Marketing

GHADA A. HAMMOUD

MARKETING
M MEETING CUSTOMERS NEEDS
A ATTRACTING NEW CUSTOMER
R REACTING TO MARKET TRENDS
K KEEPING UP WITH COMPETITORS
E ENCOURAGING CUSTOMER LOYALITY
T TARGETING SPECIFIC CUSTOMERS
I IDENTIFYING MARKET OPPORTUNITIES
N NOTING CUSTOMER FEEDBACK
G GETTING IT RIGHT EVERYTIME

DEFINITIONS
It is a Business
Performance that directs
the flow of goods, services
and ideas from the
producer to the consumer

It is a Total System of
interacting activities directed to
plan, price, promote and
distribute the product to both the
actual and potential consumer

It is the Managerial
Process that aims to
anticipate and satisfy the
clients needs and wants
and achieve profit

DEFINITIONS

It is a Human Process
that aims to satisfy the
consumers needs and
wants through an exchange
,process

TOURISM MARKETING
PERORMANCE OF BUSINESS ACTIVITIES
TOTAL SYSYTEM OF INTERACTING
ACTIVITIES 4Ps
MANAGEMENT PROCESSPROFIT
MARGIN
HUMAN ACTIVITY.EXCHANGE
PROCESS
CONSUMER SATISFACTION

MARKETING 4Ps
P
P
P
P

PRODUT PLANNING
PRODUCT PRICING
PRODUCT PROMOTION
PLACES OF DISTRIBUTION

OTHER Ps 3
(SERVICES)
P PEOPLE ..EMPLOYEES
P PHYSICAL PERFFORMANCE PRESENTATION
P PROCESS OF DELIVERY
--------- - ------ - ----- - ----- - ---- P PACKAGING

MARKETING 4 Cs

C CUSTOMER VALUE
C COST TO CONSUMER
C CONVENIENCE
C COMMUNICATION

CUSTOMER S

SIVA

S OLUTION: HOW CAN I SOLVE MY PROBLEM

I NFORMATION : WHERE CAN I LEARN MORE ABOUT
?IT

V ALUE:

WHAT IS MY TOTAL SACRIFICE TO GET

?THIS SOLUTION
?A

CCESS: WHERE CAN I FIND IT

Marketing Mix
Some marketing tools & activities utilized in a
certain marketing campaign
MARKETERS TASK: to devise these activities
&assemble fully integrated marketing
programs to create, communicate and
deliver value for consumers

KOTLER S MIX
:PRODUCT PLANNING- 1
GREAT DIFFERENCE BETWEEN
MANUFACTURED
(CONVENTIONAL) PRODUCTS
AND SERVICES (TOURISM)

DIFFERENCE BETWEEN
PRODUCTS & SERVICES
A PRODUCT IS ANYTHING THAT
CAN BE OFFERED TO A MARKET
FOR ATTENTION, ACQUISITION,
USE OR CONSUMPTION THAT
MIGHT SATISFY A NEED OR A
WANT. IT INCLUDES PHYSICAL
OBJECTS , SERVICES, IDEAS,
. PLACES AND ORGANISATIONS

PRODUCT: MIX (COMBINATION) OF

TANGIBLE GOODS AND INTANGIBLE
SERVICES..PRODUCT/ SERVICE
MIX
SERVICES: INTANGIBLE & ARE RESULT
OF HUMAN AND MECHANICAL
EFFORTS APPLICATION ..PROMISES
OF SATISFACTION

SERVICES
CHARACTERISTICS
:HETEROGENEITY- 1
DIFFERENT STANDARD AT EVERY
CONSUMPTION OCCASION
AIRLINES TRIPS
EVERYTIME THE TRAVELER PASSES
DIFFERENT EXPERIENCE WITH THE
SAME AIRLINETHE MEAL/ MOOD/
STAFF PERFORMANCE/ OCCASION
DIFFERENT EXPERIENCE.NO
STANDARDAIZATION

