Marketing

Marketing
Marketing is...
‘The management process responsible for identifying,
anticipating and satisfying customer requirements
profitably’
Chartered Institute of Marketing

Market segmentation
Splitting up the market into groups of people with similar needs and characteristics
Products and marketing activities can be tailored to the needs the segments
Markets can be segmented by age, gender, lifestyle, income and geography

Market research
Market research is the process of collecting data about
customers and competitors.
There are two types of market research:
Primary research – gathering first hand data e.g. through questionnaires and focus groups
Secondary research – gathering existing data e.g. through trade journals and government statistics

Marketing mix
The marketing mix refers to the elements needed for effective marketing. It is often referred to as the Four Ps:
Product
Price
Promotion
Place

Product
‘Product’ refers to the functions and features of a good or service
Should satisfy the needs of the customer
May have a Unique Selling Proposition (USP)
‘Product’ also includes a range of factors such as packaging, quality, warranties, after-sales service and branding

Price
The price of a product will depend on:
The cost to make it
The amount of profit desired
Other objectives of the business
The price competitors charge
The price customers are willing to pay
Is there a high demand?
Is demand sensitive to changes in price?

Promotion
The aims of promotion are to:
Raise awareness
Encourage sales
Create or change a brand image
Maintain market share
Promotional activities include advertising, sales
promotion, sponsorship, public relations and
direct mail.