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Chapter 3: Market Characteristics - Coggle Diagram
Chapter 3: Market Characteristics
Demographics, a study of peoples vital stats i.e. age, race, location and ethnicity,
broken down into 2 topics, individuals and households
Individuals:
Population
Life expectancy
Age distri of the populas
Physical distri
Education
Literacy levels
Labor market
Unemployment
formal and informal sectors
Households:
housing
Water sources
Energy sources
Telecommunications
Health Care
Household income
Economic factors: By gaining a better understanding of the economic conditions in a country, marketers can better assess the opportunities and threats prevalent in the country
Factors influencing consumer behaviour:
Inflations, general increase to prices but not wages.
Consumer Price Index(CPI), measures average price level, of consumer goods and services that a household purchase.
Currency Fluctuations, the value of the rand is important as it gauges the price markets can charge
Recession, income, production and employment fall, causing reduction in the demand for products and services
Governmental: Every aspect of marketing is affected and governed by the laws and restrictions of the government
Specific market laws:
tobacco products control act no.83 of 1993
The competition act no. of 1999
Broadcasting act no. 4 of 1999
electronic communications and transaction act(ect.) no. 25 of 2002
Consumer protection act no. 68 of 2008
The consumers rights act:
Right to meet basic needs
Right to safety
to be informed
to choose
to be heard
to Redress
to Consumer education
to a healthy environment
Physical conditions: Marketers need to be aware of the threats and opportunities associated with the physical environment .i.e. climate change and damage to the natural environment.
Social factors: Social change is perhaps one of the most difficult external variables for marketers to forecast and integrate into their marketing strategies .i.e. Values, lifestyle.
Social trends:
Consumers demand more as well as informed.
Consumers read labels more, more concern for health
Dual-income households, more strapped for time changing roles within households
more people are working from home
Technology: vital for marketers becomes aware of the latest developments in tech and how these developments affect their marketing activities.
Tech advances affecting consumer behaviour:
internet has transformed, the amount of access to information consumers have
Marketers increasingly using electronic platforms to communicate with consumers
more consumers using internet and credit cards
Developing trends influencing consumer behaviour:
Green marketing
:
Developing and manufacturing product whose production, use or disposal is less harmful to the environment than the traditional versions of the product.
products that have more favorable impact on the environment
linking the purchase of a product to an environmental org or event
DSTV's Reduce, reuse, recycle, water bottle being comprised of recyclable plastic
Cause-related marketing
: an activity whereby a company links the sale of its products to an issue or cause.
Marketing to gay and lesbian consumers:
should the product be modded to meet the needs of the market.
Does the standard ad in gay-oriented media or should we adapt it to incorporate a gay theme?
To what degree should we participate in activities related to the gay communities
Gender-based marketing
: The role women has changed
Traditional housewife: happy to be married and at home
Trapped housewife: Would rather work, but has to take care of their families
Trapped working women: works due to finances, but would rather stay at home
Career-driven working women: focuses on career rather than a family
Product strats,
product are now designed with women in mind, for example gender type casting is changed, like cars, sports, camping, bikes and computers.
Marketing communication:
Different communication and retail strats for male and female
Retail strats
, Male and female response differs for retail environment
Black Diamonds
: Growing affluent community, complex group comprised of, exciting, influential and up-and-coming individuals