PERISHABILITY -2
IF SERVICES NOT SOLD
PERISHABLE..NEVER
RECOVERED..SEAT ON THE
PLANE CANNOT BE PUT INTO
STORAGE FOR LATER
CONSUMPTION
EMPTY SEAT..LOST*
BUSINESS..LOST PROFITABILITY

LACK OF OWNERSHIP - 3

SERVICES LEAD TO FEELING OF

SATISFACTION RATHER THAN
TANGIBLE ITEM

INTANGABILITY - 4

COULD NOT BE TRIED

BEFORE BUYING
CUSTOMERS DEPEND
ONLY ON WORD OF
MOUTH..EXPERIENCE

INSEPARABILITY - 5
SERVICES ARE PRODUCED AND
CONSUMED AT THE SAME TIME
AND CANT BE SEPARATED
FROM THEIR PROVIDERS

CHARACTERISTICS OF
INTANGIBLE PRODUCT:
(TOURISM)
INFLEXIBLE AND RIGIDFIXED ASSET..SHORT- 1
TERM
SHORT SHELF LIFE..PERISHABLE...NO. OF - 2
SEATS X NO. OF TRIPS
INFLUENCED BY LAW OF SUBSTITUTION- 3
COULDNT BE TRANSFERRED FROM ITS PLACE - 4
..SB IDEAL IN DISTRIBUTING YR PRODUCTS
CANT BE SEEN OR VALUED BEFORE- 5
PURCHASE.. MARKET EFFORTS SB VERY
STRONG

DIFFERNCE BETWEEN
GOODS AND SERVICES
CONVENTIONAL
GOODS

SERVICES

HOMOGENEOUS
STORABLE(LONG SHELF
LIFE)

HETEROGENEOUS
PERISHABILITY

TRANSFER OF
OWNERSHIP

LACK OF OWNERSHIP

TANGIBLE
PRODUCTION &
DISTRIBUTION ARE
SEPARATED

INTANGIBLE
INSEPARABILITY

PRODUCT LEVELS
CORE BENEFIT
BASIC PRODUCT
EXPECTED PRODUCT
AUGMENTED PRODUCT
POTENTIAL PRODUCT

FIVE PRODUCT LEVELS

EACH LEVEL ADDS VALUE TO
CONSUMER
ALL FIVE COLLECTIVELY FORM A
CONSUMER HIERARCHY
CORE BENEFIT..BASIC SERVICE OR-1
BENEFIT THAT CUSTOMERS ARE
BUYING ..AIR TRAVELER IS BUYING A
QUICK SAFE MODE OF TRANSPORT

PRODUCTS LEVELS
.CONT
A BASIC PRODUCTAIRPLANES-2
HAVE SEATS & BATHROOMS
EXPECTED PRODUCT: EXTRAS- 3
EXPECTED BESIDES THE CORE
PRODUCT TO HAVE.. AIRLINES ARE
EXPECTED TO OFFER BESIDES
SEATS (COMFORTABLE) , HOT
MEALS, POLITE AND HELPFUL CABIN
CREW LOW FARES (COMPETITION)

PRODUCTS LEVELS
.CONT
:AUGMENTED PRODUCTS- 4
PRODUCTS THAT EXCEEDS
CUSTOMER EXPECTATIONS
AIRPLANES WITH LCDs TV
SCREENS, MOBILES, BAGGAGE
ALLOWANCE..ETC (COMPETITION
BETWEEN CARRIERS)

PRODUCTS LEVELS
.CONT
:POTENTIAL PRODUCT- 5
MARKETERS SEARCHING FOR
EXTRA FEATURES TO COMPETE
AND DISTINGUISH BECAUSE
AUGMENTED PRODUCTS TURN
.TO EXPECTED BY TIME

Other conception of
product s levels
:CORE PRODUCT- 1
WHAT THE CONSUMERS ARE REALLY
BUYING ..MAIN BENEFITS OR
BENEFITS THE PURCHASER
IDENTIFIES
MARKETERS NEED TO TURN CORE
PRODUCT INTO ACTUAL ONE

