From Basic Marketing, Shapiro, Ninth Canadian Edition ppt slides created and Copyright by Tim...

From Basic Marketing, Shapiro, Ninth Canadian Edition ppt slides created and Copyright by Tim Richardson

Chapter 2

MKTG 106

Slide 1

NINTH Edition


Chapter 2

MKTG 106

Slide 2

NINTH Edition

Page 30


Chapter 2

MKTG 106

Slide 3

NINTH Edition

• The Marketing Management Process is1. Planning mktg activities2. Directing the implementation of the plans3. Controlling the plans - checking progress

some texts use P.O.D.C.

Planning, Organizing, Directing, Controlling

Page 49


Chapter 2

MKTG 106

Slide 4

NINTH Edition

• “...Planning Strategies to guide the whole firm is called STRATEGIC (Management) PLANNING…”page 31

• “...A Mktg Strategy specifies a target market and a related marketing mix…”

- mktg mix is the 4p’s


Chapter 2

MKTG 106

Slide 5

NINTH Edition

• On page 30 - 31 the text makes a lot of effort to explain that planning which specific customers you sell to (tarket market) and how you go about developing the plans to do that, is one of the many important fundamentals of marketing


Chapter 2

MKTG 106

Slide 6

NINTH Edition

• Target mktg does not mean SMALL - it means SPECIFIC

• Target mktg has 4ps specific

• Mass marketing is selling to everyone

• 4ps are general for the whole market

Page 32 in Shapiro


Chapter 2

MKTG 106

Slide 7

NINTH Edition

• MAIN REASON for Target mktg is to gain Competitive Advantage- by knowing something more specific about the customer you can make a better product that has more customer satisfaction

Page 32 in Shapiro


Chapter 2

MKTG 106

Slide 8

NINTH Edition

• Mass marketing is selling to everyone

• Mass marketers have target markets which are very large and spread out


Chapter 2

MKTG 106

Slide 9

NINTH EditionDeveloping Marketing Mixes for

Target Markets• “… many different features and quality

levels…”eg - peripherals- features- colours- shape- flavour- longevity

Page 32 in Shapiro

Eg. Leather daytimers


Chapter 2

MKTG 106

Slide 10

NINTH Edition

Page 33 in Shapiro


Chapter 2

MKTG 106

Slide 11

NINTH Edition

Product - (Chpt 9 and 10) the physical aspects of the product - making something people want to buy with the right attractive features

Place - (Chpt 11 & 12) distribution channels - getting it to the customer, middlemen and wholesalers, shipping costs

Promotion - (Chpt 14, 15 & 16) telling customers about the product, personal selling, mass selling, advertising, publicity, sales promotion

Price - (Chpt 17 & 18) pricing objectives, penetration pricing, skimming, profit oriented, discounts, competition’s price

Thoroughly read page 33-34


Chapter 2

MKTG 106

Slide 12

NINTH Edition

Therefore ----

once you understand the importance of the 4 p’s,,,,,

the rest of the book is essentially chapters explaining the 4 p’s in more detail ;-)


Chapter 2

MKTG 106

Slide 13

NINTH Edition

So, you take the 4 p’s (the mktg mix) and So, you take the 4 p’s (the mktg mix) and your selected target market and put your selected target market and put these together into your marketing these together into your marketing strategystrategy

Page 35


Chapter 2

MKTG 106

Slide 14

NINTH Edition

Your marketing strategy is only as good Your marketing strategy is only as good as your understanding of the target as your understanding of the target market - “… marketers must analyze market - “… marketers must analyze their potential target markets with great their potential target markets with great care…”care…”


Chapter 2

MKTG 106

Slide 15

NINTH Edition Marketing Plan

“the marketing plan fills out the marketing strategy

Page 36 in Shapiro


Chapter 2

MKTG 106

Slide 16

NINTH Edition Marketing Plan

• Def’n “… a written statement of a marketing strategy and the time-related details for carrying out the strategy…”

• “… Several plans make a whole marketing programme…”

• “… the marketing programme is in turn part of the firm’s whole company strategic plan…”

Page 36

Page 38


Chapter 2

MKTG 106

Slide 17

NINTH Edition Marketing Programme

• “… the marketing programme blends all of the firm’s marketing plans into one big plan …”

Page 57 in Shapiro

Look at diagram in Exhibit 2 - 7 on top of page 39


Chapter 2

MKTG 106

Slide 18

NINTH EditionThe Importance of Marketing

Strategy Planning

• If you have a good understanding of future trends, and if you are able to have better knowledge (than your competitor) about customer wants and needs, you can develop a new and better way to approach the market

Page 39


Chapter 2

MKTG 106

Slide 19

NINTH EditionThe Importance of Marketing

Strategy Planning

P. 40


Chapter 2

MKTG 106

Slide 20

NINTH Edition

strategic plan re: 4ps- what did they do?

