Saturday, October 31, 2009
Marketing Concept
The marketing concept is about matching a company's capabilities with customer wants. This matching process takes place in what is called the marketing environment.
Businesses do not undertake marketing activities alone. They face threats from competitors, and changes in the political, economic, social and technological environment. All these factors have to be taken into account as a business tries to match its capabilities with the needs and wants of its target customers.
An organisation that adopts the marketing concept accepts the needs of potential customers as the basis for its operations. Success is dependent on satisfying customer needs.
FIVE SUCCESSFUL MARKETING TECHNIQUES
Adding a new product or service to the list of those you already offer usually produces a big increase in sales. The added product increases your sales in 3 different ways:
It attracts new customers who were not interested in your current products and services.
It generates repeat sales from existing customers who also want to have your new product.
It enables you to get bigger sales by combining 2 or more items into special package offers.
2. Become a Valuable Resource Look for ways you can be a resource for your prospects and customers. Supply them with free information. Help them do things faster, easier, less expensively. You get another opportunity to sell something every time they come back to you for help.
3. Separate Yourself from Your Competition
Determine the unique advantage you offer to customers that your competitors do not offer. Promote that advantage in all of your advertising. Give your prospects a reason to do business with you instead of with your competition and you'll automatically get more sales.
4. Promote the End Result
Your customers don't really want your product or service. They want the benefit produced by using it.Make sure your web pages, sales letters and other sales messages are promoting the end result your customers want.
5. Anticipate Change
Change is the biggest challenge to your business success. The days are gone when a business could constantly grow by simply repeating what it did successfully in the past ...or even recently. Aggressive, innovative competitors and rapidly changing technology make it impossible
Role of marketing research
D: define the marketing problem
E: enumerate the controllable and uncontrollable decision factors
C: collect relevant information
I: identify the best alternative
D: develop and implement a marketing plan
E: evaluate the decision and decision process.
Bacially marketing research is collecting of data about the product or service and we need marketing research because it provide us accurate data. If their is no marketing research the main problem arise that how we know what our customers need and their wants. It help to create link with customers and matketing variables.
reference: http://en.wikipedia.org/wiki/Marketing_research
Friday, October 30, 2009
WHAT IS GENERATION X?
While the term Generation X can be used to describe a wide group of people, it has come to be popularly accepted that members of this generation, wrought in the shadow of the Baby Boomers, felt alienated and disenfranchised by the cultural icons of the time. “X” described the lack of identity that members of Generation X felt — they didn’t know where they belonged, but knew for sure that they weren’t a part of the overbearing generation of Baby Boomers. The media played its part in promoting the Generation Xstereotype by portraying them as grunge-listening, Starbucks-drinking,flannel-donning slackers who were quietly revolting against their overachieving, conservative Baby Boomer parents or older siblings. While the term Generation X has been used by a more punk faction of the generation, it has also labeled a group of musicians and actors represented by Eddie Vedder of Pearl Jam and Janeane Garafolo of the movie Reality Bites. While Gen-Xers probably feel passionate about some things, in general they have been portrayed as apathetic, disaffected twentysomethings with no course in life.
Writer Jane Deverson was the first known person to use the term Generation X in 1964. In a study of British teenagers for Women’s Own magazine, she came across a group of teenagers who were living outside of acceptable conservative mores by sleeping around, rejecting religion and disobeying their parents. When this group was rejected for use in the magazine, she co-authored a book with Charles Hamblett called Generation X.
The idea of Generation X exists in many other cultures around the world. In France, people of a similar age are labeled, Génération Bof, translated to “Generation Whatever.” Why Generation X feels as it does is another question. Many believe that the transition from colonialism to globalism and the relative safety many Americans enjoyed after World War II had an effect. Gen-Xers’ parents had marched for equal rights and felt the impact of Kennedy’s assassination, possibly giving them a stronger sense of social responsibility. Skyrocketing costs in housing and education in the 1980s and 90s, coupled with intense competition from overachieving Baby Boomers, may also have alienated Gen-Xers.
The Philosophy Marketing and the Marketing Concept.
The marketing concept is a philosophy. It makes the customer, and the satisfaction of his or her needs, the focal point of all business activities. It is driven by senior managers, passionate about delighting their customers.