.Second conception cont

:ACTUAL PRODUCT: includes- 2
features brand name quality styling packaging -

.Second conception cont

:Augmented Product-3
ALL ADDITIONAL SERVICES AND BENEFITS
THE TOTAL PRODUCT BUNDLE THAT
SOLVES THE CUSTOMERS PROBLEMS ,
EVEN SOME THEY HAVE NOT YET
THOUGHT OF YET..CAR PARKING,
OPENING TIME, SERVICES FOR SPECIAL
NEEDS VISITORS, HANDLING
COMPLAINTS, CATERING
ELEMENTS UNDER THE CONTROL OF THE(
) PRODUCER

PRODUCT / AVIATIAN
INDUSTRY

!!GUESS

EXERCISE
:CHOOSE ONE OF THE FOLLOWING PRODUCTS
AN AIRLINE FLIGHT- 1
A THEATRE PERFORMANCE- 2
A PACKAGE HOLIDAY OR FIT- 3
A RESTAURANT MEAL- 4
FOR YR CHOSEN PRODUCT YOU SHOULD IDENTIFY
THE CORE, ACTUAL AND AUGMENTED
ELEMENTS OF THE PRODUCT
PRESENT YOUR IDEAS IN A DIAGRAM
FORM,TOGETHER WITH A BRIEF EXPLANATION
OF THE CONTENT OF YOUR DIAGRAM

PRODUCT / AVIATIAN
INDUSTRY
BASIC PRODUCTS + COMPLEMENTS

FLIGHT SERVICES
QUALITY OF FLIGHTS
MULTI DESTINATIONS
SECURITY
OTHER FACILITIES

PRODUCT / AVIATIAN
INDUSTRY
PRE-FLIGHT PRODUCTS /SERVICES- 1
(P/S)SELF SERVICE KIOSKS, TOTAL
REFUND, NO CHARGE FOR
CHANGE,LOUNGE ACCESS
..ON- BOARD P/S.. MAGAZINES/LCDs- 2
AFTER FLIGHT P/S.. limousines,- 3
speedy baggage

Product Planning and

Design
PRODUCT LIFE CYCLE
TAKE OFF (INTRODUCTION)..INOVATION- 1
GROWTH AND EXPANSION- 2
MATURITRY-3
STAGNATION ( MODIFYING BOTH- 4
PRODUCT & MARKETING MIX)
DECLINE (DOWN TURN)..CHANGE OF-5
)PREFERENCES/TASTES/NEW TRENDS
RENOVATION- 6

.LIFE CYCLE CONT

INOVATION..SLOW GROWTH .. LOW PROFIT.1
GROWTH..RAPID SALES GROWTH .. INCREASING PROFIT-2
MATURITY..SALES GROWTH PEAKS .. PROFITS STABILISE-3
DECLINE..SALES & PROFITS DECREASE- 4
GET RID OR MAINTAIN OR HARVEST
PRODUCT

NORMS OF SELECTING
TARGET MARKETS
Target market should be:

1- Measurable
2- Reasonable size
3- Easily identified
4-Contiuing to a reasonable period
5- competitive

TWO CONCEPTS IN
PLANNING PRODUCTS
AMERICAN CONCEPT: MARKET-1
ORIENTED..BEGIN AND END
WITH THE MARKETMORE
PROFITS
:EUROPEAN CONCEPT-2
QUALITY ORIENTED

MARKET POSITIONING
ARRANGING FOR A PRODUCT TO OCCUPY A
CLEAR, DISTINCTIVE,DESIRABLE PLACE
RELATIVE TO COMPETING PRODUCTS IN
. THE MINDS OF TARGET CONSUMERS
FORMULATING COMPETITIVE POSITIONING
FOR A PRODUCT AND A DETAILED
MARKETING MIX
PLACE..COMPETITORS..CONSUMERS

STEPS OF DEVELOPING
A POSITIONING PLAN (7)
DEFINE SEGMENTS IN MARKET- 1
WHICH ONE U NEED- 2
EXPECTATION OF TARGET CONSUMER-3
DEVELOP SUITABLE PRODUCT-4
EVALUATE POSITIONING & IMAGE OF YR-5
CONSUMERS TO YR COMPETITORS
SELECT YR IMAGE-6
TELL TARGET CUSTOMERS ABOUT YR-7
.PRODUCT(PROMOTION) +RIGHT PRICE
THIS IS THE DEVELOPMENT OF THE MARKETING
MIX.LOW COST AIRLINES

