This document outlines the framework for developing consumer-product relationships in marketing. It discusses 1) considering the product and consumer needs, 2) taking a systematic approach using tools like market research and segmentation, and 3) evaluating ideas before developing concepts. The goal is to determine what consumers want and deliver desired satisfaction more effectively than competitors through understanding needs, developing the right product, and creating relationships.

1. Week 04
MARKETING
Template
Developing the Consumer-
Product Relationship
:
Email: tpavit@wu.ac.th . 2248
http://tourism.wu.ac.th

2. Outline
1. Marketing and Marketing Concept
2. Marketing Mix Template
3. Framework for developing a consumer-product
relationship
4. Market Research
5. Market Segmentation
6. Idea evaluation
7. Concept development
8. Product development
9. Creating the consumer-product relationship
10.
Aj. Pavit Tansakul FBM-341 Food and Beverage Management

3. 01
Template
Marketing and
Marketing Concept
Aj. Pavit Tansakul FBM-341 Food and Beverage Management

4. Marketing
The process of planning and executing the
Template
conception, pricing, promotion, and
distribution of ideas, goods, and services to
create exchanges that satisfy individual and
organizational objectives.
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5. Marketing Concept
Manufacturing/Production concept – belief that
customers favor products that are available and
Template
highly affordable.
Product concept – belief that customers prefer
existing products and product forms.
Selling concept – belief that customers will not
organization’
buy enough of the organization’s product unless
the organization undertakes a large selling and
promotion effort.
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6. Marketing Concept
Marketing concept – belief that organizations
should determineTemplate
the needs/wants of target
markets and deliver desired satisfaction more
effectively and efficiently than competitors.
Social Marketing concept – belief that
organizations should determine needs/wants of
markets and deliver satisfaction more effectively
and efficiently than competitors in a way that
consumer’
maintains or improves the consumer’s and
society’ well-
society’s well-being.
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7. Service Marketing
Good – a tangible product that a customer
can physically Template
touch.
Service – the application of human or
mechanical efforts to people or objects.
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8. Characteristics of Services
Intangibility
Template
Inseparability of production and
consumption
Perishability
Heterogeneity
Services generally are sold before they are
produced.
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9. Intangibility
Inability of services to be seen, touched, tasted,
Template
smelled, or possessed before buying.
Atmospherics – physical elements in an
operation’ customers’
operation’s design that appeal to customers’
emotions.
Appearance
Color
Sound
Odor
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10. Inseparability
Inability to separate production and service.
Template
Services are normally produced at the same
time they are consumed.
The waitstaff, bartender, and maitre d’hotel
produce services at the same time the
customer is consuming them.
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11. Perishability
Services cannot be stored for
future sale.
Template
Unused capacity cannot be
shifted from one time to
another.
The service operation must
have the capacity and
capability to produce when
demand occurs.
The cost of keeping a
customer is far less than that
of creating a new one.
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12. Heterogeneity [het-uh-roh-juh-nee-i-tee]
Variation and lack of
uniformity in the Template
performance by different
service employees.
Fluctuations in service
caused by unskilled
employees, customer
perceptions, and the
customers themselves.
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13. Components of Service Products
Goods – mostly physical factors over which management
has direct, or almost direct, control and are usually tangible.
Template
Service – nonphysical, intangible attributes that
management should control.
Important components of service:
Friendliness
Speed
Attitude
Responsiveness.
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14. 02
Template
Marketing Mix
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15. Marketing Mix (4Ps)
Combination of Marketing Mix variables to
satisfy target market.
Template
Product
Price
Place
Promotion
Target market – Customers with common
characteristics for which an organization
creates products/services.
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16. Product
A good, a service, an idea, or any
Template
combination of the three.
New product – a genuine innovation that has
not been served commercially.
New to the chain – an imitation of a
successful product offered by another chain.
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17. Price
The amount of money charged for a product.
Template
A critical component of the marketing mix.
Often used as a competitive tool.
product’
Helps establish a product’s image.
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18. Promotion
Used to increase public awareness about a
new product or Template
brand.
Used to renew interest in a product that is
waning in popularity.
Used to facilitate exchanges by informing
prospective customers about an organization
and its products.
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19. Place
The location where food or services are
offered Template
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20. Environmental Forces
Political
Legal Template
Regulatory
Societal
Economic
Competitive
Technological
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21. 03
Framework for
Template
developing a
consumer-product
relationship

