RSA Academy BTEC Nationals in Business (Level 3) (September 2010 onwards) Unit 3: Introduction to Marketing Route: Unit code: QCF Level 3: Credit value: GLH BTEC Level 3 Certificate Diploma Y/502/5411 BTEC Nationals Start Date: Review Date: Final Submission Date: Assessor: 5th September 2011 10th October 2011 23rd December 2011 Miss M Vincent 10 60hrs Student Name: Tutor Group: Disclaimer: I certify that the work produced is ...................................................... my own 1 Assessment and Grading Criteria To achieve a pass grade the evidence must show that you are able to: P1 Describe how marketing techniques are used to market products in two different organisations SIGN To achieve a merit grade the evidence must show that you are able to: M1 Compare marketing techniques used in marketing products in two organisations SIGN To achieve a distinction grade the evidence must show that you are able to: D1 Evaluate the effectiveness of the use of techniques in marketing products in one organisation P2 Describe the limitations and constraints of marketing P3 Describe how a selected organisation uses marketing research to contribute to the development of its marketing plans M2 Explain the limitations of marketing research used to contribute to the development of a selected organisation’s marketing plans P4 Use marketing research for marketing planning P5 Explain how and why groups of customers are targeted for selected products. P6 Develop a coherent marketing mix for a new product or service M3 Develop a coherent marketing mix that is targeted at a defined group of potential customers 2 D2 Make justified recommendations for improving the validity of the marketing research used to contribute to the development of a selected organisation’s marketing plans. SIGN Introduction Marketing is at the heart of every organisation’s activity. Its importance is also growing in the noncommercial, public and voluntary sectors. Also, at the heart of marketing is the customer. This unit will introduce learners to some of the tools and techniques all types of organisations use to achieve their objectives. Firstly, learners will explore how different types of organisations use marketing principles to meet the needs of their customers and achieve their objectives. The constraints under which organisations operate are important and learners will study the legal requirements and voluntary codes that affect marketing. Learners will then go on to investigate how organisations collect data through market research and turn it into useful information which can be analysed and used to plan their marketing activities. The segmentation and targeting of groups of customers is a key marketing technique and this is studied in detail. This includes the different bases for segmentation of both consumer and business markets. Next, learners will examine how a marketing mix is developed to meet the needs and aspirations of a targeted group of prospective customers, before going on to develop a marketing mix for a new product or service. The unit gives a brief overview of the principles of marketing or can be used as a basis for further study of specialist marketing units. Learning Outcomes: On completion of this unit you should: 1. 2. 3. 4. Know the role of marketing in organisations Be able to use marketing research and marketing planning Understand how and why customer groups are targeted Be able to develop a coherent marketing mix. Work Related Learning: Tasks are applied to a real business environment Realistic examples are to be applied throughout Before You Start! Read the assignment brief and the assessment grid carefully and make sure you are clear about what you have to do. Ask for advice if you are unsure. You will see that to obtain a Pass, Merit or Distinction you must read and complete each task carefully to ensure you do not miss anything out. Use the information from lessons as well as an independent research sensibly and do not commit plagiarism! 3 Scenario One You have just started working for a large marketing and design agency based in Birmingham that consults for a variety of businesses on the marketing activities that they undertake in order to promote their products or services. The agency has a varied portfolio of clients and you have been given the task of consulting for two new clients, one business that operates in the private sector and one in the public or voluntary sector. Choose your two businesses remembering that: ● ● one must be from the private sector, for example, Marks & Spencer one must be from the public or voluntary sector, for example, Oxfam. Describe how marketing techniques are used to market products in two organisations. P1 Task One You task is to produce a presentation for your senior management team (SMT) to introduce your new clients. Your presentation must include the following: Part A a) two different definitions of marketing (don’t forget to name your source!) b) Identify the broad aims and objectives of organisations of the private, public and voluntary sectors c) Identify the aims specifically for each of your selected businesses Part B d) For each business, you will need to research the marketing techniques it has used in order to market one product. These techniques might include: - Growth strategies Survival strategies Branding Relationship marketing. [Assessment Evidence: presentation] [Tick when complete] M2 Compare marketing techniques used in marketing products in two organisations To compliment the presentation you developed for criterion P1, you now need to produce a report where you will demonstrate higher-level skills through comparing or finding the similarities and differences between the marketing techniques used by the two organisations. 4 HINT: your report should include an introduction and be separated into sub-sections including growth strategies, survival strategies, branding and relationship marketing. [Assessment Evidence: report] D1 Evaluate the effectiveness of the use of techniques in marketing products in one organisation. This task is an extension to the report you have produced for criterion M1. You now need to select one of your two businesses and fully explain how effective you think it has been with the techniques used in marketing its products? You should fully justify your answer and make suitable recommendations for improvement. HINT: you should back up your points with suitable, real life examples relating to that particular business. Evaluation requires more than stating an opinion and should demonstrate higher-level skills such as researching and interpreting data and using logical judgements about the validity and reliability of the data used to evaluate the effectiveness of the marketing techniques. [Assessment Evidence: report] P2 Describe the limitations and constraints of marketing Your task is to create a factsheet that describes the limitations and constraints under which marketers operate; this should include legal requirements and the use of voluntary codes and constraints. Task 2: Select one of the businesses you researched for criterion P1, describe the limitations and constraints of marketing for the organisation. Include the following in your description: ● ● ● ● legal constraints, for example Sale of Goods Act 1979 voluntary constraints, for example Code of Advertising Practice pressure groups and consumerism, for example CBI acceptable language. HINT: you should give real life examples of each limitation and