Marketing Definitions.docx

DEFINITIONS Consumer behaviour : Consumer behaviour is a study of individual, group or organization and all the activities associated with the select, purchase, use and disposal of goods and services. Consumer behaviour is a study of how a individual consumer, group or organization select, buy, use and dispose ideas, good and service to satisfy their needs and wants. It refers to the actions of the consumer in the marketplace and the underlying motives for those actions. According to Engel, Blackwell, and Mansard, ‘consumer behaviour is the actions and decision processes of people who purchase goods and services for personal consumption’.

International Business :

MNC : Multinational Corporations (MNCs) or Transnational Corporation (TNC), or Multinational Enterprise (MNE) is a business unit which operates simultaneously in different countries of the world. In some cases the manufacturing unit may be in one country, while the marketing and investment may be in other country. In other cases all the business operations are carried out in different countries, with the strategic headquarters in any part the world. The MNCs are huge business organisations which extend their business operations beyond the country of origin through a network of industries and marketing operations. They are multi-process and multi-product enterprises. The few examples of MNCs, are, Sony of Japan, IBM of USA, Siemens of Germany, Videocon and ITC of India, etc.

Product & Brand management A product is the item offered for sale A product can be a service or an item. It can be physical or in virtual or cyber form. Every product is made at a cost and each is sold at a price. The price that can be charged depends on the market, the quality, the marketing and the segment that is targeted. Each product has a useful life after which it needs replacement, and a life cycle after which it has to be re-invented.

Product management can be defined as the general business structure within a company that supports and manages all the activities related to developing, marketing and selling a product – or even more than one – all through its lifecycle.

Business Portfolio Analysis is an organizational strategy formulation technique that is based on the philosophy that Organizations should develop strategy much as they handle investment portfolios

CRM CRM is business strategy that aims to understand, enhance and manage the needs of the organisation current and potential customer. CRM is a strategy for managing all the company’s relationship and interaction with your customer and potential customer. It help in improving your profitability CRM shift from traditional approach of retention of customer with addition to the acquisition of new customers CRM is concerned with the creation, development and enhancement of individualised customer relationships with carefully targeted customers and customer groups resulting in maximizing their total customer life-time value

Service Marketing defines services as - “Activities, benefits and satisfactions which are offered for sale or are provided in connection with the sale of goods.” Service is the economic activity offered by a business to its client. https://www.managementstudyguide.com/definition-and-characteristics-ofservices.htm

Definition - What does Dynamic Pricing mean? Dynamic pricing is a customer or user billing mode in which the price for a product frequently rotates based on market demand, growth and other trends. It enables setting a cost for software or Web-based product that is highly flexible in nature. Dynamic pricing is also known as real-time pricing.

Dynamic pricing is a pricing approach based on a flexible change in pricing strategies and tactics depending on various events on the market (prices, stocks, availability of goods at competitors’ shops), historical data (sales of goods at different periods), and retailer goals (profit, market share, the withdrawal of a new product, the sale of balances from a stock). https://www.techopedia.com/definition/29600/dynamic-pricing

service blueprint A service blueprint is an operational planning tool that provides guidance on how a service will be provided, specifying the physical evidence, staff actions, and support systems / infrastructure needed to deliver the serviceacross its different channels.

Sales Management Sales management is the process of developing a sales force, coordinating sales operations, and implementing sales techniques that allow a business to consistently hit, and even surpass, its sales targets. Sales management is the process of handling every aspects of sale’s team activities to ensure that every goals of company are met

Sales Organization – A structured group of individuals striving to reach quantitative and qualitative sales objectives and bearing formal and informal relations to one another

Sales forecasting is a projection in to the future of expected demand given a stated set of environmental conditions. 

It is not just an estimation of sales but also matching sales opportunities – actual and potential – with sales planning and procedures.

MARKET STRATEGY Marketing strategy is a long-term, forward-looking approach to planning with the fundamental goal achieving a sustainable competitive advantage.

