WEEK 6

MKT 365

TOPICS

• Positioning statements for value

• Understanding the role of wants/needs, features and benefits in creating value

10 STEPS1. Conceptualize

2. Situational Analysis

3. Target Audience

4. Behavioral objectives and goals

5. Barriers, Benefits and Competition

6. Positioning Statement

7. Marketing Mix (4 p’s)

8. Monitoring and Evaluating

9. Budget

10.Implementation

STEP 6: POSITIONING

• Positioning is all about making the targeted behavior appear attractive or better than the alternative/competition

• Best way: Value-centered

• What is value?

• What is value generally: How do most people define/perceive value?

• How do marketing professionals define/perceive value?

• Take 10 minutes with your group to come up with a definition of value. Write it on the blackboard.

DEFINE VALUE

VALUE

Value is the customer’s perception of the difference between benefits of an offering and the costs. It can be measured like this:

Value=Benefits-Costs

It is also the the measure of how much an offering is capable of meeting a customer’s stated needs with features that provide unique benefits. It can be measured like this:

Value=Needs+Benefits/Features

CRITICAL TO VALUE IS THE NOTION THAT FEATURES PROVIDE BENEFIT THAT MEET NEEDS

• What features’ benefits come from this offering?

• Is the provider uniquely capable of delivering those features’ benefits?

• Do the benefits match the target audience’s needs?

• Value is created when target audience needs (wants are just weaker needs) are met by (ideally) a unique benefit.

• Why unique?

• Focused on the customer and their needs

• Gives customers a specific reason to act normally in a way that is premised upon self-interest even if that self-interest is social good

• Gives customers a reason to choose an offering over the competition

• Customer is of primary importance, not features, price or product

THE BEST MARKETING IS BENEFIT DRIVEN

NEEDS ARE MET BY BENEFITS AND FEATURES AND DIRECTED TO TARGET AUDIENCES (NOT EVERYONE!)

NEED

• Utility/purpose

• Psychological/psychographic

• Social and/or individual

FEATURE/BENEFIT

• Feature works in a certain way

• Feature provokes a specific feeling

• Feature provides a shared good instead of, or in addition to. an individual one

BENEFITS CAN BE IMPLIED OR REAL

IMPLIED

• Symbolic

• Representative

• Idealized

• Figurative

REAL

• Concrete

• Specific

• Articulated

• Literal

• Feature?

• Benefit?

• And to whom is it a benefit directed?

• Their need?

• Value?

EXAMPLE 1

• Feature?

• Benefit?

• Target audience?

• Need?

• Value?

EXAMPLE 2

• Feature?

• Benefit?

• Target audience?

• Need?

• Value?

EXAMPLE 3

• Feature?

• Benefit?

• Target audience?

• Need?

• Value?

EXAMPLE 4

• Feature?

• Benefit?

• Target audience?

• Need?

• Value?

EXAMPLE 5

• Feature?

• Benefit?

• Target Audience?

• Need?

• Value

EXAMPLE 6

• Feature?

• Benefit?

• Target audience?

• Need

• Value?

EXAMPLE 7

• Feature?

• Benefit?

• Target audience?

• Need?

• Value?

EXAMPLE 8

• Feature?

• Benefit?

• Target audience?

• Need?

• Value?

EXAMPLE 9

• Feature?

• Benefit?

• Target Audience?

• Need?

• Value?

EXAMPLE 10

• Feature?

• Benefit?

• Target audience?

• Need?

• Value?

EXAMPLE 11

• Feature?

• Benefit?

• Target audience?

• Need?

• Value?

• Can every product, concept or service have value?

• What about when it is unknown (diffusion of innovation model?)

EXAMPLE 12

• What are the needs/ benefits? Take 15 minutes…

• Choose three brands you like/use/respect/admire

• Can you identify three compelling benefits based upon needs that come from the brands’ products/features that shape your perception?

• Think beyond features or specific products to benefits that meet needs of you as a consumer

BENEFITS ARE KEY!

HOW IS VALUE CONVEYED? STRATEGICALLY?

• Positioning

• Value propositions/statements

VALUE PROPOSITIONS/STATEMENTS/POSITIONING

Steps:

1. Know the customer (NEEDS)

2. Know the product/service or idea (FEATURES)

3. Why would the customer choose the product/service or idea (BENEFITS)

4. Combine features and benefits with needs in a concise, direct statement

EXAMPLE

• Categories/groups

• Three main groups:

• All benefits• Favorable points of interest• Resonating focus

• Lowe’s “Never stop improving”• Why? Answer from Lowe’s CEO

• In social marketing needs are based upon behaviors which in turn are based upon societal needs/wants and premised upon overall social good

• Benefits are positioned the same way (as well as individually focused)

• In community based social marketing the needs of the community and the benefit of the community is of primary importance

• Needs and benefits must strengthen/build communities

WHAT DOES THIS LOOK LIKE IN SOCIAL MARKETING?

• Pretty much the same! Value is derived from benefits

• Positioning becomes a little more complex since it can be based upon behavior, barriers and benefits

BEYOND THE OBVIOUS BIG DIFFERENCE…

• Useful but limited to increasing awareness

• No inherent value

• Example: 311 for carry-ons

BEHAVIOR FOCUSED POSITIONING

• Helps overcome fears or disinterest or misperceptions about time involved but limited; Again, no inherent value!

• Example: Recycling as easy as 1,2, 3

BARRIERS FOCUSED POSITIONING

• Strongest

• Value implied by benefits (social and/or individual)

• Basis for value propositions

BENEFITS FOCUSED POSITIONING

• Think of the behavioral change needs related to ending childhood obesity

• List three benefits of ending childhood obesity

• Thinking about those benefits, craft a value statement/positioning statement for parents to change their behaviors

CREATE ONE!

• Think about the negative behaviors related to gun violence (failure to lock guns, using large ammo clips, no background checks at gun shows etc.)

• What are the benefits to changing behaviors?

• Craft a value statement related to reducing gun violence

CREATE ANOTHER

• Behaviors needed to change texting and driving?

• Benefits of that change?

• Value statement

ONE MORE!

10 STEPS1. Conceptualize

2. Situational Analysis

3. Target Audience

4. Behavioral objectives and goals

5. Barriers, Benefits and Competition

6. Positioning Statement

7. Marketing Mix (4 p’s)

8. Monitoring and Evaluating

9. Budget

10.Implementation

NEXT WEEK (WEEK 7)…SOCIAL MARKETING MIX

• Product (Chapter 10)

• Price (Chapter 11)

• Place (Chapter 12)

• Community Analysis Presentations! Identify needs as part of your analysis…

REST OF THE QUARTER• Week 8: Community base social marketing mix: Promotion

(Chapters 13 & 14)

• Week 9: Managing community based social marketing plans including monitoring and evaluating, budgeting, implementation plans (Chapters 15, 16 & 17)

• Week 10: Community based social marketing plans and presentations

• Finals week: Final exam on chapters 9-17 (50 multiple choice questions, open book, collaborative etc)