Name:
Date:
Instructor’s Name:
Assignment: SCIE207 Phase 1 Lab Report
Title: Using Scientific Method
Instructions: You will need to write a 1-page lab report using the scientific method to answer the following questions:
· Define a hypothesis that is suggested by the data collected in the lab.
· Complete a lab report using the scientific method.
When your lab report is complete, post it in Submitted Assignment files.
Part 1: Using the lab animation, fill in the following data tables to help you generate your hypothesis, outcomes, and analysis:
Table 1: Maize Yield From Arable Soil
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Amount of Mineral Nitrogen Fertilization (kg per 100 acres) |
Yield of Maize (mg of dry mass per 100 acres per year) in Arable Soil |
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Table 2: Maize Yield From Nonarable Sandy Loam Soil
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Amount of Mineral Nitrogen Fertilization (kg per 100 acres) |
Yield of Maize (mg of dry mass per 100 acres per year) in Nonarable Sandy Loam Soil |
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Part 2: Write a 1-page lab report using the following scientific method sections:
· Purpose
· State the purpose of the lab.
· Introduction
· This is an investigation of what is currently known about the question being asked. Use background information from credible references to write a short summary about concepts in the lab. List and cite references in APA style.
· Hypothesis/Predicted Outcome
· A hypothesis is an educated guess. Based on what you have learned and written about in the Introduction, state what you expect to be the results of the lab procedures.
· Methods
· Summarize the procedures that you used in the lab. The Methods section should also state clearly how data (numbers) were collected during the lab; this will be reported in the Results/Outcome section.
· Results/Outcome
· Provide here any results or data that were generated while doing the lab procedure.
· Discussion/Analysis
· In this section, state clearly whether you obtained the expected results, and if the outcome was as expected.
· Note: You can use the lab data to help you discuss the results and what you learned.
Provide references in APA format. This includes a reference list and in-text citations for references used in the Introduction section.
Give your paper a title and number, and identify each section as specified above. Although the hypothesis will be a 1-sentence answer, the other sections will need to be paragraphs to adequately explain your experiment.
When your lab report is complete, post it in Submitted Assignment files.
Prof. Cloudya Esther Marketing Management 6805 FIU - MSM
The Marketing Plan Part 3 - Segmentation | Mix: Product & Price
COMING UP This lecture, will cover the underlined sections of how to build a Marketing Plan:
Executive Summary Mission | Vision | Objectives | Value Proposition
Strategy Segmentation | Mix | Budget | Timeline
1
2
3
4
Market Research Buyer | Brand | SWOT | Industry
Execution Create | Test | Launch
5 Analytics Evaluation | Monitoring
WHAT IS MARKET SEGMENTATION?
The process of grouping customers within a market according to similar needs, habits or attitudes that can be addressed through marketing.
The point is to identify distinct segments of customers with similarities that respond to marketing efforts.
Within the Milk Industry you have Various Segments
WHY SEGMENTING THE MARKET?
Reason 2 Segmentation lays the foundation to for identifying your Target Market, using marketing to give the brand/product a distinctive and meaningful place (position) in the minds of targeted customers.
Reason 1 Segmentation is an important part of marketing planning because it allows marketers to focus their resources on the most promising opportunities.
UNDIFFERECIATED MARKETING
DFFERENCIATED MARKETING
Targeting all market segments with the same marketing strategy, also known as Mass Marketing.
Creating a Separate Marketing Strategy for each targeted segment.
The AIDA Model
AwarenessAwarenessAwareness
InterestInterestInterest
DesireDesireDesire
ActionActionAction
Digital Funnel Awareness Phase Collateral Telemarketing White Papers Webinars Banners Print Ads PR SEO Social Media
Transactional Phase Thank you Achnowledgment
Consideration Phase Customer Evidence Testimonials Assesment Tools, calculators Demos Case Studies References
Onboarding Welcome Kit
Awareness
Consideration
Conversion
Loyalty
Advocacy
Loyalty Programs Rewards Newsletters Events Community Customer Satisfaction Survey Net Promoter Score Survey
TACTICS
Attract potential buyers, influencers and referral sources
ATTRACT PROSPECTS
BUILD ENGAGEMENT Deepen engagement with you prospects and turn them into educated and qualified opportunities.
TURN OPPORTUNITIES INTO CLIENTS
Make the decision easy for prospects that are ready to buy.
THIS IS WHAT WE DO!