PLANNING PRODUCT
PROCESS
IDEA.. INSIDE OR OUTSIDE- 1
BRAIN STORMING-2
CLASSIFICATION-3
SURVEY-RANKING-4
ANALYSIS OF NEW IDEAS-5
)

PLANNING PRODUCT
.PROCESS CONT
REDEFINITION- 6
ECONOMIC FINANCIAL STUDIES- 7
TEST- 8
IMPLEMENTATION /COMMERCIALISATION- 9
EVALUATION-10

WORKSHOP
REMEMBER NOT ALL
PRODUCTS PASS SIMILAR
STAGES OR ALL

PRODUCT PRICING - 2
PRICE IS THE KEY ELEMENT IN THE MARKRETING MIX FOR A
PROFIT MOTIVATED ORGANIZATION
;KEY FACTORS THAT DETERMINE PRICINING DECISIONS
PRICING OBJECTIVES- 1
ORGANISATIONAL/MARKETING OBJECTIVES- 2
CHANNEL MEMBER EXPECTATIONS(INTERMEDIARIES)-3
COSTS- 4
LEGAL AND REGULATORY ISSUES-5
COMPETITION-6

DIFFERENT
APPROACHES TO
PRICING

COST- ORIENTED- 1

DEMAND- ORIENTED- 2
COMPETITION -ORIENTED- 3

Pricing Theories
Competitors Pricing Theory
Leadership Pricing Theory
Psychological Pricing Theory
TRIAL AND ERROR
Scientific Pricing Theory

PRICING
TECHNIQUES
1-MARK UP PRICES
2-DIFFERENTIAL PRICING:
SEASON/SERVICE
3-MARKET PENETRATION
PRICING:MARKET ENTERY AND
SATISFACTORY SHARE
4-MARKET SKIMMING PRICING:HIGH
PRICES AND
MARKET CAN BEAR DUE TO PRODUCT
UNIQUENESS

PRICING
.TECHNIQUES CONT
: PROMOTIONAL PRICING-5
CHEAP PRICES FOR REASONS OF

PROMOTION
PRODUCT BUNDLE PRICING: SELL-6
PRODUCTS AS PACKAGE
BRAEK-EVEN ANALYSIS: BUSINESS IS-7
NOT LOSING OR EVEN GETTING
PROFITS

PRICING
.TECHNIQUES CONT
8-PRESTIGE PRICING: SPECIAL HIGH
PRICE FOR LUXURY
TOURISTS
9- SENSTIVITY PRICING: According to
the consumers perception of value
10-COMPETITION BASED PRICING:
SPECIAL PRICES TO CONFRONT
COMPETITION

.Ex
CRITICALLY EVALUATE THE DIFFERENT
METHODS OF CALCULATING PRICES.
OUTLINE WHAT YOU BELIEVE BE
THE MOST APPROPRIATE METHOD
OR METHODS FOR CALCULATING
THE PRICE OF ONE OF THE
FOLLOWING PRODUCTS
i- A restaurant meal ii- An airline seat
Iii- A theatre ticket

PRODUCT PLACES OF -3
DISTRIBUTION
ACCESS
DISTRIBUTION CHANNELS
..MARKETING INTERMEDIARIES

.PLACES CONT
Suppliers

Channels of Distribution

Tourist

.PLACES CONT
Suppliers
Transportation

Accommodation

Attractions

Tour Operators
Travel Agencies

Tourist

DISTRIBUTION
CHANNEL FOR AIRLINE
SEATS
AIRLINE

DIRECT
TOUR
VIA CALL CONSOLIDATORS OPERATORS
CENTRES

RETAILERS

TRAVEL AGENTS

PASSENGERS

AFFILIATION DIRECT VIA

ONLINE
WITH OTHER RESERVATIONS
COMPANIES
SYSTEMS

PLACE=DIRECT
MARKETING
DEVELOPMENTS IN MULTIMEDIA
SYSTEMS ARE OPPORTUNITIES TO
DEVELOP DIRECT MARKETING
CHANNELS..EASIER TO DISTRIBUTE
PRODUCTS INTERNATIONALLY
DIRECT MKTING VIA INTERNET
..SERIOUS THREAT TO HIGH ST.
.RETAILERS (REVOLUTION)

PRODUCT PROMOTION - 4
Promotion is to convince
pot. Consumers of the
benefits of purchasing P/S
.of a particular organization

PROMOTION OBJECTIVE

A I D A
A= AWARENESS
I= INTEREST
D= DESIRE
A= ACTION(TRIAL/ ADOPTION)

PROMOTIONAL
TECHNIQUES
SPONSORSHIP ADVERTISING

POINT OF
SALES MATERIALS

BROCHURES

PERSONAL SELLING

PRESS OR
PUBLIC RELATIONS

SALES PROMOTION
DIRECT MAIL

ADVERTISING
IT COULD BE REFERRED TO AS
THE PAID FORM OF NON
PERSONAL PRESENTATION AND
PROMOTION FOR IDEAS, GOODS
AND SERVICES BY IDENTIFIED
SPONSOR

ADVERTISING

THUS ADVERTISING IS THE

NON-PERSONAL SELLING
WHERE THE CLIENT IS
APPROACHED THROUGH
DIFFERENT MULTI MEDIA

ADVANTAGES OF
ADVERTISING
FLEXIBLE TARGET LARGE AUDIENCE
OR MARKET NICHES
COST EFFICIENT ..LARGE NO. OF
PEOPLE AT A LOW COST PER
PERSON
MESSAGE CAN BE REPEATED
REGULARLY &VIA DIFFERENT
MEDIAS..TV,MAGAZINES,OUTDOOR
DISPLAYS

ADVERTISING
DISADVANTAGES
EXPENSIVE TO DESIGN &CARRY
OUT PARTICULARLY ON
PRIMETIME TV
DIFFICULT TO MONITOR ITS
EFFECTIVENESSAIMS ARE
LONG TERM IN NATURE

TYPES OF ADVERTISING
TELEVISION

VISUAL/ MOVING
REACHES WIDE AUDIENCE
EXPENSIVE

RADIO

RELATIVELY LOW IMPACT

INEXPENSIVE

NEWSPAPERS

VISUAL IMAGE
STORED
MODEST PRODUCTION COSTS
TIED TO PARTICULAR TIMES

.TYPES OF Ads CONT

PERIODICALS

VISUAL IMAGE
MORE TARGET AUDIENCE
INFREQUENT PRODUCTION

ANNUAL GUIDES & YEARBOOKS

HIGH COVER PRICE
CONSULTED BY GROUPS OF PEOPLE

.TYPES OF Ads CONT

POSTERS &VISUAL DISPLAYS
VISUAL IMAGE
COLOURFUL
STATIONARY IMAGE
MAY BE EXPENSIVE FOR PRIME SITES

ADVERTISING
..SLIDE 73

BROCHURES
BROCHURE PRODUCTION FORMS
MAJOR PART OF THE
PROMOTIONAL ACTIVITY
INEFFECTIVENOT.RIGHT
PEOPLE/RIGHT TIME

PRESS& PUBLIC
RELATIONS
PUBLICITY: NON PERSONAL
COMMUNICATION TRANSMITTED
THROUGH THE MEDIA ..NO CHARGE
(NOT PAID)
PR SHOULD USE EFFECTIVE
PUBLICITY.EMPLOY PR AGENCIES

PRESS& PUBLIC
.RELATIONS CONT
ORG. SHOULD DEVELOP
EFFECTIVE METHODS OF
GENERATING PRESS
RELEASES& RELATIONSHIPS
WITH THE MEDIA EDITOR
COVERAGE

PRESS& PUBLIC
.RELATIONS CONT
:PUBLIC RELATIONS
IMPROVING AWARENESS ,
CREDIBILITY,COMBATING
COMPETITION,EVALUATING NEW
MKS,REINFORCING EFFECTIVENESS
OF SALES PROMOTION&
ADVERTISING,BUILDING BRAND
LOYALTY..CLOSE THE CYCLE

