ThemeGallery PowerTemplate LOGO Principles of Marketing Chapter 1 Introduction to Marketing Creating and Capturing Customer Value Tran Hai Ly, PhD ❖COURSE DESCRIPTION (1)provides students of marketing.
LOGO Principles of Marketing Chapter Introduction to Marketing: Creating and Capturing Customer Value Tran Hai Ly, PhD ❖COURSE DESCRIPTION: (1)provides students of marketing concepts; (2) applies learned marketing concepts to real world situations; and (3) examines the modification of marketing strategy within a changing environment ❖TEXT: Essentials of Marketing, 12th Edition by Perrault, Cannon, and McCarthy McGraw-Hill/Irwin, 2010 ❖(Paperback) ISBN:978-0-07-340481-3 ❖Principles of Marketing, 17th Edition by P Kotler, Gary Amstrong McGraw-Hill/Irwin, 2017 METHOD OF EVALUATION: ❖Paticipation: 10% ❖Mid-term: 30% ❖Final exam: 60% ❖(Bonus: max 10%) Outline teaching schedule Module Topic Introduction to Marketing Readings in Principles of Marketing textbook Chapter Pages of Marketing textbook Marketing environment Chapter 90-121 Marketing research & assessing market opportunities Chapter 4,5,6 122-188 Strategic planning for Marketing Chapter 2, 25-60 & 212245 Products/services decisions Chapter 8, 246-282 &282309 Pricing decisions Chapter 10, 11 310-333 Marketing channel decisions Chapter 12, 13 360-393 Integrated Marketing communications Chapter 14, 15, 16, 17 Pages: 24-59 426-545 Chapter 1: Creating and Capturing Customer Value Topic Outline ❖1.History of Marketing ❖ 2.What Is Marketing? ❖ 3.Understand the Marketplace and Customer Needs ❖ 4.Designing a Customer-Driven Marketing Strategy ❖ 5.Preparing an Integrated Marketing Plan and Program ❖ 6.Building Customer Relationships ❖ 7.Capturing Value from Customers ❖ 8.The Changing Marketing Landscape 1.History of Marketing Four Eras in the History of Marketing ❖Over time, marketing activities evolved ❖Four Eras in the History of Marketing 12-9 From 2005- now ❖Collaboration era Price Changes Responding to Price Changes Copyright © 2010 Pearson Education, Inc Publishing as Prentice Hall Chapter 11- slide Public Policy and Pricing Pricing Within Channel Levels Price fixing: Sellers must set prices without talking to competitors Predatory pricing: Selling below cost with the intention of punishing a competitor or gaining higher long-term profits by putting competitors out of business , this will protect small sellers from larger ones Copyright © 2010 Pearson Education, Inc Publishing as Prentice Hall Chapter 11- slide Public Policy and Pricing Pricing Across Channel Levels Robinson-Patman Act prevents unfair price discrimination by ensuring that the seller offer the same price terms to customers at a given level of trade Copyright © 2010 Pearson Education, Inc Publishing as Prentice Hall Chapter 11- slide Public Policy and Pricing Pricing Across Channel Levels Robinson-Patman Act • Price discrimination is allowed: – – If the seller can prove that costs differ when selling to different retailers If the seller manufactures different qualities of the same product for different retailers Copyright © 2010 Pearson Education, Inc Publishing as Prentice Hall Chapter 11- slide Public Policy and Pricing Pricing Across Channel Levels Retail (or resale) price maintenance is when a manufacturer requires a dealer to charge a specific retail price for its products Copyright © 2010 Pearson Education, Inc Publishing as Prentice Hall Chapter 11- slide Public Policy and Pricing Pricing Across Channel Levels Deceptive pricing occurs when a seller states prices or price savings that mislead consumers or are not actually available to consumers • Scanner fraud failure of the seller to enter current or sale prices into the computer system • Price confusion results when firms employ pricing methods that make it difficult for consumers to understand what price they are really paying Copyright © 2010 Pearson Education, Inc Publishing as Prentice Hall Chapter 11- slide Common Pricing Mistakes • Determine costs and take traditional industry margins • Failure to revise price to capitalize on market changes • Setting price independently of the rest of the marketing mix • Failure to vary price by product item, market segment, distribution channels, and purchase occasion Copyright © 2010 Education, Inc Copyright © Pearson 2009 Pearson Education, Publishing as Prentice Hall Inc Publishing as Prentice Hall Chapter 11- slide Consumer Psychology and Pricing Reference Prices Price-quality inferences Price endings Price cues Copyright © 2010 Education, Inc Copyright © Pearson 2009 Pearson Education, Publishing as Prentice Hall Inc Publishing as Prentice Hall Chapter 11- slide Table 14.1 Possible Consumer Reference Prices • • • • “Fair price” Typical price Last price paid Upper-bound price Copyright © Copyright © 2010 Pearson Education, Inc Publishing as Prentice Hall 2009 Pearson • • • • Lower-bound price Competitor prices Expected future price Usual discounted price Chapter 11- slide Consumer Psychology and Pricing Price-Quality Inferences Reference Prices 99 $1 Price Endings Copyright © 2010 Pearson Education, Inc Publishing Prentice Hall Inc Publishing as Prentice Hall Copyrightas © 2012 Pearson Education, Chapter 11- slide Slide 1171 of 33 A Black T-Shirt Armani - $275 Gap - $14.90 H&M - $7.90 Copyright © 2010 Pearson Education, Inc Publishing Prentice Hall Inc Publishing as Prentice Hall Copyrightas © 2012 Pearson Education, Chapter 11- slide Slide 1172 of 33 Table 14.2 Consumer Perceptions vs Reality for Cars Overvalued Brands • Land Rover • Kia • Volkswagen • Volvo • Mercedes Copyright © Copyright © 2010 Pearson Education, Inc Publishing as Prentice Hall 2009 Pearson Undervalued Brands • Mercury • Infiniti • Buick • Lincoln • Chrysler Chapter 11- slide Tiffany’s Price-Quality Relationship Copyright © Copyright © 2010 Pearson Education, Inc Publishing as Prentice Hall 2009 Pearson Chapter 11- slide Price Cues • • • • • “Left to right” pricing ($299 vs $300) Odd number discount perceptions Even number value perceptions Ending prices with or “Sale” written next to price Copyright © 2010 Education, Inc Copyright © Pearson 2009 Pearson Education, Publishing as Prentice Hall Inc Publishing as Prentice Hall Chapter 11- slide When to Use Price Cues • Customers purchase item infrequently • Customers are new • Product designs vary over time • Prices vary seasonally • Quality or sizes vary across stores Copyright Copyright © 2010 Pearson© Education, Inc Publishing as 2009 Prentice Hall Pearson Chapter 11- slide