22. Framework for developing
a consumer-product relationship
Product Consumer
Template
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23. 1. Considering the product
Who are the consumers for
Template
the food and beverage
products?
What food and beverage
product do they want?
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24. 1. Considering the product
Why do they want food and beverage product?
Template
When do they want a food and beverage product?
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25. 1. Considering the product
Where do they want a food and beverage
product? Template
How they obtain a food and beverage
product?
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26. 2. Considering the Consumer
Consumer in food and beverage product are
Template dynamic.
sophisticated, complex, and dynamic.
Psychology, Sociology, Social Psychology,
Geography, The Behavior individuals and
Groups relate to the consumer through the
examination of Human Needs, Wants and
Demands
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27. 2. Considering the Consumer
When “Consumers” are discussed they are
often addressedTemplategroups comprising
as LARGE
Million of People.
This market may range from 300 people, as
in small group, rural, exclusive restaurant, up
world-
to 300 million people for world-branded
McDonald’
products like McDonald’s
Key issue here is Centered on consumers
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28. 3. Being systematic in developing the
consumer product relationship
Product Consumer
Template
Idea for product Market research
Market Segmentation
Concept development
Identification of Target market
Creation and offer of
tangible product Creation of satisfied customer
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29. 3. Being systematic in developing the
consumer product relationship
Market research 1
Template
Market Segmentation 2
Idea Evaluation 3
Concept development
4
Product Development 5
product-
Create product-consumer relationship 6
Product-consumer relationship development framework
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30. 04
Template
Market
Research

31. Marketing Research
Function linking the consumer, customer, and public
Template
to the marketer through information that is used to:
Identify and define marketing opportunities and
problems.
Generate, refine, and evaluate marketing actions.
Monitor marketing performance.
Improve understanding of marketing as a process.

32. Marketing Research
Research should have:
Template
Objectivity conducted in an unbiased, open-
minded manner; conclusion based on data and
analysis.
Accuracy use of research tools that are
carefully constructed and implemented.
Thoroughness- ensuring that the sample
represents the population; a questionnaire, if
used, is pretested; and the analysis of date is
statistically correct.

33. 1.Market research tools
Consumer panels
Template
Questionnaire
Interviews
Sales analyses
Market information
Other generally available data
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34. 2. Market Research Focus
Needs Template Value
Wants Goal
Demands
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35. Nature of Needs & Wants
Need
Template
is as a psychological feature that arouses an
organism to action toward a goal and the reason
action,
for the action, giving purpose and direction to
behavior.
behavior.
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36. Maslow's hierarchy of needs
Template
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37. Fundamental human needs
subsistence participation
protection Template
leisure
affection creation
understanding identity
freedom
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38. Wants
A strong desire
Template obtain
to
something.
something.
F&B want are
desires
desires for
satisfiers of the
complex set of
needs.
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39. Nature of Demands
In F&B demands are wants for specific food
Template
and beverage products
The level of demand is also affected by the
capability of the customer to buy
F&B operators should try to influence
demand by making their product desirable,
valuable, available, and affordable
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40. Price, Cost, Value and Worth
Price
Template
Is the amount if money required to purchase
the product
Cost
As well as price, the cost of transport, time,
opportunity or etc.
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41. Price, Cost, Value and Worth
Worth
Template
Is a perception of the desirability of a
particular product over another
Value
Is a perception of the balance between worth
and cost
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42. SWOT Analysis
Identifies:
Template
Strengths – unique resources a company can provide.
Weaknesses – aspects of a company that limit their
ability to achieve their goals.
Opportunities – areas where competitive advantage
exists or where new markets could be developed.
Threats – elements that might prevent
accomplishment of objectives.
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43. 05
Template
Market
Segmentation

44. Market segmentation
GeographicTemplate
Demographic
Psychographic
Behavioral
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45. Marketing Segmentation
Division of total market into groups of customers
who have similar Template values, and buying
needs, wants,
behavior.
Market – a group of people who need products
and possesses the ability, willingness, and
authority to purchase them.
Homogeneous market – individuals with similar
product needs.
Heterogeneous market – individuals with dissimilar
product needs.
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46. Market Segmentation
1. Geographic variables – climate, terrain, natural
resources, population density, and subculture
Template
customers’
that influence customers’ product needs.
2. Demographic variables – population
characteristics that might influence product
selection.
3. Psychographic variables – motives and lifestyles
characteristics.
4. Behavioristic variables – the basis of some
feature of consumer behavior toward a product.
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47. 1. Geographic Segmentation
Diving the market into geographical areas
NationsTemplate
Regions
Cities
Districts
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48. 2. Demographic Segmentation
Dividing the market using human variable
Sex Template
Age
Income
Occupation
Education
Religion
Race
Nationality
Stage in
Family life cycle
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49. 3. Psychographic segmentation
Is a stage further on from demographic grouping
Social class Template
Lifestyle
Personality
characteristics
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50. 4. Behavioral Segmentation
Divided the market into groups
depending on the Template
way in which
customer use product.
Hierarchy of usage from Never
used product through regular
user
Loyalty – is measured as the
ratio of consumption levels of a
a range of products.
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51. Market segmentation
The identified groupings or market segments
Template
must be the focus of the food and beverage
operator’’s business.
operator
Choosing which segments the product will
target will then depend on the financial,
technical, material and HR available.
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52. 06
Template
Idea Evaluation