SALES PROMOTION
SHORT TERM INCENTIVES TO
ENCOURAGE PURCHASE OR SALES OF A
P/S
IT INCLUDES
COUPONS/BONUSES..DISCOUNTS
USED WHEN THE MARKET IS SEASONAL
BOTTLE OF CHAMPAGNE IN F CLASS
AIR MILES(LOYALTY SCHEMES) LONG
TERM SALES PROMOTION

PERSONAL SELLING
PERSUADING IN A FACE- TO -FACE
SITUATION
ORAL PRESENTATION IN A
CONVERSATION WITH 1 OR MORE
PURCHASES FOR PURPOSE OF
MAKING SALES
ORAL PRESENTATION FOR BOTH
FINAL CONSUMER OR
INTERMEDIARIES

PERSONAL SELLING
. CONT
ADVANTAGES..ACHIEVING
GREATER IMPACT & IMMEDIATE
FEEDBACK
DISADVANTAGES DIRECTED AT
SMALLER GRPs COMPARED TO
.Ads

EXAMPLE: PERSONAL
SELLING
CABIN CREW AS SALES
PERSON

CONSIDER THE EXAMPLE OF CABIN

CREW ON THE PLANES
THE CUSTOMER IS LOOKING TO THE
CREW AS IMPORTANT SALES
PERSON AND CAN HV
EXPECTATIONS THAT MAY AFFECT
THEIR OVERALL EXPERIENCE
DRESS/LANGUAGE/MENU/SERVICE/DE
ALIND WITH CHILDREN

DIRECT MAIL
DIRECT MAIL & TELEPHONE SELLING
USED FOR PROSPECTIVE
CUSTOMERS TO INITIATE SELLING.
ALSO USED WITH ACTUAL
CLIENTS..REPEAT PURCHASES
CAN TARGET CUSTOMERS IN
DISTRIBUTION CHANNELS..B2B
MARKETING

.DIRECT MAIL CONT

DEVELOPING MAILING LISTS
CUSTOMER DATA BASE
DEVELOPED EITHER
INTERNALLY..PREVIOUS SALES
DATA( THOSE WHO HAVE DIRECT
CONTACTS WITH CUSTOMERS) OR
BOUGHT FROM MAILING HOUSES OR
LIST BROKERS

.DIRECT MAIL CONT

DISADVANTAGE
PEOPLE OFTEN CONSIDER
DIRECT MAILJUNK..DELETE

POINT OF SALE
MATERIALS
ANY MATERIAL USED TO PROMOTE
THE PRODUCT/ SERVICE, USUALLY
DISPLAYED CLOSE TO RETAIL UNITS
OUTSIDE SIGNS,WINDOW DISPLAYS,.
DISPLAY RAILS TO ATTRACT
ATTENTION
PUSH PEOPLE INTO PURCHASE
DECISION..LATER REGRET

SPONSORSHIP
AN AIRLINE SPONSORS A FOOTBALL
TEAMRAISE AWRENESS, POSITION
.THE ORG
SPONSORSHIP IS THE FINANCIAL OR
MATERIAL SUPPORT OF AN EVENT ,
ACTIVITY, PERSON, ORG. OR
PRODUCT BY UN -RELATED ORG.OR
.DONOR
GIVE FUNDS..GET EXPOSURE OF
SPONSORS NAME OR BRAND

EXERCISE
:CHOOSE ONE OF THESE NEW PRODUCTS
A NEW LONG HAUL HOLIDAY DESTINATION IN A PROGRAMME- 1
WHICH IS AIMED AT UP- MARKET CLIENTELE WHO SEEK
EXCLUSIVITY. YOU MUST BASE YR PROJECT ON A REAL DEST
A NEWLY BUILT THEME PARK AIMED AT FAMILY MARKET. U-2
SHOULD SPECIFY WHERE YR HYPOTHETICAL THEME PARK IS
LOCATED
THE LAUNCH OF A NEW SERVICE BETWEEN TWO CITIES BY A- 3
SCHEDULED AIRLINE
:FOR YOUR CHOSEN PRODUCT YOU SHOULD
A- DESIGN A BROCHURETHAT WILL APPEAL TO TARGET MARKET
B- PREPARE AN AD CAMPAIGN TO PROMOTE THIS NEW PRODUCT ,
INCLUDING YOUR CHOICE OF MEDIA THAT WOULD BE USED &
THE DESIGNOF PROPOSED ADVERTISEMENTS
.

