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SHS ABM

Marketing

"Selling the dream! The 4Ps of Marketing. Learn how businesses create value and connect with customers to build successful brands!"

1. What is Marketing? 🎯

Marketing is the process of creating, communicating, delivering, and exchanging offerings that have VALUE for customers.

Marketing is NOT just selling or advertising - it's about understanding customer needs and creating value to satisfy them profitably.

Needs vs Wants vs Demands

  • Needs: Basic requirements (food, shelter, clothing)
  • Wants: Specific satisfiers shaped by culture (Jollibee, iPhone)
  • Demands: Wants backed by purchasing power

Marketing Concepts Evolution

  • 1. Production Concept (availability)
  • 2. Product Concept (quality)
  • 3. Selling Concept (push sales)
  • 4. Marketing Concept (customer needs)
  • 5. Societal Concept (society welfare)

2. The Marketing Mix - 4Ps 🛍️

Product + Price + Place + Promotion

The controllable elements that create the marketing strategy

1. Product 📦

What you sell - goods, services, or ideas

  • • Features and benefits
  • • Quality and design
  • • Branding and packaging
  • • Product life cycle
  • • Warranties and services

2. Price 💰

What customers pay for value

  • • List price and discounts
  • • Payment terms
  • • Credit options
  • • Price vs perceived value
  • • Competitive pricing

3. Place (Distribution) 📍

How product reaches customer

  • • Distribution channels
  • • Location and coverage
  • • Inventory management
  • • Logistics and transportation
  • • Online vs physical stores

4. Promotion 📣

How you communicate value

  • • Advertising
  • • Sales promotion
  • • Personal selling
  • • Public relations
  • • Social media marketing

3. Market Segmentation, Targeting, and Positioning (STP) 🎯

STP is the strategic approach to identify and reach the most valuable customers.

S - Segmentation

Dividing the market into distinct groups:

Geographic

Region, city size, climate

Demographic

Age, gender, income

Psychographic

Lifestyle, values, personality

Behavioral

Usage, loyalty, benefits

T - Targeting

Selecting which segments to serve:

  • Undifferentiated: Same marketing for all (mass marketing)
  • Differentiated: Different marketing for different segments
  • Concentrated/Niche: Focus on one specific segment
  • Micromarketing: Tailored to individuals

P - Positioning

Creating a distinct image in customers' minds:

Positioning Statement: For [target segment], [brand] is the [category] that [point of difference] because [reason to believe].

Example: "For busy professionals, Jollibee delivers fast, delicious Filipino comfort food because of our efficient service and authentic recipes."

4. Consumer Behavior 🧠

Understanding WHY consumers make purchasing decisions.

Consumer Decision-Making Process:

1. Need Recognition 2. Information Search 3. Evaluation 4. Purchase 5. Post-Purchase

Factors Influencing Consumer Behavior

  • Cultural: Culture, subculture, social class
  • Social: Family, reference groups, roles
  • Personal: Age, occupation, lifestyle
  • Psychological: Motivation, perception, beliefs

Types of Buying Behavior

  • Complex: High involvement, significant differences
  • Dissonance-reducing: High involvement, few differences
  • Habitual: Low involvement, few differences
  • Variety-seeking: Low involvement, significant differences

5. Product Life Cycle (PLC) 📈

Every product goes through stages from birth to decline.

Stage Sales Profits Marketing Focus
Introduction Low Negative/Low Awareness, trial
Growth Rapid increase Rising Market share, differentiation
Maturity Peak/Stable Peak then decline Defend share, loyalty
Decline Declining Declining Harvest or divest

6. Pricing Strategies 💵

Different approaches to setting prices based on objectives.

New Product Pricing

  • Skimming: High initial price, lower over time (iPhones)
  • Penetration: Low price to gain market share fast

Product Mix Pricing

  • Bundle: Multiple products at lower combined price
  • Optional: Base product + optional accessories

Psychological Pricing

  • Odd pricing: ₱99.99 instead of ₱100
  • Prestige: High price = quality perception

Promotional Pricing

  • Loss leader: Below cost to attract customers
  • Special event: Holiday sales, clearance

7. Digital Marketing and Social Media 📱

Modern marketing channels that reach customers where they spend time.

Digital Marketing Channels:

Search Engine

SEO, Google Ads

Social Media

Facebook, TikTok, Instagram

Email Marketing

Newsletters, promotions

Content Marketing

Blogs, videos, podcasts

Influencer Marketing

Vloggers, celebrities

Affiliate Marketing

Commission-based referrals

Key Digital Marketing Metrics:

  • Reach: Number of people who see your content
  • Engagement: Likes, comments, shares
  • Conversion Rate: % who take desired action
  • ROI: Return on marketing investment

📝 Practice Questions

1. What are the 4Ps of the Marketing Mix?

Show Answer

Product, Price, Place, and Promotion

2. Which pricing strategy starts with a high price and lowers it over time?

Show Answer

Price Skimming - used for new, innovative products to maximize profit from early adopters

3. What stage of the Product Life Cycle has peak sales but declining profits?

Show Answer

Maturity Stage - sales are stable/peak, but profits decline due to competition

4. What does STP stand for in marketing strategy?

Show Answer

Segmentation, Targeting, and Positioning

💡 Marketing Exam Tips

  • Memorize 4Ps: Product, Price, Place, Promotion
  • Know STP: Segmentation (divide) → Targeting (choose) → Positioning (differentiate)
  • PLC stages: Introduction → Growth → Maturity → Decline
  • Needs vs Wants: Needs are basic; Wants are shaped by culture
  • Skimming vs Penetration: High initial vs Low initial pricing
  • Consumer decision process: 5 stages from need recognition to post-purchase

Test Your Knowledge! 🧠

Ready ka na ba? Take the practice quiz for Marketing to reinforce what you just learned.

Start Practice Quiz 📝

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