SEVEN CORE FUNCTIONSMarketing 11/12

Channel ManagementMarketing Information ManagementMarket PlanningPricingProduct/Service ManagementPromotionSelling

Seven Marketing CORE Functions

Channel Management Also known as DISTRIBUTION Process of deciding how to get goods

into customer’s hands Moving and storing goods

Truck, rail, ship, air Warehouses Tracking systems

May choose to have multiple methods (or Channels)

AMWAY (Quixtar), FedEx

Marketing Information Management

Solid decisions rely on solid information about Customers Trends Competing products/services

Gathering, storing and analyzing this information

Facebook, “push” ads, location services, Costco samples

Market Planning Developing and targeting specific strategies

to a select audience Determine business needs Design data-collection processes Collect and analyze data Present data

Use all this to create a plan that includes methods for reaching different types of customers

Tim Hortons (US/Canada), Canucks – season tickets, bundle packs, single games

Pricing How much to charge in order to make a

profit Based on:

Costs Competitors Customer willingness to pay

Safeway - Save-On – PriceSmart – Superstore, Bentley, Apple vs. PC

Product/Service Management

Obtaining, developing, maintaining, and improving a product/service or a product mix in response to market opportunities Research guides toward what consumers

need/want New technology and trends are big

influence

8-track – Tape – CD – MP3, Blockbuster vs. Netflix, Beta vs. VHS (Blueray/HD)

Promotion The effort to inform, persuade, or remind

current and potential customers about a business’ products or services

Commercials are a form of promotion called “Advertising” Can you think of other forms of promotion?

Also used to improve a company’s public image Think “Green” for example

Superbowl Ads, sponsorships, “naming” rights, Gold Card

Selling Provides customers with the goods and

services they want

Includes: Business to customer – (retail) Business to business – (wholesalers,

manufacturers)

Amazon, Dell, exclusive distribution

7 Core Functions

Channel Management

Marketing Information Management

Market Planning

Pricing

Product-Service Management

Promotion

Selling

Work with a partner to identify two businesses that cater to teenagers

One should sell goods, the other, services Explain how each business caters to its

customers by trying to identify each of the 7 functions (areas) and how they use them

How effective are those businesses in satisfying their customers’ needs and wants?

Develop a rating scale to present your findings – creative work

Checklist One company is a provider of GOODS One company is a provider of a SERVICE We have created a SCALE to rate each area (use

during the last step below) and the company overall We have evaluated (given our ideas) about how

these companies use each one of the 7 CORE FUNCTIONS

We have evaluated how effective these companies are at meeting customer needs and wants (again, using the 7 CORE FUNCTIONS)