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Chapter1DefiningMarketingfortheTwenty-FirstCenturyPowerPointbyKarenE.JamesLouisianaStateUniversity-Shreveport0ObjectivesUnderstandtheneweconomy.Learnthetasksofmarketing.Becomefamiliarwiththemajorconceptsandtoolsofmarketing.Understandtheorientationsexhibitedbycompanies.1ObjectivesLearnhowcompaniesandmarketersarerespondingtonewchallenges.2TheNewEconomyConsumer
benefitsfromthedigitalrevolutioninclude:Increasedbuyingpower.Greatervarietyofgoodsandservices.Increasedinformation.Enhancedshoppingconvenience.Greateropportunitiestocompareproductinformationwithothers.3TheNewEconomyFirm
benefitsfromthedigitalrevolutioninclude:Newpromotionalmedium.Accesstoricherresearchdata.Enhancedemployeeandcustomercommunication.Abilitytocustomizepromotions.4MarketingTasksMarketingpracticesmaypassthroughthreestages:EntrepreneurialmarketingFormulatedmarketingIntrepreneurialmarketingAsmarketingbecomesmoreformulated,creativityisinhibited.5WhatCanBeMarketed?GoodsServicesExperiencesEventsPersonsPlacesPropertiesOrganizationsInformationIdeas6MarketingDefinedKotler’ssocialdefinition:“Marketingisasocietalprocessbywhichindividualsandgroupsobtainwhattheyneedandwantthroughcreating,offering,andfreelyexchangingproductsandservicesofvaluewithothers.”7MarketingDefinedTheAMAmanagerialdefinition:“Marketingistheprocessofplanningandexecutingtheconception,pricing,promotion,anddistributionofideas,goods,andservicestocreateexchangesthatsatisfyindividualandorganizationalobjectives.”8CoreMarketingConceptsTargetmarketsandmarketsegmentationMarketplace,market-space,metamarketsMarketers&prospectsNeeds,wants,demandsProductofferingandbrandValueandsatisfactionExchangeandtransactionsRelationshipandnetworksMarketingchannelsSupplychainCompetitionMarketingenvironmentMarketingprogram9CoreMarketingConceptsTargetmarkets&segmentationDifferencesinneeds,behavior,demographicsorpsychographicsareusedtoidentifysegments.Thesegmentservedbythefirmiscalledthetargetmarket.Themarketofferingiscustomizedtotheneedsofthetargetmarket.10CoreMarketingConceptsShoppingcantakeplaceina:Marketplace(physicalentity,Lowe’’s)Marketspace(virtualentity,Amazon)Metamarketsrefertocomplementarygoodsandservicesthatarerelatedinthemindsofconsumers.Marketersseekresponsesfromprospects.11CoreMarketingConceptsNeedsdescribebasichumanrequirementssuchasfood,air,water,clothing,shelter,recreation,education,andentertainment.Needsbecomewantswhentheyaredirectedtospecificobjectsthatmightsatisfytheneed.(Fastfood)Demandsarewantsforspecificproductsbackedbyanabilitytopay.12CoreMarketingConceptsAProductisanyofferingthatcansatisfyaneedorwant,whileabrandisaspecificofferingfromaknownsource.Whenofferingsdelivervalueandsatisfactiontothebuyer,theyaresuccessful.13EnhancingValueMarketerscanenhancethevalueofanofferingtothecustomerby:Raisingbenefits.Reducingcosts.Raisingbenefitswhileloweringcosts.Raisingbenefitsbymorethantheincreaseincosts.Loweringbenefitsbylessthanthereductionincosts.14CoreMarketingConceptsExchangeinvolvesobtainingadesiredproductfromsomeonebyofferingsomethinginreturn.Fiveconditionsmustbesatisfiedforexchangetooccur.Transactioninvolvesatleasttwothingsofvalue,agreed-uponconditions,atimeofagreement,andaplaceofagreement.15CoreMarketingConceptsRelationshipmarketingaimstobuildlong-termmutuallysatisfyingrelationswithkeyparties,whichultimatelyresultsinmarketingnetworkbetweenthecompanyanditssupportingstakeholders.16CoreMarketingConceptsMarketingChannelsCommunicationchannelsDistributionchannelsServicechannelsDelivermessagestoandreceivemessagesfromtargetbuyers.Includestraditionalmedia,non-verbalcommunication,andstoreatmospherics.17CoreMarketingConceptsMarketingChannelsCommunicationchannelsDistributionchannelsServicechannelsDisplayordeliverthephysicalproductsorservicestothebuyer/user.18CoreMarketingConceptsMarketingChannelsCommunicationchannelsDistributionchannelsServicechannelsCarryouttransactionswithpotentialbuyersbyfacilitatingthetransaction.19CoreMarketingConceptsAsupplychainstretchesfromrawmaterialstocomponentstofinalproductsthatarecarriedtofinalbuyers.Eachcompanycapturesonlyacertainpercentageofthetotalvaluegeneratedbythesupplychain.20CoreMarketingConceptsFourlevelsofcompetitioncanbedistinguishedbythelevelofproductsubstitutability:BrandcompetitionIndustrycompetitionFormcompetitionGenericcompetition21CoreMarketingConceptsThefollowingforcesinthebroadenvironmenthaveamajorimpactonthetaskenvironment:DemographicsEconomicsNaturalenvironmentTechnologicalenvironmentPolitical-legalenvironmentSocial-culturalenvironment22CoreMarketingConceptsThemarketingprogramisdevelopedtoachievethecompany’sobjectives.Marketingmixdecisionsinclude:Product:providescustomersolution.Price:representsthecustomer’scost.Place:customerconvenienceiskey.Promotion:communicateswithcustomer.23CompanyOrientationsTheorientationorphilosophyofthefirmtypicallyguidesmarketingefforts.Severalcompetingorientationsexist:ProductionconceptProductconceptSellingconceptMarketingconceptCustomerconceptSocietalmarketingconcept24TheMarketingConceptAchievingorganizationalgoalsrequiresthatcompanybemoreeffectivethancompetitorsincreating,delivering,andcommunicatingcustomervalue.Fourpillarsofthemarketingconcept:TargetmarketCustomerneedsIntegratedmarketingProfitability25ChangesintheMarketplaceGlobalization,technologicaladvances,andderegulationhavecreatedmanychallenges:CustomersBrandmanufacturersStore-basedretailersBothcompaniesandmarketershavebeenforcedtorespondandadjust.26Chapter2AdaptingMarketingtotheNewEconomyPowerPointbyKarenE.JamesLouisianaStateUniversity-Shreveport27ObjectivesIdentifythemajorforcesdrivingtheneweconomy.Understandhowbusinessandmarketingpracticesarechangingasaresultoftheneweconomy.28ObjectivesExplorehowtheInternethaschangedthewaymarketersusecustomerdatabases.Understandhowmarketerspracticecustomerrelationshipmanagement.29DriversoftheNewEconomyDigitalizationandconnectivityTheInternet,intranets&extranetsarekeyDisintermediationandreintermediationCustomizationandcustomerizationIndustryconvergence30ChangesinBusinessPracticesOldEconomyProductunitorganizationProfitabletransactionsFinancialscorecardStockholdersMarketingdoesthemarketingNewEconomyCustomersegmentorganizationLifetimevalueofcustomerMarketingscorecardStakeholdersEveryonedoesthemarketing31ChangesinBusinessPracticesOldEconomyBuildbrandsviaadvertisingCustomeracquisitionNocustomersatisfactionmeasurementOverpromise,underdeliverNewEconomyBuildbrandsviaperformanceCustomerretentionMeasurecustomersatisfactionandretentionratesUnderdeliver,overpromise32HowMarketingPracticesareChangingE-BusinessSettingupwebsitesCustomerrelationshipmarketing33HowMarketingPracticesareChanging:E-businessBusinesspracticesarechanging...E-businessuseselectronicmeansandplatformstoconductbusiness.E-commercewebsitesfacilitatetheonlinesaleofproductsandservices.E-purchasingfromonlinesuppliers.E-marketingeffortsincludethosethatinform,communicate,promote,andsellproductsandservicesovertheInternet.34HowMarketingPracticesareChanging:E-businessInternetDomainsB2CB2BC2CC2BB2C=Business-to-ConsumerBenefitsinclude:greaterorderingconvenience,lowercost,easierinformationandpricegathering35HowMarketingPracticesareChanging:E-businessInternetDomainsB2CB2BC2CC2BB2B=Business-to-BusinessVolumeis10-15%higherthanB2C.Benefitsinclude:lowercostsviaB2Bauctions,buyingalliances,greateraccesstoinformation.36HowMarketingPracticesareChanging:E-businessInternetDomainsB2CB2BC2CC2BC2C=Consumer-to-ConsumerTransactionsoccurviaonlinetradingsitessuchaseBay.Consumersarecreatingonlineproductinformationvianewsgroupandchatroomdialogues.37HowMarketingPracticesareChanging:E-businessInternetDomainsB2CB2BC2CC2BC2B=Consumer-to-BusinessFacilitatecommunicationbetweencustomerandbusinesses.38HowMarketingPracticesareChanging:E-businessBrickandclickfirmshaveoftenfacedchannelconflictissuesBrickandclickfirmstendtobemoresuccessfulthanpureclicke-tailercompetitorsbecause...CustomeracquisitioncostsarelowerResources,knowledge,customerbase,supplierrelationshipsaresuperior39HowMarketingPracticesareChanging:WebSiteDesignContextContentCommunityCommunicationConnectionCommerceCustomizationTheSeven““C’’s”ofWebSiteDesign40HowMarketingPracticesareChanging:WebSiteDesignPlacingAdsandPromotionsOnlineBanneradsSponsorshipsMicrositeInterstitialsBrowseradsAlliancesandaffiliateprograms41HowMarketingPracticesareChanging:WebSiteDesignAdvertisingincomeSponsorshipincomeAllianceincomeMembershipandsubscriptionincomeProfileincomeProductandservicesalesincomeTransactioncommissionsandfeesMarketresearch/informationReferralincomeDrevenueandprofitmodels:42HowMarketingPracticesareChanging:CRMCustomerRelationshipMarketing(CRM)allowscompaniesto:Deliverreal-timecustomerserviceCustomizemarketofferings,products,services,media,andmessages43HowMarketingPracticesareChanging:CRMEffectiveCustomerRelationshipMarketingrequires:ReducingcustomerdefectionratesExtendingthelifeofthecustomerrelationshipEnhancingcustomersales/profitpotentialMakinglow-profitcustomersMOREprofitableorterminatingthemFocusingonhighvaluecustomers44HowMarketingPracticesareChanging:CRMCRMLeadstoOne-on-OneMarketingFourStepsforOne-to-OneMarketingDon’tgoaftereveryone,carefullyidentifyyourprospectsandcustomers.Groupcustomersbytheirneedsandtheirvaluetothecompany;aggressivelypursuethemostvaluablecustomers.Buildstrongerrelationshipswithcustomersviaindividualinteraction.Customizemessages,services,andproductsforeachcustomer.45HowMarketingPracticesareChanging:CRMCustomerDatabasesandDatabaseMarketingarethekeytoEffectiveCRMDatabaseusesinclude:BestprospectidentificationMatchingofferstocustomersDeepeningcustomerloyaltyReactivatingcustomerpurchasingAvoidingseriousmistakes46Chapter3BuildingCustomerSatisfaction,Value,andRetentionPowerPointbyKarenE.JamesLouisianaStateUniversity-Shreveport47ObjectivesUnderstandhowcompaniesdelivercustomervalueandsatisfaction.Identifythefactorsthatmakeahighperformancebusiness.Understandhowcompaniesattractandretaincustomers.48ObjectivesRealizehowcompaniescanimprovebothcustomerandcompanyprofitability.Understandhowcompaniescandelivertotalquality.49CustomerValueCustomersseektomaximizevaluebyestimatingwhichoffer(product/firm)deliversthemostvalue(CPV)forminganexpectationofvalueandactinguponit(purchase)evaluatingtheirusageexperienceagainsttheexpectationsSatisfactionresultswhenexpectationsareequaledorsurpassed50CustomerPerceivedValuePerceptionofdeliveredvalueisafunctionof:TotalcustomercostsTotalcustomervalueFirmsatadisadvantagemust:Reduceperceptionsofcostsorenhanceperceptionsofvalue51CustomerSatisfactionSatisfactionisdefinedas...