Elements of the Marketing Mix Since the 1960s, marketing mix as been associated with the four Ps:
Product
1 2 3 4
Price PlacePromotion
Identifying and arranging the elements of its marketing mix allows a business to make profitable marketing decisions at every level. These decisions help a business:
Develop its strengths and
limit its weaknesses
Become more competitive and adaptable in its
market
Improve profitable
collaboration between
departments and partners
WHAT IS A DIGITAL MARKETING MIX?
A digital marketing mix is how a business achieves its marketing goals using digital technologies. As more business is done online, digital marketing tools become important to all types of businesses, not only those in the tech industry.
A digital marketing mix follows the same principles of a traditional marketing mix. However, those elements are adapted to the way the Internet influences new technologies and consumer behavior.
The Four Cs of a Marketing Mix In the 1990s, the four Ps were adapted to the four Cs to place less
focus on the business and more on the customer.
Consumer
1 2 3 4
Cost CommunicationConvenience
Miyazaki's
DISTRIBUTION
APPROACH
TO MARKETING
EXCHANGE
Seller Transaction
Cost
INFORMATION
"BUYER" INNOVATION
COMPENSATION
Seller Transaction
Cost
Seller Transaction
Cost
Buyer Transaction
Cost
Buyer Transaction
Cost
Buyer Transaction
Cost
"SELLER"
To put the idea of the distribution approach to marketing in a real life scenario (or a sit-come scene), let’s watch this clip from a Friends episode where Ross buys a
couch, and ends up paying a very high transaction cost.
If you think about it, we make purchase decisions based on transaction cost all the time.
- Do I get this from Amazon even if it’s a couple of bucks more expensive so they bring it to my door? (innovation - convineince)
- Do I buy this more expensive plane ticket so I get to use their executive lounge? (innovation- loyalty)
- Do I buy this product because it says specifically that it works with my mac model, instead of the other that only says work with Apple computers? (information)
WHAT IS A PRODUCT? A product is any good, service, or idea that can be offered to a market to satisfy a want or need.
· A good, service, experience or idea · Produced and marketed so that it justifies continuance · Serves customers · Produce satisfaction and innovation · Generates funding (profit/surplus)
Marketers must consider the life cycle of the product to address any challenges that may arise once it's in the hands of the consumer.
Considered tangible products that are interactive
with in some manner
· Apparel · Equipment · Supplements
Non-tangible products generally, provided by a person with training or
expertise in an area
· Personal Trainer · CPA – Accountant · Freight Forwarding
Entertainment base event
· Event (ultra) · Destination (wine tour) · Membership (time share)
TYPES OF PRODUCTS GOODS
SERVICES EXPERIENCES
Promoting an idea or a lifestyle
· Advocacy Groups · Research · Organizations
IDEAS
COMPLEXITY OF PRODUCTS To better meet customer- specific and market-specific demands, companies are increasing the number of products and product variants they manufacture.
CORE CUSTOMER
VALUE
ACTUAL PRODUCT
ASOCIATED SERVICES
Brand Name Packaging Features/Design Quality Level.
Financing Product Warranty Product Support
EXAMPLE: ONLINE SUPPLEMENTS COMPANY
PRODUCT DECISIONS
Breadth refers to the number of product lines that you have such as in this Adidas examples, Footwear, Apparel and Accessories.
Depth in this case refers to the number of categories within each of those product lines.
Packaging Sometimes it becomes part of the brand identity
What is the Real Exchange? The answers to this questions are opinion base.
What is the general product?
What is really exchanged?
What product is needed?
What product can be sold?
Determining Product Development - The market will determine what can and cannot. - This answer can be determined by doing quality market research
Ask the right questions using Market Research
What benefits do they offer?
What needs/desires do they fulfilled?
What basic needs are fulfilled?
What satisfaction/value/utilities the consumer receive?
Types of Pricing Strategies
Competition-Based Pricing1
2
3
4
5
6
7
8
Cost-Plus Pricing
Dynamic Pricing
Freemium Pricing
High-Low Pricing
Hourly Pricing
Skimming Pricing
Premium Pricing Strategy
9 Project Based
10
11
12
Value Based
Bundle Pricing
Psychological Pricing
13 Geographic Pricing
COMPETITION-BASED PRICING STRATEGY
This pricing strategy focuses on the existing market rate (or going rate) for a company’s product or service; it doesn’t take into account the cost of their product or consumer demand.
Instead, a competition-based pricing strategy uses the competitors’ prices as a benchmark.
Businesses who compete in a highly saturated space may choose this strategy since a slight price difference may be the deciding factor for customers.
Whichever price you choose, competitive pricing is one way to stay on top of the competition and keep your pricing dynamic.
AKA competitive pricing or competitor-based pricing.
1
COST-PLUS PRICING STRATEGY
A cost-plus pricing strategy focuses solely on the cost of producing your product or service, or your COGS.
