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Slide 1 - Marketing Management Chapter 4
Slide 2 - Five approaches to Marketing Production Approach- produce as much as possible at lowest possible cost Product Approach- produce high quality product and the world will beat a path to your door. marketing Approach- produce a product that fills a consumer need, price it correctly, make readily available and promote it properly and the marketing success will follow Societal Marketing Approach- extend the marketing approach to consumer's and society’s well-being
Slide 3 - Agribusiness and the Marketing Approach the old way Functional approach “The nine marketing functions” Commodity approach “single commodity from the farm to the fork” Institutional Approach “examine the roles of the middleman”
Slide 4 - Use of the Marketing Approach the new way Give direction to production Identifying consumers, wants Involve all part of organizational levels
Slide 5 - What is Marketing Marketing is the ability to identify and satisfy customer needs at a profit Marketing concentrates on customer/clients and what they need or want customers are the essence of marketing - they are the source of sales and profits
Slide 6 - Aim of Marketing The aim of Marketing is to have: the right product or service at the right price at the right place at the right time
Slide 7 - Marketing Mix
Slide 8 - product The first "P" of the marketing mix deals with the product. The positioning, packaging, etc.
Slide 9 - The Marketing Mix PRODUCT - what is it that you are going to sell. Product Mix - range of PRODUCTS or SERVICES offered for sale Product Features- color, packaging, quality, brand name Product Support - maintenance, after-sales Service, pre-sale like advice and Quotations
Slide 10 - Price The second "P" of the marketing mix is price.  There are several options to consider regarding price: 1) price matching, 2) price making, 3) introductory penetration pricing, and 4) a competitive upgrade price strategy.
Slide 11 - The Marketing Mix Pricing - not just how much you charge for a product but how the price fits your target market and the image you wish to develop. Pricing Methods you choose depends on: competition in the market and your marketing strategies demand for your product controlled pricing your costs perceived value
Slide 12 - Place The 3rd "P" of the marketing mix deals with product placement--the width of distribution
Slide 13 - The Marketing Mix Distribution - how your products or services reach your customers Distribution Methods Customers come to you You take the product/service direct to the customer You use an agent merchant franchise etc. to reach your customer
Slide 14 - The Marketing Mix LOCATION - the place of the business "locate your business where the market is". Factors in Selecting an area: Customer accessibility Adequacy of transport/communication facilities Supply of skilled labor Population Trends
Slide 15 - Promotion   Our promotions are designed to create demand.  PR, Online Marketing, Advertising, Direct Marketing and Event Marketing.
Slide 16 - The Marketing Mix ADVERTISING and PROMOTION - are aimed at Making potential customers aware of the existence of your business, your product and services and to encourage them to buy from you.
Slide 17 - The Marketing Mix Different Methods of promoting your product or service Public Relations - establishing a favorable image Publicity - feeding media of information that is Of public interest (free advertisement) Sales Promotions Merchandising - point-of-sale display
Slide 18 - The Marketing Mix Advertising - purpose is to inform people how best they can satisfy their needs and wants and how they can benefit by buying your goods and services.
Slide 19 - The Marketing Mix What advertising can do Principle of AIDA A - Attention I - Interest D- Desire A - Action
Slide 20 - http://classical add
Slide 21 - http://Budweiser
Slide 22 - The Marketing Mix Yellow Pages Directory Radio Television Cinema Telephone Outdoor Advertising Billboards Business Cards Internet Advertising Options Local Press General Press Brochures Catalogues/Letterbox drops Direct Mail Trade Journals Magazines Directories
Slide 23 - The Business Plan
Slide 24 - Analyzing Market Potential The transition from mass to target marketing Estimating market potential The macroeconomic approach The population approach The consumption approach
Slide 25 - Discussion Questions Explain why an agribusiness manager should be interested in having a clear purpose and objective. Explain the relationship between marketing and the four functions of management. Describe and explain how the role of marketing has changed the way agribusinesses operate. Explain why it is important to adopt the marketing approach to be successful in agribusiness.
Slide 26 - Discussion Questions Describe the business planning process and explain the role of consumer needs in this process. The unifying theme of this book is maximizing the long-term profits of the firm by profitably satisfying consumer needs. Explain this in your own words. Do you agree or disagree with it? Explain why you feel this way.
Slide 27 - Discussion Questions In this chapter you found the phrase “by meeting a consumer need the firm earns its right to make a profit.” Explain this in your words. Do you agree with this statement? Explain why you feel this way.
Slide 28 - Discussion Questions The use of the marketing approach in an agribusiness leads to greater economic efficiency and greater consumer satisfaction. Do you agree or disagree with this statement? Explain why you feel this way. Identify the 4 P’s of the marketing mix and explain why they are called controllable. Explain why you would want to control them.
Slide 29 - Discussion Questions What is the difference between business planning and strategic planning? Describe how information technology has changed the marketing management process. Explain your answer.