Marketing is not only much broader than selling, it is not a specialized activity at all It encompasses the entire business. It is the whole business seen from the point of view of the final result, that is, from the customer's point of view. Concern and responsibility for marketing must therefore permeate all areas of the enterprise.
Drucker.
This customer focused philosophy is known as the 'marketing concept'. The marketing concept is a philosophy, not a system of marketing or an organizational structure. It is founded on the belief that profitable sales and satisfactory returns on investment can only be achieved by identifying, anticipating and satisfying customer needs and desires.
Barwell.
The achievement of corporate goals through meeting and exceeding customer needs better than the competition.
Jobber.
Implementation of the marketing concept [in the 1990's requires attention to three basic elements of the marketing concept. These are: Customer orientation; An organization to implement a customer orientation; Long-range customer and societal welfare.
Cohen.
Now that you have been introduced to some definitions of marketing and the marketing concept, remember the important elements contained as follows:
- Marketing focuses on the satisfaction of customer needs, wants and requirements.
- The philosophy of marketing needs to be owned by everyone from within the organization.
- Future needs have to be identified and anticipated.
- There is normally a focus upon profitability, especially in the corporate sector. However, as public sector organizations and not-for-profit organizations adopt the concept of marketing, this need not always be the case.
- More recent definitions recognize the influence of marketing upon society.
advantages of mission statement
It is important because you know then where you are going. Study this over and over again. Make adjustments to improve yourself and your company. Create challenging goals for you and your members. Here are some questions you should ask when putting together a good mission statement.
1. Who is your business plan for? Who is going to look at this and be inspired about it. If you have family members the only way they are going to support you with taking the time to start a business is if they see your vision and can grab a hold of that. Your work life will be conducive with your family life. Both will improve and you will not sacrifice work for family.
Also you will have potential joint ventures and employees that need to see this plan so they can catch hold of your vision. They are sacrificing a lot to be with you and you should give them a great purpose in the system, because in all reality they are more important than you.
That can only be accomplished with a strong action plan for yourself so you know what to do step by step to ensure that others should trust you. It doesn�t matter how nice the body of your car looks if you don�t have wheels to ride on.
2. Is this simple enough to help people understand what you are doing?People have short attention spans. I am a perfect example. Simply state in two or three points what you want to accomplish and the company description. Let employees and customers know what is always going to happen when they work with you. Whether they are selling or buying with you there should be an underlying understanding of what your system will give them beyond the product. Buying a car means more than just transportation.
3. What sets you apart from the competition?If they don�t believe then it will be a pointless ride. You have to be the best in some area and constantly press that hot button with everyone you come in contact with. This should be in your mission statement. Compelling mission statements will help employees, investors and customers know where you are and how you want to help your customers by taking them somewhere. Read this frequently to motivate yourself. Have it a constant part of what your employees read because they need to be reminded just as often. It will turn employees into team players.
When you are struggling you can look back at these ten reasons for why you should be grateful for your business plan. You will be amazed when you follow it everyday because these are the results of what may happen:
1. Puts your business idea to the test, it fine tunes it up-front.
2. Turns a good idea into a viable business or a working enterprise.
3. Helps you come up with creative ways to make your business work.
4. Shows us what we are up against with competition
5. Creates a detailed action plan to keep the competitive advantage
6. Specifies what you need to start the business�saves time and money
7. No nonsense list of equipment needs
8. Provides a timetable when you need to finish the items on your to-do list
9. Helps you get the funding you need
10. Tells the world who you are
4 MAJOR TYPES OF MARKETING
The downside to blanket marketing is that it can be quite expensive, and you could be wasting money marketing to people who may never become your customers at all. Blanket marketing is best for those who have plenty of funds available and who feel that they will be able to gain many customers from the plan.
2. Targeted marketing: is a method in which you choose a certain demographic and only market to them. This could mean that you advertise to everyone in a certain area. Alternatively, you could advertise to everyone in a certain age range.
The great thing about targeted marketing is that you will have a much better chance at getting customers since you will be advertising to the types of people who would most likely become customers. The downside is that it will take a little legwork to determine who your target is and then find the right way to advertise to them.
3. Social media marketing: could be called the new kid in town since it is relatively a young concept. With this marketing, you use any one of the many popular social media sites to advertise your company. You can also use a daily blog to garner business.