Marketing highlight the role of marketing as the link between organisation and its customer. Marketing strategy is business overall game plan for reaching people and turning them into potential customer for the product and services that business provides. Marketing strategy is business overall game plan for reaching people and turning them into potential customer’s and providing them with product and services.

The marketing strategy of companies involves.     

Value proposition (innovation to product) Key marketing message Info on the target customer Other high level elements (STP) Information to marketing plans

Marketing Plan : A document that lay out type and timing of marketing activity. A marketing plan is a comprehensive document that outlines a company’s overall marketing effort. It is a blueprint that outlines how a company will implement its marketing strategy, and use a combination of resources to achieve business objectives including sales targets or customer acquisition.

Marketing strategy what goal you need to achieve & marketing plan is how you will achieve that goals.

Marketing plan involves : 1. Advertising 2. Branding

3. 4. 5. 6. 7.

Sales promotion Direct marketing Product placement Publicity Pricing

How to build a Marketing strategy: a) b) c) d)

Know your customer Research on your competitors Choose your channel Break down your sales funnel – AIDA model (Awareness , Interest , desire, Action) SMARTS – Specific , Measurable, Achievable or actionable, realist or relevant, time-bound

Process for Marketing strategy and marketing plan : 1. Conduct market research 2. Identify target market 3. Describe your product 4. Describe your competition 5. Write your mission statement 6. Finalise marketing strategy 7. Establish strategy for determining pricing, branding, positioning 8. Plan a budget 9. Establish quantifiable goals 10. Monitor results External influence on Pricing strategy :     

Competitors Customer Economic situation Government Suppliers

Competition :

   

Monopoly Perfect competition Oligopoly Monopolistic competition (sell product which is differentiated)

Pricing strategy : 1. 2. 3. 4. 5. 6. 7. 8.

Everyday low price Price skimming High & low pricing Loss Leadership pricing Penetration pricing strategy Psychological pricing strategy Prestige pricing Bundle pricing

Different communication method : Impersonal & Personal

NEW PRODUCT DEVELOPMENT It is the process of taking product and services from conception to the market

Process of NPD : 1. 2. 3. 4. 5. 6.

Idea generation Idea screening Concept development & testing Marketing strategy Business Analysis Product development

7. Test marketing 8. Commercialisation 9. Introduction

PEST Analysis :  Political factors – Government role in influence for your industry E.g. Election, taxation change, Rules and regulation etc  Economic factors - impact of current economy , exchange rate, globalisation impact  Social factors - Change in lifestyle, trend, buying pattern, religious beliefs, social attitude etc  Technological factors – impact due to change in advancement of technology. Swot Analysis :    

Strength - Internal Weakness - Internal Opportunities - External Threats – External

P-A-R-T-S Frame work :  Players – Competitors, suppliers & customer. Participant who take action and create value  Added value - players add value by high performance, reliable, timely, cost effective.  Rules - regulatory and legal entities set rules  Tactics - Methods a firm used to get better position  Scope - Boundaries of the game in the industry

PORTER’S FIVE FORCES ANALYSIS : a) Threat of New entrance b) Threat of substitute product or service c) Bargaining power of customer

d) Bargaining power of supplier e) Competitive Industry rivalry of Market Generic competitive strategy :  Cost Leadership - In cost leadership, a firm sets out to become the low cost producer in its industry., sources of cost advantage, Economy of scale  Differentiation - Firm seek to be unique in its industry. Uniqueness with premium price  Segmentation – Focus on specific segment

BRAND CULTURE : Organization – Google         

Google cafes Chief happiness officer Direct mails 20% projects FixIts Googlegeist Open innovations Closed innovation Children’s play ground

Lead users have self interest in solving a problem.

DISNEY : Omnichannel is a cross-channel content strategy that organizations use to improve their user experience. Rather than working in parallel, communication channels and their supporting resources are designed and orchestrated to cooperate.