HW1.0

1. What is Marketing? (Kotler’s Definition) Elaborate

Reference: http://www.youtube.com/watch?v=84PewDOi5AY

Synthesis: Dr. Philip Kotler, He define Marketing as the driver of the business strategy. Marketing is also the one of the product when driving a business. Marketing degenerated to one key function and that is promotion. In other words marketing has been marginalizing. Whenever you produce a product make sure it is a right product and right size. In Marketing it is the value on how to produce and what to produce to the satisfaction of the needs of people every day. For we know Marketing measures a profit of value and exchange that will make up and organization to have a stable business. In marketing it is a growing business so you will be able to search for target customers. This is an action in producing goods, selling and distribution of services. In other words, marketing is essential because it is a give and take action with customers. The video is well explained for many marketing students like me.

2. Enumerate and discuss the Goals of Marketing.

 Definition of Marketing Objectives, Goals, Strategies and Tactics

 What is the difference between a marketing goal, strategy or tactic for a marketing plan? Basic definitions of marketing terms are explained with examples.

Diane SeltzerDiane Seltzer

Diane is a branding, pr and social media marketer with experience ranging from advertising to corporate marketing and consulting, and found.

Defining Marketing Action Plan with Tactics A good marketing plan must clearly state the desired business goals and objectives and how marketing will support them. But marketers must first have a clear understanding of the difference between marketing goals, strategies and tactics to build a proper plan.

Marketing terminology is not interchangeable. There are clear definitions of each marketing term and how they should be utilized in a marketing plan.

 Definition of Marketing Objectives and Goals

The objectives and goals of a marketing plan should be closely aligned with the goals and objectives of a business. Marketing objectives and goals are very much interrelated but should have parts within a marketing plan. Well established objectives and goals will form the foundation of full marketing plan strategies and tactics.

 A marketing objective is a mission or purpose in which all marketing plans will be based upon. Objectives are actually broader in scope than goals. They may even be comprised of several different goals. Objectives are typically qualitative and are supported by more measurable qualitative goals.

Examples of marketing objectives for a business may include:

Become an industry leader in the XYZ market

Improve relationships with retail channels

Offer new products that demonstrate market innovation

Expand monthly subscriber program

A marketing goal is defined as a desired result or specific achievement. Typically a goal is a measurable result that is achieved through marketing objectives. Because goals are quantitative, a business can always clearly answer whether or not a marketing goal was met with a simple yes or no.

Examples of marketing goals for a business may include:

Increase sales revenue by 20%

Improve customer loyalty and retention by 10%

Launch three new product lines

Acquire 10,000 new monthly subscribers

Gain 5% market share

Marketing objectives should have a clearly stated timeframe for completion. An annual marketing plan for a new year should establish desired achievements for the year. In some cases there may be specific business quarters to achieve objectives and goals, such as “increase sales X% in Q1” or “launch one new product per business quarter”.

Marketing Plan Strategies and Tactics Defined

The strategies and tactics of a marketing plan are the direct plans and actions taken to achieve marketing objectives and goals.

 A marketing strategy is defined as your game plan to achieve your objectives. Strategies can be simply aligned to broader categories in a marketing plan, or they can be more formally aligned with the “4 P’s of marketing” in an overall marketing plan.

 The “4 P’s of marketing” include:

Product – your product(s) or servicesPrice – what you will charge for products or services and how you will charge

Promotion – how you will promote your products and services to customers

Place (or distribution) – how you will make your products or services available to customers

Each of the “4 P’s of marketing” includes a strategy. Examples of marketing strategies include:

Launch a product that solves customers’ XYZ problem

Promote product through local online advertising

Pricing discounts for long-term customers or subscriber programs

Make products available through well-branded affiliate programs

Tactics are defined as specific actions that will be taken in support of the marketing strategies. Tactics are closed related to implementation steps and should include details on timing and budget allocation.

Examples of tactics for business marketing plans include:

Run banner ads monthly on XYZ website

Send 10,000 direct mail pieces to existing customers in March

Create a monthly email newsletter to promote new products to customers

Set up a LinkedIn group as a social media public relations channel

Launch a telemarketing campaign in September to acquire 1,000 new customers

Establishing a marketing plan that starts with well defined marketing objectives, goals, strategies and tactics will keep a business focused on achieving results within a desired framework.

Source: Marketing, by Peter D. Bennett

 

Reference: https://suite.io/diane-seltzer/4p2z2h4

Synthesis: The goals in Marketing is the way of putting everything on it. Marketers should be focus to the tactics or techniques on how you drive a business in order to have sales. You have to capture and to be connected to the customers because one of these aspects will help you in your business strategy. All marketers should extent high level of effort because competition is over and over. Goals is an application for that you will be guided. Always remember that your product is marketable and meaningful and has a real value preposition. Goals must be aligned in all times so the effect will not be an error. As a marketers we have to be wise and mature enough in making decisions to be balance in allocation of plans. Questions of what, where and how can help you. The 4 p’s are the product, price, promotion and place to improve new developments in your business. My professors in business management always say to us the principles of SMART which are specific, measurable, achievable, realistic and time when doing a marketing plan to achieve it and to meet your expectations. 

