MKTG1001 Lecture Notes - Lecture 6: Marketing Management, Marketing, Brand Equity
Understand the concept of a ‘product’ from a marketing perspective.
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Be able to differentiate types of ‘products’ that make up an offering.
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Understand product-related decisions and strategies.
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Understand the importance of branding strategies.
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LO:
4P's (all equally important, work together)
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They are tools and variables (i.e. are adjustable and are meant to be changed)
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Only tools to support positioning statement and achieve target market
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Marketing mix:
Build a better product at a market price
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Building the same product at a lower price
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Create a monopoly through a customer franchise
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Key notes = best product (differentiation) or best price (main two strategies)
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Three competitive market strategies:
Function of a product is to satisfy a need
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Product = can be anything that can satisfy need
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A product meets a need:
Lecture 6/CH7 - Product/Services/Branding
Wednesday, 2 May 2018
7:36 PM
Lectures Page 1
Combines elements of marketing physical products with those of services, particularly the
experiential aspects of sporting, entertainment and other staged events delivered over a
period of time.
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These are products in their own right, as well as providing sponsorship opportunities
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Example = royal eastern show, Olympics
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Event marketing:
Developing and building a high profile of an individual to generate $’s
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Branding a person (e.g. celebrity marketing (branding said celebrity to sell concerts/albums
etc)
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Personal marketing:
Marketing of the politician or political messages
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Political marketing:
Marketing an idea or social cause, such as nuclear-free living or not drinking alcohol and
driving or catching public transport to and from work.
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Designed to change social attitudes
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Firms may use to support charities
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NGO's and government often use this (market cause or idea for societal benefit not product)
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Cause related marketing:
Involves activities by organisations not motivated by profit which ultimately lead to a
donation, bequest or some other contribution.
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Charities, education, churches
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Have to market brand not product to gain donations etc
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Non - for profit marketing:
Where the consumer is actively involved
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Used for tourist related firms/activities --> market experiences to entice customers
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e.g. theme parks, destinations, bridge climb
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Experiences marketing:
A total product:
Lectures Page 2
A product has three levels
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Marketing management need to think about their product offerings as a ‘total product’
consisting of 3 levels:
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which addresses the question: What is the buyer really buying?
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Need being satisfied (general need that the product is meant to satisfy)
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The core product
1.
may have as many as five characteristics: a quality level, features, styling, a brand name,
& packaging.
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Product you see in the marketplace (the actual product, its packaging, colour etc in the
marketplace)
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Actual products
2.
additional consumer services and benefits built around the core and actual products.
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Additional/extras that come with the brand
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Differentiation level
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Augmented product
3.
A total product:
Majority of firms compete through a strategy of product differentiation so as to create a
monopoly over that segment of the market represented by their loyal customers, i.e. they
compete at the individual product level.
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Kotler defines differentiation as the process of adding meaningful and valued differences to
distinguish the product from the competition.
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There are a number of differentiation dimensions and strategies for their accomplishment.
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Product –quality, features, attribute, customisation, assortment.
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Services –anytime delivery, customer service, support and after sales service.
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Personnel – charm and uniqueness of the organisation’s ‘face’ and people.
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Channel –location, availability, accessibility.
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A strong brand name/image.
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Gaining speed and first mover advantage.
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Differentiate by:
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Product differentiation
Service organisations ‘Offer their customers something that is essentially intangible: the
interaction does not result in the ownership of anything that endures’.
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Services:
Lectures Page 3
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