53. Idea Evaluation
How Market Segment are chosen,
Shaped, reached, targeted and
Template
satisfied by the operation begin
ideas.
by generating ideas.
Ideas can come from examining
how existing FB products are
meeting the demand of VARIOUS
segments.
Researching and Identify key
factors for success.
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54. Tool for Idea Evaluation
MGT and Staff Brainstorming and
asking customers with focus for
Template
these approaches are useful.
The generation of many ideas,
then need to be considered more
appraisal to be made.
Idea generation should be sought
from the stakeholders of the
operation.
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55. Idea Evaluation
Screening processes will be drawn up by the
stakeholders and applied accordingly
Template
Example
consumers’
Does the idea meet consumers’ needs?
Is the group of consumers with these needs large
enough to make the idea worth?
Does the FB operator have resources available to
deliver the idea?
Will the idea generate customer satisfaction?
Will the idea generate a benefit to the operation
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56. 07
Template
Concept
Development

57. Concept Development
Self-
Ex. Self-service buffet
operation could be Template
conceptualized as:
continental-
An informal, continental-style,
all-
all-day restaurant
A family meal occasion satisfy
all appetites
value-for-
An inexpensive, value-for-
eat-as-you-like-
money, eat-as-you-like-
concept
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58. Concept Development
Turning the ideas into concepts allows for the
identification and consideration of the potential market
Template if the concept was
as well as the potential competition
converted into a product
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59. Concept Development
Evaluating the competition using
Strengths and weaknesses Analysis, will help to
Template
position the new product.
The position of the product is related to key
consumer needs variables.
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60. Perceptions of various product for
particular target market
Very Convenient location Less Convenient location
Very fast, service Template
(w/in 30 min’ travel (more than 30 min’ travel
High street fast food High street fast food
Pizza restaurant
Home delivery
Destination Local ethnic rest.
Restaurant
Slow, unhurried service
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61. Concept Development
Once idea has been converted
into a concept it should be
Template
tested:
How they view the concept in
relation to the competition
If they would purchase the
product and how frequently, and
what price might appropriate
What they see as the benefit of
the product
What improvement to the
product could be made
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62. 08
Template
Product
Development

63. Product Development
This stage considers the
Template
nature of a food and
beverage product, in
order to turn a
consumer focus into
operational focus
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64. Exploring the meal experience
Food and DrinkTemplate
Level of Service
Cleanliness and Hygiene
Price and Value for
Money
Atmosphere
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65. Possible factor ranking for different meal
experiences
Core concept Possible factor ranking
Night out Template
1. Atmosphere
2. Food and Drink
3. Service
4. Price
5. Cleanliness and Hygiene
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66. Possible factor ranking for different meal
experiences
Core concept Possible factor ranking
Gourmet event Template Drink
1. Food and
2. Service
3. Atmosphere
4. Cleanliness and Hygiene
5. Price
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67. Possible factor ranking for different meal
experiences
Core concept Possible factor ranking
Cheap meal Template
1. Price
2. Food and Drink
3. Cleanliness and
Hygiene
4. Service
5. Atmosphere
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68. 09
Template
Creating the Product-
Consumer Relationship

69. Creating the Product-Consumer Relationship
1. Determine promotional channels
2. Estimate profitability
Template
3. Plan product launch
4. Offer product and apprise performance
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70. The Consumer-
Template
Product
Relationship as a
Dynamic Process

71. Managing change in FB
environment is as Template
complex and as difficult
as in any other type of
business.
The focus will be
satisfying the consumers
needs.
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72. 10
Template
F
ก

73. 2 Template
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74. 4 Template
1.
2.
3.
4.
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75. 1.
Template
Drive-
Drive-Through, Drive-In, Home delivery
Drive-
Take-
service, Take-out option
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76. 1.
Template
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77. 1.
Template
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79. 2.
1.
Template
2.
2.1
2.2
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80. 2.1
Quick Service Restaurant
Template
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Template
1.
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