Economic Profile of the Philippines

Socio- Economic Class Description % Total PH

Population

AB Upper Class Most affluent group whose home and lifestyles 1%

exude an obvious need for economizing

C1 Upper Middle Households whose homes and lifestyles are quite 2%

Class similar to those of the upper class but less
capacity to indulge in luxuries
Broad C Middle Class Households whose homes and lifestyles reflect 9%
comfortable living and the capacity to indulge in a
few luxuries
D Lower Class Households with some comfort and means, but 71%
basically thrive on a hand to mouth existence

E Extreme Those who evidently face great difficulties in 18%

Lower Class meeting their basic survival needs/ “Fringe”
member of the society
Total 100%
 Customers make the final choice
according to several factors such as:
(1)Purchasing power/ Disposable income
(2)Proximity to the goods and services
(3)Individual desire and preferences
(4)Age
(5)Social, cultural, ethnic background
(6)Peer group preference
(7) Gender
(8) Season of the year
(9) Personal identification
(10) Educational attainment
(11) Technical Proficiency
(12) Motivational impetus
(13) Lifestyle Preferences
(14) Susceptibility to certain
advertising and promotional
appeals
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 Let The Market
Know You Better
 MARKETING
• About creating and
accumulating customers

• MARKETING MIX
- A combination of factors
(marketing tools) that can be
controlled by a company to
influence consumers to purchase
its products
- 7Ps (Positioning, Product,
Packaging, Place, People,
Promotion, Price)
 PRODUCT

• Is the tangible good or the

intangible service that that
enterprise offers to its customers in
order to satisfy their needs and to
produce their expected results.

• Product built up so much loyalty

to the point that brand name
 General types of product:
1.Breakthrough Products
- Offer completely new
performance benefits
- Technology and creatively
superior to the existing product
 General types of product:
2. Differentiated Products
- Claim a new space in the mind of
the customer different from the
spaces occupied by existing
product
- Additional benefits on special
aspects of the product
 General types of product:
3. Copycat products
- Will not make impressions on the
consumer’s mind.
- More physical space in the
shelves, lower price, easier
access, promotional freebies
 General types of product:
4. Niche product
- Do not intend to compete
directly with the giants
- Lower reach, lower visibility, lower
prices and lower top of mind
 Positioning
• Main value proposition –
promise of value to be
delivered

- Offers the reader a clear

picture of what your brand
stands for and what has to
offer
- Helps you make solid first
impression
 - It should concisely tell your
reader:
1. How your product can solve
problem
2. What can they expect if
they purchase your product
3. The advantages in doing
business with your company
 Consist of a:
1. Headline – What is the end
benefit your offering, in one
short sentence. Can mention
the product/customer. Attention
grabber.

2. Sub-headline or 2-3 sentence

paragraph – A specific
explanation of what you do for
whom and why it is useful.
 Consist of a:

3. 3 bullet points – list the key

benefits of the features.

4. Visual – Image
communicate much faster
than words. Show the product,
the hero shot or an image
reinforcing your main
message.
 PLACE
• LOCATION, LOCATION,
LOCATION
• The product should be available
from where your target customers
finds it easiest to shop.
 • RELEVANT LOCATION
DRIVERS
1. Physical Proximity to target
customer
2. Customer Traffic Flow
3. Industry Clustering
4. Convergence of Multiple Industries
5. Population Concentrations
6. Activity Hubs
7. Growth potential
8. Business Climate
9. Cost of doing business and
producing Goods and services
COMPARATIVE LOCATION
ANALYSIS

• A potential location is
through comparing it with
other location with more or
less the same features and
cluster of competitors

• GEOGRAPHY
DETERMINANTS
 • GEOGRAPHY
DETERMINANTS

There are six decision

tension:
CONCENTRATION VS DESTINATION
ACCESS VS ABUNDANCE
CLUSTERED VS DISPERSED
DEVELOPED VS UNDERDEVELOPED
PHYSICAL VS VIRTUAL
UPSCALE VS DOWNSCALE
 • ATHMOSPERE
DETERMINANT

- Refers to the condition of the

environment, which affects the
mind and mood of the customer
either in the positive or negative
way.
FORMAL VS INFORMAL
EXCLUSIVE VS PUBLIC
CONSERVATIVE VS ADVENTUROUS
AESTHETIC VS FUNCTIONALITY
MINIMALIST VS MAXIMALIST
 PROMOTION

Advertising, sales promotion,

personal selling and in more
recent times social media are
tools to put across
organization’s message to the
correct audience in the
manner they would most like
to hear.
 PEOPLE
• Are the ultimate marketing
strategy
• People distribute, promote, price,
sell the products
• Conducting market research,
devising the market plan and
contacting, reaching and
convincing customers to buy the
product
• Marketing efforts are organized in
four levels:
1. To create customers awareness
2. To arouse customers interest
3. Educate the customers
4. To close the sale and deliver the
product
-Available, Accessible, Adequate,
Acceptable, Affordable
 PACKAGING

• Identifies the product

• Describes in features and benefits
• Comply with government rules on
specifying its contents, weight
chemical composition and
potency
• Provides easy brand identification
 PACKAGING

• Differentiates from its competitor

and even from its other brand
offering
• Lengthens life span, physically
protects and extent the usefulness of
the product
• Environmental issue by itself
• Increased the price of the product
 PRICE

• A product should always be seen as

representing a good value for
money
• Not necessarily cheapest available
but customers are happy to pay a
little more for something that works
really well for them