{"id":509,"date":"2015-04-21T22:43:45","date_gmt":"2015-04-21T22:43:45","guid":{"rendered":"https:\/\/courses.candelalearning.com\/masterybusiness1xngcxmaster\/?post_type=chapter&p=509"},"modified":"2015-07-12T15:54:22","modified_gmt":"2015-07-12T15:54:22","slug":"putting-it-together-13","status":"publish","type":"chapter","link":"https:\/\/courses.lumenlearning.com\/clinton-introbusinesswmopen\/chapter\/putting-it-together-13\/","title":{"raw":"Putting It Together: Marketing","rendered":"Putting It Together: Marketing"},"content":{"raw":"

Summary<\/h2>\r\nThis module covered the\u00a0marketing function and its role in contributing to the success of a business. Below is a summary of the topics covered in this module.\r\n

What Is Marketing?<\/h3>\r\nWe define marketing as a set activities that a business undertakes in order to create an exchange between businesses and customers. In short, they are activities that create value in order to persuade customers to exchange their money for the product, good, or service.\r\n

The Four Ps of\u00a0Marketing<\/h3>\r\nThe marketing mix contains\u00a0four components, which are referred to as the four Ps: product, price, place, and promotion.\r\n

External Marketing Environment\u00a0<\/strong><\/h3>\r\nWhen businesses send a product, good, or service out into the market they have controlled what they send, how they send it, what they charge, and how they will promote it to consumers. What they cannot control is the market environment. Factors such as the state of the economy, changing technologies, cultural and social norms, the legal and regulatory environment, and competition make up the external marketing environment.\r\n

Market Research<\/h3>\r\nThe ultimate goal of market research is for companies to understand who their customers are and what they want. Using\u00a0a six-step approach, the company\u00a0can\u00a0create a report that enables it to\u00a0make informed decisions about products, goods, and services.\r\n

The Marketing Plan<\/h3>\r\nOnce a company has determined its\u00a0objectives and the strategies needed\u00a0to achieve those objectives, it\u00a0crafts a marketing plan to\u00a0execute against\u00a0those\u00a0strategies.\r\n

Branding<\/h3>\r\nBranding is the most recognizable part\u00a0of the marketing mix. A brand can be a mix of words, colors, symbols, or any other feature that distinguishes one product from another. Brands create value for the company, and if the brand is successful it will create brand loyalty among consumers.\r\n

Pricing<\/h3>\r\nThere are many strategies that companies can use to price their products. Penetration, skimming, odd pricing, everyday low prices, high\/low, and cost-plus are just some of the strategies companies can adopt to achieve their\u00a0financial goals.\r\n

Distribution<\/h3>\r\nHow companies get their products into the hands of consumers represents the \"place\" component of the \u00a0four Ps. Companies can choose\u00a0a direct, indirect, or speciality approach to product distribution.\r\n

Promotion<\/h3>\r\nThe promotion of a product can be a complex and broad set of activities that range from loyalty programs, coupons, celebrity endorsement, event sponsorship, sales, and discounts. How a product, good, or service is promoted to consumers is driven by the target market and the characteristics of potential buyers.\r\n

Social Media Marketing<\/h3>\r\nThe Internet and advances in mobile technologies have resulted in an\u00a0explosion of social media such as Twitter, Facebook, and Linkd-In. Today companies are using social media as an integral part of their marketing activities and as a way of capturing real-time information about consumer behavior.\r\n

Synthesis<\/h2>\r\nOn February 1, 2015, a notable\u00a0event occurred in the history of television: 114.5 million Americans\u00a0watched a football game on TV, making it the most watched television program in U.S. history.\u00a0Are there really 114.5 million football fans in the United States? Probably not. Why did so many people watch?\u00a0Answer: the commercials!\u00a0<\/em>\r\n\r\nAdvertisers paid $4.5 million for 30 seconds of commercial airtime during\u00a0this event. That works out to $150,000 per second. What were those\u00a0companies doing when they made the decision to spend so much\u00a0money? Marketing!\r\n\r\nThis is of course an\u00a0extreme example of marketing in action, but if you begin to look closely at the world around you, you'll\u00a0find that companies' marketing efforts are everywhere. Why do you shop where you shop? Are you a Coke or a Pepsi drinker? Do you only purchase items when they are on sale? Is your keychain (real or virtual) full of customer-loyalty cards? Marketing efforts are at work\u00a0practically every\u00a0time a customer perceives the value of a product or service and decides to swap some hard-earned money for it. Such\u00a0marketing triumphs\u00a0are just not the happy result\u00a0of arbitrary circumstances, though\u2014they're the product\u00a0of strategic planning and research. Understanding how marketing efforts are created\u00a0and conducted can help you\u00a0be a better-informed consumer of products, goods, services, and information.","rendered":"

