Marketing-and-sales

LOGOMarketingandsalesContentsFindingoutwhatthecustomerswant1Marketingmix2Marketingplan3Conclusion4FindingoutwhatthecustomerswantTheobviouswaytofindoutwhatthecustomerswantistoaskthem.However,definingthecustomerisnotalwayseasy.Thereisacasestudyofcorporatetraining.FindingoutwhatthecustomerswantSteveisanexperiencedcorporatelanguagetrainer,hewasplanningtosetuphisowntrainingserviceinParis.Casestudy:CorporatetrainingCorporatetrainingThetrainingmanagersThetraineesFindingoutwhatthecustomerswantThetrainingmanagersweregenerallyconcernedwithcost,administrativeefficiency,andgatheringfeedbackfromthetrainees.Theirexpectationsincluded:(1)thesatisfactoryfulfillmentofthespecificneedsandinterestsofthetrainees,inordertomeettheirjobrequirementsand/orpersonalwishes(2)atrainingcentrelocatedneartheircompany(withinfivemiles)(3)abrochureabouttheLTOtodistributetotheiremployees(4)valueformoneywithcompetitivepricing(5)administrativeefficiencyonbehalfoftheLTO(6)aflexiblecancellationpolicyasattendanceisoftenprecludedbyotherprofessionalcommitmentsoftrainees(7)coursesbefore9.00andafter18.00preferred(i.e.outofworkinghours).FindingoutwhatthecustomerswantTraineeswere,forthemostpart,concernedwiththequalityofthetrainingitself.Theirexpectationsincluded:(8)lateorabsentteachers(9)anapproachtoteachingthattheyregardedastooscholarlyor,attheotherextreme,theinstructorsimplyheldinformal'chat'sessions(10)alackofaplannedpedagogicalprogrammewithobjectives(11)amismatchbetweenthelevelofindividualtraineesandtherestofthegroup(i.e.theeffectofmixedabilitiesontheeffectivenessoftheclass)(12)lackofmaterials:studentsoftenfinishedthecoursewithaflotsamofphotocopies(13)homeworkeithernotassignedorassignedbutnotchecked(14)afeelingamongtraineesthattheyhadnotmadeanyprogress(15)coursecontenteitherunsuitableorirrelevant.SegmentationrequirementstherearedifferencesbetweensegmentsmembersofthesegmentarethesameorverysimilarthesegmentislargeenoughtobeprofitableitispossibletodevelopaproductorserviceforthesegmentsegmentsizeandpurchasingpoweraremeasurablethesegmentcanbereachedefficientlyThereareseveralrequirementsforsuccessfulsegmentationTask◆Whatarethesegmentsthatthesecoursesareintendedfor?◆Howarethesesegmentsdefined?◆Isthereanycustomersegmentexcludedbyyourcurrentoffers?◆Ifso,whatisthissegmentandwhatareitscharacteristics?◆Inparticularwhatproduct/course/servicecouldyoudeveloptomeettherequirementsofthissegment?:ContentsFindingoutwhatthecustomerswant1Marketingmix2Marketingplan3Conclusion4MarketingmixproductpricingpromotionplaceMarketingmixTheFourPsMarketingmixThereisalsoanadditionalsetofPswhichareespeciallyimportantforthekindsofservicesprovidedbyLTOs.processpeoplepackagingphysicalevidenceProductSpecificationsoftheactualservice,andhowitrelatestodiecustomers'needsandwants.Thewayyourservicesarespecifiedneedstomakesensetotheprospect.Theriseindemandforcustomizationofservicesalsomeansthatspecificationsneedtoconsiderindividualneeds.ProductportfolioEvenasmallLTOwillhaveaportfolio,orrange,ofproducts.Awell-knownmethodforsuchplanningistheBostonConsultingGroupMatrix.BusinessgrowthHighSTARQUESTIONMARKLowCASHCOWDOGHighLowRelativeposition(marketshare)Bostonmatrix(BostonConsultingGroup)ProductportfolioThecharacteristicsoffourcategoriesofSBUs.StarsCashcowsQuestionmarksDogsHighgrowthHighshareSBUislikelytoGenerateenoughCashtobeself-SustainingLowgrowthHighshareSBUcanbeusedtoSupportotherBusinessunitsHighgrowthLowshareSBUrequiresalotofcashtomaintainMarketshareLowgrowthLowshareSBUisacashtrapProductportfolio1Buildshare:heretheLTOcaninvesttoincreasemarketshare2Hold:heretheLTOinvestsjustenoughtokeeptheSBUinitspresentposition.3Harvest:heretheLTOreducestheamountofinvestmentinordertomaximizetheshort-termcashflowsandprofitsfromtheSBU.4Divest:theSBUcanbedivestedbyphasingitoutorsellingitinitordertousetheresourceselsewhereFourpossiblestrategiesforeachSBUPricingMarket-orientatedpricingCompetitor-orientatedpricingMarginalcostpricingFull-costpricingFourapproachestopricingUSPVariouslycalledUniqueSalesProposition,UniqueSellingPropositionorUniqueSellingPoint.YourUSPiswhatwillattractpotentialcustomersandenableyoutochangemore.Toensurethis,yourUSPreallymustbeunique,providingsomethingthatotherprovidersdonot,cannot,orwillnotoffer.TaskPricingisimportant,asftcanmakethedifferencebetweensuccessandfailureinsellingaproduct,andmakingaprofit.◆WhatisthebasisforpricinginyourLTO?Infact,pricingpolicymayhavebeendecidedbyamanagerwhoisnolongeronthestaff.Howsignificantispricinginrelationtoprofitability?◆Whatisthegoingrateforsimilarservicesamongyourcompetitors?VirtuallyallLTOshavepublishedprices(sometimescalledthe'rackrate'),soitisrelativelyeasytoestablishthegoingrateforcomparablecourses.Discountratesandspecialdealsare,ofcourse,notmadepublic,butbyusingacombinationoftakingnoteoflocalgossipanddoingsome'mysteryshopping'(seeVignette4.4,p.108),itispossibletogainanideaofwhatdiscountscompetitorsareoffering.:Task◆Whatbenefitsareyourcustomerspreparedtopayfor?Howisthisreflectedin(a)youroffer,and(b)market-orientatedpricingpolicy?Benefitscouldincludea