Principles of MarketingChapter 2

The Marketing Environment

Principles of Marketing Chapter 2The Marketing Environment

Microenvironment

Macroenvironment

Consumer Markets

Business Market

Everybody has some marketing experience

The marketing environment is a set of forces that affects the ability to build and maintain successful relationships with customers

Goals

Concepts

Key words

Case Studies

Practical examples

Q&A

{ Commercial Break }

Last week review…

People need and/or want something

Marketers will charge them to fulfill that

People will be happy

Marketers will profit

Brand

Demand

Need

Utility

Value

Want

Promise

Capacity

Urgency

Satisfaction

Extra

Desire

Principles of MarketingChapter 2

The Marketing Environment

OK, We’re back

Principles of Marketing Chapter 2The Marketing Environment

Microenvironment

Macroenvironment

Consumer Markets

Business Market

Everybody has some marketing experience

The marketing environment is a set of forces that affects the ability to build and maintain successful relationships with customers

Goals

Concepts

Key words

Case Studies

Practical examples

Q&A

1. Understand the interaction between the market components

2. Differentiate Consumer Markets vs. Business Markets

3. Variables that affect the markets

Microenvironment

Macroenvironment

Consumer Markets

Business Market

Goals

Concepts

Key words

Case Studies

Practical examples

Q&A

Microenvironment consists of the actors close to the company that affect its ability to serve its customers, the company, suppliers, marketing intermediaries, customer markets, competitors, and publics

Principles of Marketing Chapter 2The Marketing Environment

Everybody has some marketing experience

The marketing environment is a set of forces that affects the ability to build and maintain successful relationships with customers

The forces inside the industry

Porter’s 5 Forces

Microenvironment

Principles of Marketing Chapter 2The Marketing Environment

The marketing environment is a set of forces that affects the ability to build and maintain successful relationships with customers

Bargaining power of suppliers

Threat ofNew

entrants

Threat ofSubstituteproducts

Bargaining power of

Customers

Competition

Microenvironment

Macroenvironment

Consumer Markets

Business Market

Goals

Concepts

Key words

Case Studies

Practical examples

Q&A

Principles of Marketing Chapter 2The Marketing Environment

Everybody has some marketing experience

The marketing environment is a set of forces that affects the ability to build and maintain successful relationships with customers

Principles of Marketing Chapter 2The Marketing Environment

The marketing environment is a set of forces that affects the ability to build and maintain successful relationships with customers

Top managementFinanceResearck & DevelopmentPurchasingOperationsAccounting

Resources providers

Help the company to promote, sell and distribute its products to final buyers.

Those companies or individuals offering the same

Any group that has an actual or potential interest in or impact on an organization’s ability to achieve its objectives. Financial publics, Media publics, Government publics, Citizen-action publics, Local publics, General public, Internal publics.

Our reason to exist

Microenvironment

Macroenvironment

Consumer Markets

Business Market

Goals

Concepts

Key words

Case Studies

Practical examples

Q&A

Principles of Marketing Chapter 2The Marketing Environment

Everybody has some marketing experience

The marketing environment is a set of forces that affects the ability to build and maintain successful relationships with customers

Crispin Porter + Bogusky

Superbowl disaster

Microenvironment

Macroenvironment

Consumer Markets

Business Market

Goals

Concepts

Key words

Case Studies

Practical examples

Q&A

Principles of Marketing Chapter 2The Marketing Environment

Everybody has some marketing experience

The marketing environment is a set of forces that affects the ability to build and maintain successful relationships with customers

Principles of Marketing Chapter 2The Marketing Environment

The marketing environment is a set of forces that affects the ability to build and maintain successful relationships with customers

human populations in terms of size, density, location, age, gender, race, occupation. Demographic trends include age, family structure, geographic population shifts, educational characteristics, and population diversity. consists of institutions and other forces that affect a society’s basic values, perceptions, and behaviors

factors that affect consumer purchasing power and spending patterns

involves the natural resources that are needed as inputs by marketers or that are affected by marketing activities. Shortages of raw materials

Increased pollution, Increase government intervention, Environmentally sustainable strategies.

Those business, products or individuals offering the same benefit.

consists of laws, government agencies, and pressure groups that influence or limit various organizations and individuals in a given society

Most dramatic force in changing the marketplace. Creates new products and opportunities.