The downside to this type of marketing is that you will be sending your information out to many people who may not be interested at all. With blogs, you will have to take the time to keep the blog up to date. Otherwise, people may stop reading it.
4. The last type of marketing is not marketing at all: There are not upsides to this. It may seem like a way to save money, but when your business fails, you will actually lose a great deal of money. It is extremely important to find marketing funds within your budget.
Ref: http://ezinearticles.com/?Four-Types-of-Marketing-For-Small-Businesses&id=2951153
What is the difference between marketing and sales
Marketing is everything that you do to reach and persuade prospects. The sales process is everything that you do to close the sale and get a signed agreement or contract. Both are necessities to the success of a business. You cannot do without either process. By strategically combining both efforts you will experience a successful amount of business growth. However, by the same token if the efforts are unbalanced it candetour your growth. Your marketing will consists of the measures you use to reach and persuade your prospects that you are the company for them. It's the message that prepares the prospect for the sales. It consists of advertising, public relations, brand marketing, viral marketing, and direct mail. The sales process consists of interpersonal interaction. It is often done by a one-on-one meeting, cold calls, and networking. It's anything that engages you with the prospect or customer on a personal level rather than at a distance. Your marketing efforts begin the process of the eight contacts that studies show it takes to move a prospect or potential client to the close of the sale. If marketing is done effectively you can begin to move that prospect from a cold to a warm lead. When the prospect hitsthe"warm" level it's much easier for the sales professional to close the sale.
3 Rules for Niche Marketing
These three rules are 1. meet the unique needs of the consumers, 2. say the right thing to the consumers, 3. do test market the product.
The niche marketer should meet the specific needs of the targeted consumers. If those needs are not met, then the product will definitely fail.
Second, the marketer should position the product correctly. The value proposition should be adequate so that it should complement the product's position.
Furthermore, the marketer should test the product before launching it in the market. This can be done through introducing the product in a small part of the market.
This is what I understood from the information in the website. You guys can check out the complete information at the website address given below.
Reference: www.entrepreneur.com
Announcement
Best Regards,
SWOT Analysis Toyota.
New investment by Toyota in factories in the US and China saw 2005 profits rise, against the worldwide motor industry trend. Net profits rose 0.8% to 1.17 trillion yen ($11bn; £5.85bn), while sales were 7.3% higher at 18.55 trillion yen. Commentators argue that this is because the company has the right mix of products for the markets that it serves. This is an example of very focused segmentation, targeting and positioning in a number of countries.
In 2003 Toyota knocked its rivals Ford into third spot, to become the World's second largest carmaker with 6.78 million units. The company is still behind rivals General Motors with 8.59 million units in the same period. Its strong industry position is based upon a number of factors including a diversified product range, highly targeted marketing and a commitment to lean manufacturing and quality. The company makes a large range of vehicles for both private customers and commercial organizations, from the small Yaris to large trucks. The company uses marketing techniques to identify and satisfy customer needs. Its brand is a household name. The company also maximizes profit through efficient manufacturing approaches (e.g. Total Quality Management).
Weaknesses
Being big has its own problems. The World market for cars is in a condition of over supply and so car manufacturers need to make sure that it is their models that consumers want. Toyota markets most of its products in the US and in Japan. Therefore it is exposed to fluctuating economic and political conditions those markets. Perhaps that is why the company is beginning to shift its attentions to the emerging Chinese market. Movements in exchange rates could see the already narrow margins in the car market being reduced.
The company needs to keep producing cars in order to retain its operational efficiency. Car plants represent a huge investment in expensive fixed costs, as well as the high costs of training and retaining labour. So if the car market experiences a down turn, the company could see over capapacity. If on the other hand the car market experiences an upturn, then the company may miss out on potential sales due to under capacity i.e. it takes time to accommodate. This is a typical problem with high volume car manufacturing.
Opportunities.
Lexus and Toyota now have a reputation for manufacturing environmentally friendly vehicles. Lexus has RX 400h hybrid, and Toyota has it Prius. Both are based upon advance technologies developed by the organization. Rocketing oil prices have seen sales of the new hybrid vehicles increase. Toyota has also sold on its technology to other motor manufacturers, for example Ford has bought into the technology for its new Explorer SUV Hybrid. Such moves can only firm up Toyota's interest and investment in hybrid R&D.