It’s also known as markup pricing since businesses who use this strategy “mark up” their products based on how much they’d like to profit.
To apply the cost-plus method, add a fixed percentage to your product production cost.
Cost-plus pricing is typically used by retailers who sell physical products. This strategy isn’t the best fit for service-based or SaaS companies as their products typically offer far greater value than the cost to create them.
AKA Mark-Up Pricing
2
DYNAMIC PRICING STRATEGY
It’s a flexible pricing strategy where prices fluctuate based on market and customer demand.
Hotels, airlines, event venues, and utility companies use dynamic pricing by applying algorithms that consider competitor pricing, demand, and other factors. Even Amazon has been openly using it.
These algorithms allow companies to shift prices to match when and what the customer is willing to pay at the exact moment they’re ready to make a purchase.
AKA Surge Pricing, Demand Pricing, or Time-Based Pricing
3
FREEMIUM PRICING STRATEGY
A combination of the words “free” and premium freemium pricing is when companies offer a basic version of their product hoping that users will eventually pay to upgrade or access more features.
Unlike cost-plus, freemium s a pricing strategy commonly used by SaaS and other software companies.
They choose this strategy because free trials and limited memberships offer a “peek” into a software’s full functionality — and also build trust with a potential customer before purchase.
With freemium, a company’s prices must be a function of the perceived value of their products.
Prices must present a low barrier to entry and grow incrementally as customers are offered more features and benefits
4
HIGH-LOW PRICING STRATEGY
A high-low pricing strategy is when a company initially sells a product at a high price but lowers that price when the product drops in novelty or relevance. Discounts, clearance sections, and year-end sales are examples of high-low pricing in action — hence the reason why this strategy may also be called a discount pricing strategy.
High-low pricing is commonly used by retail firms who sell seasonal or constantly-changing items, such as clothing, decor, and furniture. What makes a high/low pricing strategy appealing to sellers?
Consumers enjoy anticipating sales and discounts, hence why Black Friday and other universal discount days are so popular.
AKA Discount Pricing Strategy
5
HOURLY PRICING STRATEGY
Hourly pricing, also known as rate-based pricing, is commonly used by consultants, freelancers, contractors, and other individuals or laborers who provide business services.
Hourly pricing is essentially trading time for money.
Some clients are hesitant to honor this pricing strategy as it can reward labor instead of efficiency.
6
SKIMMING PRICING STRATEGY
A skimming pricing strategy is when companies charge the highest possible price for a new product and then lower the price over time as the product becomes less and less popular.
Skimming is different than high-low pricing in that prices are lowered gradually over time. Technology products, such as DVD players, video game consoles, and smartphones, are typically priced using this strategy as they become less relevant over time.
A skimming pricing strategy helps recover sunk costs and sell products well beyond their novelty, but the strategy can also annoy consumers who bought at full price and attract competitors who recognize the “fake” pricing margin as prices are lowered.
7
PREMIUM PRICING STRATEGY
Also known as premium pricing and luxury pricing, a prestige pricing strategy is when companies price their products high to present the image that their products are high-value, luxury, or premium.
Prestige pricing focuses on the perceived value of a product rather than the actual value or production cost.Prestige pricing is a direct function of brand awareness and brand perception.
Brands who apply this pricing method are known for providing value and status through their products — which is why they’re priced higher than other competitors. Fashion and technology are often priced using this strategy because they can be marketed as luxurious, exclusive, and rare.
8
PROJECT-BASED PRICING STRATEGY
A project-based pricing strategy is the opposite of hourly pricing — this approach charges a flat fee per project instead of a direct exchange of money for time.
It is also used by consultants, freelancers, contractors, and other individuals or laborers who provide business services.
Project-based pricing may be estimated based on the value of the project deliverables.
Those who choose this pricing strategy may also create a flat fee from the estimated time of the project.9
VALUE-BASED PRICING STRATEGY
A value-based pricing strategy is when companies price their products or services based on what the customer is willing to pay. Even if they can charge more for a product, they decide to set their prices based on customer interest and data.
If used accurately, value-based pricing can boost your customer sentiment and loyalty. It can also help you prioritize your customers in other facets of your business, like marketing and service.
On the flip side, value-based pricing requires you to constantly be in tune with your various customer profiles and buyer personas and possibly vary your prices where your customers vary.10
BUNDLE PRICING STRATEGY
A bundle pricing strategy is when you offer (or "bundle") two or more complementary products or services together and sell them for a single price.
You may choose to sell your bundled products or services only as part of a bundle, or sell them as both components of bundles and individual products.
