University of Antique

College of Business and Accountancy

Prof. Marievic B. Adarga, MM

1
 MEETING HUMAN NEEDS

LEARNING OBJECTIVES
After reading of this module, you are expected to:
1. Define Marketing.
2. Understand the significance of Marketing.
3. Grasp the major concepts and tools of Marketing.
4. Identify the elements of the Marketing mix.
5. Understand the importance and use of the marketing mix as a tool to achieve goals.

INTRODUCTION

WHAT IS MARKETING?
Many people think of marketing only as selling and advertising. And no wonder – every day we are
bombarded with TV commercials, direct- mail offers sales call and e-mail pitches or roaming account execu-
tives selling anything under the sun. Some people interchangeably use Marketing to mean just selling or
merchandising. As a function, however, selling, merchandising and advertising are only tips of the mar-
keting iceberg.
The idea that Marketing is simply “telling and selling” or even persuading people to buy is already
considered old-school. Marketing nowadays should be understood in the new sense, of satisfying customer
needs through valuable relationships.
According to William J. Stanton, any interpersonal or inter- organizational relationship involving an
exchange is already considered as Marketing. That is, the essence of marketing is a transaction – an ex-
change – intended to satisfy any human needs or wants.

2
 DEFINITION OF MARKETING
And MARKETING MANAGEMENT

MOTIVATION:
Look for a picture, be it in a magazine, newspaper or even your own picture, which for you repre-
sents / defines / describes your concept of Marketing. Discuss why you think that it represents/
defines/describes Marketing.

Since Marketing is not solely a business activity, Philip Kotler finally defines Marketing as a soci-
etal process by which individuals and groups obtain what they need and want through creating,
offering, and freely exchanging products and services of value with others.

On a managerial perspective, Marketing is the process of planning and executing the concep-
tion, pricing, promotion, and distribution (see 4Ps) of ideas, goods, and services to create exchanges
that satisfy individual and organizational goals.

In a narrower business context, and a more modern approach to its definition, Marketing in-
volves building profitable, value-laden exchange relationships with customers. Hence, we can define
Marketing as the process by which companies create value for customers and build strong customer
relationships in order to capture value from customers in return.

3
CHAPTER 11
CHAPTER
HOW IS MARKETING IMPORTANT TO US?

We may not be aware of it but Marketing pervades every inch of our daily activities. We are exposed to
it as they say from “dusk till dawn” and from “cradle to grave.”

From the moment you were born, your parents paid for the services of health workers, the hospital
bills, and the medicines needed by you and your mother to heal and, until we all die where our family has
to spend for the flowers, the funeral services, and the food that will be distributed to those who came to
pay their respects.

When you wake up from your Uratex foams in your paid boarding houses, brushed your teeth with Col-
gate, showered with Safeguard and Palmolive, hired a tricycle to go to school, snacked with Coke and TJ
Hotdogs, laughed with your classmates in Facebook, and later slept at night in your Bench boxer shorts,
your life is being touched by Marketing.

Each “touchpoint” creates a ripple effect to all facets of the community where we live in, and even the
world.

 Marketing provides what people need and want more effectively and efficiently than ever.

 Marketing allows people to choose from a variety of goods and services t

 For the individual firm, marketing aids in identifying target customers t

 Thus, Marketing enables the company to plan and budget resources more effectively.

 Marketing can aid Non-profit organizations such as universities, churches, political parties, or hospi-

tals in dealing with their target markets.

 Marketing activity has the task of encouraging people to buy the products.

 Marketing allows businesses to provide jobs, pay taxes, and make an impact to the lives of every indi-

vidual.

 It is responsible for the current high standard of living of a country.

4
 CORE MARKETING CONCEPTSNCEPTS
They say that if music is the ideal substance of the soul, and debit and credit is the darling language
of Accounting, then Marketing has also its own core concepts here defined by Kotler. Do you know these
concepts?

1. Market – various groupings of customers

2. Needs – it describes basic human require-
ment. These needs are not created by manufac-
turing industry, but are basic parts of our human
make-up.
3. Wants – needs that are directed to specific
objects and are influenced by culture or personali-
ty.
4. Demands – wants for specific products
backed by an ability to pay.
5. Product – is any offering, be it a good or a
service, that can satisfy a need or a want
6. Customer Value - combination of benefits
that includes quality, price, convenience, and after
sales services (Kerin)
7. Satisfaction—when customer expectations
on the product or services matches its perfor-
mance
8. Exchange – involves obtaining a desired
product from someone by offering something in
return.

Integration 1:
You can draw, sing, and express in other creative forms your own concept of Marketing. As the groups
present their ideas, your teacher draws out key words that you will use for class discussion. The group
with the most key words identified will get a prize.

MARKETING MIX

5
CORE MARKETING CONCEPTS
 MARKETING MIX

If you can remember when we discussed the definition of Marketing, we talked about the
“conception, pricing, promotion, and distribution” of goods and services? These four key words are your
Marketing Mix.

Marketing Mix is a concept first published by Professor E. Jerome McCarthy. It is defined as the set
CO
of marketing tools that the firm uses to pursue its marketing objectives in the target market. These are your
Product, Price, Promotion, and Place.

Motivation:
Students are divided into groups. Each group is given several strips of paper indicating activities of the
4Ps. The students identify to which P they belong. The group with the most number of correct answers

The Marketing Mix (4Ps)

Product Price Promotion Place
Product variety List price Sales Promotion Channels
Design Discounts Advertising Coverage
Features Allowances Sales Force Locations
Sizes Payment period Public relations Inventory
Brand name Credit terms Direct marketing Transportation
Packaging Visual Merchandising
Services Retailing/Wholesaling

Sellers’ View (4Ps) Buyers’ View (4Cs)

Product Customer Solution
Price Customer Cost
Promotion Customer Communication
Place Customer Convenience

Simple as they may seem, each P covers a wide range of theories, concepts, and strategies. More-
over, one P must not be used in isolation from the other three. All 4 Ps must be complementary to one
another. They should be a perfect “mix and match.”
With the more complex nature of today’s marketing practices, marketing experts such as Bernard
Booms and Mary Jo Bitner popularised the 7 Ps which now added Physical Evidence, People, and Process.
In this material however, the four Ps would be given more emphasis.

Integration 2:
With 4Ps as your guide, you will make a recipe for a successful marketing program. The teacher will
provide the class with a “problem” or a need. You are required to come up with an interesting product,
provide its price, choose one appropriate promotional tool, and a proposed location inside the school.
The group or the student with the most creative output wins.

