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Recorded Lecture Marketing Environment Captions

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0% found this document useful (0 votes)
10 views43 pages

Recorded Lecture Marketing Environment Captions

Uploaded by

ysnh9bkh5n
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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So now we're going to take a closer look at the marketing environment.

00:00:08,410 --> 00:00:15,820

It's a very structured way of analysing the environment in which your client exists.

00:00:15,820 --> 00:00:23,920

So you can start at any point. So in this lecture, I'm going to look from the micro to the macro
environment.

00:00:23,920 --> 00:00:27,820

But you can switch it and it really doesn't matter where you start.

00:00:27,820 --> 00:00:36,700

So the micro environment is about that level of the environment that's relatively close to the company
itself.

00:00:36,700 --> 00:00:44,980

So we might look at CONSED customers within the micro environment and those customers are not just
consumers.

00:00:44,980 --> 00:00:51,220

They will include consumers. But our customers might also be other businesses.
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They might be intermediaries like resellers who buy from us and then sell on.

00:00:57,310 --> 00:01:04,640

Our customers might also be agencies. So government markets who are purchasing from us.

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And we might also think about customers in international markets.

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So who are our buyers? Who are the consumers, the producers, the resellers and governments
elsewhere who might be interested in what we have to offer?

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So when I'm looking at the micro environment, I'm thinking about all that wide range of customers from
consumers to resellers.

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And in doing so, I'm really trying to get to grips with that trend.

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So what's going on out there? And what we know is that consumers aren't really just focussing on price
and the brand name.

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We now know that they themselves are influenced by a number of macro trends.

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So macro trends are the wider issues that impact on those micro trends.

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And those macro trends really influence their behaviour, how they live, how they feel, how they
communicate and how they how they shop.

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So, for example, if you take a look at this quote here, Hillary was suggest that we're really starting to see
a complete change in consumer behaviour.

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So whereas in the past, there's been a great influence on discounters and price wars.

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Now we're actually starting to see a big increase in consumers with a conscious

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and they are very much aware of ethical issues of diversity and sustainable.

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She sustained success. Look at sustainability issues.

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And essentially, that's where we need to be as marketers.

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We need to be looking at what it is that consumers are concerned about.

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So part of our job is to think about if this is going on.

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If this is how consumers are changing, what does this mean for us?

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So what are the implications of this trend for marketers?

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For example, each year, retail week in a number of other organisations, we look at consumer trends.

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And last year, a number of key trends were identified which are continuing.

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So these trends are a trend because they develop over a period of time.

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They're not just a, you know, a one off for one month and then that's it.

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It's a elongated pattern of behaviour. So a couple of the consumer trends were 2019, our first of all, the
demand for alternatives to plastic,

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whether that's in terms of packaging or single use, plastic cups, mugs or whatever it might be.

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And in response to that, we did see retailers thinking about how they could encourage consumers to
return their plastics.

35
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So the idea of the reverse vending machines, you know,

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where you get rid of your plastic through these machines, they return it to the store, essentially.

37

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We're seeing a changing consumer trend towards this idea of not being passive, but instead of rising to
contemporary challenges.

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So really being willing to take on new challenges, whether that's volunteering.

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But most most definitely this idea of protesting against brands, against politics,

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against behaviours which they don't feel it's it's acceptable any longer.

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So the idea of consumers having a voice and using that voice to prompt change is is very evident today.

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Thirdly, we are seeing this trend of social isolation.

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Now, I know that you'll be aware of this, particularly as it refers to social media.

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We're seeing consumers increasingly replacing their physical interactions with digital ones.

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And although, to be fair, Kovik, it has very much forced this on us this year.

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But it was happening earlier than that, whereas people had a range of friends on social media.

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But actually in real life had very little interaction.

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The rise in gaming meant that people weren't necessarily going out to play sports and interact with
people,

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00:05:26,100 --> 00:05:31,950

but they were gaming at home with, you know, with people all over the world.

50

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But in a digital space. We're seeing an increase in this idea of total well-being.

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So well-being has been on the consumer agenda for many, many years.

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But we're now seeing that at a very, very detailed level.

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And we're seeing our interests shift to what we call the microbiome. And that is not worrying.