Toyota is to target the 'urban youth' market. The company has launched its new Aygo, which is targeted at the streetwise youth market and captures (or attempts to) the nature of dance and DJ culture in a very competitive segment. The vehicle itself is a unique convertible, with models extending at their rear! The narrow segment is notorious for it narrow margin.
Threats.
Product recalls are always a problem for vehicle manufacturers. In 2005 the company had to recall 880,00 sports utility vehicles and pick up trucks due to faulty front suspension systems. Toyota did not give details of how much the recall would cost. The majority of affected vehicles were sold in the US, while the rest were sold in Japan, Europe and Australia.
As with any car manufacturer, Toyota faces tremendous competitive rivalry in the car market. Competition is increasing almost daily, with new entrants coming into the market from China, South Korea and new plants in Eastern Europe. The company is also exposed to any movement in the price of raw materials such as rubber, steel and fuel. The key economies in the Pacific, the US and Europe also experience slow downs. These economic factors are potential threats for Toyota. Thanks to the dedication and hard work of individuals who make up the Toyota family, Toyota has become the forth biggest automaker in North America.
EMarketing
eMarketing is essentially part of marketing. But what is the difference between eMarketing and Internet or web marketing? What are the eMarketing tools? And how do marketers plan for eMarketing? This lesson aims to answer these questions.
So the place to begin defining eMarketing is to consider where it fits within the subject of marketing. So let's start with a definition of marketing. The American Marketing Association (AMA) definition (2004) is as follows:
Marketing is an organizational function and a set of processes for creating, communicating and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders.
Therefore eMarketing by its very nature is one aspect of an organizational function and a set of processes for creating, communicating and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders. As such an aspect, eMarketing has its own approaches and tools that contribute to the achievement of marketing goals and objectives.
This also helps us to differentiate between eMarketing and E-commerce, since E-Commerce is simply buying and selling online.
What is the difference between eMarketing and internet or web marketing?
There is no real difference between eMarketing and internet or web marketing. However, with the arrival of mobile technologies such as PDA's and 3G mobile phones, as well as Interactive Television, both terms tend to be stretched to include these new media technologies. On the other hand, others would see eMarketing and internet or web marketing as subtly different, for example Chaffey (below):
internet [or web] marketing is achieving marketing objectives through applying digital technologies. (Chaffey 2006)
eMarketing is achieving marketing objectives through use of electronic communications technology. (Chaffey 2006)
Whilst this distinction is wholly acceptable, it is difficult to see where the distinction lies between digital technologies and electronic communications technologies, especially with the convergence of technologies such as mobile devices.
What are the eMarketing tools?
The Internet has a number of tools to offer to the marketer.
A company can distribute via the Internet e.g. Amazon.com.
A company can use the Internet as a way of building and maintaining a customer relationship e.g. Dell.com.
The money collection part of a transaction could be done online e.g. electricity and telephone bills.
Leads can be generated by attracting potential customers to sign-up for short periods of time, before signing up for the long-term e.g. which.co.uk.
The Internet could be used for advertising e.g. Google Adwords.
Finally, the web can be used as a way of collecting direct responses e.g. as part of a voting system for a game show.
How do marketers plan for eMarketing?
There are two ways of looking at this.
An existing organization may embark upon some eMarketing as part of their marketing plan.
An organization trades solely on the Internet and so their marketing plan focuses purely on eMarketing.
The marketing plan in either case is the next step, whether focused upon eMarketing or all marketing. The next lessons focus upon a tailor-made eMarketing plan which conforms to the acronym AOSTC (from our generic marketing planning lesson).
A - Audit - An audit of internal strengths and weaknesses, an external opportunities and threats.
O - Objectives - SMART eMarketing objectives.
S - Strategy - eMarketing strategies.
T - Tactics - an eMarketing mix.
C - Controls - measuring the performance of our eMarketing plan.
Aim here was to give info regarding electronic marketing and is tools.
Reference: www.marketingteacher.com/lessons
Five Basic Marketing Rules
4. MARKETING SUPPORTS SALES
Five Forces Analysis
Five forces analysis looks at five key areas namely the threat of entry, the power of buyers, the power of suppliers, the threat of substitutes, and competitive rivalry.