6
CHAPTER 1
COMPANY ORIENTATION TOWARDS THE MARKETPLACE

Companies or organizations achieve their objectives using approaches that are different from the others.
These approaches are guided by philosophies, beliefs, core values, or company orientations. The following are the
orientations that an organizations can choose from:

 The Production Concept states that consumers will prefer products that are widely available and inexpen-
sive. Thus, they focus more on production efficiency in order to create cheaper products in big quantities.
 The Product Concept holds that consumers will favor those products that offer the most quality, perfor-
mance, or innovative features. Thus, companies spend time and resources to create the “perfect” product.
 The Selling Concept discloses that consumers and businesses, if left alone, will ordinarily not buy enough of
the organization’s businesses. The organization must, therefore, undertake an aggressive selling and pro-
motion effort.
 The Marketing Concept holds that the key to achieving its organizational goals consists of the company be-
ing more effective than competitors in creating, delivering, and communicating customer value to its chosen
target markets.
 The Societal Marketing Concept conveys that the organization’s task is to determine and satisfy the needs of
target markets in a way that preserves or enhances the consumer’s and the society’s well-being. The trend
nowadays is for company to integrate Corporate Social Responsibility (CSR) into their programs.

CORE MARKETING CONCEPTS

ENHANCEMENT:
Identify organizations that utilize the concepts/orientation or provide examples of products that are
outputs of these concepts.

CORE MARKETING CONCEPTS 7

LESSON 1 THE BUSINESS ENVIRONMENT

THE BUSINESS ENVIRONMENT

LEARNING OBJECTIVES
After reading of this module, you are expected to:
1. To describe the environmental forces that affect the company’s ability to serve customers.
2. To identify the factors that comprise each environment.
3. Discuss how companies can react to the marketing environment.
4. To understand the impact of the different environments to the organization.

A business exists in a constantly changing environment. Any changes in the environment could either
have a positive or a negative effect on the performance of an organization. Thus, it is important that or-
ganizations must learn to adapt with whatever change in order for them to stay profitable.

The environment of a firm is the sum of all the elements and forces in its surroundings which have a
potential impact on its ability to perform and achieve its objectives. It consists of a mix of the internal and
external forces which surrounds the organization. Changes in the external environment can represent
either a threat to the continuing relevance and viability of the firm, or as an opportunity for the firm to
change and grow.

MOTIVATION: Cite an issue (local or national) that you have heard in the news and tell your classmates
how that issue would affect a business in a particular area.

The micro forces close to the company that affects its ability to serve its customers. These forces are relative-
ly controllable since the action of the business may influence these stakeholders. It comprises all those organ-
izations and /or individuals who directly affect the activities of the company.

Factors in the Micro Environment

1. The Company—Top Management, Finance, Research and Development, Purchasing, Operations, Accounting,
or Marketing
2. Suppliers— are either individuals or business houses who provide the resources needed by the company. The
developments in the supplier environment have a substantial impact on the marketing operations of the
company. Supply shortages have to be fully monitored and plans should be made to avoid it.
3. Marketing Intermediaries—help the company promote, sell and distribute its products to final buyers. Inter-
mediaries take many forms such as resellers, marketing service agencies, physical distribution firms and fi-
nancial intermediaries.
4. Competitors—are those who sell goods and services of similar description in the same market. Identification
of competitors is of utmost importance. Therefore it is essential to build an efficient system of marketing
intelligence. The company, in order to come out successfully, has to adopt means which may help it to out-

8
CHAPTER 2 THE BUSINESS ENVIRONMENT
CORE MARKETING CONCEPTS
5. Public—defined as “any group that has an actual or potential interest in or impact on a company’s ability to
achieve its objectives”. To build goodwill and to seek favorable response, it is very crucial for a company to
satisfy its general public as well. They are the following:
Financial public
Media public
Government public
Local public
General public
Internal public

6. Customers—the target market of the company is usually of five types:

Ultimate customers
Industrial customers
Resellers
Government and other non- profit customers
International customers

Macro environment refers to those factors which are external to company’s activities and do not concern the
immediate environment. These are uncontrollable factors which indirectly affect the company’s ability to operate
in the market effectively.
Factors in the Macro Environment
1. Demographic—
Demography: refers to the study of the characteristics of the population. It includes the following factors, among
others:
Population
Age and Gender ratio
Geographical shifts and their growth
Educational Group
Household patterns

2. Economic—Markets require purchasing power as well as people which is affected by the economy. The available
purchasing power of an economy depends on current income and income distribution, prices, savings, debt, and
credit availability.

3. Socio-Cultural—Society shapes the beliefs, values, and norms that largely define these tastes and preferences.

4. Natural—Environmental issues have long affected marketing practices. Issues in this aspect include shortages of raw
materials, increase energy costs, antipollution pressures, and changing role of environments.

5. Technological—One of the most dramatic forces shaping people’s lives is technology. The economy’s growth rate is
affected by how many major new technologies are discovered. Accelerating pace of change, unlimited opportunities
for innovation as well as increased regulation of technological change are some of the major issues discussed in the
technological factor.

6. Political-Legal—Marketing decisions are strongly affected by developments in the political and legal environment.
This environment is composed of laws, government agencies, and pressure groups that influence and limit various
organizations and individuals.

9
LESSON 2 MARKET / INDUSTRY TRENDS
CORE MARKETING CONCEPTS
Motivation:
Imagine that you have lived 20 years ago. Without cellphone and the internet, describe the differ-
ence in how businesses were being conducted then and now.

1. Reengineering : From focusing on functional departments Reorganizing by key processes,

each managed by multidiscipline teams
2. Outsourcing : From making everything inside the company Buying more goods and services
from outside if they can be obtained cheaper and better
3. E- Commerce : From attracting customers to stores and having salespeople call on offices
Making virtually all products available on the internet
4. Benchmarking : From relying on self improvement Studying “world- class performers” and
“adopting best practices” of other more successful companies
5. Partner-suppliers : From using many suppliers Using fewer but more reliable suppliers who
work closely in a “partnership” relationship with the company
6. Market-centered : From organizing by products Organizing market segments
7. Global and local : From local Being both global and local
8. Decentralized : From being managed from the top Encouraging more initiative and

1. Relationship Marketing: From focusing on transactions to building long-term, profitable cus-

tomer relationships
2. Target Marketing: From selling to everyone to trying to be the best firm serving well- defined
target markets
3. Individualization: From selling the same offer in the same way to everyone in the target market
to individualizing and customizing messages and offerings. Customers are also able to design their
own product features
4. Integrated Marketing Communication: From heavy reliance on one communication tool such as ad-
vertising or sales force Blending several tools to deliver a consistent brand image at every
brand contact
5. Every employee as marketer: From thinking that marketing is done only by marketing, sales and cus-
tomer support personnel to recognizing that every employee must be customer focused
6. Model- Based Decision Making: From making decisions on intuition or slim data Basing deci-
sions on models and facts on how the marketplace works

10
 INTEGRATION 3:
A. Group Activity
Choose a product or company that you are so familiar with. Discuss among
your group members and identify the factors that are currently affecting the product/company. Separate
the Microenvironment factors from that of the Macroenvironment. Show your output in class.

