What is a market?
A market is any place where business transactions take place between buyers and seller. |
A market can be a physical place or a digital space |
What is the marketing mix
The marketing mix is also referred to as the “4 Ps of marketing” which are production, price, place and promotion. |
Production |
This identifies the goods and services that should be produced and the quantity to whom it should be made for and the design of the product. |
Price |
The price is the monetary value of the goods and services |
Place |
This is the pattern of distribution that the firm uses to get to the customer. It involves storing and moving products to the customer often through intermediaries such as wholesalers and retailers and also includes transportation. |
Promotion |
4. Promotion – These are the methods used to make consumers aware of the product. (e.g. through advertising or sales promotion) |
Factors that influence consumer behaviour
Price |
Price of substitute goods |
Quality |
Taste |
Traditions |
Income |
Spending Patterns |
Brand loyalty |
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What is marketing?
Marketing can be described as the process used to identify, predicting and satisfying consumer needs whilst, also making a profit |
Social Media Marketing
This is the use of various social media platforms and websites to promote the business and to also receive feedback from consumers. |
Integrated Marketing
This is the use of various advertising forms, including social media marketing. |
This is used to provide an immersive experience for the consumer and to strengthen the firms brand. |
What are pricing strategies.
Cost - Plus Pricing |
Cost-plus pricing occurs when you take the unit cost of every item and add the profit margin and the fixed coststo arrive at the price |
Penetration Pricing |
This occurs when a firm sets a low price to enter a market and gradually raises the price. |
Market-skimming pricing |
– involves charging a high price to secure a large profit |
Competition base pricing |
This occurs when a firm sets their prices based on what the prices of other products in the same market |
Psychological pricing |
setting prices just below certain levels so they appear cheaper to the average customer |
Presentation and Packaging of goods
Presentation |
factors include: size, shape, design, labelling |
Use of brand names: |
▪ It helps in creating customer loyalty
▪ Legal protection for ownership rights is given to companies
▪ Firms can promote the product more easily through advertising
▪ It helps to increase sales |
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What are marketing activities
Marketing activities are those things a business owner or business undertake to boost sales and improve its brand. |
Market Research |
This is the systematic gathering, recording and analysing of data about problems relating to a specific marketing situation. |
Price |
This is the process whereby the business sets the price at which it will sell its products and services. |
Packing |
This is how a saleable product is wrapped, displayed and presented to the customer. It includes the display, the description, safety precautions and instructions on the use of the product. |
Branding |
This is the name, sign, symbol or design that differentiates the product of a company from its competitors. A brand name is permanent. A good example of a brand name is Nike. |
Advertising |
This can be informative, persuasive, comparative or a reminder of a product on the market. |
Sales Promotion |
Defined as short term incentives designed to encourage the sale and purchases of goods and services. |
Distribution |
This is the process of making a product or service available for the consumer or business user that needs it. It can be done directly or indirectly with distributors. |
Describe methods of promoting sales
Advertising |
This is done through functions, forms and social media. |
Functions:
➢ Highlight unique features of a product
➢ Build a firm’s image around its products
➢ Educate consumers about the product
➢ Highlight special events such as sales and late opening |
Forms:
➢ Electronic – radio, television, telephone, telemarketing
➢ Printed media – newspapers, magazines
➢ Other media – posters, billboards |
Social Media: |
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