“aperson’sfeelingsofpleasureordisappointmentresultingfromcomparingaproduct’sperceivedperformance(oroutcome)inrelationtohisorherexpectations.”52CustomerSatisfactionTomaximizesatisfaction...Don’texaggeratetheproduct/service’scapabilitiesinadvertisingorothercommunicationsDissatisfactionwillresultFTCmaybecomeinvolvedDon’tsetexpectationstoolowMarketsizewillbelimited53HighPerformanceBusinessesKeystoSuccessStakeholdersProcessesResourcesOrganizationIdentifyseveralstakeholdergroupsforyourUniversityHowmighttheneedsofthesegroupsconflictwitheachother?54HighPerformanceBusinessesKeystoSuccessStakeholdersProcessesResourcesOrganizationNewproductdevelopmentCustomerattractionandretentionOrderfulfillmentReengineeringworkflowsBuildingcrossfunctionalteams55HighPerformanceBusinessesKeystoSuccessStakeholdersProcessesResourcesOrganizationResourcesincludelabor,materials,machines,energy,andinformationOutsourcingvs.ownership:Ownandnurturecorecompetencies56HighPerformanceBusinessesKeystoSuccessStakeholdersProcessesResourcesOrganizationOrganizationreferstotheorganization’spolicies,structures,andcorporatecultureCorporateculture:sharedexperiences,stories,beliefs,andnormswithinanorganization57CoreBusinessPracticesMarketSensingCustomerAcquisitionCustomerRelationshipManagementFulfillmentManagementNewOfferingRealization58CustomerRetentionReducingcustomerchurn(defection)ishighlydesirableDefineandmeasureretentionrateIdentifycausesofattritionEstimateprofitlostfromcustomerdefection(customerlifetimevalue)Estimatecosttoreducedefection;takeappropriateaction59DriversofCustomerEquityBrandEquityRelationshipEquityValueEquity60StrongCustomerBondsKeystoSuccessAddingFinancialBenefitsAddingSocialBenefitsAddingStructuralTiesFrequencyprogramsClubmemberships61StrongCustomerBondsKeystoSuccessAddingFinancialBenefitsAddingSocialBenefitsAddingStructuralTiesPersonalizecustomerrelationships62StrongCustomerBondsKeystoSuccessAddingFinancialBenefitsAddingSocialBenefitsAddingStructuralTieCreatelong-termcontractsChargelessforongoingpurchasesLinkproducttolong-termservice6320–80––30RuleHalfofyourprofitislostservingthebottom30%ofyourcustomerbase20%ofyourcustomersGenerate80%ofyourprofit30802064Chapter4WinningMarketsThroughStrategicPlanning,Implementation,andControlPowerPointbyKarenE.JamesLouisianaStateUniversity-Shreveport65ObjectivesUnderstandhowstrategicplanningiscarriedoutatthecorporate,division,andbusinessunitlevels.Learnthemajorstepsinthemarketingprocess.66ObjectivesLearnwhattypeofcontentamarketingplanincludes.Understandhowcompaniescaneffectivelymanagethemarketingprocess.67NatureofStrategicPlanningStrategicplanningrequiresactionsinthreekeyareasStrategicplanningtakesplaceatthecorporate,division,businessunitandproductlevelsMarketingplansoperateatstrategicandtacticallevels68CorporateandDivisionStrategicPlanningPlanningactivitiesinclude:DefiningtheCorporateMissionEstablishingStrategicBusinessUnits(SBUs),andAssigningResourcestoSBUsPlanningNewBusinesses,DownsizingOlderBusinesses69CorporateandDivisionStrategicPlanningIndustryscopeProductsandapplicationsscopeCompetencescopeVerticalscopeMarket-segmentscopeGeographicalscopeMissionstatementsdefinethecompany’’smajorcompetitivescopes:70CorporateandDivisionStrategicPlanningStrategicBusinessUnitssharethreecharacteristics:SinglebusinessorcollectionofbusinesseswhichcanbemanagedseparatelyHasownsetofcompetitorsHasmanagerresponsibleforstrategicplanningandprofits71CorporateandDivisionStrategicPlanningSBUsaretreatedasinvestmentportfolios.Resourcesareallocatedby:TheBCGGrowth-ShareMatrixStarsCashCowsQuestionMarksDogsTheGeneralElectricMarket-AttractivenessModel72CorporateandDivisionStrategicPlanningPlanningNewBusinessesandDownsizingOldBusinessesInvolvestakingadvantageofoneormoreofthefollowing:IntensivegrowthIntegrativegrowthDiversificationgrowthHarvestingordivestingoldbusinesses73BusinessStrategicPlanningBusinessMissionSWOTAnalysis:InternalSWOTAnalysis:ExternalGoalFormulationStrategyFormulationProgramFormulationImplementationFeedbackandControlPlanningInvolvesEightSteps:74StrategicBusinessPlanningSWOTAnalysisOpportunitiesandthreatsstemmingfromtheexternalenvironmentInternalstrengthsandweaknessesMonitoringkeyforcesfortrendsForeachtrend,conductanMOA-MarketingOpportunityAnalysis75StrategicBusinessPlanningSWOTAnalysisOpportunitiesandthreatsstemmingfromtheexternalenvironmentInternalstrengthsandweaknessesBrandawareness,image,reputationDistribution,pricing,customerloyalty,productbenefitsFinance,R&D,manufacturing76BusinessStrategicPlanningEffectivegoalsshouldbeformulatedsothattheyare:ArrangedhierarchicallyfrombroadertomorespecificobjectivesStatedinquantitativetermsRealisticConsistentwitheachotherandthecompanymission77BusinessStrategicPlanningStrategydictatesthegameplanforachievinggoals.Porter’’sgenericstrategiesofferastartingpointforstrategicthinking:OverallcostleadershipDifferentiationFocus78BusinessStrategicPlanningProgramformulationandimplementationinvolves:DevelopingsupportingprogramsEstimatingimplementationcostsCarefullymanagingthedetailssogreatstrategyisn’’truinedbypoorimplementationFeedbackandcontroliscrucial79TheMarketingProcessTwoViewsoftheValueDeliveryProcess:TraditionalphysicalprocesssequenceMaketheproduct...SelltheproductValuecreationanddeliverysequenceChoosethevalue...Providethevalue...Communicatethevalue80TheMarketingProcessStepsintheMarketingProcess:AnalyzingmarketopportunitiesDevelopingmarketingstrategiesPlanningmarketingprogramsManagingthemarketingeffort81TheMarketingProcessExecutivesummaryandTOCCurrentsituationOpportunityandissueanalysisObjectivesMarketingstrategyActionprogramsFinancialprojectionsControlsMarketingPlanContents82ManagingTheMarketingProcessMarketingDepartmentscanbeorganizedby:FunctionGeographicareaProductsorbrandsCustomersormarketsCorporatedivisionsGlobalaspects83ManagingTheMarketingProcessBuildingaCompanywideMarketingOrientationRequires:CommitmentfromtopmanagementTrainingprograms;employeeempowermentRecognitionsandrewardsprogramsModernmarketingplanningsystemProcess-outcomefocus84ManagingTheMarketingProcessInjectingmorecreativityintotheorganizationcanbebeneficialSuccessfullyimplementingprogramsrequiresfoursetsofskills:DiagnosticskillsIdentificationofcompanylevelImplementationskillsEvaluationskills85ManagingTheMarketingProcessTypesofControlAnnualplanProfitabilityEfficiencyStrategicResponsibilityoftopandmiddlemanagementExamineswhetherplannedresultsareachieved86ManagingTheMarketingProcessFivetoolsareusedtoevaluateannualplanperformance:SalesanalysisMarket-shareanalysisMarketingexpense-to-salesanalysisFinancialanalysisMarket-basedscorecardanalysis87ManagingTheMarketingProcessTypesofControlAnnualplanProfitabilityEfficiencyStrategicResponsibilityofmarketingcontrollerExamineswherethecompanyismakingandlosingmoney88ManagingTheMarketingProcessTypesofControlAnnualplanProfitabilityEfficiencyStrategicResponsibilityofline&staffand/ormarketingcontrollerEvaluatesandattemptstoimprovespendingefficiencyofmarketingexpenditures89ManagingTheMarketingProcessTypesofControlAnnualplanProfitabilityEfficiencyStrategicResponsibilityoftopmanagementandmarketingauditorExamineswhethercompanyispursuingitsbestopportunities90ManagingTheMarketingProcessStrategiccontrolsshouldbeconductedperiodicallyvia:Marketing-effectivenessreviewsMarketingauditsAdditionalreviewstoconsider:MarketingexcellencereviewEthicalandsocialresponsibilityreview91Chapter5UnderstandingMarkets,MarketDemand,andtheMarketingEnvironmentPowerPointbyKarenE.JamesLouisianaStateUniversity-Shreveport92ObjectivesIdentifythemajorcomponentsofamarketingsystem.Understandhowmarketerscanimprovemarketingdecisionsthroughintelligencesystems,marketingresearch,andmarketingdecisionsupportsystems.93ObjectivesLearnhowdemandcanbemoreaccuratelymeasuredandforecasted.Understandkeydemographic,economic,natural,technological,political-legal,andsocio-culturaldevelopments.94SupportingMarketingDecisionsAMarketingInformationSystemisdefinedas...