 

3. Discuss the concept of customer value and its importance to successful marketing.

Customer Value. The Ultimate Path to The Best Strategies, Product & Services

What customers will buy at a profitable price is the one thing that can consistently help companies make the best choices about strategies, products and services.

 All strategies such as improving quality, enhancing service, lowering operating cost, changing distribution channels, altering the go to market approach, raising productivity through technology, discounting prices and so on depend on customer value. Why do strategies that are successful for some firms turn into abysmal failures for others? Why don’t some of the success principles espoused in countless books actually work all the time? Why does the opposite of these success practices yield good results sometimes? These supposed holy grails of success actually only work in certain situations and not others. What links them all together is customer value.

 

Customer Value versus price

The customer’s perceptions of value determine what they will buy, what they won’t buy, what they will pay a profitable price for, and what they won’t buy at any price. What customers will buy at a profitable price is the one thing that can consistently help companies make the best choices about strategies, products and services. When customer value drives strategy, firms can grow faster, generate higher profits and deliver better shareholder value.

Customer Value Lies Inside The Mind Of The Customer

Value lies inside the mind of the customer. It does not lie inside products, services, quality, excellence or strategy. That value drives every single decision to buy whether for consumers, business to business, non-profits, government, educational institutions or anything else that exists on this planet. What makes products, services and strategies successful comes down to how closely aligned they are with customer value.

If you look at any market through the eyes of its customers’ perceived value, you can figure out why certain strategies succeeded while others failed. You can see why a super quality approach worked for one firm and failed for another. You can understand why great service won the day for one firm and tanked another. You can understand why deep discounting of marginal quality products succeeds sometimes.

It’s all about what causes customers to make a decision to buy or not buy and how that changes with each offering. Examine this realistic snapshot of one persons approach toward buying a variety of products and services and you can see how customer value connects back to strategy

  • They buy a Lexus or BMW because they want the very best quality and reliability in their car not to mention the status. But they buy their suits at Men’s Warehouse because they don’t believe most people can tell the difference between their suits and the name brand ones. They turn around and buy the most expensive ties imaginable because they feel that makes an important statement. They get their haircut at the cheapest discount barber because one haircut is like another.
  • At the office, they buy the cheapest discount copy and laser printer paper because they think the name brands are a waste of money. They buy the best engineered and most expensive production equipment possible for the manufacturing floor then turn around and pay their people the lowest wages in their local area. To boost employee morale (which sags all too easily), they are always throwing company picnics, recognition and reward events, and offer free soft drinks.
  • At the super market, they buy the cheapest generic paper towels and only when they are on sale. They will fill their cart with all kinds of everyday products but bypass this certain brand of cheese they love because they can buy it at Wal-Mart for $2.00 less a pound. When their local market replaced their favorite brand of floss with another brand, they went on the internet to buy it. But for meats, fish and produce, they only buy at Whole Foods to get natural, organic products without pesticides or antibiotics even though they pay a lot more.

The apparent inconsistencies in these buying decisions are quite common. In fact, virtually everyone exhibits some type of inconsistency in their reasons for buying different products and services. Welcome to the world of Homo sapiens otherwise known as human beings and for the purposes of our discussion they are called customers. Our choices about what we will and won’t pay money for come down to what is important to us.

 What Customers Consider Important Drives Customer Value…And What You Should Offer

When quality or service is of the utmost importance, we will pay a premium for it. Where it’s not, we will bypass the premium offerings for something that’s good enough to meet our needs for the lowest price we can find. Sometimes, we are willing to accept inferior quality and poor service just to buy something at a rock bottom price. Literally, quality and service are unimportant to us for certain offerings. Depending on the mix of what is and what is not important to us, we will assign a value to everything we could buy. That becomes the value we place on that offering which determines the highest price we would ever pay for it. This is customer value in action.

If a company jumps on the service excellence band wagon which forces it to raise its prices to cover the additional cost, that strategy will only work if the customers in their market consider great service highly important. As the importance of service to them declines, they will pay less and less over the original price until there comes a point where they won’t pay one penny more for that special service no matter how much it has improved.

When you know how important or unimportant every single thing you could offer is to your customers, you can figure out what to offer and what to avoid. Let customer value drive your strategies and your offerings. The most successful companies deliver the value that customers are willing to pay a profitable price to receive. That allows you to deliver satisfying value to both your customers and your shareholders. Customer value is the only thing that can successfully link the customer, company and shareholder together.

 

Reference: http://www.firstconcepts.com/customer-value/

Synthesis: Relationship skill is more important in business because understanding relationship with the buyers or customers is the key to success. As Dr. Kotler’s advice to marketing that we should clarify what kind of marketing because marketing is a mansion with so many rooms. Thus, success starts with you. In Marketing, we should always keep in our mind that business failure does not change to have a possible outcomes. We have to engage at a target audience. Without a marketing plans your business will surely close. So we have to stand by our managerial skills and application.  Everyone of us wants to achieve our dreams especially in marketing principles we always want to see that our business will grow. Marketers should invest and maintain it to have sales. Business world is a boundary so you should be effective and efficient in some many ways for the best of your company. The image of the company will depend on production. Marketers will help people to satisfy the needs and wants of them because we have an unlimited want. In the future, I want to be a successful business woman also. 

 

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