CH 3: Analyzing the Marketing Environment
Marketing Environment- The actors and forces outside marketing that affect marketing management„s
ability to build and maintain successful relationships with target customers.
Marketers have 2 disciplined methods to track environmental trends and opportunities- marketing
research and marketing intelligence- for collecting information about the marketing environment.
Marketing environment made up of microenvironment & macroenvironment
Microenvironment- The actors close to the company that affect its ability to serve its customers- the
company, suppliers, marketing intermediaries, customer markets, competitors, and publics.
Macroenvironment- The larger societal forces that affect the microenvironment- demographic, economic,
natural, technological, political, and cultural forces.
Opportunities and threats.
Marketing Intermediaries- Firms that help the company promote, sell, and distribute its goods to final
buyers. Ie. Distribution firms, marketing service agency, financial intermediaries
Reseller: distribution channel firms that help the company find customers or make sales to them
Public- Any group that has an actual or potential interest in or impact on an organization‟s ability to
achieve its objectives.
1. Financial Publics: influences the company‟s ability to obtain funds
2. Media Publics: carries news, features, and editorial opinion
3. Government Publics: marketers must often consult the company‟s lawyers on issues of product
safety, truth in advertising, and other matter.
4. Citizen-action publics: Company‟s public relations department must deal with consumer
organizations, environmental groups, minority groups, etc.
5. Local Publics: neighbourhood residents and community organizations community relations
6. General Public: public image
7. Internal Publics: workers, managers, volunteers and board of directors.
Customers: 5 markets
1. Consumer markets individuals and households that buy goods and services for personal
2. Business markets for further processing or for use in their production process
3. Reseller markets resell at a profit
4. Government markets to produce public services or transfer goods and services to those who
5. International markets buyers of other countries, including consumers, producers, resellers, gov.
Demography- The study of human populations in terms of size, density, location, age , gender, race,
occupation, and other statistics.
Track changing age and family structure, geographic population shifts, educational
characteristics, and population diversity.
Baby boomers- The 9.8 million Canadians born during the baby boom following World
War II and lasting until the mid- 1960s.
Lucrative market for financial services, new housing and home remodelling, travel
and entertainment, eating gout, health and fitness products
Generation X- The 7 million Canadians born between 1967 and 1976 in the “birth dearth”
following the baby boom.
More cautious economic outlook Behind in saving for retirement
Family comes first, career second
Millennials (or Generation Y)- The 10.4 million children of the Canadian baby boomers,
born between 1977 and 2000.
Diverse group know technology really well
Growing number of non-traditional families
Geographic shifts in population interprov