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Not so much about, you know, shiny hair, healthy nails like teeth.

55

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It's also about those tiny organisms which are live on or in the body like fungi, bacteria.

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And as a result of that, we're seeing a big increase in interest in probiotic foods and fermented foods,

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things like what's called sauerkraut and kafia drinks, that sort of thing.

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So a real interest there on the part of consumers. We don't know how long this is going to last.

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We'll keep an eye on it. And then finally, the launch of 5G technology.

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So, you know, a huge interest in the yourself superfast streaming, which is really going to go speed up
society even more.

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So keep an eye on these trends and think about what the current consumer trends are for our seminar.

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I'd like you to think about how you as a marketer might respond to these trends.

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So are these trends relevant to our client? Your assessment?

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If not, you know what other marketing organisations might need to be concerned about this.

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So how are we going to respond to the demand for plastic alternatives?

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So think about where we use plastics. Maybe not. The obvious ones are already addressing those.

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But where else are we using plastics? And how might we respond to that?

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So try to get about two ideas for each of those trends.

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Doesn't matter how wild and wacky they are at this point, you're just thinking about how we respond to
the changes that we see around us as marketers.

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And we have to respond because if we don't change, then that's generally the demise of a company.

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So look at the demand for plastic alternatives. What can we do in response?

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Give us some examples. We're seeing this trend of social isolation, which is exacerbated now by covered
social distancing measures.

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So as a marketer, what can we do about that?

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What sorts of ways can we respond to that? And then finally, this idea of total wellbeing.

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Focus on the microbiome. You know, where is that really going to make a difference?

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And how are we going to respond to that? OK, so we've looked at the micro environments of the micro
environment in total.

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It's not just customers. It also looks at all competitors and intermediaries.

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So there's a layer of institutions or groups which are relatively close to the organisation.

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They're still outside of the organisation, but they're relatively close, one step removed from that.

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We have the macro environment now. Issues within the macro environment affect every company, not
just our company,

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our customers, but every type of company that you might want to consider.

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So these are very wide ranging issues. Generally national or global issues.

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And these are forces that impact on micro micro environment.

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So they impact us. They impact our competitors. They impact on our customers.

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They impact on our markets. So these forces might be political forces.

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So what's going on politically and how might this impact upon us?

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They may be economic issues, they might be social issues.

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They might be technological issues, environmental or ecological issues, and then legal or regulatory
issues.

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So let's take a first look at these.

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So political issues are those very wide ranging macro issues which really influence our marketing
decisions by basically setting the rules.
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So they tell us what we can do, what we can't do. So the most obvious political and legal trend or issue
which is impacting us now is Brexit.

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So what is that going to mean for us? Do we know yet? Are we still waiting to find out?

93

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So we might look at Brexit and think about what that means.

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So at the moment, you might say, well, actually, it just means a lot of uncertainty because we actually
don't know the absolute outcomes of it yet.

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The other things that you might want to think about were about any E.

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EU laws which are about anti-competitive practises.

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What about regulatory bodies? New rules and regulations about consumer rights?
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So this is particularly prevalent in food safety, for example, or what we'd say on food labelling,
compensation for cancelled flights,

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delayed flights, that sort of thing, but also some national laws covering more general consumer rights
and protection.

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So like a ban of smoking public spaces, a ban on advertising alcohol and cigarettes.

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There's sort of wide ranging national laws.

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And certainly there'll be something in there which is going to impact on our clients as they are, you
know, working in the wine industry.

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But in addition to that, we'll also be thinking about some of the regulatory frameworks which impact on
what we do.

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So, for example, we will be interested in the Advertising Standards Authority who really guide or at

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least regulate what we can and can't say when we communicate or promote our products.

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So think about any political and legal issues which are current and also think about.

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The details of them, so what exactly are they? And how exactly might they impact your client?

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And not all of them will. So economic factors really impact our estimates.

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So we really need to know what's going on, the economy. It influences what consumers buy, how much
they spend.

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And it'll also influence spending patterns. So this will have an impact on consumer confidence and their
use of their disposable income.
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So we might know economic growth and levels of unemployment in the UK.

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So that might impact on, you know, how much disposable impact up income people have and how they
choose to use it.

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We might use a look at interest rates. We might look at income distribution and the availability of
disposable income.