This is a great way to add value through your offerings to customers who are willing to pay extra upfront for more than one product. It can also help you get your customers hooked on more than one of your products faster.11
PSYCHOLOGICAL PRICING STRATEGY
Psychological pricing is what it sounds like — it targets human psychology to boost your sales. For example, according to the "9-digit effect", even though a product that costs $99.99 is essentially $100, customers may see this as a good deal simply because of the "9" in the price.
Another way to use psychological pricing would be to place a more expensive item directly next to (either, in-store or online) the one you're most focused on selling. Or offer a "buy one, get one 50% off (or free)" deal that makes customers feel as though the circumstances are too good to pass up on.
And lastly, changing the font, size, and color of your pricing information on and around your products has also been proven, in various instances, to boost sales.
12
GEOGRAPHIC PRICING STRATEGY
Geographic pricing is when products or services are priced differently depending on geographical location or market.
This strategy may be used if a customer from another country is making a purchase or if there are disparities in factors like the economy or wages (from the location in which you're selling a good to the location of the person it is being sold to).
13
It’s essential to know your products and understand how to price for value. Part of that is being clear on the goals of both your product and your profits.
Are you designing/selling products that are for convenience, profit, solutions, service, etc? Understanding why you’re selling your product then helps you determine more about the pricing.
It’s not just the manufacturing costs, it also requires knowing the market rate, competitor’s prices, the unique benefits and features, and what end of the branding scale you desire to be on (exclusive vs. convenient).
PRICING CONCLUSION
Recap After today's lesson you should understand and be familiar with the following concepts:
Executive Summary Mission | Vision | Objectives | Value Proposition
Strategy Segmentation | Mix | Budget | Timeline
1
2
3
4
Market Research Buyer | Brand | SWOT | Industry
Execution Create | Test | Launch
5 Analytics Evaluation | Monitoring
MAR 6805
Introduction:
This module covers pricing strategies, with an emphasis on the buyer decision process, and then the multicultural marketplace.
The following is a short outline and dialogue that focuses on one of the concepts that are covered to some degree in the text, but that are important enough for today’s business environment that I want you to get a little more information, and I want you to do a little more thinking about how this concept applies to you in your workplace environment.
Remember, when you spend a few moments trying to apply what you’ve read or watched to your own situation, you learn better, retain information better, and will be better able to use the information in the future. And that’s hopefully why you’re in this program. I truly want you to be successful and to take useful information from this class to your lives outside of the MBA program.
To Buy or Not to Buy?
· A wide range of businesses participate in B2B transactions. Many of these purchases with B2B are also managed through CRM systems like we talked about last week.
· You’ll find many purchasers or sellers of products in the B2B realm listed in the North American Industry Classification System NAICS– the government’s method of classifying business activity. Take a few moments to study the site and think about where your company (either where you work or the one you’re using for your assignment) might be classified.
· Did you know that the Local, State and Federal Government is the largest consumer in the world according to the Government Contractors Association with a total spending of $6 trillion?
· Many firms sell exclusively to government entities and therefore are adept at meeting the unique needs of governmental buyers. For example, firms in the defense industry generally sell exclusively to governments.
· One essential, yet potentially confusing component of doing business with Government organizations locally or globally is mastering the use of acronyms. Take a look at the Small Business Administration’s sample list of Government acronyms just to get an idea.
· If you have worked for a company of any size you will no doubt see that they have a process for making those purchases.
· It begins with a request for solicitors or Request for Proposals (RFP). RFPs enable the buyer to solicit pricing and other information from a variety of suppliers and they also allow suppliers to learn about the buyer and its specific needs.
· In the examples here, one school district is looking for an evaluator for a grant and another is seeking bids on various equipment. Potential suppliers can view the products/services being sought and then create a customized bid to supply that product or service.
· A vendor is chosen, after a review of the criteria selected by the buyer as shown in the example. Then, for many institutions, a purchase order is generated to start the delivery process. Then an invoice is sent by the vendor and upon successful receipt of the order, the vendor is paid. This can be a 30-90 day process, so think about what type of reserves would you need as a company owner to compensate for this time lapse?
· What is not always considered in this process is the critical part that marketers and marketing departments play in this purchasing process. Purchasing departments are the “gate-keepers” for many purchases. These departments must look at many purchase requests for products and then approve a purchase or require more information.
· The individuals in the purchasing department frequently are not familiar with the products being requested for purchase and must rely solely on the descriptions of the product to make their decisions. If the products are missing some details or not fully represented by the marketers with the purchasing departments in mind, the companies and individuals requesting these purchases run the risk of not being approved.
