Lesson Plan Course Title: Advertising and Sales Promotion Session Title: Advertising and The Marketing Mix Unit 2, Lesson 2 Performance Objective: Upon Completion of this lesson, the student will be able to explain how each component of the marketing mix contributes to successful advertising and marketing as well as the importance of target markets, market segmentation, and the research of trends. Approximate Time: When taught as written, this lesson should take four days to complete. Specific Objectives: • Student will be able to explain each component of the marketing mix • Student will be able to identify the importance of target markets • Student will be able to describe advantages and disadvantages of market segmentation and mass marketing. • Student will research trends and emerging technologies affecting advertising. Terms: • Market – All people who have the ability to purchase a given product. • Consumer Market – Consumers who purchase goods and services for personal use. • Industrial Market – Business-to-business market including all businesses that buy products for use in their operations. • Market Share – A company’s percentage of the total sales volume generated by all companies that compete in a given market. • Target Market – A group that is identified for a specific marketing program or product. • Customer Profile – Lists information about the target market, such as age, income, and occupation. • Marketing Mix – Includes four basic marketing strategies called the “Four P’s”– Product, Price, Place, and Promotion. • Market Segmentation – The process of classifying customer by needs and wants. • Mass Marketing – Involves using a single marketing strategy to reach all customers. Copyright © Texas Education Agency, 2012. All Rights Reserved. 1 • Preparation TEKS Correlations: This lesson, as published, correlates to the following TEKS. Any changes/alterations to the activities may result in the elimination of any or all of the TEKS listed. 130.342 (C)(2)(C)-The student can explain how each component of the marketing mix contributes to successful marketing. 130.342 (C)(2)(D)-Identify the importance of target markets 130.342 (C)(2)(E)-Describe advantages and disadvantages of market segmentation and mass marketing 130.342 (C)(2)(F)-Research trends and emerging technologies affecting advertising marketing. Interdisciplinary Correlations: English: 110.33(b)(1)(A) – Reading/Vocabulary Development …determine the meaning of grade-level technical academic English words in multiple content areas (e.g., science, mathematics, social studies, the arts) derived from Latin, Greek or other linguistic roots and affixes. 110.33(b)(1)(B) – Reading/Vocabulary Development … analyze textual context (within a sentence and in larger sections of text) to draw conclusions about the nuance in word meanings. 110.33(b)(1)(C) – Reading/Vocabulary Development …infer word meaning through the identification and analysis of analogies and other word relationships. 110.33(b)(9)(C) – Reading/Comprehension of Informational Text/Expository Text …make and defend subtle inferences and complex conclusions about the ideas in text and their organizational patterns. 110.33(b)(11)(B) – Reading/Comprehension of Informational Text/Procedural Text …translate (from text to graphic or from graphic to text) complex, factual, quantitative, or technical information presented in maps, charts, illustrations, graphs, timelines, tables, and diagrams. 110.33(b)(12)(A) – Reading/Media Literacy …evaluate how messages presented in media reflect social and cultural views in ways different from traditional texts. 110.33(b)(12)(B) – Reading/Media Literacy …evaluate the interactions of different techniques (e.g., layout, pictures, typeface in Copyright © Texas Education Agency, 2012. All Rights Reserved. 2 print media, images, text, sound in electronic journalism) used in multi-layered media. 110.33(b)(12)(C) – Reading/Media Literacy …evaluate the objectivity of coverage of the same event in various types of media. 110.33(b)(12)(D) – Reading/Media Literacy …evaluate changes in formality and tone across various media for different audiences and purposes. Occupational Correlation: (O*Net-www.oneonline.org/): Job Title: Market Research Analysts and Marketing Specialists O’Net number: 13-1161.00 Job Description: Research market conditions in local, regional, or national areas, or gather information to determine potential sales of a product or service, or create a marketing campaign. May gather information on competitors, prices, sales, and methods of marketing and distribution. Tasks: • Seek and provide information to help companies determine their position in the marketplace. • Gather data on competitors and analyze their prices, sales, and method of marketing and distribution. • Collect and analyze data on customer demographics, preferences, needs, and buying habits to identify potential markets and factors affecting product demand. Soft Skills: • Desktop Computers • Notebook Computers • Personal Computers Teacher Preparation: Teacher will review the terms in the outline, slides, and handouts to become familiar with lesson. Teacher should locate and evaluate various resources and websites before the lesson. Teacher will have assignments and website information ready to distribute to students. Accommodations For Learning Differences: It is important that lessons accommodate the needs of every learner. These lessons may be Copyright © Texas Education Agency, 2012. All Rights Reserved. 