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So disposable income, it's what's left essentially after you've paid for that.

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Those important things like rent and food and whatever it might be.

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So we'll look at some of the issues within the economic environment and we'll focus

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particularly on those which impact your client for the sake of your assessment.
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We are very interested in social trends. So what the society look like.

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Generally. So we might look at understanding different generations, though, the baby boomers,
generation X, the millennials generation,

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said how their behaviour changes according to their age, how they might consume media according to
their age,

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their product preferences gain linked to that generation.

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So diversity would include looking at a different generations, ethnicity, sexual orientation.

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And also looking at minority groups.

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So smaller cultural groups which might be drawn together not just on an external characteristic, but an
interest in something such as.

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I interest in volunteering or an interest in a cause, that sort of thing.

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We are particularly interested in changes in demographics, so population growth.

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We will track. We look at age distribution.

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We will look at household and family structure, because all of this impacts your marketing decision
making.

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So trends monitor. For example, there's a link there. You might want to take a look at that on the
Internet.

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They have identified a rising likelihood of.

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Lone parent fathers rather than lone parent mothers.

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So we need to be able to respond to that. We need to be thinking about what a typical household looks
like today.

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You know, and it's no longer 2.5 children. It's much more diverse than that.

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We will also look at cultural differences and cultural differences occur not only between countries, you,

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as you would expect, but also within countries as those subcultures clearly behave in a very different
way.

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And all of this will think about relative to its impact on what we do.

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This idea of consumer a sandwich I introduced you to in the first week is also something that we'll
consider as a wider ranging consumer trend.
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So when we look at technological factors, we're not just saying, well, technology is changing.

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New things are happening all the time. But by looking at particularly new technologies, new products,

140

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new market opportunities which have which are derived from these changes in technology, and that
could be.

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And the way that we conduct the R&D. So R&D research and development and.

142

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Research techniques are hugely sophisticated. And I'll talk you through those later in the module.

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So how we use technology to do research is very impressive and very sophisticated.

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Technology will impact the way that we manage our data. One of the things that we know at the
moment is that we are dealing with huge bodies
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of data so much that it's actually very difficult to find your way through it.

146

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But we can use technology to ask questions of the data and to get answers from the data that will help
us to make stronger decisions.

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Obviously, communications change because of technology and the fast pace of Internet disrupt
dissemination as a result of technological changes.

148

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We need to think about environmental ecological issues.

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So all the changes in the physical environment and natural resources that are going to impact what we
do.

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So we need to be sustainable. We need to think about sustainability and marketing, and we need to put
ethical issues.

151
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So what does that mean? You know, how do we respond to climate change?

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How do we respond to disasters? How do we respond to reductions in biodiversity of products,


ingredients, crops, whatever it might be?

153

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How do we conserve energy? How do we think about using environmentally friendly components?

154

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And the most obvious thing here is off sea recycling and non wasteful packaging.

155

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But we need to go beyond that. And we are starting to see, you know, retailers and marketers changing
a lot in this direction.

156

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So in particular, you know, having grocery stores with absolutely no packaging.

157

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And we take in our own. Containers.


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And we measured them and, you know, and we pay for them like that.

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So think at how all of that impacts what we do.

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So clearly, when we're starting to think about the environment in which we operate, we need to be
collecting data in order to make those decisions.

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On the one hand, I said that marketing is an art and we could say, well, we're just going to fly by the seat
of our pants.

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We can use intuition to use my intuitive knowledge of the market.

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Well, that's okay. But that's not going to convince your managing director.

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We also need to be able to really get access to the data that we need.
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We need real knowledge, which is derived from research.

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So in the next fit of the lecture, I'm going to talk through some of the research methods that we use or
how we collect data.

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So this might be a good point to take a break and look back over the slides so far

168

00:19:03,290 --> 00:19:09,890

and then come back to slide eleven to look at decision making when you're ready.

169

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Okay, so when we're starting to collect data, we are looking at marketing information systems and these
are people who do our environmental scanning,

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who understand where our consumers are doing, who track information, who analyse information.

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They think about the information needs of the client.

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And then they collect that information and help marketers or, you know, decision makers to use that
information to make good decisions.