The forces Outside the industry

Macroenvironment

Microenvironment

Macroenvironment

Consumer Markets

Business Market

Goals

Concepts

Key words

Case Studies

Practical examples

Q&A

Principles of Marketing Chapter 2The Marketing Environment

Everybody has some marketing experience

The marketing environment is a set of forces that affects the ability to build and maintain successful relationships with customers

From inventing the digital camera to being the last ones using it

Principles of Marketing Chapter 2The Marketing Environment

Microenvironment

Macroenvironment

Consumer Markets

Business Market

Everybody has some marketing experience

The marketing environment is a set of forces that affects the ability to build and maintain successful relationships with customers

Goals

Concepts

Key words

Case Studies

Practical examples

Q&A

Consumer market consists of those who buy finished products and services. The end user. The buying decision maker.

Principles of Marketing Chapter 2The Marketing Environment

Microenvironment

Macroenvironment

Consumer Markets

Business Market

Everybody has some marketing experience

The marketing environment is a set of forces that affects the ability to build and maintain successful relationships with customers

Goals

Concepts

Key words

Case Studies

Practical examples

Q&A

Supply

Surplus

Buying power

Segmentation.The consumer market can be split into age groups, ethnic group, or buying habits. Each group has needs that can be identified.

Reach. Common media modes are television, Internet, or print. A business owner can determine the best mix of media for reaching his market by determining how the target consumer receives his daily news or what magazines the consumer is likely to read.

B2C

Principles of Marketing Chapter 2The Marketing Environment

Microenvironment

Macroenvironment

Consumer Markets

Business Market

Everybody has some marketing experience

The marketing environment is a set of forces that affects the ability to build and maintain successful relationships with customers

Goals

Concepts

Key words

Case Studies

Practical examples

Q&A

Services

Soft goods

Consumer durables

Fast-moving common

goods

4 Types of Consumer

Products

$

$$$ $$$$

$$

{ Commercial Break }

This time is for real…

Who needs what kind of advertising…

How do I position a brand…

Would Bentley advertise in direct mail in buildings that belong to Plan 8…

Would Plan 8 be offered at the exit of a Bentley dealer…

Think:

Brand

Demand

Need

Utility

Value

Want

Remember?

Reaching the Consumer Market

Assignment

Principles of MarketingChapter 2

The Marketing Environment

OK, We’re back. Again.

Principles of Marketing Chapter 2The Marketing Environment

Microenvironment

Macroenvironment

Consumer Markets

Business Market

Everybody has some marketing experience

The marketing environment is a set of forces that affects the ability to build and maintain successful relationships with customers

Goals

Concepts

Key words

Case Studies

Practical examples

Q&A

Growing Consumer Market Segments

Two growing consumer market segments are Hispanic Americans and "green"

consumers. Hispanic Americans have the highest birth rate in the country. Green consumers choose products that are

environment-friendly.

For adidas, sustainability is not just a response or

responsibility – it’s an opportunity to create new

business value for yourselves and your

consumers!

Principles of Marketing Chapter 2The Marketing Environment

Microenvironment

Macroenvironment

Consumer Markets

Business Market

Everybody has some marketing experience

The marketing environment is a set of forces that affects the ability to build and maintain successful relationships with customers

Goals

Concepts

Key words

Case Studies

Practical examples

Q&A

Business market consists of those who buy materials and services to manufacture new products or services. They are not the end user.

Principles of Marketing Chapter 2The Marketing Environment

Microenvironment

Macroenvironment

Consumer Markets

Business Market

Everybody has some marketing experience

The marketing environment is a set of forces that affects the ability to build and maintain successful relationships with customers

Goals

Concepts

Key words

Case Studies

Practical examples

Q&A

B2B

Manufacturers

Demand

Inventory/Stock

Buying/Purchasing

Business to business

Those suitable to finish a product. You can buy wholesale and add your own label.

Forces that may change quality, prices, availability.

Surplus or shortages.

Purchasing changes the final result of any transaction and it’s itself a marketing response.

Principles of Marketing Chapter 2The Marketing Environment

Microenvironment

Macroenvironment

Consumer Markets

Business Market

Everybody has some marketing experience

The marketing environment is a set of forces that affects the ability to build and maintain successful relationships with customers

Goals

Concepts

Key words

Case Studies

Practical examples

Q&A

StraightRebuy

ModifyRebuy

New Task

BuyingClassifications

3

By towing airplanes between gates and into maintenance facilities, American is saving 3.6 million gallons of fuel.

Principles of Marketing Chapter 2The Marketing Environment

Microenvironment

Macroenvironment

Consumer Markets

Business Market

Everybody has some marketing experience

The marketing environment is a set of forces that affects the ability to build and maintain successful relationships with customers

Goals

Concepts

Key words

Case Studies

Practical examples

Q&A

Feedback

Order routine

Evaluation & Selection

Get proposals & analize

Search for sources

Description & characteristics

Determination of quantities and specs

Recognition of need

Principles of MarketingChapter 2

The Marketing Environment

Macroenvironment

Microenvironment

Business Markets

Consumer Markets