The threat of entry.
Economies of scale e.g. the benefits associated with bulk purchasing.
The high or low cost of entry e.g. how much will it cost for the latest technology?
Ease of access to distribution channels e.g. Do our competitors have the distribution channels sewn up?
Cost advantages not related to the size of the company e.g. personal contacts or knowledge that larger companies do not own or learning curve effects.
Will competitors retaliate?
Government action e.g. will new laws be introduced that will weaken our competitive position?
How important is differentiation? e.g. The Champagne brand cannot be copied. This desensitizes the influence of the environment.
The power of buyers.
This is high where there a few, large players in a market e.g. the large grocery chains.
If there are a large number of undifferentiated, small suppliers e.g. small farming businesses supplying the large grocery chains.
The cost of switching between suppliers is low e.g. from one fleet supplier of trucks to another.
The power of suppliers.
The power of suppliers tends to be a reversal of the power of buyers.
Where the switching costs are high e.g. Switching from one software supplier to another.
Power is high where the brand is powerful e.g. Cadillac, Pizza Hut, Microsoft.
There is a possibility of the supplier integrating forward e.g. Brewers buying bars.
Customers are fragmented (not in clusters) so that they have little bargaining power e.g. Gas/Petrol stations in remote places.
The threat of substitutes
Where there is product-for-product substitution e.g. email for fax Where there is substitution of need e.g. better toothpaste reduces the need for dentists.
Where there is generic substitution (competing for the currency in your pocket) e.g. Video suppliers compete with travel companies.
We could always do without e.g. cigarettes.
Competitive Rivalry
This is most likely to be high where entry is likely; there is the threat of substitute products, and suppliers and buyers in the market attempt to control. This is why it is always seen in the center of the diagram.
Steve Jobs as an Excellent Manager and a Proactive Person
Today, Apple is a style statement known for its innovation and much of the success of Apple is basically due to Steve Jobs, an excellent leader and manager, who using his proactivity in spite of various conflicts and controversies knows how to manage his tasks and his workforce.
Steve showed an excellent example of conflict management throughout of life and always presented himself as a proactive person. I was really fascinated when I got to read the text of his commencement speech at Stanford, when I was doing an assignment, and I felt it worthwhile to share it.He had a challenging life and a middle-class backgroung. Hr dropped out of college at Reed because his parents could not afford his college fees and their domestic shed simultaneously. But he always molded all the circumstances to his favor. He never really lost regretted his drop from college and attended calligraphy classes. And according to him, these calligraphy classes are the basis of the excellent design of Apple. And in the start, Apple was really successful but to his surprise and disgust, he was thrown out of the company he had once co-founded. But he really showed excellent example of conflict management when he was thrown out of Apple due to various controversies. Even then he kept himself extremely composed and established successful entrepreneurial ventures like 'Pixar Animation Studio' and 'Next' during his hard time. Pixar, the creator of award winning films 'Tiny Toy' and 'Toy Story', was known as the number one animation studio in the
Apple was one of several highly successful companies founded in the 1970s that bucked the traditional n Apple was one of several highly successful companies founded in the 1970s that bucked the traditional notions of what a corporate culture should look like in terms of organizational hierarchy (flat versus tall, casual versus formal attire, etc.). A company –a style statement -known for its innovation and much of the success of Apple is basically due to Steve Jobs, an excellent leader and manager, who in spite of various conflicts and controversies knows how to manage his tasks and his workforce.
Steve Jobs has totally changed the notions of what a corporate culture should look like in terms of organizational hierarchy (flat versus tall, casual versus formal attire, etc.).
Thursday, October 29, 2009
Business Gifts To Make Or Break A Deal
These days complete planet is gripped under recession and cost cutting is the talk of the town amongst various organizations. Under such severe crises companies are trying hard to maintain hold on their businesses and for this they are trying various unique ways so as to maintain the interest of their customers. This is when the importance of business gifts increases by many folds. It is the level of client which determines the type of business gift that must be offered to the client. One might be surprised to know that companies at times have dedicated staff that works on the type of business gift that must be used during various occasions after completing through study of their clients.
