MKTG 360 Lecture Notes - Lecture 7: Bakers Delight, Niche Market, Market Segmentation
Role of marketing
Promoting the business' goods or services to generate funds for the other business function in order to
achieve goals
Production approach
Focus on developing a quality product and assuming consumers will buy it
Selling approach
Focus on the skill of selling the product
Marketing approach
Focusing on the customers' needs and wants at every stage of the operations process
Intermediate markets
Market where products are sold to companies that then sell the products to other customers
e.g. coles
Industrial markets
Markets in which products are sold to other businesses to be used to make other products
e.g. bakers delight
Resource markets
Markets in which the customers are in the primary sector of the economy
- raw materials
Consumer markets
Markets in which goods and services are sold to individuals
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Mass markets
Products are aimed at all consumers
Niche markets
a smaller section of a larger market segment
Customer choice
What drives customers to make purchasing decisions
Psychological factors
Personal factors
* perceptions
* attitudes
* personalities
* self-image
Sociocultural factors
Cultural background -leaned values, beliefs, behaviours, traditions
Socioeconomic -education, income, occupation
Family and peer groups
Economic factors
customer's willingness to spend
boom - low unemployment rates and higher incomes
recession - high unemployment rates, lower incomes (customers not spending much)
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find more resources at oneclass.com
Governmental factors
Laws and policies that impact on customer choices
e.g. must be 18 to purchase alcohol and cigarettes
Competition and Consumer Act 2010 (Cwlth) and Fair Trading Act 1987 (NSW)
Deceptive/misleading advertising
Advertising unfairly creating an inaccurate impression about some aspect of the product
- fine print
- before and after ads
- country of origin
- packaging
- special offer
- test and surveys
what are the two deceptive and misleading advertising techniques?
- Bait and Switch Ad = advertising a few products at reduced and, therefore, enticing prices to attract
customers. When the advertised products quickly run out, customers are directed to higher priced
items.
- Dishonest Advertising = an advertisement uses words that are deceptive or claims that a product has
some specific quality when it does not
Price descrimination
Same products sold for a different price in a different market
Implied conditions
Unwritten conditions that bind sellers of products
find more resources at oneclass.com
find more resources at oneclass.com
Document Summary
Promoting the business" goods or services to generate funds for the other business function in order to achieve goals. Focus on developing a quality product and assuming consumers will buy it. Focus on the skill of selling the product. Focusing on the customers" needs and wants at every stage of the operations process. Market where products are sold to companies that then sell the products to other customers e. g. coles. Markets in which products are sold to other businesses to be used to make other products e. g. bakers delight. Markets in which the customers are in the primary sector of the economy. Markets in which goods and services are sold to individuals. Niche markets a smaller section of a larger market segment. Economic factors customer"s willingness to spend boom - low unemployment rates and higher incomes recession - high unemployment rates, lower incomes (customers not spending much)