3 modified to accommodate your students with learning differences by referring to the files found on the Special Populations page of this website. References: Textbooks: Advertising and Integrated Brand Promotion-O’Guinn, Allen, Semenik Advertising-Business 2000 Townsley South-Western Marketing Essentials, Glencoe-McGraw-HillOnline: adage.com Dictionary.com Wikipedia.com Onetonline.org/ Marketingessentials.glencoe.com/1/figure/1 Instructional Aids: Projector/ Multi-Media Presentation Textbooks Websites-(newspapers and magazines) Materials Needed: Printer Paper Assignment handouts Equipment Needed: Computers for teacher/students with multi-media presentation and Internet access. Learner Preparation: Tell the students that today’s objective will be to understand market and market identification, the marketing mix, and emerging trends affecting advertising technology. Introduction Introduction (LSI Quadrant I): Show: Students a few ads that show direct competition. Have students raise their hands in favor of a particular ad. Write down the number of hands raised for each ad to use as a comparison later. Ask: How do you think marketers decide who and where to market their products? (Have students discuss answers) Say: The term “market” refers to all the people who might buy a product or service. Marketers know that their product cannot appeal to everyone. To do their job, they look for people who might have an interest or need for their product. They also look at people who have the ability to pay for their product. For example, the teenage market may want an expensive watch but not have the financial means to pay for it. Therefore, companies would not consider them their target market. Copyright © Texas Education Agency, 2012. All Rights Reserved. 4 Ask: Why do you think the teenage market is the most difficult market to advertise? (Have students discuss answers) Say: The teenage market is the most difficult to market and advertise to because you as a whole, change their minds so frequently. You also have several different market segments. Ask: Students to raise their hands if they are: athletes, band, cheerleaders, choir, drama, student council, etc. Explain: That each of these could represent a market segment and be marketed and advertised to in different ways. Show: The ads from earlier. Say: Each one of these ads has the same target market. You raising your hands in favor of a different brand, break you into market segments. We are going to further talk about markets and how advertisers use strategies to influence your buying decisions. Outline Outline (LSI Quadrant II): Instructors can use the presentation program/software, slides, handouts, and note pages in conjunction with the following outline. MI Outline I. Introduction A. Ad Comparison B. Terms 1. Market 2. Consumer Market 3. Industrial Market 4. Market Share 5. Target Market 6. Customer Profile 7. Market Segmentation 8. Mass Marketing Notes to Instructor Use presentation software as visual aid. II. Marketing Mix Diagram A. Product B. Price C. Place D. Promotion Use presentation software as visual aid. After introduction, have students write/type vocabulary terms and meanings while you explain. Explain that the marketing mix is the foundation for EVERYTHING marketed to consumers. Copyright © Texas Education Agency, 2012. All Rights Reserved. 5 III. Product • Product decisions begin with what products to sell. • Much research goes into product design • Product decisions include the name and advertising slogan or “tag line”. • Every detail of the product is considered to maximize its appeal to the target market. Use presentation software as visual aid. IV. Price • Price is what is exchanged for a product. • Price strategies should reflect what customer are will and able to pay. • Companies must consider retail pricing, discounted pricing, credit terms, and competitor‘s prices • Promotional pricing Use presentation software as visual aid V. Place • Companies must effectively get the product into the customers’ hands. • Advertisers must research how to position the product for the consumer. • Place strategies determine how and where a product will be distributed. • Companies must consider how to distribute the product and what inventory levels should be. Use presentation software as visual aid VI. Promotion • Promotional strategies deal with how products will be marketed and advertised to consumers. • There are four key factors: • Advertising • Selling A product’s features, brand name, packaging, service, and warranty are all part of the development. Products most always require updating either the packaging or product itself to remain competitive. Have students discuss why they will pay a lot for some items but not others. What type of items are they? Have students make a list of five items they will pay more for and five items that they won’t. Give reasons why. Explain how cereals are positioned in stores. Tell students that the sugary, brightly colored cereals are placed on lower and middle shelves to attract small children. The healthier, more “adult” cereals are placed at the top shelves. Use presentation software as visual aid Have students think about a new product on the market. How Copyright © Texas Education Agency, 2012. All Rights Reserved. 