Marketing Applications Flashcards
What is an important tool for a pharmacy organization to use in maximizing its future success?
Strategic planning
What are the five steps of preparing a market strategy for a proposed new good or service?
- Analyze the market environment
- Goals and objectives formulation
- Determining the target market
- Formulating/ designing the marketing mix
- Design a marketing control process
What are the two areas of the market environment?
- Microenvironment - internal (structure/ personnel) and external (suppliers/ customers) that affects the ability to serve customers
- Macroenvironment - factors that affect microenvironment (demographic, economics, nature)
What is a SWOT analysis?
Analysis of strengths, weaknesses, opportunities, and threats of the market environment
* Important to evaluate the internal factors of an org
What is the difference between strengths and weaknesses?
Strengths: loyal customers, wide range of services, professional image, clinical skills and knowledge, positive
Weakness: not established, no working relationships, limited financial resources
What is the difference between opportunity and threats?
Opportunity: Gaps between the market demand and what is currently available, as well as changes in the market that enhance the demand for the organization’s goods and services
Threats: Factors that can prevent the organization from achieving its goals and objectives
What are SMART objectives?
Specific: Describes what the organization will do, with what resources, and for what reason
Measurable: Can be evaluated to determine whether or not the objectives were met
Attainable/realistic: Can be achieved within the resource limits of an organization
Time-specific: Describes the deadline of achievement for each objective
What steps are needed to identify the target market?
- Market segmentation
- Target marketing
What is a target market?
will include the population of individuals in the community that will be the primary focus of the organization’s marketing strategy
Process in which the market is divided into distinct, meaningful groups of consumers based on profiles (demographics)
Market segmentation
Develop specific strategies that are tailored to meet the needs of the selected market segments.
Target marketing
Characterisitcs of Medicare enrollees?
- > 65YO
- Multiple chronic conditions/meds
- At risk for preventable infections
Characterisitcs of young population who are cash based payers?
- Young/healthy
- Emplowed, educated
- Willing to pay out of pocket even with insurance
- Interested in prevention services
What are the 4 Ps
- Product
- Price
- Place
- Promotion
What is marketing mix?
Set of controllable variables that a pharmacy org can manipulate and use to reach its goals and objectives
What are products?
Goods and services
What are the Is to differentiate goods from services?
Intangible: marketing must demonstrate the tangible benefits that patients receive from service
Inconsistency: Services are delivered by individual providers to patients (inherent variability)
Inseparability: Services can’t be separated from provider
Inventoried: Services can’t be inventroied and stored
Interaction: services are judged by patients based on the interaction with its provider
When establishing a price, what do you need to evaluate?
- Cost of products
- Overall cosumer demands
- Competion
- Use of price strategies that appeal to the customers
What is the Goal for proposed good or service?
To generate suffiecient profit, not to break-even
What are the four different types of pricing?
Odd pricing / psychological pricing
Bundled pricing
Functional discount
Seasonal discount
psychological pricing
odd pricing
What is odd pricing?
Practice of pricing a good or service just below whole dollar amounts (24.99)
* psychological pricing
What is bundled pricing?
Practice of selling several goods or services together for one total price, selling them at a discount, while also covering their costs (3 for 10)
What is functional discount?
Practice of selling several goods or services together for one total price, selling them at a discount, while also covering their costs
What is seasonal discount?
Pricing strategy that is used to increase the utilization of a good or service
Out of season discounts
Differntiate intensive, exclusive, and selctive distribution?
Intensive: products available in a wide variety of locations
Exclusive: Offered at very few locations
Selective: Products offect at multiple locations but less that intensive
What are the types of promotion?
- Advertising
- Personal selling
- Publicity
- Sales promotion
Involves any directly paid form of non-personal presentation of goods, services, and ideas
Advertising
What are the types of advertising?
- Broadcast media (TV, radio)
- Print media (magizine, direct mail, outdoor)
- Internet marketing
What are the components of effectie print advertisements?
- Headline: Attention grabbing
- Copy: Important info, describe headline
- Illustration: Visual description
- Sub-headline: specific info
- Signature: branding
Advantages and disadvantages for magazine ads?
Ad: longer shelf-life, high quality
Dis: Long time publishing mag
Popular method of promotion in community pharmacies
Radio
Direct mail advertisements disadvantage?
Junk mail
A direct, personal form of communication, which allows the organization to directly target the intended audience for a specific good or service
Personal selling
Advantages of personal selling? DIs?
- Answer questions about products
- fully explain services
- Build relationships
Time consuming and expensive
Form of communication of goods, services, and ideas that is not paid for directly by the organization
i.e., local newspapers, TV, & radio stations reporting on the importance of immunizations
Publicity
Ads and Dis for publicity?
Ad: Consumers believe info is unbiased and credible
Dis: Limit control over who recieves info, what is the target market
Temporary efforts to encourage consumers about purchasing a good or utilizing a service
Sales promotion