constraint identified and include suitable text and images into your factsheet. [Assessment Evidence: factsheet] 5 Scenario Two Your client, Mr. Gernon wants to conduct an audit of the marketing research methods that already exist within the RSA Academy. Marketing research allows him to be able to put together plans for the next academic year. For example does he need to target more primary schools in the area? Describe how a selected organisation uses marketing research to contribute to the development of its marketing plans P3 Your first task is to conduct your own research into the marketing research methods that are already in place at the Academy and how these allow Mr. Gernon to develop his marketing plans, you might want to concentrate on a particular aspect of the Academy such as Opening Minds, Comino Foundation. Your task is to produce a memo to send to Mr. Gernon and his senior leadership team that describes the marketing research that currently exists at the Academy and how this contributes to the development of marketing plans. Your memo should include information on the following: ● ● ● quantitative and qualitative market research primary and secondary market research uses and limitations of market research. HINT: for each of the above points, you will need to define the key terms before providing examples of methods used at the Academy. [Assessment Evidence: memo] Explain the limitations of marketing research used to contribute to the development of a selected organisation’s marketing plans. M2 Next, you will then act as a member of the RSA Academy senior leadership team. For this task, you are to prepare for and take part in a debate. a) In the first instance, you will need to plan both arguments for and against using marketing research for marketing planning. Your notes will be assessed and will aid you through the debate process. b) You will then take part in a debate where you will be given a role. You will either be for the use of market research or against it. You should identify and explain the limitations of the marketing research methods used in the selected organisation investigated. The debate will be recorded and assessed by your tutor. During your planning and preparation for the debate, you will need to ensure you include information on each of the following: ● ● cost effectiveness validity of data collected. [Assessment Evidence: planning notes in preparation for the debate and observation record] 6 Make justified recommendations for improving the validity of the marketing research used to contribute to the development of a selected organisation’s marketing plans D2 Using your planning notes from criterion M2, write a formal letter to Mr. Gernon where you will: summarise your findings from taking part in the debate make justified recommendations for improving the validity of the marketing research used at the RSA Academy. Three sound recommendations with justifications would be sufficient to achieve the criterion. HINT: remember that you are writing as a member of the senior leadership team! [Assessment Evidence: formal letter] Use marketing research for marketing planning P4 Using the same organisation you chose for P3, conduct independent research to allow you to produce a screencast to show to Mr. Gernon that will explain to him how the RSA Academy uses marketing research for its marketing planning. You will need to include in your screencast: ● ● ● ● Marketing Planning Process Model SWOT analysis PESTLE audit SMART objectives. HINT: you may want to use props/resources which you will need to organise independently. [Assessment Evidence: screencast/video presentation with observation record/resources used in its production] Scenario Three You have been asked by your client to book a stand at an exhibition due to take place at the NEC, Birmingham in six months time. They have requested that you organise, attend and represent them at the exhibition also. P5 Explain how and why groups of customers are targeted for selected products For the same organisation you chose to focus on for P2, you are to design and create a display board to show at the exhibition. The display board will explain why the different types of target groups are chosen for different products or services. This should include products for both 7 consumer and business to business markets (B2B and B2C) and different methods of segmenting the market. Six different target groups will be sufficient to achieve the criterion. Your first task is to choose six different customer groups that are targeted by the organisation for selected products. These should include both B2B and B2C customers. For each group explain: a) how the groups of customers are targeted for selected products b) why the groups of customers are targeted for selected products. [Assessment Evidence: display board resources with supporting photographic evidence] Scenario Four As a result of high sales leads from the exhibition, the company has decided to develop a new product or service that will be launched in two years time. They have asked you to be the marketing representative for this project. Develop a coherent marketing mix for a new product or service P6 For the same organisation that you chose for criterion P5, you will need to develop a coherent marketing mix for a new product or service. It is your choice as to how you present this task. The product or service does not have to be entirely new; it could be an established product or service introduced to a new market. The marketing mix should include at least the 4 Ps. You will need to follow a number of steps to complete the task. 1. Choose a new product or service that you think the company could develop. 2. Draw a diagram/picture with supporting information of what the new product/service will look like. 3. For each of the 4P’s, make sure you include the following (in paragraph form) ● ● ● Why have you chosen this product/service? Who is the target market for your product/service? What price will you charge for your product/service? 8 ● ● How will you promote your product/service? Where will you sell your product/service? [Assessment Evidence: written evidence] M3 Develop a coherent marketing mix that is targeted at a defined group of potential customers As an extension of criterion P6, state how your product/service has been designed to appeal to the specific target group of potential customers. In this case, of all of the elements of the marketing mix used, which is the most important one? Fully justify your answer. HINT: You must ensure that the marketing mix is clearly targeted to a defined group of potential customers and needs to be detailed and coherent so that product, price, place and promotion are all designed to appeal to the clearly defined needs and aspirations of the target group of customers. [Assessment Evidence: written evidence] 9 Bibliography Use the Harvard referencing style to record all resources you have used You begin with the author’s surname – comma – and initials followed by a full stop. Then the year of publication in brackets. Then the book title, either underlined or in italics – comma. The place of publication – comma. Finally the publisher of the book – full stop. E.g. Stretch, B. (2007) BTEC National Health and Social Care, Oxford, Heinmann Education Limited Useful resources: Websites www.businesslink.gov.uk www.bbc.co.uk See the business pages of the BBC website www.marketingteacher.com Books Carysforth C and Neild M — BTEC First Business 10