6 • Sales promotion • Publicity VII. Advertising Trends and Technology • What are the current advertising trends? • How has technology affected advertising? • What does advertising hold for the future? Verbal Linguistic Logical Mathematical Visual Spatial Musical Rhythmic Bodily Kinesthetic Intrapersonal was it promoted? Use presentation software as visual aid Ask class what the current advertising trends are. Explain that the trends depict not only the products themselves, but the lifestyle that is associated with it. How has Facebook and Twitter changed the way we advertise? Is print advertising a thing of the past? Interpersonal Naturalist Existentialist Application Guided Practice (LSI Quadrant III): Use presentation software as visual aid. After introduction, go through Outline as stated above and use notes to explain vocabulary, terms, and class discussion. Activity #1 – Analyze the Ad – Find two ads that promote a product or service to consumers and two ads that promote a product or a service to a business (Hint: You can find those ads in business magazines or newspapers). Write a brief description of the ads you selected. Compare these two types of ads. How do the slogans, graphics, and overall message differ? Make a list of the differences you notice. Activity #2 – Price Activity – Have students make a list of five items they will pay more for and five items that they won’t. Give reasons why. Copyright © Texas Education Agency, 2012. All Rights Reserved. 7 Independent Practice (LSI Quadrant III, IV): Marketing Mix Written Assignment (Independent Student Project) 1. 2. 3. 4. 5. 6. 7. Select an existing product that interests you and explain it. Explain what advertising trends are used to market this product. Research your product and where it is sold. Identify its target market Identify the Four P’s of its marketing mix. Is there a specific market segment? Make one change to the product to create yet another market segment. Summary Review (LSI Quadrants I-Why are we doing this lesson? and IV-Extending the lesson): What is a market? What is a consumer market? What is an industrial market? What is market share? Define a target market? What components are in a Customer Profile? What are the Four P’s of the Marketing Mix? How is Market Segmentation different from Mass Marketing? Evaluation Informal Assessment (LSI Quadrant III): Instructor will be observant with students during project. Instructor will move about the classroom setting, providing feedback and making sure that students are clear with directions and staying on task. Formal Assessment (LSI Quadrant III, IV): Students will be evaluated on their “Marketing Mix Written Assignment” by using the assigned rubric. Extension Extension/Enrichment (LSI Quadrant IV-Extending the lesson): Chapter 1, Practice Quiz – Have students complete practice quiz at: marketingessentials.glencoes.com/1/figure/1 Copyright © Texas Education Agency, 2012. All Rights Reserved. 8 Advertising and Sales Promotion Unit 2, Lesson 2, Marketing Mix Written Assignment Formal Assessment (LSI Quadrant III, IV) Marketing Mix Written Assignment (Independent Student Project) 1. 2. 3. 4. 5. 6. 7. Select an existing product that interests you and explain it. Explain what advertising trends are used to market this product. Research your product and where it is sold. Identify its target market Identify the Four P’s of its marketing mix. Is there a specific market segment? Make one change to the product to create yet another market segment. Students will be evaluated by the assigned rubric. Copyright © Texas Education Agency, 2012. All Rights Reserved. 9 Advertising and Sales Promotion Unit 2, Lesson 2, Marketing Mix Written Assignment Formal Assessment (LSI Quadrant III, IV) Rubric Student Name: _______________ _______________ _______________ CATEGORY Organization Quality of Information Amount of Information Sources Diagrams and Illustrations 20 15 10 5 or less Information is very organized with well-constructed paragraphs and subheadings. Information clearly relates to the main topic. It includes several supporting details and/or examples. All topics are addressed and all questions answered with at least two sentences about each. All sources (information and graphics) are accurately documented in the desired format. Information is organized with well-constructed paragraphs. Information is organized but paragraphs are not well-constructed. The information appears to be disorganized. Information clearly relates to the main topic. It provides one to two supporting details and/or examples. All topics are addressed and most questions answered with at least two sentences about each. All sources (information and graphics) are accurately documented but a few are not in the desired format. Diagrams and illustrations are accurate and add to the reader's understanding of the topic. Information clearly relates to the main topic. No details and/or examples are given. Information has little or nothing to do with the main topic. All topics are addressed, and most questions answered with one sentence about each. One or more topics were not addressed. All sources (information and graphics) are accurately documented but many are not in the desired format. Diagrams and illustrations are neat and accurate and sometimes add to the reader's understanding of the topic. Some sources are not accurately documented. Diagrams and illustrations are neat, accurate, and add to the reader's understanding of the topic. Diagrams and illustrations are not accurate OR do not add to the reader's understanding of the topic. Copyright © Texas Education Agency, 2012. All Rights Reserved. 10