1. Indicator 1.04 – Employ marketing
information to develop a marketing plan
2. THE MARKETING MIX REVIEW
Includes four basic
strategies called the 4
P’s or elements of P?
marketing. For each
strategy, decisions P?
have to be made for
each product the P?
business offers to
best reach their target
3. WHY ARE MARKETING
STRATEGIES IMPORTANT IN THE
Marketing plan is created with marketing
strategies for the marketing mix. Marketing
strategies are important because they are the
framework of conducting business. They
guide the allocation of a business’s resources.
It unites the marketing activities throughout
the business and everyone is on the same
page. Eliminates chaos and confusion.
4. What is a Market?
A market are those who have:
A need or desire, and
The ability to pay, and
The willingness to buy (soon)
5. MASS MARKETING
Mass Market is when the group is considered as
a whole with all the marketing activities; using a
single marketing plan.
Ex. Chewing gum & light bulbs
6. MASS MARKETING
Don’t have to pay for Diversity of the
the production of similar audience
products Unable to track return,
Can price and distribute low response rates
one type of product Nonpersonal
more easily than many Beliefs that everyone is
Can send one the same
promotional message to Low profit margins
Easier to manage, cost
Easy to set up.
7. WHAT IS A TARGET MARKET?
Identified segments of
the market that a
business wants to have
as their customers.
be, single mothers,
American Family, men
.vs. women, or college
example has wants and
needs that can be
targeted and utilized to
strategies to reach
8. TARGET MARKET
A target market are those who:
Are grouped within a market by what they have in
Are the customers the business seeks to attract
9. IMPORTANCE OF TARGET
A target market
represents the people
most likely to buy
what you sell. These
something in common
that solidifies their
desire for your
product or service.
And that something
from the market at
10. Importance of Target Markets
Every customer belongs to a number of markets
Customers are targeted in the consumer
market, and businesses are targeted in the
The same customer or business can be included
in more than one target market
Markets usually change over time
Market Segmentation Market segment is a
is the process of subgroup of a larger
dividing a larger market that share one
market into smaller or more
12. MARKET SEGMENTATION
Providing the More expensive,
products customers more difficult to
Effective Expensive to set up
communication Requires more
Higher response rate, marketing research
Repeat and loyal
13. WHY IS MARKET SEGMENTATION
BEING USED MORE?
Better matching of customer’s needs
Better profits & opportunities for growth
Target market communication
More businesses operating globally creates more
competition & greater market share via market
It is more efficient in the long run.
14. 4 TYPES OF MARKET
describe a population
as age, gender,
16. DEMOGRAPHIC Example:
Gender: indicates purchase preferences (female)
Origin or heritage: race, ethnicity, nationality
Social or economic status: education level,
occupation, income (Middle-Class)
Life stage: age, generation, marital status, family
life cycle, family size. (Teens)
Defined: Markets Characteristics reflect
divided by social and consumer buying
psychological behaviors. The
characteristics. characteristics are
(Lifestyles, morals, valu Interests, Habits, Activiti
es, & interests) es, Lifestyles, Opinions,
& Hobbies. These
reflect who your
Businesses that use
Marketing principles to
guide their decision
making must evaluate
and reevaluate their
customer’s wants and
needs continuously to
18. PSYCHOGRAPHIC Example:
It gives a clearer picture of customers’ needs and
wants based on personality and lifestyle.
Snowboarder: LOVES cold and outdoors, free-
spirited, not into authority, fun-loving, has lots of
19. GEOGRAPHIC SEGMENTATION
Markets divided by It is valuable
where the customer information because
lives. businesses can tailor
their product mix
based on location.
nations, states, region
s, counties, cities, or
20. GEOGRAPHIC Example:
Determine customers’ purchase preferences
according to climate, political boundaries, or
Where their markets are located
Who their competitors are
Which media will reach their customers
Businesses can market to customers based on
21. BEHAVORIAL SEGMENTATION
Segmenting a market Types of behavioral
base on the way segmentation:
customers use a Product Benefits
product or behave
toward a product.
(How a consumer Loyalty
responsdsto a Occasions
22. BEHAVORIAL Example:
Customer questions in behavioral marketing:
How will the product benefit me?
Am I ready to buy it?
When will I use the product/
On what occasions?
Am I in a comfortable buying pattern?
Do I feel loyal to a particular brand?
Choose a partner!
Cut out ads from magazines for 3 products of
Create a small poster with the products listing the
target market the product and ad are designed to
For EACH product – you need to identify the following
market segmentation for that product:
You may use the internet to research product