B. Individual Output
First, identify your goal/s in life. Given this, assess your self: a) Identify your
Strength and Weaknesses then b) look around you and identify the factors that
could either help you or prevent you from achieving your goals. This would
represent your Opportunities and Threats, respectively. With this data, you
would be able to plan your strategies and achieve your goals

11
 CONSUMER AND BUSINESS BUYER BEHAVIOR

LEARNING OBJECTIVES
After reading of this module, you are expected to:
1. To identify the factors that influence Consumer Behaviour
2. To understand the impact of these factors

Consumers make many buying decisions every day, and the buying decision is the focal point of the
marketer’s effort. Most large companies’ research consumer buying decisions in great detail to answer
questions about what consumers buy, where they buy, how and how much they buy, when they buy, and
why they buy. But learning about the whys of consumer buying behaviour is not so easy – the answers are
often locked deep within the consumers mind.

Motivation:
Think about what you ate for lunch/snacks today. Who influenced you to choose that particular food,
flavour ,or brand? What are the other factors that help you decide to choose that particular food, flavour, or

A. Cultural Factors – exert a broad and deep influence on consumer behaviour.

a. Culture. The set of basic values, perceptions, wants, and behaviours learned by member of society from
family and other important institutions.
b. Sub-culture. A group of people with shared value systems based on common life experiences and situa-
tions.
c. Social Class. Relatively permanent and ordered divisions in a society whose members share similar val-
ues interests, and behaviours.

B. Social Factors – can affect our attitudes, opinions and interests

a. Groups and Social Networks.
Groups -Two or more people who interact to accomplish individual or mutual goals.
Online social networks – blogs, social networking web sites, or even virtual worlds – where people social-
ize or exchange information and opinion.
Opinion leader – Person within a reference group who, because of special skills, knowledge, personality,
or other characteristics, exerts social influence on others.
b. Family. Family buying roles are changing. For example, 65 percent of men grocery shops regularly while
women influence 50 percent of all new technology purchases.
c. Roles and Statuses. A person belongs to many groups – family, clubs and organizations. The person’s po-
sition in each group can be defined in terms of both role and status.

12
CHAPTER 3 CONSUMER AND BUSINESS BUYER BEHAV-
CORE MARKETING CONCEPTS

Rich (.05%). The social elite who live on inherited wealth.

Bachelor Stage. Young, single, few fi-
They give large sums to charity, own more than one home,
nancial burdens, recreational oriented.
and send their children to the finest schools. Some are
Newly living together. Young couple, no
known to earn over $1M a month
children, financially stable, durable
Upper Income (.45%). Filipinos who have earned high
purchases.
income or wealth through exceptional ability. They are
active in social and civic affairs and buy expensive homes,
educations, and cars. They are earning an average of more Full Nest 1. Youngest child under 6,
than P140K to P8M a month increasing financial pressures, priority

Source: Ibon Foundation, 2017; Kotler; ; Masterson & Pickton, 2015

on household necessities.
Upper middle (1.6%). Professionals, independent busi-
Full Nest 2. Youngest child over 6, im-
nesspersons, and corporate managers who possess neither
proving financial position.
Filipino’s social classes family status nor unusual wealth. They believe in education,
Full Nest 2. Older married couples with
show distinct brand are joiners and highly civic minded, and want the “better
dependent children, replacement of
things in life.” They are earning an average of P83K to 140K
preferences. Social class household furnishings and products.
monthly.
is not determined by a Purchases for changing tastes of teens
Middle Class (2.9%): Average-pay white and blue collar
single factor, but by a and other educational needs.
combination of all of
workers. They buy popular products to keep up with
trends. Better living means owning a nice home in a nice
Source: Ibon Foundation, 2017; Kotler

these factors.
neighbourhood with good schools. They earn approximate- Empty Nest 1. Older married couple, no
ly P60K to 83K monthly children at home, home ownership is
Lower middle (29%): Those who lead a “working-class peak, renewed interests in travel and
lifestyle,” whatever their income., school background or job. leisure.
Empty Nest 2. Older couple, no children
They depend heavily on relatives for economic and emo-
tional support, for advice on purchases, and for assistance at home, retired, medical services em-
in times of trouble. phasized.

Lower Income (37%): The working poor. Although their

Solitary survivor 1. Only one active
living standard is just above poverty, they strive toward a
partner. Still working
higher class. However, they often lack education and are
Solitary survivor 2. Retired. Low in-
poorly paid for unskilled work.
come, special needs for medical care,
Poor (29%): Visibly poor, often poorly educated unskilled
affection and security
labourers. They are often out of work and some depend on
public assistance. They tend to live a day-to-day existence.

a. Age & Stage in the Life Cycle. People change the goods and services they buy over their life-
times.
b. Occupation and Economic Circumstances. A person’s occupation affects the goods and services
bought. Blue-collar workers tend to buy more rugged work clothes, where as executives buy more
business suits.
c. Economic Situation. A person’s economic situation will affect his or her store and product choices.
Marketers watch trends in personal income, savings, and interest rates. (May refer to Table 1)
d. Lifestyle. A person’s pattern of living as expressed in his or her activities, interests, and opinions.
e. Personality and Self-Concept. Each person’s distinct personality influences his or her buying be-
haviour.

Brand Personality – is the specific mix of human traits that may be attributed to a particular brand.

CORE MARKETING CONCEPTS

13
CHAPTER 3 CONSUMER AND BUSINESS BUYER BEHAV-
CORE MARKETING CONCEPTS

a. Motivation. A person has many needs at any given time. Some are biological, arising from states of
tension such as hunger, thirst, or discomfort. Others are psychological, arising from the need for
recognition, esteem, or belonging.
Motive (drive) – a need that is sufficiently pressing to direct the person to seek satisfaction of the need.
b. Perception. A motivated person is ready to act. How the person acts is influenced by his or
her own perception.
Perception – the process by which people select, organize, and interpret information to form a meaningful
picture of the world.

c. Learning. When people act, they learn. Learning occurs through the interplay of drives,
stimuli, cues, responses, and reinforcement.
Learning – describes changes in an individual’s behaviour arising from experience.

d. Beliefs and Attitude. Through doing and learning, people acquire beliefs and attitudes.
These, in turn, influence their buying behaviour.
Belief – A descriptive though that a person holds about something.
Attitudes – A person’s consistently favourable or unfavourable evaluations, feelings, and tendencies toward
an object or idea.

