marketing malpractices

MARKETING MALPRACTICES

Lovepreet singh 15030241171Div: D

Broken paradigm of marketing

• Approx 30,000 new products are launched in Market every day.

• But over 90% of them fail—and that’s after marketing professionals have spent massive amounts of money trying to understand what their customers want. 

Products failure in market• Is it that market researchers aren’t smart

enough?

• That advertising agencies aren’t creative enough?

• That consumers have become too difficult to understand?

• We don’t think so.

Products failure in marketThen why product fails

Main reason is some of the fundamental paradigms of marketing such as

• SEGMENT MARKETS

• BUILD CUSTOMERS

• UDERSTANDING CUSTOMERS

are MALFUNCTIONING.

Problems with segmentation of Market according customer type.

• Segmentation of market by type of customer is no better.

• The problem is that customers don’t conform their desires to match those of the average consumer in their demographic segment.

• Demographic segmentation gives us average customer needs , hence company on the basis of this average needs can’t determine need of individual customers therefore this method fails.

A better way to think about market segmentation

• The structure of a market, seen from the customers’ point of view, is very simple: They just need to get things done.

• The marketer’s task is therefore to understand what jobs periodically arise in customers lives for which they might hire products the company could make.

• For example company who provides IT products & services uses best Security Software to secure their data, so they could deliver their products and services in uninterrupted manner

Designing Products That Do the JobEvery Job which People wants to do has a :

• Social

• Functional

• emotional dimension.

If marketers understand each of these dimensions, then they can design a product that’s precisely targeted to the job

In other words, the job, not the customer, is the fundamental unit of analysis for a marketer who hopes to develop products that customers will buy.

BEST EXAMPLES OF COMPANY WHO FOCUS ON PRODUCTS THAT DO JOB.

PURPOSE BRANDSometimes, the discovery that one needs to get a job done is conscious, rational, and explicit.

At other times, the job is so much a part of a routine that customers aren’t really consciously aware of it.

 Either way, if consumers are lucky, when they discover the job they need to do, a branded product will exist that is perfectly and unambiguously suited to do it. 

We call the brand of a product that is tightly associated with the job for which it is meant to be hired a purpose brand.

Example of Purpose Brand

PURPOSE OF BRAND FED-EXI-need-to-send-this-from-here-to-there-with-perfect-certainty-as-fast-as-possible job.

Role of Advertising• Much advertising is wasted in the mistaken

belief that it alone can build brands.

• Advertising cannot build brands, but it can tell people about an existing branded product’s ability to do a job well.

• Thus Advertise Product after building it according to jobs of customer.

Role of Advertising

The fact is that most great brands were built before their owners started advertising. Think of Disney, Harley-Davidson, eBay, and Google.

Extending—Or Destroying—Brand Equity

THANK YOU !!!