Learning Intentions Understand the concept of marketing Know how to explain the marketing mix and advertising Value and be able to apply the marketing mix 3 3 04AFEF BEFORE WE BEGIN Do this exercise individually or in pairs Tick whether you agree or disagree with the statements Revisit it ID: 781889
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Slide1
Slide22
At the end of this unit I will:
Learning Intentions
Understand the concept of marketing
Know how to explain the marketing mix and advertising
Value and be able to apply the marketing mix
Slide33
3
Slide4#04AFEF
BEFORE WE BEGIN
Do this exercise individually or in pairs. Tick whether you agree or disagree with the statements. Revisit it after the unit to see if you have changed your mind about any of them.Before After
I agreeI disagreeStatementI agree
I disagreeA logo is a symbol that represents a company
Practicality is one of the 4Ps
Supplying free gifts is an example of sales promotion
A slogan is an official company description
Apple is a brand name
4
Slide5Websites
5
5
Wonderful
Worthwhile
Websites
www.thinkbusiness.ie
www.khanacademy.org
www.studententerprise.ie
Slide6Marketing
6
6
Marketing
involves identifying what the customer wants and promoting and selling the product/service so that the company makes a profit.
The business world is
highly competitive
Highlighting a small difference could make a product more attractive and increase sales
Marketing is central to any business plan
80/20 idea
– 80 per cent of sales come from 20 per cent of customers
Businesses should
target
their
important customers
Slide7The Marketing Mix
7
7
The
marketing mix
refers to the actions or tactics that a company uses promote its brand or product/service in the market.
1.
P
roduct
2.
P
rice
3.
P
lace
4.
P
romotion
A typical marketing mix is made up of what is known as the
4Ps
:
Slide8The Marketing Mix
8
8
The marketing mix is about having:
The right
product
(or service)
At the right
price
In the right
place
With the right
promotion
to sell it and make a profit
Slide99
Time to think
Think of what made you buy your mobile phone. Was it the features of the phone, the price, how the sales rep convinced you or perhaps a special offer like a free gift?
Did You Know?
The idea of the 4Ps was introduced in the 1960s. In recent years, people have extended the mix to include other Ps like
packaging
and
personnel
.
Slide10Product
10
10
Research
– there must be a customer demand for your product/service
Unique Selling Point (USP)
– stand out from the competition
Brand image
– develop an image for your brand
Packaging
– have eye catching packaging that also protects the product
Safety
– consider safety issues
Patent
– is your product a new invention that needs a patent?
Product Life Cycle
– understand where your product is in the product life cycle: introduction, growth, maturity, decline
The
product
is the item/service for sale.
Slide11Price
11
11
Choose the most
suitable price for the intended market
Cover costs
and have a profit margin
Profit margin
will depend on the
organisation
Take
competitors’ prices
into consideration
Price will depend on your
target market
New product
– low price to encourage sales or high price to create a superior image
Price
is the value placed on a product. This is usually what a customer is prepared to pay.
Different prices
may be charged – such as discounts, special offers, sales
Slide12Place
12
12
Place
refers to the point of sale. Identify your market and choose the most appropriate way to distribute your product, known as the
channel of distribution
.
Channels of Distribution
Producer
Consumer
Producer
Wholesaler
Retailer
Consumer
Producer
Retailer
Consumer
ProducerCatalogueConsumerProducerOnlineConsumer
Slide1313
Time to think
Have you ever bought online? Were you happy with the product/service?Will all retailers move to an online platform in the future?Why might more and more advertising be moving to an online/digital platform?
Slide14Promotion
14
14
Sales promotion
– using special offers to encourage customers to buy
Personal selling
– face to face or telemarketing
Public relations (PR)
– communicating with the media to get a positive public image
Celebrity endorsements
– using a famous person’s image to get the consumer to know and have confidence in the product
Promotion
is all about getting the attention of the customer so they know about the product/service.
Advertising
– sending messages to the consumer to get them to want to buy the product/service
Slide15Time to think
Why might a business have a brand name?
Promotion: Social Media
15
15
Social media
is a fantastic way to market products and services
It can be used to identify and to market to specific customer groups at very little cost
Slide164Ps
16
16
Slide1717
CHECKING IN
Name the 4Ps and give an example of each in action.
Copy and complete the star to demonstrate the marketing mix.
