CTD 231 Lecture Notes - Lecture 3: Zip Code, Niche Market, Psychographic

• School: University of Alabama
• Department: Clothing, Textiles and Interior Design
• Course: CTD 231
• Professor: Reaves

Document Summary

The consumer-producer relationship: central to product development, relying only on demographic and psychographic classifications is not enough, consumer is more pragmatic, less spontaneous, and less brand loyal, marketplace is increasingly diversified, production era. Innovation, creativity, and service are required to connect with consumers. Goal of most companies was to increase production in order to keep up with demand. Evolved into sales era: sales era. Businesses manufactured and sold product without first determining consumers" wants and needs. Up to sales force and advertising to convince consumers they needed products: marketing era. Companies research consumer preferences and appeal to preferences through advertising. Input gathered form consumers used to make decisions on design, price, distribution channels, and promotions. Competition to product products grew and supply began to exceed demand. Wave of business mergers and acquisitions created conglomerates with large marketing and product research and development departments. Created demand by saturating market through advertising: today"s consumer.