Integration 4 : Integration 5:
Think of an item that you have purchased recently. For
this item, make notes on the following:
For each of the stages in the family life cycle, identify the
 How did the need arise? How long did it take to potential goods and services that are likely be purchased
make a decision?
by the members of these stages. Explain your choices.
 How many alternatives did you consider? How did
you choose between them?

 Did you ask for advice from other people? Who

was the most influential in your final decision?

 As a marketer, how do you think these infor-

mation will help you in making decisions for the
business?

14
 DEALING WITH COMPETITION

LEARNING OBJECTIVES
After reading of this module, you are expected to:
1. To understand the benefits of practising competitive intelligence
2. To know the types of competitors
3. Identify strategies used in gaining competitive advantage over competitors

“If you know your enemy and know yourself, you need not fear the result of a hundred battles. If you know yourself and not the
enemy, for every victory gained, you will also suffer a defeat. If you know neither your enemy nor yourself, you will succumb in
every battle…know the terrain, know the weather, and your victory will be complete.” Sun Tzu

“Poor firms ignore their competitors; average firms copy their competitors; winning firms lead their competitors.”
Philip Kotler

Understanding customers is not enough to become sustainable in the industry. Competition is growing more in-
tense. This chapter will discuss how organizations can outperform their competitors. Organizations must be able to pro-
vide profitable customer relationships more effectively than competitors do.

Motivation:
Role Playing: Create with your classmates scenarios where a fictional opponent will attack you. What will be your most effective
response? Provide an alternative response. Explain your decisions.

THE FIVE FORCES

Michael Porter identified Five Forces that could serve as a challenge to organizations:
1. Threat of intense segment rivalry
2. Threat of new entrants
3. Threat of substitute products
4. Threat of buyers’ growing bargaining power
5. Threat of suppliers’ growing bargaining power

HYPOTHETICAL MARKET STRUCTURE

Market Leader — this firm has the largest market share in the
relevant product market, and usually leads the other firms in
price changes, new- product introductions, distribution coverage
and promotional intensity
Market Challenger — his firm challenges the market leader and
other competitors in an aggressive bid to increase its market
share

Market Follower — a firm that is willing to maintain its market

share and not to rock the boat.

Market Nichers — firms that serve small market segments not

being served by larger firms

15
CHAPTER 4 DEALING WITH COMPETITION
CORE MARKETING CONCEPTS
A. EXPANDING THE TOTAL MARKET
The dominant firm normally gains the most when the total market expands. In general, market
leader should look for new customers or more usage from existing customers.

NEW CUSTOMERS
 Every product class has the potential of attracting buyers who are unaware of the product or who
are resisting it because of price or lack of certain features.
 A company can search for new users among three groups: those who might use it but do not
(market- penetration strategy), those who have never used it (new- market segment strategy), or
those who live elsewhere (geographical- expansion strategy).

NEW USES
 A company can expand market share by discovering and promoting new uses for the product
 For example, Nintendo is just for games but can also be used as an instructional interactive prod-
uct.

MORE USAGE
 Usage can be increased by increasing the level or quantity of consumption or increasing the fre-
quency of consumption.
 Increasing the amount of consumption can sometimes be done through packaging or product de-
sign. Larger package sizes have been shown to increase the amount of product that consumers use
at one time.
 Increasing frequency of use involves identifying additional opportunities to use the brand in the
same basic way or identifying completely new and different ways to use the brand.

B. PROTECTING MARKET SHARE/ DEFENSE STRATEGIES

1. Position Defense — The basic defense is to build an impregnable fortification around one’s territory
2. Flank — The market leader should also erect outposts to protect a weak front
3. Preemptive — A more aggressive maneuver is to attack before the enemy starts its offense
4. Counteroffensive - Most market leaders, when attacked, will respond with a counterattack.
5. Mobile — In mobile defense, the leader stretches its domain over new territories that can serve as future
centers for defense and offense. Market broadening and market diversification.
6. Contraction — Also called strategic withdrawal, planned contraction means giving up weaker territories
and reassigning resources to stronger territories.

1. Frontal — the leader matches it’s opponents’ products, advertising, price & promotion
2. Flank — It is another name for identifying shifts in market segments that are causing gaps to develop
3. Encirclement — It involves launching a grand offensive on several fronts.
4. Bypass — The challenger patiently researches and develops the next technology and launches an attack.
5. Guerilla Warfare — Consists of waging small, intermittent attacks to harass and demoralize the opponent
and eventually secure permanent footholds.

CORE MARKETING CONCEPTS 16

CHAPTER 4 DEALING WITH COMPETITION
CORE MARKETING CONCEPTS
1. COUNTERFEITER - duplicates the leader’s product and package and sells it on the black market or
through disreputable dealers.
2. CLONER - emulates the leader’s products, name, and packaging, with slight variations.
3. IMITATOR— copies some things from the leader but maintains differentiation in terms of packag-
ing, advertising, pricing, or location.
4. ADAPTER— takes the leader’s products and adapts or improves them.

These firms target sub-segments, which were not effectively served or neglected by other bigger
firms, instead of pursuing the whole market or larger market segments.

The niche market are those which are of little interest to major competitors. The firm however,
must see to it that this segment is profitable and has potential for growth.

Fritolay (45% cumulative share consisting of Lays, Kur-

kure, Uncle Chipps, Cheetos and Leher).

ITC’s Bingo (16%) posing a threat to Lays through its direct

frontal attack.

Balaji and local players such as Yellow diamonds. Also

included are unorganized offerings, aimed at the price-
sensitive, less loyal audience.

Parle Monaco’s Smart Chips which has identified itself a

niche of the more health conscious section of the audience
by offering them a baked variant of chips.

Integration: 6
Choose a popular company. Research on who their competitors are and identify what is their competitive posi-
tion in the industry. Discuss what strategies were undertaken by the industry to stay in that position.

CORE MARKETING CONCEPTS 17

 MARKETING MANAGEMENT PROCESS

LEARNING OBJECTIVES
After reading of this module, you are expected to:
1. To discuss the nature, steps and benefits of market STP
2. To identify the different segmentations of a market
3. To understand market positioning and its strategies

MARKET SEGMENTATION
It is dangerous for a company to say that “Our target market is Everybody!” Remember that people
have different personalities, backgrounds, and preferences. Moreover, it would take the company a lot of
resources to try to target everybody. It would be more effective and efficient for the company to choose a
segment which it could serve better. In identifying your target market, remember these steps: S-T-P. S
stands for Segmentation or Market Segmentation, T means Targeting, and P is Positioning.