BRANDING -5

BRAND IS ONE KEY

METHOD FOR
COMPETITIVE
ADVANTAGE

BRANDING
Factors upon which a strong brand
:depends on
A GOOD PRODUCT (QUALITY)- 1
COMPETITIVE PRICING-2
GOOD DISTRIBUTION PACKAGE- 3
STRONG ADVERTISING &PUBLICITY- 4
DISTRIBUTION-5
CONSISTENT PRICES-6

.BARANDING CONT
TRUST THE BRAND
:AIRLINES
UNIFORM CLOTHING..UNIFORM
BEHAVIOUR..LESS IDIOSYNCRASIES
EMPLOYEE FEELS PART OF ORG. AND
THE CLIENT EXPECTS THE
EMPLOYEE TO ACT OUT THE IMAGE

WHY WE DEVELOP A
?BRAND IMAGE
FIVE TIMES CHEAPER TO RETAIN CURRENT CUSTOMER- 1
!THAN TO ATTRACT NEW ONES
SERVICE LIFE CYCLES ARE BECOMING SHORTER..NEW- 2
SERVICE DEVELOP. THUS ASSUMES IMPORTANCE
THE SERVICE ITSELF MAY OFFER NO UNIQUE &-3
SUSTAINABLE TANGIBLE BENEFIT ..ADD DEVELOPMENT
OF BRAND IMAGERY
INCREASING BRANDS WITHIN SERVICE SECTORS.MORE- 4
COMPETITIVE SERVICE MARKET

.BRANDING CONT
BRAND NON RECOGNITIONBRAND
PREFERENCE..EFFECTIVE
COMMUNICATION STRATEGY
ATTACH YR BRAND NAME TO THE
MOST IMP. MOTIVATOR(S)..BUILD
BRAND PREFERENCE

.BRANDING CONT
BRAND REJECTORS..WITHIN YR
TARGET OR OUTSIDE..RESEARCH
WHY?
BRAND INDIFFERENT ..NEED MORE
MOTIVATION..MOST CASES
SERVICE NOT EXPERIENCED (SALES
PROMOTION SHOULD INCLUDE
TRIALS)

Develop Brand Loyalty (MARKETER S DREAM)

BRAND
NON-RECOGNITION
BRAND
RECOGNITION

BRAND
INDIFFERENCE

BRAND REJECTORS
TRIALISTS

MARKET RESEARCH

BRAND
PREFERENCE

BRAND LOYAL

GET TO LOYALTY
1. ENCOURAGE REPEAT
PURCHASE..USE SALES
PROMOTION/LOYALTY PRGMS..3
SUCCESSIVE PURCHASES..REMAIN
LOYAL
2. CUSTOMISE FUTURE
LOYALTY..DATA GATHERING
DURING LOYALTY PRGM..TESCO

.GET TO LOYALTY CONT

3- INTRODUCE PENALTIES (COST OF
BRAND CHANGE WILL BE HIGH) OR
REMOVE THEM AS WAY OY OF
DIFFERENTIATION OF
COMPETOITORS .BUILDING
SOCIETIES
4- ENSURE CURRENT CUSTOMES
SATISFACTION UNIQUE SERVICE
ADVANTAGE

.BRANDING CONT
DEVELOPMENT OF
COMMUNICATIONS BEGINS WITH
DEVELOPMENT OF THE BRAND
NAME.
IN MOST CASES ADVERTISING
WILL BE USED TO
COMMUNICATE THE BRAND
NAME.