“people,equipment,andproceduresthatgather,sort,analyze,evaluate,anddistributeneeded,timely,andaccurateinformationtomarketingdecisionmakers.”95SupportingMarketingDecisionsMarketingInformationSystemscompileinformationfrom:InternalrecordssystemsMarketingintelligencesystemsMarketingresearchMarketingdecisionsupportanalysis96SupportingMarketingDecisionsInternalRecordsSystemsOrder-to-paymentcycleiskeyTimelysalesreportshelptobettermanageinventoryCustomer,product,salespersonandotherdatabasescanbeminedforfreshinsights97SupportingMarketingDecisionsImprovingtheQualityofMarketingIntelligenceSystemDataRequires:TrainingandmotivatingsalesforcetoreportdevelopmentsMotivatingchannelmemberstoshareimportantintelligenceCollectingcompetitiveintelligence98SupportingMarketingDecisionsImprovingtheQualityofMarketingIntelligenceSystemDataRequires:DevelopingacustomeradvisorypanelPurchasinginformationfromcommercialdatasourcesEstablishingamarketinginformationcenterwithinthecompany99SupportingMarketingDecisionsTheMarketingResearchProcess:DefiningtheproblemandresearchobjectivesDevelopingtheresearchplanCollectingtheinformationAnalyzingtheinformationPresentingthefindingsMakingthedecision100SupportingMarketingDecisionsDevelopingtheResearchPlanInvolves:GatheringsecondaryandprimarydataSelectingoneormoreresearchapproachesforprimarydatacollectionUsingtheappropriateresearchinstrumentDevelopingasamplingplanDeterminingsubjectcontactmethods101SupportingMarketingDecisionsApproachesforprimarydatacollectioninclude:ObservationalresearchFocus-groupresearchSurveyresearchBehavioraldataExperimentalresearch102SupportingMarketingDecisionsAMarketingDecisionSupportSystemisdefinedasa...“coordinatedcollectionofdata,systems,tools,andtechniqueswithsupportingsoftwareandhardwarebywhichanorganizationgathersandinterpretsinformationfrombusinessandtheenvironmentandturnsitintoabasisformarketingaction.”103ForecastingandDemandMeasurementEssentialAspectsThemarketMarketdemandCompanydemandandsalesforecastsCurrentdemandFuturedemandMarketPotentialmarketAvailablemarketTargetmarket(servedmarket)QualifiedavailablemarketPenetratedmarket104ForecastingandDemandMeasurementEssentialAspectsThemarketMeasuringdemandCompanydemandandsalesforecastsCurrentdemandFuturedemandMarketdemandMarketminimumMarketforecastMarketpotentialNonexpansiblevs.expansiblemarketsPrimaryvs.secondarydemandMarketforecastMarketpotential105ForecastingandDemandMeasurementEssentialAspectsThemarketMeasuringdemandCompanydemandandsalesforecastsCurrentdemandFuturedemandCompanydemandCompanysalesforecastSalesquotaSalesbudgetCompanysalespotential106ForecastingandDemandMeasurementEssentialAspectsThemarketMeasuringdemandCompanydemandandsalesforecastsCurrentdemandFuturedemandTotalmarketpotentialAreamarketpotentialMarket-buildupmethod107ForecastingandDemandMeasurementEssentialAspectsThemarketMeasuringdemandCompanydemandandsalesforecastsCurrentdemandFuturedemandManyForecastingMethods:BuyerintentionssurveyCompositeofsalesforceopinionsExpertopinionPast-salesanalysisMarket-testmethod108MacroenvironmentalTrendsandForcesDemographicEnvironmentWorldwidepopulationgrowthPopulationagemixEthnicmarketsEducationalgroupsHouseholdpatternsGeographicpopulationshiftsRiseofmicromarkets109MacroenvironmentalTrendsandForcesEconomicEnvironmentIncomedistributionSavings,debt,andcreditavailability110MacroenvironmentalTrendsandForcesNaturalEnvironmentShortageofrawmaterialsIncreasedenergycostsAnti-pollutionpressuresChangingroleofgovernments111MacroenvironmentalTrendsandForcesTechnologicalEnvironmentAcceleratingpaceoftechnologicalchangeUnlimitedopportunitiesforinnovationVaryingR&DbudgetsIncreasedregulationoftechnologicalchange112MacroenvironmentalTrendsandForcesPolitical-LegalEnvironmentLegislationregulatingbusinessGrowthofspecialinterestgroups113MacroenvironmentalTrendsandForcesSocio-CulturalEnvironmentWorldviewsthatconsumersholdofthemselves,others,society,organizations,nature,andtheuniverseHighpersistenceofcorevaluesExistenceofsubcultures114Chapter6AnalyzingConsumerMarketsandBuyerBehaviorPowerPointbyKarenE.JamesLouisianaStateUniversity-Shreveport115ObjectivesDeterminehowcultural,social,personal,andpsychologicalfactorsinfluenceconsumerbuyingbehavior.Describehowtheconsumermakesapurchasingdecision.116ConsumerBehaviorThefieldofConsumerBehavior:“studieshowindividuals,groups,andorganizationsselect,buy,use,anddisposeofgoods,services,ideas,orexperiencestosatisfytheirneedsanddesires.””117HowandWhyConsumersBuyBuyingbehaviorisinfluencedby:CulturalfactorsSocialfactorsPersonalfactorsPsychologicalfactors118HowandWhyConsumersBuyInfluenceFactorsCulturalSocialPersonalPsychologicalExertbroadestanddeepestinfluenceCultureSubcultureSocialclasses119HowandWhyConsumersBuyUpperUppersLowerUppersUpperMiddlesMiddleClassWorkingClassUpperLowersLowerLowers120HowandWhyConsumersBuyInfluenceFactorsCulturalSocialPersonalPsychologicalReferencegroupsMembershipPrimaryvs.secondaryAspirationalvs.dissociativeFamilySocialrolesandstatuses121HowandWhyConsumersBuyInfluenceFactorsCulturalSocialPersonalPsychologicalAgeStageinlifecycleOccupationEconomiccircumstancesLifestylePersonalitySelf-concept122HowandWhyConsumersBuyActualizersFulfilledsAchieversExperiencersBelieversStriversMakersStrugglersVALS2classifiesU.S.adultsintoeightpsychographicgroups123HowandWhyConsumersBuyInfluenceFactorsCulturalSocialPersonalPsychologicalMotivationPerceptionLearningBeliefsAttitudes124ConsumerBuyingDecisionProcessInadditiontounderstandinghowthesefactorsinfluenceconsumers,marketersmustidentifyandunderstand:WhomakesthebuyingdecisionThetypesofbuyingdecisionsThestagesinthebuyingprocess125ConsumerBuyingDecisionProcessUnderstandBuyingrolesBuyingbehaviorBuyingdecisionprocessInitiatorInfluencerDeciderBuyerUser126ConsumerBuyingDecisionProcessUnderstandBuyingrolesBuyingbehaviorBuyingdecisionprocessComplexbuyingbehaviorDissonance-reducingbuyingbehaviorHabitualbuyingbehaviorVariety-seekingbuyingbehavior127ConsumerBuyingDecisionProcessUnderstandBuyingrolesBuyingbehaviorBuyingdecisionprocessProblemrecognitionInformationsearchEvaluationofalternativesPurchasedecisionPostpurchasebehavior128ConsumerBuyingDecisionProcessPostpurchaseBehavior:Consumers’’expectationsarecomparedtoperformancePostpurchasesatisfactioninfluencesfuturebehaviorPurchasingbehaviorWord-of-mouthcommunications129ConsumerBuyingDecisionProcessMarketersshouldattempttoinfluenceandmonitorpostpurchasebehaviorPostpurchasecommunicationsreducedissonance,returns,andordercancellationsTalkwithcustomerstodiscovernewusesforexistingproductsInvestigatemethodsofproductdisposal130Chapter7AnalyzingBusinessMarketsandBuyerBehaviorPowerPointbyKarenE.JamesLouisianaStateUniversity-Shreveport131Obje
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