marketing
300
discussion section
announcements?
agenda
Turn in discussion
questions!
recap
– When segmenting, we should segment based
on ______________.
recap
NEED
recap
needs – the basic forces that motivate a
person to do something
ex. thirst  a drink
ex. comfort  luxury high-rise
ex. status  BMW
recap
– The purpose of segmenting by NEED is to:
• Fit product benefits with consumer needs
(if the point of a product is its BENEFITS, then segmenting by need is a
good way to make benefits the focal point)
• Capture homogeneous groups
(groups of people with similar NEEDS)
• Avoid creating needless distinctions
(ex. are the lifestyles of all GRAD STUDENTS different from those of all
JUNIORS?)
• Avoid creating overlapping segments
(ex. needs of JUNIORS, SENIORS, and GRAD STUDENTS may overlap; needs
of SOCIALIZERS, FAMILIES, and STUDIERS less likely to overlap)
recap
Throughout this class, think in terms of
segment and needs. IT WILL HELP YOU WITH
ALMOST EVERYTHING.
segmentation
• Segmentation is about how companies view
their customers.
positioning
• Positioning is about how customers view
companies.
• Companies can help control this process.
How?
segmentation
segmentation
segmentation
positioning
connect
segmentation
relax
energize
escape
how do you perceive these?
• Who is the average user?
• What you can use it for?
• What are some popular
perceptions?
• Who would not use this?
• What are the stigmas attached to
each of these?
positioning
• Companies can help control how products are
positioned, but ultimately it’s up to consumers
to decide.
positioning
• how have these brands tried to position
themselves?
• how have they been positioned by the public?
positioning
one way to think about positioning:
what would your favorite brand be like
if it were a person?
differentiation
position yourself as
unique
high
low
high
don’t compete here…
low
If you remember nothing else…
By offering consumers goods and services that
they want, and that your competitors can’t or
don’t offer, you can better ensure a place for
yourself in the market.
If you remember nothing else…
“You do not merely want to be considered just the
best [at what you do]. You want to be considered
the only one who does what you do.”
Discussion Question
What kind of buying behavior would you
expect to find for a cell phone?
Product
Target
Unique
Need
Where would
they shop?
How far
would they
travel to
get?
Buy by
brand?
Discussion Question
Cell
phone
Business
user
Cell
phone
Serial
texter
Cell
phone
“Just
need a
phone”
Compare
brands/s
ervices?
Other
factors
they'd
consider
Quiz #3
The social class system in the U.S.
a)Does not affect how people spend, but does affect how they
save
b)Often groups people with different incomes in the same
social class
c)Is based on a person's educational level
d)Is more rigid than in Europe and Asia
e)Does not affect people's attitudes
Quiz #3
Mervin has noticed several commercials for ScamWow–a
product that purports to absorb 80,000 times its own weight in
water. While cleaning up a spilled water tower, Mervin thinks
about what would happen if he replaced the shop towel that
he currently uses with a ScamWow. What stage in the adoption
process has Mervin reached?
a) Evaluation
b) Feedback
c) Decision
d) Interest
e) Awareness
Quiz #3
Stages of Adoption
1.
2.
3.
4.
5.
6.
Awareness – potential customer knows of product
Interest – interested customer gathers information
Evaluation – consumer begins mental trial
Trial – consumer buys product to experiment
Decision – consumer adopts or rejects product
Confirmation - adopter finds evidence to support decision
• http://www.youtube.com/watch?gl=GB&hl=
en-GB&v=voAntzB7EwE
selective perception
• People dismiss, ignore, or interpret
differently information that contradicts preexisting viewpoints, or which does not meet
prior expectations.
selective perception
• ex. In one study, college students
were given some alcohol.
before
after
selective perception
• … but the drinks they were given were nonalcoholic.
• Their perceptions were modeled on their
expectations, and they behaved accordingly
selective perception
• the door experiment
selective perception
• ex. Eric Fry
• Best athlete in school
• but he happened to share the name
Eric with two clumsy guys
• Last picked for teams
• Nicknamed “Butterfingers”
selective perception
• In a marketing context:
– A consumer’s perception of a brand may not
change even if there’s reason for it to change
– ex. A militant Ford owner might never notice
the quality of a Chevy because he’s already
decided that Chevy sucks!
selective retention
• People forget information that they don't like
or which they don't care to remember
selective retention
selective retention
• In a marketing context:
– A user of a particular brand
(ex. cell phone service) will
likely remember the few
times they got screwed
over, but not remember the
times they no problems
selective exposure
• Material that does not interest someone
does not register with them, nor do they seek
out such information.
selective exposure
• People who think _________ is morally
wrong often never take the time to talk with
people who believe the opposite.
• A lot of people believe that business is evil…
but don’t seek out information that might
challenge this belief.
selective exposure
This is so boring!!
blah blah blah
blah blah
That gotselective
my
attention!
exposure
selective exposure
• In a marketing context:
– you ‘tune out’ commercials about cold
medicine– except when you have a cold!
selective responses
• Selective perception
• Selective retention
• Selective exposure
Project
• Approve your topic with me
• Make sure you have ads/videos for both your
brand and its closest competitor