Summary<\/h2>\n

This module covered the\u00a0marketing function and its role in contributing to the success of a business. Below is a summary of the topics covered in this module.<\/p>\n

What Is Marketing?<\/h3>\n

We define marketing as a set activities that a business undertakes in order to create an exchange between businesses and customers. In short, they are activities that create value in order to persuade customers to exchange their money for the product, good, or service.<\/p>\n

The Four Ps of\u00a0Marketing<\/h3>\n

The marketing mix contains\u00a0four components, which are referred to as the four Ps: product, price, place, and promotion.<\/p>\n

External Marketing Environment\u00a0<\/strong><\/h3>\n

When businesses send a product, good, or service out into the market they have controlled what they send, how they send it, what they charge, and how they will promote it to consumers. What they cannot control is the market environment. Factors such as the state of the economy, changing technologies, cultural and social norms, the legal and regulatory environment, and competition make up the external marketing environment.<\/p>\n

Market Research<\/h3>\n

The ultimate goal of market research is for companies to understand who their customers are and what they want. Using\u00a0a six-step approach, the company\u00a0can\u00a0create a report that enables it to\u00a0make informed decisions about products, goods, and services.<\/p>\n

The Marketing Plan<\/h3>\n

Once a company has determined its\u00a0objectives and the strategies needed\u00a0to achieve those objectives, it\u00a0crafts a marketing plan to\u00a0execute against\u00a0those\u00a0strategies.<\/p>\n

Branding<\/h3>\n

Branding is the most recognizable part\u00a0of the marketing mix. A brand can be a mix of words, colors, symbols, or any other feature that distinguishes one product from another. Brands create value for the company, and if the brand is successful it will create brand loyalty among consumers.<\/p>\n

Pricing<\/h3>\n

There are many strategies that companies can use to price their products. Penetration, skimming, odd pricing, everyday low prices, high\/low, and cost-plus are just some of the strategies companies can adopt to achieve their\u00a0financial goals.<\/p>\n

Distribution<\/h3>\n

How companies get their products into the hands of consumers represents the “place” component of the \u00a0four Ps. Companies can choose\u00a0a direct, indirect, or speciality approach to product distribution.<\/p>\n

Promotion<\/h3>\n

The promotion of a product can be a complex and broad set of activities that range from loyalty programs, coupons, celebrity endorsement, event sponsorship, sales, and discounts. How a product, good, or service is promoted to consumers is driven by the target market and the characteristics of potential buyers.<\/p>\n

Social Media Marketing<\/h3>\n

The Internet and advances in mobile technologies have resulted in an\u00a0explosion of social media such as Twitter, Facebook, and Linkd-In. Today companies are using social media as an integral part of their marketing activities and as a way of capturing real-time information about consumer behavior.<\/p>\n

Synthesis<\/h2>\n

On February 1, 2015, a notable\u00a0event occurred in the history of television: 114.5 million Americans\u00a0watched a football game on TV, making it the most watched television program in U.S. history.\u00a0Are there really 114.5 million football fans in the United States? Probably not. Why did so many people watch?\u00a0Answer: the commercials!\u00a0<\/em><\/p>\n

Advertisers paid $4.5 million for 30 seconds of commercial airtime during\u00a0this event. That works out to $150,000 per second. What were those\u00a0companies doing when they made the decision to spend so much\u00a0money? Marketing!<\/p>\n

This is of course an\u00a0extreme example of marketing in action, but if you begin to look closely at the world around you, you’ll\u00a0find that companies’ marketing efforts are everywhere. Why do you shop where you shop? Are you a Coke or a Pepsi drinker? Do you only purchase items when they are on sale? Is your keychain (real or virtual) full of customer-loyalty cards? Marketing efforts are at work\u00a0practically every\u00a0time a customer perceives the value of a product or service and decides to swap some hard-earned money for it. Such\u00a0marketing triumphs\u00a0are just not the happy result\u00a0of arbitrary circumstances, though\u2014they’re the product\u00a0of strategic planning and research. Understanding how marketing efforts are created\u00a0and conducted can help you\u00a0be a better-informed consumer of products, goods, services, and information.<\/p>\n\n\t\t\t

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