Chapter 3 Flashcards
Marketing Environment
outside forces that affect marketing management’s ability to build and maintain profitable relationships
Actors in the Microenvironment
Firm, Consumers, Intermediaries, Publics, Suppliers & Competitors
Company
interrelated groups in the firm make up the internal environment. departments share responsibility for understanding marketplace and creating value.
Suppliers
provide firm resources to produce goods and services. supplier issues include shortages, delays, strikes, input costs.
Marketing Intermediaries
3rd party which helps promote, sell or distribute.
- Resellers
- Physical distribution firms
- Marketing services agencies
- Financial intermediaries
Competitors
Who are they? What do they offer? How can we gain strategic advantage?
Publics
group that has an actual or potential interest in or impact on an organization
Who sets company mission, objectives, strategies, etc…
top management
How can a company greater satisfy consumers than its competition?
gain strategic advantage
Types of Publics
citizen-action, financial, media, government, internal, general, local
Way for company to develop strong relationships with publics
A company can prepare marketing plans and programs for major publics as well as for customer markets (e.g. Home Depot Foundation)
Types of Customers
(i) Consumer Markets (B2C)
(ii) Business Markets (B2B)
(iii) Reseller Markets (also B2B)
(iv) Government Markets (B2G)
(v) International Markets
Actors in the Macroenvironment
technological, political, cultural, demographic, economic and natural
The Demographic Environment
continuously changing human populations
Boomers
now in their 50s; the oldest are in their early 70s
25% of pop
Wealthiest gen in history
Gen X
From a marketing standpoint, they are a more skeptical bunch. They are sensible shoppers who research products heavily before they consider a purchase, prefer quality to quantity, and tend to be less receptive to overt marketing pitches. 40s-50s, most educated.
Gen Y (Millennials)
More frugal, first gen to grow up with technology and see it as a part of life. 20s to 30s
Gen Z
most technologically literate, influences great deal of family spending, make up for kids, teens and young adults market, accustomed to online shopping
Generational Marketing
Age based segmentation, seen as more precise
Census Metropolitan Areas (CMA)
combinations of urban and suburban populations
Other Demographic Considerations
changing Canadian family, Geographic Shifts in Population, more educated & professional population, increasing diversity
Economic Environment
Factors that affect consumer purchasing power & spending patterns (changes in spending, differences in income levels)
Value Marketing
Walmart: save money, live better
Target: expect more, pay less
Natural Environments
physical environments & natural resources needed as inputs by marketers or affected by marketing activities
Trends: shortages of raw materials, increased pollution, increased gov intervention
Environmental Sustainability
strategies that create a world economy that the plant ca support indefinitely.
Green/Sustainable Marketing
e.g. Tiffany & co use environmentally responsible mining resources.
Technological Environment
forces that create new tech, new products & opportunities
Political-Social Environment
forces that influence organizations & individuals (laws, government agencies, pressure groups).
Cause-Related Marketing
About exercising social responsibility and building positive images. An example is Dove’s real beauty campaign, although it spiked controversy as people accused it of being more about selling than giving.
Cultural Environment
forces affecting society’s way of behaving (e.g. values & perception).
Core beliefs & values
high persistence, extremely unlikely to change
Secondary beliefs
more open to change (views of self, others, society, e.g.)