The task of searching for optimum corporate gifts for female clients is equivalent to climbing mountains. The major problem in case of female clients is the huge number of options available. One might easily get confused and end up messing the client’s brain. On the other hand it has its own advantages too. A well searched business gift will surely mesmerize the client and bring in more business for you in the time to come.
Getting back to the topic of recession, corporate gifts are something that doesn’t cost much and hence various organizations have vastly used such gifts to keep the client interested and to maintain the hold of its business for long term. One must note that it is the interest (eagerness/passion) of the organization that leaves a mark on client’s brain and this is what brings the client back to the organization. New business is hard to find during such periods of recession and hence it’s the old batch of clients that can bring in profits for any organization.
What Is Public Relations? It's a natural phenomenon
What else do you call a human discipline whose very nature is firmly rooted in the principle that people act on their own perception of the facts, then creates, changes or reinforces public opinion by reaching, persuading and moving-to-action the very people whose behaviors affect the organization?
I call it public relations, and clearly a natural phenomenon.
In fact, I believe it is the fundamental premise of public relations. Especially when it deals with the sheer survival of the organization by successfully altering the perceptions and, hence, the behaviors of certain groups of people important to the success of that organization.
Because public relations problems are usually defined by what people THINK about a set of facts, versus the truth of the matter, we are well-advised to focus on that fundamental premise.
Does it become any less of a phenomenon as it works its magic in the real world?
No. Instead, it is the degree of human behavioral change it produces -- through quality planning -- that defines the success or failure of a public relations program.
In my experience, there is broad agreement that people really do act on THEIR perception of the facts, and that how they react to those facts actually does affect their behaviors. So, to me, it follows that individual understanding of those facts must be continually informed if the follow-on behaviors are to help achieve the organization's goal and objectives.
In the end, a sound public relations strategy combined with effective communications tactics leads directly to the bottom line - perceptions altered, behaviors modified, client/employer satisfied. In other words, when those changes in perception and behaviors clearly meet the original behavior modification goal set at the beginning of the program, the public relations effort is successful.
So, what comes first? I believe acceptance that individual perception of the facts is the guiding light leading to behavioral change, and that something can be done about those perceptions. While not everyone buys that, I must say that it actually helped shape my career in public relations.
I asked myself some time ago, why am I working in public relations anyway? The answers only strengthened my conviction.
Was it to create major publicity for my employer or client? Often yes, but I realized that it was only an interim step designed to alter target audience perceptions and behaviors. The same response applied to every tactic from creating newsworthy special events, effective response to crises and controversial public issues to managing investor relations or major speech appearances.
Yes, such tactics are vital cogs in the public relations problem solving sequence but, again, only as interim steps designed to alter target audience perceptions and behaviors.
Fact is, NO organization -- business, non-profit or public sector -- can succeed today unless the behaviors of its most important audiences are in-sync with the organization's objectives. And that means public relations professionals must modify somebody's behavior if they are to help hit the employer/client's objective and earn a paycheck. All else are but means to that end.
Once public relations' natural phenomenon characteristics are understood, an action pathway begins to appear:
-- identify the problem
-- identify target audiences
-- set the public relations goal
-- set the public relations strategy
-- prepare persuasive messages
-- select and implement key communications tactics
-- monitor progress
-- and the end-game? Meet the behavior modification goal
And we get a bonus because we're using a near-perfect public relations performance standard. I mean, how can you measure the results of an activity more accurately than when you clearly achieve the goal you set at the beginning of that activity? You can't. It's pure success.
Of course, as we develop those interim tactical activities, we'll be nurturing the relationships between our target audiences and our employer/client's business by burnishing the reputation of the organization, its service and products. We will do our best to persuade those target audiences to do what our employer/client wants them to do. And while seeking public understanding and acceptance of that employer/client, we'll insure that our joint activities not only comply with the law, but clearly serve the public interest. Then, we will pull out all tactical stops to actually move those individuals to action. And our employer/client will be pleased that we have brought matters along to this point.
But when will that employer/client of ours be fully satisfied with the public relations results we have produced? Only when our "reach, persuade and move-to-action" efforts have produced the desired, visible modification in the behaviors of those target audiences we, and they wish to influence.
In my view, this is the fundamental premise of a natural phenomenon called public relations, and the strategic context in which we must operate.
Link: http://aboutpublicrelations.net/uckelly9a.htm