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So having a robust marketing information system will help you again to make those that are marketing
decisions.

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So generally and I guess a marketing information system comprises of primary data and secondly, better.

175

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So secondary data. So the blue boxes at the bottom there.

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Secondly, that there's information that already exists and that can come from your analysis of internal
information.

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00:20:17,510 --> 00:20:22,040

So what do we know about how our brand is doing?

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How successful we are? How well our promotions have run, you know, our marketing information,

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plus external external sources such as periodical periodicals and government publications, reports which
exist but are secondary because we didn't.

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00:20:43,740 --> 00:20:49,080

We didn't create them just for our purposes. They were collected for another reason.

181

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But we're drawing on them because they help us.

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So that's secondary data and primary data is information that we collect specifically to address our own
problem.

183

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And that could be in terms of observation of customer behaviour, of trends, of whatever it might be or
of service.

184

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We might do questionnaires, right. To Internet surveys, you might to telephone surveys.


185

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So ironically, if we're conducting research, we'll always do secondary data collection first because it
exists already.

186

00:21:28,190 --> 00:21:37,040

And it's cheaper. And primary data collection. Second, because we're just using the primary data
collection to fill in the gaps.

187

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So anything that hasn't been answered through our secondary search and those questions,

188

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which are very, very specific to our own questions, our own clients.

189

00:21:48,090 --> 00:21:55,730

Sorry. So when we're looking for information, we look at anything that I hold internally.

190

00:21:55,730 --> 00:22:03,290

So internal databases, for example, will keep records on how successful a promotion has been.

191

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Any. Changes resulting from price increase or decreases will use our marketing intelligence with Gartside
to collect information.
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So we look you look at market reports.

193

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We might use Minitel, for example, and I will give you a list of them market reports which are available
to us at the at you.

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And we also use marketing research. Marketing research might be designed specifically to address our
requirements.

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So the internal databases of information, we could look at sales transactions.

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So here it is, a business rented sales increase or decrease with track visits to Web sites.

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And it gains of legs, one in the module. I'll tell you what we can do here using Google Analytics to track
online behaviour.

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Well, if a customer satisfaction records and that will really help us to identify any potential problems.

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We look obviously at sales and cash flow. We look at inventories and production reports and we'll also
look at point of sale data.

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So point and say point of sale data. So see, supermarkets, for example,

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will collect a lot of information from point sales on which particular products that are going through
frequently, which are less so.

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And if you look at the bar charts on your products that were really is used by marketers to really track
this transaction data.

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Marketing intelligence is about the systematic collection of information about our consumers,

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our competitors and everything else that's going on in the marketing environment.

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So it might be interviews with consumers. So we're doing our own first hand interviews.

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We might do some interviews with our employees. So with our own company employees, we might
benchmark.

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So we look at competitors products. We'll track how well they're doing. We use the Internet.

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We'll see what the word of mouth is saying about us. By monitoring social media buzz, social media
discussion.

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And we'll also get a lot of information by scraping that information, Web sites, blogs,

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forums, social media, again using something like Google Analytics to enable that.

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But also use our own marketing research, and that might be used to specifically identify new
opportunities.
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It might be to identify where the problem is. We might use it to generate some ideas of where we
should go in the future.

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But we also use marketing. We search for insight into consumers.

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We want to know what makes them tick. So what motivates them? What influences their purchases?

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What influences the degree to which they're satisfied or not with our service or our products?

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We look at our marketing performance and so like our brand awareness, for example,

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and we'll think about how we can improve our marketing in terms of what we are doing in marketing.

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And essentially, when we look at our our assessment, the second part of your assessment is about
improving marketing as a process.
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And although I'm not asking you to conduct first hand marketing research, so no primary research, I
don't have to interview one customers.

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We can use the information that we do have to really get a better idea of what we're doing.

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Well, and Laswell. And part of that is this trend watching essentially.

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So you as marketers and as scholars, keeping an eye on the marketplace.

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So as you do in a grocery shop, as your, you know, checking something on the Internet,

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as you're browsing through magazines, just keep on top of ideas around the wine market.

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You know what's going on there. So watching trends as here, you know, the Thai market, the idea of
fidget spinners, for example,

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you can track these types of products over a period of time so we can see what's happening,

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what people are interested in, where the opportunities are, but where threats are coming as well.