• Price -offer watches for sale at low price

• Place -offer watches available at places other than traditional jewellery stores

• Product - change styling to be more fashionable

• Promotion - return to famous slogans

Page 40


Chapter 2

MKTG 106

Slide 21

NINTH Edition

What are some real-life attractive opportunities

now in

January 1999 ?


Chapter 2

MKTG 106

Slide 22

NINTH Edition

What are some real-life attractive opportunities right now in January 1999 ?

• Pocket pager w personal alarm, and lighter

• Pills to Eliminate eating (have more time for other stuff)

• Faster and more efficient medical diagnosis

• Illuminating Frisbee for pets

•“Beam me up to school Scotty”


Chapter 2

MKTG 106

Slide 23

NINTH Edition


• Lipstick tube w toothbrush/floss at other end

•satellite dish feeding different TVs

•Multi-head shower

•lollipop pen

•anti-fog glasses


Chapter 2

MKTG 106

Slide 24

NINTH Edition


• Bubble gum / 1 hr

•security tech affordable for household entry

•kinetic energy heat for da feet

•access/egress voice control for pets

•voice stress analysis, portable/concealable


Chapter 2

MKTG 106

Slide 25

NINTH Edition

What are some real-life attractive opportunities right

now in

September 1999 ?


Chapter 2

MKTG 106

Slide 26

NINTH Edition Competitive Advantage

• “every firm needs some competitive advantage”

• something you are really good at doing

• something that is better than your competition

• something which people want - so you can sell it without drastically having to lower the price

Page 45


Chapter 2

MKTG 106

Slide 27

NINTH Edition What are you going to do?

• “most people have unsatisfied needs - and alert marketers who see these needs find opportunities all around them” page 45

TranslationTranslation

• most people can’t get what they want !

• some smart people find out what you want !

• these smart people make a lot of $$ selling stuff to you !

• you buy this stuff which you never could get before !


Chapter 2

MKTG 106

Slide 28

NINTH Edition What are you going to do?

Types of Opportunities to Pursue

• Market Penetration page 45

• Market Development page 46

• Product Development page 47

• Diversification page 47


Chapter 2

MKTG 106

Slide 29

NINTH Edition

What are you going to do?Types of Opportunities to Pursue

Market PenetrationMarket Penetration page 45

• “… means trying to increase sales in present (or new) markets through a more aggressive marketing mix …”

• could be done by a low low price• could be totally new features on the product• could be allowing it to be bought over the net• could be by co-branding with another product• better promotion to attract competition’s customers


Chapter 2

MKTG 106

Slide 30

NINTH Edition


Market DevelopmentMarket Development page 46

• “… means trying to establish sales by selling present products in new markets …”

• could be done by using different media

• new channels of distribution (Place)

• new uses (Product) eg. Baking soda


Chapter 2

MKTG 106

Slide 31

NINTH Edition


Product DevelopmentProduct Development page 47

• “… means offering new or improved products for present markets …”

• could be done by modifying the product(product modification)

• add different levels of quality

• add more sizes, features, new versions


Chapter 2

MKTG 106

Slide 32

NINTH Edition Developing and Applying

Screening Criteria• SWOT page 48

• Strength

• Weakness

• Opportunities

• Threats

• ROI - Return on Investment


Chapter 2

MKTG 106

Slide 33

NINTH Edition


DiversificationDiversification page 47

• “… means moving into different lines of business …”

• means new products AND new markets• eg. McDonalds pizza, salad, TexMex• eg. Nike, watches• eg. Mercedes SUV• eg. Calvin Klein, clothing to fragrances• eg. Jeep, mountain bikes


Chapter 2

MKTG 106

Slide 34

NINTH Edition


International OpportunitiesInternational Opportunities page 52

• “… national boundaries no longer limit market opportunities …”

• if you are competitive, and if transportation costs are not too high, then you should “go for it”

• niche market is key if you have a unique product

From Basic Marketing, Shapiro, Ninth Canadian Edition ppt slides created and Copyright by Tim...

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