Slide18Read the case study on
pages 286 and 287
, then answer the questions:
How would you rate Ben's approach to the marketing mix?
18
CASE STUDY
THE MARKETING MIX FOR GREENGO
Based on your knowledge of the 4Ps is there any advice you would give him so that he remains close to his market?
Slide19Reviewing the Marketing Mix
19
19
Organisations must continually review the marketing mix to ensure that they remain close to their market.
They may need to:
Change prices
Adapt promotion
Update products/services
Slide20Advertising
20
20
Advertising is expensive and a cost in the business accounts
Some companies spend billions of euros on advertising, for example Apple, Coca-Cola, McDonald’s
Advertisers know people buy based on emotions
Advertising
is the paid promotion of a product or service with the aim of informing and influencing people about the product or service.
Slide21Advertising
21
21
Advertisers use interesting
techniques and language in their ads.TechniquesCatchy songs and phrasesAttractive
lifestyles
Use of celebrities
An air of authority
Language
Positive words
Sense
of urgency
Slogans
Slide2222
Time to think
Can you associate other products with slogans?Why do you think you remember these slogans?
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#04AFEF
WORKING WITH OTHERSWorking in pairs or small groups, source an advertisement. Has the advertiser used any of the techniques on page 288?Page 289
Be a Researcher
Find out the cost of a standard full-page advertisement in a national newspaper.
Download an ad from YouTube and list the advertising techniques used. Would the ad convince you to buy the product?
Slide24Reasons for Advertising
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Advertising communicates information about a product or service, with a view to persuading potential customers to buy the product or service.
Reasons for advertising –
AIDA
:
Advertising attracts
attention
It inspires
interest
It develops a
desire
It achieves
action
Slide25Types of Advertising
25
25
There are three types of advertising:
1.
Informative
– provides factual information.
2.
Persuasive
– aims to convince you that you need the product/service.
3.
Competitive
– shows that a particular brand is better.
Slide26Forms of Advertising
26
26
There are many forms of advertising:
Social media
Websites
Magazines
Newspapers
Shopping bags
Sponsorship
Television
Radio
Cinema
Billboards
Competitors
Slide27Forms of Advertising
27
27
The form of advertising you choose will depend on:
Media preferences of the
customers
The
type
of product/service
The
budget
If there is a need to
demonstrate
the product/service
If it needs to be advertised
locally or nationally
Slide2828
Time to think
What’s your favourite advertisement? Why?Identify a plus and a minus for each form of advertising listed on page 289.
Slide29Planning an Advertising Campaign
29
29
When planning an advertising promotion, it is important to:
Have clear
outcomes
or
intentions
Decide on a
budget
Choose an
appropriate form
of advertising
Decide whether to use an
advertising agency
or employ someone
Slide30Evaluate the Campaign
30
30
After the campaign,
evaluate to see:
What worked well?
What you would do differently?
How can you evaluate?
Determine if the campaign was cost-effective
Survey the public
Check whether sales have increased significantly
Ask employees for their opinions
Slide3131
CHECKING IN
Name three techniques used by advertisers to get our attention.
List the types of advertising and say why an organisation would choose each one.
What are the key elements in planning and evaluating an advertising campaign?
Time to think
How might a business advertise globally?
Slide3232
Quick Quiz
What are the 4Ps?
Product, Percentage, Price, Promotion
Product, Price, Packaging, Promotion
MARKETING MIX
2.8
Product, Price, Place, Promotion
Slide3333
Quick Quiz
What are the 4Ps?
Product, Percentage, Price, Promotion
Product, Price, Packaging, Promotion
MARKETING MIX
2.8
Product, Price, Place, Promotion
Slide3434
Quick Quiz
What are the 4Ps?
Product, Percentage, Price, Promotion
Product, Price, Packaging, Promotion
MARKETING MIX
2.8
Product, Price, Place, Promotion
Slide3535
Quick Quiz
What are the 4Ps?
Product, Percentage, Price, Promotion
Product, Price, Packaging, Promotion
MARKETING MIX
2.8
Product, Price, Place, Promotion
Slide3636
Quick Quiz: Review
The
4Ps
are:
Product
Price
Place
Promotion
MARKETING MIX
2.8
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Slide3838
4Ps
Advertising
Marketing
Marketing mix
Packaging
Place
Price
Product
Promotion
Public Relations (PR)
Sales promotion
Slogan