    • CIA World factbook

    View full-size slide

  31. Secondary data
    • Advantages?
    –Fast
    –Inexpensive
    –Professional design/analysis
    • Disadvantages
    –May be out of date
    –May ask wrong questions
    –No competitive advantage

    View full-size slide