Motivation:
Debate: Is it possible to market to everybody? Yes or No. Explain your answer.

SIGNIFICANCE OF MARKET SEGMENTATION

As we have mentioned earlier, it is impossible to sell one type of product to virtually anyone. If you
sell ice cream, for example, one person would like the chocolate flavour then, another one wants a vanilla.
Some people like to have peanuts mixed with it while others do not. More specifically then, there are people
who wants to eat ice cream but health reasons won’t allow them to take too much sweet. Thus, sugar-free
ice cream should be given to them.

In the same manner, all doctors would constitute the total market. But there would be those who
would specialize in paediatrics, cardiology, or oncology. In marketing, we do not want to be a “jack-of-all
trades-and-a master-of none.” The point is not everyone in the market have the same needs, wants or
demands. This is the very reason why we should do Market Segmentation. Market Segmentation is defined
as “(Kotler) the process of “dividing a market into smaller segments with distinct needs, characteristics, or
behaviour that might require separate marketing strategies or mixes.”

Another reason for this is cost maximization. Take the case of the difference between a machine-
gunner and a sharp shooter. A soldier who uses a machine gun wastes a lot of bullets without the warrant of
a sure hit. But a sharp shooter utilizes only one bullet in a sure kill. A firm which uses market segmentation
is a sharp shooter.

18
CHAPTER 5 MARKETING MANAGEMENT PROCESS
CORE MARKETING CONCEPTS
1. GEOGRAPHIC SEGMENTATION

Geographic segmentation calls for dividing the market into different geographical units such as nations, states,
regions, countries, cities or neighbourhoods.
2. DEMOGRAPHIC SEGMENTATION

In demographic segmentation, the market is divided into groups based on such variables as age, family size, fami-
ly life cycle, gender, income, occupation, education, religion, race, generation, nationality, and social class.

3. PSYCHOGRAPHIC SEGMENTATION

In psychographic segmentation, buyers are divided into different groups on the basis of lifestyle, personality or
values.
4. BEHAVIORAL SEGMENTATION

In behavioural segmentation, buyers are divided into groups based on their knowledge of, attitude toward, occa-
sions, use of, or responses to a product.

The process of evaluating each market segment’s attractiveness and selecting one or more segments to enter.
Target Market- A set of buyers sharing common needs or characteristics that the company decides to serve.

Integration 7:
Visit a grocery store and choose a category of heavily branded products such as soap, shampoo, or
food snacks. Take a close look at the different brands, their prices, their packaging design, or product
features. You may later research on their promotional strategies and advertisements. After that, try to
identify the segment that the product is targeting using the Bases for Market Segmentation as guide
for your outputs.

Integration 8:

Among the products presented at the left, choose and identify at

least five brands that you are quite familiar with, Then, provide
the characteristics of the perceived intended target market of
these products. You may research for their taglines, advertise-
ments, and programs to help you. Use the Bases for Market Seg-
mentation as guide for your outputs.
Source of pic: GNTours

CORE MARKETING CONCEPTS 19

CHAPTER 5 MARKETING MANAGEMENT PROCESS
CORE MARKETING CONCEPTS

No company can win if its products and offerings resemble every other product and offering in the market.
With this, companies must purse relevant positioning and differentiation strategies.

All marketing strategy is built on STP- Segmentation, Targeting and Positioning. A company discovers dif-
ferent needs and groups in the marketplace, target those needs and groups that it can satisfy in a superior way,
and then position its offering so that the target market recognizes the company’s distinctive offering and image.

CORE MARKETING CONCEPTS

 Act of designing the company’s offering and image to occupy a distinctive place in the mind
of the target market to maximize potential benefit to the firm.
 A good brand positioning helps guide marketing strategy by clarifying the brand’s essence,
what goals it helps the consumer achieve, and how it does so in a unique way.
 It should always be done in relation to how competitors are being positioned
 It requires that similarities and differences between brands to be defined and communicated.

Deciding on a positioning requires determining a frame of reference by identifying the target market and
the competition, and identifying the ideal points-of-parity (POPs) and points-of-difference (PODs) brand associa-

COMPETITIVE FRAME OF REFERENCE:

 A starting point in defining a competitive frame of reference for a brand positioning is to determine category mem-
bership—the products or sets of products with which a brand competes and which function as close substitutes.

POINTS-OF-DIFFERENCE
 Attributes or benefits consumers strongly associate
with a brand, positively evaluate and believe that
they could not find to the same extent with a com-
petitive brand.
 Strong, favourable and unique brand associations
that make up PODs may be based on virtually any
type of attributes or benefits.
 Example: Apple (design), Nike (performance) and
Lexus (quality)

POINTS-OF-PARITY
 Associations that are not necessarily unique to the
brand but may in fact be shared with other brands MARKETING AUDIT OF RENAULT & VOLKSWAGEN

CORE MARKETING CONCEPTS 20

CHAPTER 5 MARKETING MANAGEMENT PROCESS
CORE MARKETING CONCEPTS
There are a number of ways in which you can position your product against a competitor.
 Positioning on attribute/product features – this is done by emphasizing a brand’s distinctive feature
 Positioning by price/quality – price, either high or low, and quality are
emphasized
 Positioning for specific usage – focuses on how the product will be used
 Positioning on benefits – highlights the benefits that it provides the con-
sumer
 Positioning by the product user – focuses on the target user’s characteris-
tics
 Positioning against other brands/Competitor – in comparison with oth-
ers -
 Positioning by Product class – positioning against a product class rather
than with another brand
 Positioning using Cultural Symbols – the task is to identify symbols that
are considered very meaningful to the target audience.

MARKET POSITIONING STATEMENT TEMPLATES

CORE MARKETING CONCEPTS

Integration 9:
Choose one brand among the many offered by the product class. You must be able to discuss the answers
to the following questions: How did the brand position itself? What are the marketing features that sug-
gest their position? The outputs will be presented in class
CORE MARKETING CONCEPTS

CORE MARKETING CONCEPTS 21

 DEVELOPING PRODUCTS

LEARNING OBJECTIVES
After reading of this module, you are expected to:
1. Define product and the classifications of products and services.
2. To understand the importance of the Product
3. To learn about the classification of products

PRODUCT
Product is anything that can be offered to a market for attention, acquisition, use, or consumption
that might satisfy a want or a need. Products include more than just tangible objects, such as cars, comput-
ers, or cell phones. Broadly defined, “products” also include services, events, persons, places, organiza-
tions, ideas, or mixes of these.

