Health Services Marketing 1-3 Discussions
chynadll23
chapter1slides.pptChapter 1
The Role of Marketing
in Health Care Organizations
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This chapter is an introduction to the concept of marketing and health care.
LEARNING OBJECTIVES
1. What are the major areas in health care in which marketing is regularly applied and practiced?
2. What is the purpose of marketing thinking and planning in health care organizations?
3. What are the major concepts, tools, and skills in marketing?
4. How is marketing normally organized in health care organizations?
LO1. What are the major areas in health care in which marketing is regularly applied and practiced?
- Marketing takes place when at least one party to a potential transaction thinks about means of achieving desired responses from other parties including
- Purchasing a product or service
- Increasing awareness, interest, or preference toward an offering or supplier
- Changing behavior
- Voting or expressing of preference of some kind
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Key Words: Marketing
LO2. What is the purpose of marketing thinking and planning in health care organizations?
- Purpose of marketing
- “old” Transaction view - sell more
- “new” Customer satisfaction view - serve the customer
- “New Marketer’s” purpose - create a long-term, trusted, and valued relationship with the customer by getting the whole organization to think about and serve customers and their interests
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Key Words: transaction view, customer relationship building and satisfaction view; consumer; patient
LO3. What are the major concepts, tools, and skills in marketing?
- Concepts - the “who” of market segmentation and target market (CCDVTP)
- Create
- Communicate
- Deliver value - as perceived by the customer
- Target market - well-defined population
- Profitability - even for non-profits
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Key Words:
Concepts: market segmentation, target market, CCDV, CCDVTP
LO3. What are the major concepts, tools, and skills in marketing? (cont)
- Tools
- “Old” Tools - 4 Ps of the marketing mix
- Product - features, benefits, styling, packaging
- Price - list price, rebates, discount program
- Place - where is it available and distribution strategies
- Promotion - advertising, personal selling, direct marketing
- “New” Tools - 4 As of marketing
- Awareness of the offering by the consumer
- Acceptable - value of the offering by the consumer
- Available - right time and place for the consumer
- Affordable - value of the offering by the consumer
- Positioning - requires how to best implement 4As of the target market
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Key Words:
Tools: 4 Ps of the marketing mix, product, price, place, promotion, 4 As of marketing, STP
LO3. What are the major concepts, tools, and skills in marketing? (cont)
- Using concepts and tools for a robust marketing strategy:
- Segment first
- Target position next, then
- Determine 4As, and finally
- Set appropriate 4 Ps
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Key Words:
Tools: 4 Ps of the marketing mix, product, price, place, promotion, STP
LO3. What are the major concepts, tools, and skills in marketing? (cont)
7 Skills
- Marketing research
- Primary data - firsthand observation, interviews, surveys, and statistical data on customer attitudes and needs
- Secondary data - sources such as population size, age, income, and education distribution
- Product design - to appeal to consumer
- Distribution - readily accessible to customers
- Pricing - internal constraints and reality of the marketplace
- Advertising - best media mix (TV, billboards, newspaper, magazine, radio)
- Sales promotion - incentives to stimulate trial
- Sales management - hire, train, compensate, motivate and evaluate sales people
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Key Words:
Skills: marketing research, product design, distribution, pricing, advertising, sales promotion, and sales management, primary data, secondary data
LO4. How is marketing normally organized in health care organizations?
- Two new positions
- Director of Marketing - provides and orchestrates marketing-related activities and resources
- Vice-president of marketing - develops policies and strategies and brings the voice of the customer into management and board meetings
- Public relations (PR) person vs. Marketing person
- PR person -Trained in communication skills and work closes with the media
- Marketing person - Trained in economic analysis and social sciences to understand and analyze markets and customer choice behavior
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Key Words: director of marketing, vice president of marketing, PR person, marketing person,
CONCLUSION
- Marketing plays important health care role
- Modern marketers start with consumers instead of products or services
- Marketers have traditional skills
- Traditional skills must be supplemented with new skills
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