8Marketing function 3.Facilitation 1. Exchange - Standardization and grading- Risk Taking- Financing- Marketing information and research1. Exchange- Buying- Selling2. Physical Distribution- Transportation- Storing
9The process of marketing a product Distributeproduct totarget marketAnalyzeneeds oftargetmarketResearchpotentialsales, profit,demand,buying powerCreatea productto satisfy needsPriceproduct to reachtarget marketProvide after- sales serviceIdentifypotentialtarget marketPromoteproduct to reachtarget marketCollectfeedback
10An organization develops a marketing strategy by 1. Selecting a target market2. Designing a marketing mix
111. Selecting a target market A group of potential customers with the authority, ability, and willingness to purchase a particular goods or service that satisfies their collective demand
122 Major markets Consumer market Industrial market Individuals who buy products for their personal use.Industrial marketBusinesses, government agencies, and other institutions that buy products to use either in their operations or in marketing other products.
132. Market Segmentation Identifying Target Markets Step 1: Identifying the Characteristics and Needs of the Market.Step:2 Analyzing the Potential of the market
14Identifying the Characteristics and Needs of the Market. Data on family income, race, sex, and ageBehavior pattern (e.g. amount of a specific product consumed, benefits wanted, brand loyalty)Psychological traits (e.g. personality characteristics, hobbies, lifestyle)Geographic location,climate,terrain
15Analyzing the Potential of the market 1. Sales potential2. Demand potential3. Buying power4. Profit potential
16Marketing Mix The effective meshing of product, price, promotion, and distribution strategies to achieve successProductTarget MarketPromotionPricePlace
17Products and Product Strategy The basic physical of fering and accompanying set of image and service features that seek to satisfy needs.
18Categories of Products Consumer productConvenience goodsShopping goodsSpecialty goods