Marketing Environment Chapter 02 Mark rketi eting ng Environ - - PowerPoint PPT Presentation
Marketing Environment Chapter 02 Mark rketi eting ng Environ onme ment nt A companys marketing environment consists of the actors (people) and forces outside marketing that affect marketing managements ability to build and maintain
A company’s marketing environment consists of the actors (people) and forces outside marketing that affect marketing management’s ability to build and maintain successful relationships with target customers. (Philip Kotler -12th Edition)
Macro Environment
Micro Environment
Internal Environment
Marketing environment has 3 basic layers (levels) as shown below Forces
Political Economic Socio-cultural Technological Environmental Legal
Competitors Customers Intermediaries Suppliers Publics
To be successful, a marketer should monitor changes happening in the entire marketing environment Actors PESTEL factors
Marketing Mix is the set of controllable, tactical marketing tools that the firm blends to produce the response it wants in the target market. (Philip Kotler – 12th edition)
Marketing Mix/Tools
Product Price Place Promotion
Marketers need to
at right price in right channels (place) with right communication (promotion)
There are 4 tools Product Price Place Promotion
Marketing Mix/Tools
Product Price Place Promotion
They are also known as 4P’s
Marketing mix
Product Price Place Promotion People Process Physical Evidence
Applicable for Services
EXTENDED MARKETING MIX ELEMENTS
Seven P’s might be better described as the seven C’s: Producers View (7P’s)
Customers View (7C’s)
DEFINITION OF A PRODUCT
Anything that can be offered to a market for attention, acquisition, use or consumption that might satisfy a want
(Philip Kotler – 12th Edition)
Consumer Products
Industrial Products
These are relatively inexpensive and frequently purchased consumer
decision and convenience takes priority over brand loyalty.
These are less frequently purchased consumer products that customers compare carefully on suitability, quality, price and style. This sort of purchase is usually only made after a good deal of advance planning and shopping around.
These are consumer products with unique characteristics or brand identification for which a significant group of buyers are willing to make a special purchase effort.
consumer either does not know about or knows about but does not normally think of buying. Examples are life insurance, magazine subscriptions, encyclopedias, donations for charity and blood donations.
–Variety –Design –Quality –Features –Brand name –Packaging
product or service
characteristics absolutely necessary for it to function
and agree to when they purchase a product
Potential Augmented Expected Generic Core
related services that serve to differentiate the product from its competitors
undergo in the future
Price is the amount of money charged for a product or service, or the sum of all the values that consumers exchange for the benefit of having or using the product or service.
(Philip Kotler - 12th edition)
product/package it self
as: Rent, Fees, Premium, Tax, Salary, etc.
Customers are very sensitive towards price ‘Price’ brings revenue (cash) to companies Price is a reason for bargaining It is a weapon to compete Customers often equate with quality
PRICING STRATEGIES
DEMAND/MARKET BASED PRICING