After reading this chapter, you will be able to: Define marketing and describe the exchange process; specify the functions of marketing; explain the marketing concept and its implications for developing marketing strategies; examine the development of a marketing strategy, including market segmentation and marketing mix;. | Chapter Twelve Customer-Driven Marketing 12-1 The Exchange Process: Giving Up One Thing in Return for Another Something of Value (money, credit, labour, goods) Something of Value (goods, services, ideas) Seller Buyer Marketing Creates Utility Place utility Time utility Ownership utility Form utility 12-2 Functions of Marketing Buying Selling Transporting Storing Grading Financing Marketing research Risk taking 12-3 The Breakdown of the Marketing Concept 12-4a The Breakdown of the Marketing Concept 12-4b Market/Target Market A market is a group of people who have a need, purchasing power, and the desire and authority to spend money on goods, services, and ideas. A target market is a more specific group of consumers on whose needs and wants a company focuses its marketing efforts. 12-5 Generational Marketing Canada’s oldest citizens - the generation of great hope - desire products that reward them for hard work Baby boomers - the generation born in great economic prosperity - desire . | Chapter Twelve Customer-Driven Marketing 12-1 The Exchange Process: Giving Up One Thing in Return for Another Something of Value (money, credit, labour, goods) Something of Value (goods, services, ideas) Seller Buyer Marketing Creates Utility Place utility Time utility Ownership utility Form utility 12-2 Functions of Marketing Buying Selling Transporting Storing Grading Financing Marketing research Risk taking 12-3 The Breakdown of the Marketing Concept 12-4a The Breakdown of the Marketing Concept 12-4b Market/Target Market A market is a group of people who have a need, purchasing power, and the desire and authority to spend money on goods, services, and ideas. A target market is a more specific group of consumers on whose needs and wants a company focuses its marketing efforts. 12-5 Generational Marketing Canada’s oldest citizens - the generation of great hope - desire products that reward them for hard work Baby boomers - the generation born in great economic prosperity - desire products that save time or simplify living Gen Xers - desire products that fit with the image of (born between 1966-1980) self they are creating Generation Y - the most privileged generation - desire products that are high-tech and authentic and nontraditional shopping venues 12-6 Marketing to Different Generations (or target markets) According to Boomers According to Generation Y Lexus LS 400 Jeep Wrangler Gap Delia’s Estee Lauder Hard Candy Palm Pilot Motorola Flex Pagers Coke Mountain Dew Nikes Vans 12-7 Source: Ellen Neuborne and Kathleen Kerwin, “Generation Y,” Business Week, February 15, 1999, pp. 82-83. What’s Cool? Target Market Strategies 12-8 Single Marketing Strategy Company Total-Market Approach Total Target Market Multiple Target Markets Marketing Strategy 1 Company Multisegment Approach Marketing Strategy 2 Single Marketing Strategy Company Concentration Approach Single Target Market Bases for Segmenting Markets Demographics Geographic factors Psychographics .