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You know, so a lot of these trends like the term about Tamagotchi, for example.

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So a huge increase, a huge decline. And then strangely came back again.

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So we saw another increase and then another decline.

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But just watch those trends, find out what's going on, and just observe the environment in which you
live.

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Symbol formerly. If we look at marketing research,

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this is a much more structured process and marketing research is about potentially working with a client
to identify their problem.

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We designed to put together a body of three Kozel of how we would conduct research to address that
problem.

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We would then go out and collect that data, whether it's secondary or primary, but probably both.

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We will then interpret those research findings and then we'll report those findings back to the client.

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And a client will make their marketing decisions based on those research findings.

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And that is why those findings have to be evidenced.


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You know, we can't just decide that something is the case because a client is going to put a lot of time,

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money, resources into acting on the advice that you offer in your presentation of your findings.

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So I said the data is that it's secondary and primary secondary data already exists.

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So it's been collected for another purpose, but we're using it as it can help us to set a context and
primary data,

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something that we go out specifically to collect. We design a research proposal, go out and collect data
to address a particular issue that we have.

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So the good thing about secondary better because it's there already.

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Inexistent reports, market reports. Academic reports. Online information.


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Government information. It's cheap. Hey, we can get Holtby quite quickly.

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The disadvantages is not absolutely relevant to my client because it was collected for another client for
another purpose.

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It could be dated. It's not necessarily as accurate as you'd like it to be.

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So it's always going to be partial. But that might be enough to get going with.

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And then we move on to collect primary data. If we need to.

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So primary later, there are a number of different ways of collecting primary data.

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So, first of all, with the quantitative research. So this answers the question of how many or how much.
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And that would be an experiment. Would be a survey questionnaire.

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We could do qualitative data, which is much more about interpretive.

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So it's not so much figures. It's about getting insights and understanding and meaning.

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So we might want a focus group. So getting a group of people together to talk about a subject area,

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we might do in-depth interviews where we speak with one consumer with a structured or a relatively
unstructured number of questions.

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And they lead us through their experience of something we might do some ethnographic research,

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which is about a ethnographies about research in the field. It's about observations and interviewing as
well.

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And we might do some projective techniques which are so these examples in the corner that we have
left and there's little speech bubbles.

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We might give that to somebody and say, what do you think these different packaging examples are
saying?

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So projective techniques are a different creative ways of researching a topic.

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We might now do neuromarketing. So neuromarketing is a combination of using scientific techniques to


address marketing issues.

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So a couple of examples. Here's an eye tracking the EEG and the MRI scans.

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And what this will do so I tracking in that first example,


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eye tracking enables marketers to see how people are using a page or a Web site, or we can use eye
tracking technology.

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So people to wear a special pair of glasses in a supermarket to see which part of a shelf they're looking
at first.

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And we can track their eye movements and it will show up as hot spots or cool spots.

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And essentially, you want your product to be in the hot spot, you know, because that's where
consumers are focussing their attention.

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So Ichi's and the brain scans, the MRI scans are very sophisticated use of technology to show up areas of
the

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brain which are activated in response to stimuli such as promotional messages,

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advertising imagery or whatever it might be. So, again, you can't kid these.

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You've got to be can pretend that you like a project, but actually have no impact on you.

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These are showing up how your brain responds to particular messages or stimuli or.

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Inputs, essentially. OK, so that's very much a potted summary of the sorts of techniques that we can use
for marketing research.

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And we will speak more about these later in the model where we look at marketing research in more
detail.

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So for now to include. It's really important that we're aware of what's going on in the environment,

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environment in which your client operates and responsive to any changes that occur in that
environment.

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We look at it from a macro and a micro environment.

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So from a wide ranging level to the political, economic, social issues, which is macro,

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macro and the micro level, which is one step closer, it's our own markets, our own customers and
competitors.

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There are a range of tools available to help us to analyse the environment,

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whether that is structured frameworks or the use of various techniques to understand the environment.

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But the essential point is that we really need to do good research.

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And that should not be a group that should ideally be good. So good data enables good decisions.

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Guf data enables gifts. OK.

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So think about what data you need. How are you going to collect it and how you might wish to use it.

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