· Read the following to learn an example of such a case.
The Purchasing Dilemma
To demonstrate the power of Purchasing Departments in determining what can or can not be purchased. Take a moment to review this actual email exchange taking place in a public school district between a purchasing department and the physical education department. [Names have been removed.]
The value of a product may not be conveyed through conventional marketing messages and purchasing departments will look for the lowest price without really understanding the difference in specs. How well and detailed you construct the initial bid request in addition to how well the product itself is described by the company can make or break a deal.
This situation reminds me why it is so important for the marketing messages to be ultra-clear in communicating the value, not just the price. Descriptions need to be written with the purchasing decision-maker (Purchasing Dept.) in mind not simply the end user (PE Teacher). As you can see in the conversation below…the PE Dept. was in jeopardy of not ending up with the desired type of pedometer and Company A may completely lose the sale (in this case over $60K.
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From: Instructional Services
To: Purchasing Subject: RE: R1428011
What is the status of this purchase requisition? Please let me know if you need any additional information.
From: Purchasing
To: Instructional Services Subject: RE: R1428011
I am still getting quotes. You can look for vendors on buyboard and TCPN that might be able to give you a quote.
From: Instructional Services
To: Purchasing Subject: R1428011
We have already gotten several other quotes for the pedometers.
From: Purchasing
To: Instructional Services Subject: RE: R1428011
Please send me the quotes that you have.
From: Instructional Services
To: Purchasing Subject: RE: R1428011
Attached are all the quotes I have collected. Please let me know if you have any questions.
From: Purchasing To: Instructional Services Subject: FW: R1428011
Please attach the quote sheet and release your requisition back to purchasing. Please include all the emails and quotes. The recommended vendor is the lowest vendor its Company B.
From: Instructional Services
To: Purchasing Subject: RE: R1428011
We appreciate your assistance in helping us find additional quotes however, the original Company A quote shows each pedometer priced at 20.79 and meets our requested needs. Therefore we still wish to continue with our original request of Company A. Please let us know if you have any questions.
From: Purchasing
To: Instructional Services Subject: RE: R1428011
Company A is $10,000 more than Company B. That is a big difference. “A” is $19 each vs $20.79 for “B”. I am looking at pricing as our reason to go with the lowest vendor. We cannot purchase from A they are a lot higher unless you have a valid reason.
From: Instructional Services To: Purchasing Subject: RE: R1428011
When we attend our professional conferences, we have access to the exhibit hall to review products from many vendors to determine in advance which meet the needs of our students and PEP Grant.
We chose the Company A Pedometer for its ability be used as an assessment tool – it uploads the movement data to our physical education teacher’s computer through proprietary software which allows specific reports to be generated for the students. This reporting feature is now compatible with the IHT system that we currently are using in our schools to allow even greater reporting capacities. This supports the health and physical education portion of the IB initiative in the District as well as the federal grant outcomes.
The Company B is a well-made pedometer, however it has only an internal system that tracks one individual’s activity. There is no uploadable feature, no software and no reporting feature. While it is a pedometer, it does not have the additional software that we need offered by Company A.
Thanks again for your assistance, however we do still need to request the purchase from Company A, to meet our needs in the physical education program grant.
__________________________________________________________________________
To recap, the Purchasing Department was looking for other pedometers on their own to find cheaper versions because they determined that the requested pedometer was too expensive and did not find a significant difference based on product descriptions. They did not understand the unique software that came with the pedometer provided by Company A and were not going to approve that purchase. The software was a critical component of the pedometer purchase for the physical educators were going to use the software in the pedometers as assessment tools to report student progress to both a grant program and state education standards.
This exchange continued for several more days in attempt to help the purchasing department (clerk all the way up to Director) understand how this particular pedometer truly was unique from all other pedometers and why the software supplied made it necessary.
Without the continued intervention of the physical education administrators in the process to help describe the uniqueness of these pedometers, the sale would have been lost to a lower priced item that would not have met the intended functional requirements; initially because Company A had not provided enough details in their description of the product.
Now put this Purchasing Department situation in the global marketplace and it becomes even more complex. There are even more potential issues such as: language, culture, branding, product descriptions, channels, adaptation for a foreign market, etc.
· Some companies use statistical resources such as the Nation Master website for decisions regarding how, where and when to expand into the global marketplace.
· Consider again how your company or industry may interact with the individual buyer, business buyer or global buyer. What have you found to be successful or challenging in these areas?
· Take a look at the United Nations Global Marketplace site to review the process for international RFP type opportunities. This is one of many type of clearinghouse type sites for a variety of products and services solicitations around the world.