MOTIVATION:
Imagine that you are the Marketing Manager of a known brand of jeans. The management thought that
the brand is at its peak, with sales showing a falling trend. What will you suggest to stop the decline? How
are you going to revive the product? What changes will you suggest on the product itself? Why is this
process important?
CORE MARKETING CONCEPTS

PRODUCT LEVELS
In planning its market offering, the marketer needs to address five product levels. Each level adds more
customer value.

1. Core Benefit – it is the fundamental level; refers to the service or benefit the customer is really buying.
2. Basic product – the marketer has to turn the core benefit into a basic product or something tangible.
3. Expected product – a set attributes and conditions buyers normally expect when they purchase this prod-
uct.
4. Augmented product – exceeds customer expectations. Brand positioning and competition take place at
this level. Thus, differentiation is emphasized.
5. Potential product – encompasses all the possible augmentation and transformation the product or offering
might undergo in the future.

PRODUCT AND SERVICE CLASSIFICATIONS

CORE MARKETING CONCEPTS
Products and services fall into two broad classes based on the types of consumers that use them –
consumer products and industrial products. Products also include other marketable entities such as expe-
riences, organizations, persons, places and ideas.

22
CHAPTER 6 DEVELOPING PRODUCTS
CORE MARKETING CONCEPTS
1. CONSUMER PRODUCTS
Consumer products are products and services bought by final consumers for personal consumption. Marketers
usually classify these products and services further based on how consumers go about buying them.

 Convenience product – a consumer product that customers usually buy frequently, immediately, and with a mini-
mum of comparison and buying effort.

 Shopping product – a consumer product that the customer, in the process of selection and purchase, usually com-
pares on such bases as suitability, quality, price and style.

 Specialty product – a consumer product with unique characteristics or brand identification for which a significant
group of buyers is willing to make a special purchase effort.

 Unsought product – a consumer product that the consumer either does not know about or knows about but does not
normally think of buying.

Integration 10:
Give at least 5 examples for each classification of Consumer Products.

Marketing Type of Consumer Product

Consideration Convenience Shopping Specialty Unsought
Frequently Less frequent Strong brand Little product
purchased, lit- purchased, preference and awareness,
tle planning, much planning loyalty, special knowledge (or,
Customer little compari- and shopping purchase ef- if aware, little
buying son or shop- effort, compari- fort, little com- or even nega-
behaviour ping effort, low son of brands parison of tive interest)
customer on price quality brands, low
involvement. style price sensitivi-
ty.
Price Low price Higher price High price Varies
Widespread Selective Exclusive dis- Varies
distribution, distribution in tribution in
Distribution convenient fewer outlets only one or few
locations outlets per
market areas
Mass Advertising More carefully Aggressive
promotion by and personal targeted advertising
Promotion the producer selling by both promotion by and personal
producer and both producer selling by pro-
resellers and resellers ducers and
resellers
Toothpaste, Major appli- Luxury goods, Life insurance,
magazines, ances, such as Rolex Red cross
Examples
laundry televisions, watches or fine blood
detergent furniture, crystal donations
clothing

CORE MARKETING CONCEPTS 23

CHAPTER 6 DEVELOPING PRODUCTS
CORE MARKETING CONCEPTS
2. INDUSTRIAL PRODUCTS
It is purchased for further processing or for use in conducting a business. Thus, the distinction be-
tween a consumer product and in industrial product is based on the purpose for which the product is
bought.
1. Materials & Parts – goods that enter the manufacturer’s product completely.
a. Farm products
b. Natural products

2. Manufactured Materials & Parts

a. Component materials – goods that are fabricated further. Ex. Yarn, pig iron
b. Component parts – enter the finished product with no further change.

3. Capital items – long lasting goods that facilitate developing or managing the finished product
a. Installation – consists of buildings and large, heavy equipment
b. Equipment – comprises portable equipment and tools and office equipment

4. Supplies and business services

CORE MARKETING CONCEPTS

Lesson 2
LESSON 2: BRANDING, PACKAGING AND LABELLING STRATEGIES

LEARNING OBJECTIVES
After reading of this module, you are expected to:
4. To understand the importance of Branding, Packaging and Labelling.
5. Identify best strategies used in Branding, Packaging and Labelling.

In the 4Ps, one of the most important P is the Product. It is considered as the answer to need, want,
or desires of the customer, that in the first place, encourages the conduct of the Exchange, which is the very
essence of Marketing. Products are described as a bundle of attributes and characteristics. In order to be
noticed by customers, marketers makes every effort to “differentiate products and companies.” One of
these differentiation strategies may be through Branding, Packaging and Labelling (Masterson, et al, 2015).
CORE MARKETING CONCEPTS 24
 MOTIVATION: Can you imagine a world where people have no names? How would your mother, your
friends or your teacher call you? Would you be called as the morena girl with a long, curly hair who sits in
front and pouts every time? That would be difficult to say and remember. Having a name, or a brand, for
that matter, makes it easier for products to be marketed.

BRAND
A Brand is a word, mark, symbol, or a combination of them used to identify a product or service.
 A Brandname is something which can be vocalized or spoken.
 A Brandmark is a non-registered design, symbol or product logo.
 A Tradename is a registered company name.
 A Trademark is a brand registered under the Philippine Patent Office and therefore given legal protec-

Trademarks can be recognized with the presence of

any of the following words or symbols:
1. R or ®
2. *
3. ©
4. ™
5. Trademark under …

Importance of branding
Characteristics of a good brand name
1. Branding simplifies sales promotion
1. It must be easy to remember
2. Branding encourages repeat sales
2. It must suggest something about prod-
3. Branding provides protection against substitution
uct benefits or use
4. Branding aids in segmentation
3. It must be distinctive
5. Branding facilitates the introduction of a new item.
4. It must be legally protected
6. Branded merchandise are preferred by many mid-
dlemen

PACKAGING

Packaging is a group of activities in product planning which involves designing and producing the
container or wrapper for a product.
REASONS FOR PACKAGING
1. For product protection 4. Product differentiation
2. It provides convenience to the user. 5. It can be used as a promotional tool
3. For product safety

LABEL

A Label is that part of a product which carries verbal information about the product or the seller. A
label may be part of a package, or it may be a tag attached to the product.

CORE MARKETING CONCEPTS 25

CHAPTER 6 DEVELOPING PRODUCTS
CORE MARKETING CONCEPTS
TYPES OF LABELS
1. Brand Label – is simply the brand alone applied to the product or package.
2. Descriptive label – gives objective information about the product’s use, construction, care, perfor-
mance, and/or other pertinent features.
3. Grade label – identifies the product’s judged quality with a letter, number, or word.
4. Promotional Label – label provides attractive graphics to help promote the product.

