Quiz #1 When I say Marlboro… What do you think of? What images? 2 Table 2.1 Most Valued Global Brands Brand Market Value ($ Billions) 1. Coca-Cola $67 2. Microsoft $57 3. IBM $56 4. General Electric $49 5. Intel $32 6. Nokia $30 7. Toyota $28 8. Disney $28 9. McDonald’s $28 10. Mercedes-Benz $22 Source: Interbrand Group; quoted in “Best Global Brands,” Business Week, August 7, 2006, p. 54. Reprinted with permission. 3 Lovemark Theory 4 5 6 7 Soft Drinks In Italy Coca Cola is clear Lovemark - a long way ahead of the competition Fanta and Sprite in the next tier Other brands fare poorly for love and respect. Respect High Love High Respect (Respect average = 5.15) Low Love High Respect Love Low Love Low Respect High Love Low Respect (Love average = 5.13) (Love divide = 6.16) Lovemarks Powerful Branding Devices Miller High Life 4-17 Miller High Life One second ads 4-18 When two differentiated brands get together Types of Markets A market is a particular type of buyer. Share of market is the percentage of a product category’s total market that buys a particular brand. 20 21 22 23 24 The Marketing Plan Steps in the Marketing Process 1. Research the consumer marketplace and competitive marketplace and develop a situation analysis or SWOT analysis. SWOT Strengths Weaknesses Opportunities Threats 26 The Marketing Plan Steps in the Marketing Process 1. Research the consumer marketplace and competitive marketplace and develop a situation analysis or SWOT analysis. 2. Set objectives for the marketing effort. The Marketing Plan Steps in the Marketing Process 1. Research the consumer marketplace and competitive marketplace and develop a situation analysis or SWOT analysis. 2. Set objectives for the marketing effort. 3. Assess consumer needs and wants, segment the market into groups, target specific markets. Segmentation Age Sex Ethnicity Needs (e.g., convenience) Economics (e.g., price willing to pay) Convenience Behaviors, etc, etc. 29 One reason to segment 30 You own three parking lots at the airport. Segment them. Terminal Runways Lot Lot Open field Lot 31 The Marketing Plan Steps in the Marketing Process 1. Research the consumer marketplace and competitive marketplace and develop a situation analysis or SWOT analysis. 2. Set objectives for the marketing effort. 3. Assess consumer needs and wants, segment the market into groups, target specific markets. 4. Differentiate and position the product relative to the competition. The Marketing Plan Steps in the Marketing Process 1. Research the consumer marketplace and competitive marketplace and develop a situation analysis or SWOT analysis. 2. Set objectives for the marketing effort. 3. Assess consumer needs and wants, segment the market into groups, target specific markets. 4. Differentiate and position the product relative to the competition. 5. Develop the marketing mix strategy. The Marketing Plan Steps in the Marketing Process 1. Research the consumer marketplace and competitive marketplace and develop a situation analysis or SWOT analysis. 2. Set objectives for the marketing effort. 3. Assess consumer needs and wants, segment the market into groups, target specific markets. 4. Differentiate and position the product relative to the competition. 5. Develop the marketing mix strategy. 6. Evaluate the effectiveness of the strategy. 4-35 4-36 4-37 4-38 Homework What was your favorite super bowl ad and why. 4-39