PERSONAL SELLING - 6
ORAL PRESENTATION IN
CONVERSATION WITH ONE OR MORE
PROSPECTIVE PURCHASERS FOR
.THE PURPOSE OF MAKING SALES
TELEPHONE SELLING: LET YOUR
FINGER DO THE WORK

Packaging - 7
More identified in tangible products
..gifts
Attractive package eye appeal..
Selling ..decieving
Services: tourism:
packaging is extra services besides
basic ones
Ex: Airlines: meals, gifts etc
Travel agencies: Package Tours

Display - 8
Limited in the field of services
Window displays: Eiffel tower for
Paris or Pyramids and camels for
Egypt
Sometimes misleading

Handling - 9

Dealing with the promotion

Guarantee satisfactory stock
after promotion

Advertising - 10

GO TO ADS SLIDES

SERVICES -11
END OF CYCLE..CONSUMER MEETS
THE SELLER
SMILE, GOOD AMBIANCE, LIGHT
MUSIC, HANDLING COMPLAINTS..
EXTRA TOUCH FOR THE END OF THE
CYCLE

MARKET RESEARCH -12

MOST IMP. ISSUE IN MARKETING
TO EXPLORE THE NEEDS AND
MOTIVATIONS OF THE MARKET
MARKET
SEGMENTATION..CLUSTER
SEGMENTATION FOR
COMPLETELY SATISFIED CLIENT

FIVE FORCES MODEL OF

INDUSTRY COMPEITION
THREAT OF NEW ENTRANTS..LOW COST- 1
AND SHORT HAUL TRIPS,POINT TO POINT
MARKETS
BARGAINING POWER OF- 2
BUYERS..FORCING DOWN PRICES
BARGAINING POWER OF SUPPLIERS- 3
THREAT OF SUBSTITUTE PRODUCTS- 4
/SERVICES
INTENSITY OF RIVALRY COMPETITORS- 5

CLASSIFYING TARGET
MARKERTS
:BOSTON CONSULTING GROUP APPROACH
EXISTING
NEW
PRODUCTS
PRODUCTS
EXISTING
MARKETS

1-MARKET
PENETRATION

3-PRODUCT
DEVELOPMENT

NEW
2- MARKET
4-DIVERSIFICATION
MARKETS
DEVELOPMENT
VERTICAL AXIS MKT GRWTH RATE MEASURE OF MKT
ATTRACTIVENESS
HORIZONTAL AXIS,RELATIVE MKT SHARE MEASURE OF
COMPANY STRENGH IN THE MARKET

MARKET
RESEARCH NXT
SLIDES

RELATIONSHIP
MARKETING
CUSTOMER RETENTION
RELATIONSHIPS BETWEEN SERVICE
PROVIDERS & CONSUMERS
(RETENTION MARKETING)
PHILOSOPHY OF DOING BUSINESS ,
KEEPING & IMPROVING CURRENT
CUSTOMERSRATHER THAN
ACQUIRING NEW CUSTOMERS

RELATIONSHIP MARKETING
APPROACH (2000) DOESNT IMPLY
ITS NO LONGERINTERESTED IN
CUSTOMER ACQUISITION
MAKE NEW FRIENDS
BUT KEEP THE OLD
NEW ARE SILVER OLD ARE GOLD
ACQUIRE ..BUILD RELATIONS FROM
1ST DAY

RELATIONSHIP
MARKETING IS THE
NATURAL EXTENTION
OF CUSTOMER
ORIENTATION

RELATIONSHIP
.MARKETING CONT
PRODUCT ORIENTATION 1950s/60s

MARKET ORIENTATION 70s

COMPETITION ORIENTATION 80s
CUSTOMER ORIENTATION
90s
RELATIONSHIP ORIENTATION
2000

REFERENCES
LEISURE MARKETING A GLOBAL PERSPECTIVE-1
SUSAN HORNER&JOHN SWARBROOKE,BUTTERWORH HEINEMANN UK
.SERVICES MARKETING MANAGEMENT 3RD ED- 2
PTER MUDIE& ANGELA PIRRIE
BUTTERWORTH HEINMANN 2006 UK
.MARKETING MANAGEMENT 13TH ED-3
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