Integration 11:
Assume that you are able to come up with the first ever original Antiqueño native food product in-
tended for tourist Pasalubong. For your output submit a.) describe the product b.) what will be the brand
name, c) drawing of the package with the brand and label and d.) explanation why you have come up with
the design, brand and label.

PATENTS AND COPYRIGHTS

You may also want to protect your product, brand, or ideas from copycats. One way to protect them is
to apply for a patent or a copyright?

Patent is a grant issued by the Philippine government giving an inventor the right to exclude others
from making, using, selling, or importing the product of his invention. Patentable Inventions include any tech-
nical solution of a problem of human activity that is new, or may relate to, a product, or process or an im-
provement of a product. Copyright is the protection extended to expressions and not to ideas, procedures,
methods of operation or mathematical concepts.

WORKS PROTECTED BY COPYRIGHT: WORKS PROTECTED BY PATENT

Literary works Maps These inventions can include new and useful processes,
Artistic works Paintings machines, manufactures, compositions of matter as well as
Newspaper Architecture improvements to these (copyright alliance). Patents may be grant-
Lectures Photographic works ed for inventions in any field of technology, from an everyday
Dissertations Musical composition kitchen utensil to a nanotechnology chip. An invention can be a
Letters Scientific works product – such as a chemical compound, or a process, for example
Illustrations Scholarly works – or a process for producing a specific chemical compound.

26
CHAPTER 6 DEVELOPING PRODUCTS
CORE MARKETING CONCEPTS
PRODUCT LIFE CYCLE
Just like any organic entity, a product also goes through a cycle. It is born, reared and introduced to
the market, and like organic beings, it may also die if it is not well taken cared of. A product idea could last
longer if the marketer could think of ways to lengthen its life.

In developing new products and in anticipating future market developments, marketers must consid-
er what stage of the product life cycle the product is in. Here we will describe the concept of the product life
cycle (PLC) and the normal changes as the product passes through each life-cycle stage.

STAGES IN THE PRODUCT LIFE CYCLE

To say that a product has a life cycle is to assert

four things:
1. Products have a limited life.
2. Product sales pass through distinct stages,
each posing different challenges, opportuni-
ties, and problems to the seller.
3. Profits rise and fall at different stages of the
product life cycle.
4. Products require different marketing, finan-
cial, manufacturing, purchasing, and human
resource strategies in each life-cycle stage.

Most product life-cycle curves are portrayed as bell-shaped. This curve is typically divided into FOUR STAGES:
1. Introduction stage: You can expect sales to be low while you perform introductory marketing to create aware-
ness. Your primary goal during this stage is not to make a profit. Instead, you want to let customers know what
your product does, and why it is special.
2. Growth Stage: The growth stage is all about increasing sales and gaining consumer loyalty. Competitors usually
appear during the end of the growth phase. Increase advertising builds brand preferences.
3. Maturity stage: If your product survives the f irst two stages, it will spend the most time in this phase. During the
maturity stage, you will seek to maintain market share and extend your product’s life cycle.
4. Decline stage: During the decline stage, demand for your product decreases along with both price and profit mar-
gin. Now, you have four choices:
a) Maintain the product
b) Harvest the product and continue making profit as long as possible, and
c) Refreshing the packaging can make them look new again
d) Or delete the product from the line

Integration 12:
Do the following:
A. Choose a familiar product/brand.
B. Trace the timeline of this product/brand from the time it was introduced until the present.
C. What were the issues/problems that it faced in each stage?
D. What changes were introduced or strategies implemented in each stage of the product life cycle?
Try to be creative in preparing this output.

27
 PRICE
LEARNING OBJECTIVES
After reading of this module, you are expected to:
1. Identify the different pricing methods
2. Know how to compute for the price of their product
3. Identify the different pricing strategies

PRICE
Of the 4 Ps in the Marketing Mix, it is the only P that brings in income. Price means the money value
of a product or service expressed in terms of peso and/or centavos. Price is also the amount of money
needed in order to acquire a product or service.

MOTIVATION: The Price is right.

A. Choose 10 products at random from your mother’s grocery stack, your sister’s beauty products, or
your brother’s newly bought items. Without looking at their tags nor asking from its owner, guess
their actual prices. 6 out of 10 correct answers make you a great consumer
B. The teacher will show flashcards with 10 products. Guess the actual prices of these products. The
group or the student with the highest scores wins.

PRICING STRATEGIES

1. Skim-the-cream pricing – involves setting a higher price from what the market expects.
2. Premium pricing – it is the use of a high price for high quality products.
3. Economy pricing – it involves charging a low price for lower quality products.
4. Penetration pricing – involves setting a low initial price for the product or service. The aim of this strat-
egy is to target the mass market immediately.
5. Psychological pricing
a. Fixed price policy – retailers adopt one price system
b. Variable price policy – price at a given time for a certain item is determined by the buyer’s bar-
gaining power.
c. Odd price policy – prices are set at odd amounts such as P19.95, P39.99
6. Geographical pricing – a strategy that considers the cost of shipping goods from point of production to
consumption.

PRICING APPROACHES

1. Cost-based pricing – it is the simplest method wherein a standard mark-up is added to the cost of the
product

CORE MARKETING CONCEPTS 28

CHAPTER 7 PRICE
CORE MARKETING CONCEPTS
The Use of Cost-based pricing”
Variable Cost – P10
Fixed Cost – P30,000
Unit sales—1,500 Cost Per Unit = Variable Cost + Fixed Cost
Unit Sales
Thus, Cost = 10 + (30, 000/1, 500)
Cost = 10 + 20
Cost = P30/unit

If the seller wants to earn 20% mark-up on sales or profit then, here’s how to compute:

Selling Price = Unit Cost ÷ (1 – 20% mark-up)

= 30 ÷ (1 - .20)
= 30 ÷ .80
= P37.50

Profit = P37.50 – 30
= P 7.50 profit per unit

2. Value-based pricing – (or buyer-based pricing) considers the consumers perceived value of the
product.
3. Competition-based pricing – charging the same price as that of competitors; can use the Going-
rate pricing and Sealed-bid pricing.
4. Break-even pricing – tries to determine the price at which it will break-even or achieve the tar-
get profit it aims.

CORE MARKETING CONCEPTS 29

 PLACE
LEARNING OBJECTIVES
After reading of this module, you are expected to:
1. Discuss the Nature and Functions of Distribution Channels
2. Know the different Distribution Channels

Place in 4Ps is not only limited to the location of the business establishment. Place could also mean the
route or path that a product takes as it transfers from the producer to the final consumers. Some books
would refer to it as Distribution Management. Under Distribution Management, it has three important top-
ics namely, Physical Distribution, Channels of Distribution, and Warehousing.

Physical Distribution, the physical or actual transfer of goods, asks the question ‘What Transportation
mode and path will the product take so that it will arrive at the right time, in the right quantity and the right
price?’

MOTIVATION:
CORE MARKETING CONCEPTS
The teacher will identify a new business that you will have to set up. Find a map of your local area.
Then, considering some criteria, where will you locate your new business. Discuss your choice. Identify its
advantages and disadvantages.

Channels of Distribution or Distribution channel involves middlemen. These middlemen are classified
into two types:
1. Merchant middlemen – those who actually take title to the goods they handle. Examples are whole-
salers and retailers.
a. Wholesalers – middlemen who buy and sell for the purpose of resale and/or business use.
b. Retailers – middlemen who buy and sell to the final and ultimate users for personal use.

2. Agent middlemen – those who do not take title to the goods but only assist in and facilitate the trans-
fer of goods. Examples are real estate and stock brokers.

LEVELS OF CHANNEL OF DISTRIBUTION

CORE MARKETING CONCEPTS 30

CHAPTER 8 PLACE
CORE MARKETING CONCEPTS
SUPPLY CHAIN

The Supply chain consists of the upstream (suppliers) and downstream (distributors) partners and
other channels (financial, advertising, logistics, transportation, etc. ) that help the company distribute
the products to its customers at the right time, the right place, and at the right price.

OTHER PARTICIPANTS IN THE DISTRIBUTION SYSTEM

 Marketing channels—a set of interdependent organiza-

tions that make the product/service available for consump-
tion. They are more known as Middlemen.
 Marketing logistics—involves the physical flow of goods,
services, and related information.

Types of Market Exposure: Major logistical functions:

1. Intensive Distribution—where a * Warehousing-store goods for moderate to long periods.
product is available in almost all
outlets. * Inventory Management - control of the level of inventory that
2. Selective Distribution—where a will still enable to meet customer demands.
product is available in several outlets * Transportation - in shipping goods, the company can choose
but not all.
from among the following: trucks, rails, water, pipeline, air, and
3. Exclusive Distribution—where recently, the Internet.
product is sold by only one
middleman. (Kotler, et.al, 2017)

Integration 13:
At this time of the COVID-19 pan-
demic where transactions and transpor-
tation are limited, numerous changes
were implemented on how businesses
should be conducted.
1. Once the ECQ will be lifted, what
do you think would be the “new
normal” practices of retail stores
in terms of:
A. Transportation and delivery
B. Store lay-out
C. Customer Service
2. Even before the pandemic, many
people have turned to on-line mar-
keting in buying their needs and
wants. The ECQ all the more estab-
lished the foothold of on-line mar-
keters, decreasing the importance
of middlemen. Do you think that
the function of middlemen should
be entirely eliminated? Why?
3. What do you think will happen to
businesses and/or to the economy
if middlemen will be totally elimi-
nated?

CORE MARKETING CONCEPTS 31

 PROMOTION
The Fourth P in the Marketing Mix or Promotion is meant to communicate to the consumers what the company offers. It is
the means by which firms attempt to inform, persuade and remind consumers – directly or indirectly – about the product
and brands that they sell. The most widely used methods or tools in Promotion are the following:

MOTIVATION:
Millions of people, not only in the Philippines but also around the world depend on advertising and its related industries:
print and broadcast media, publishing, printing, film, print and production houses among others. The Advertising Industry is mul-
ti-million dollar industry. The Advertising Industry is a multi-million dollar industry which promises exciting creative work, and
pays well too. Why do you think it is?

The Promotion Mix (Elements of Promotion)

1. Advertising – it is one of the most popular medium but one of the most expensive. It is defined as any paid form of
non-personal promotion of goods and services by an identified sponsor.
2. Personal Selling – face to face interaction with one or more prospective buyer for the purpose of making presenta-
tions, answering questions, and procuring orders.
3. Sales Promotion – a variety of short term incentives to encourage trial or immediate purchase of products or ser-
vices.
4. Public Relations & Publicity – a variety of programs designed to promote or protect a company’s image.
5. Direct marketing – the use of mail, telephone, fax, email, or the Internet to communicate directly or solicit response
with specific customers and prospects.
6. Events & experiences – company sponsored activities and programs designed to create daily or special brand-
related interactions.
COMMON COMMUNICATION PLATFORMS
Public Rela-
Events/ Personal Direct Market-
Advertising Sales Promotion tions/ Public-
Experiences Selling ing
ity
Print & Broadcast ads Contests, games, Sports Press kits Sales presenta- Catalogs
sweepstakes, lotteries tion

Brochures & Premium Festivals Speeches Sales meeting Mailings

Booklets
Directories Samples Factory tours Seminars Incentive Telemarketing
programs
Billboards Coupons Street activities Charitable Fairs and Trade Electronic
donations shows shopping
Posters & Leaflets Rebates Entertainment Sponsorships TV shopping

Motion pictures Trade-in allowances Arts Publications Fax

Packaging Tie-ins Causes Community Email

relations
Display signs Fairs and Trade Company muse- Lobbying Voice mail
shows ums
Symbols & Logos Entertainment Company
magazine
Point of purchase Low interest Annual reports
displays financing
Audio visual Exhibits
materials

32
CORE MARKETING CONCEPTS
 PROMOTION
INTEGRATION 14:
In the midst of this Covid-19 pandemic which literally puts the world in standstill, thousands of businesses
were affected. Some businesses however, remain active and still communicated with their customers. Please an-
swer the following questions .

1. What are the most common types of businesses that are open in your own municipality during the Covid-19
pandemic? Please enumerate not less than 3 and not more than 5
2. In terms of promoting to customers, what are the practices that were implemented by these businesses you
mentioned in Q#1 since the ECQ? You may choose from the Table of Common Communication Platform in
page 33. Cite not less than 3 and not more than 5
3. Based in your answer in Question #2, have you been reached by these communication platforms (promotion)?
Yes or No?
If yes, what kind?
If yes, what is your response to these communication initiated by these businesses?
I got interested but did not buy
I was not interested so I did not buy
I bought the product/service
4. If the ECQ/GCQ will be lifted once the pandemic will be over, what do you think will be the “new normal prac-
tices” of business when it comes to communicating with/promoting to customers? Enumerate the ways and dis-
cuss each?

CORE MARKETING CONCEPTS 33