2.2 Making Marketing Decisions Flashcards
Aesthetics:
how things appeal to the senses; do they look great, smell good, feel nice, sound solid (the ‘ker-lunk’ of a BMW door shutting) and taste great?
Economic manufacture:
making the product cheaply enough to make it profi table.
Extension strategy:
the attempt to prolong the sales of a product for the medium to long term to prevent it from entering the decline stage
Function:
how well the product or service works for the customer; for example, are the beds comfortable at a hotel; does the smartphone take sharp photos?
Product differentiation:
the extent to which consumers see your product as being distinct from its rivals.
Product life cycle:
the theory that every product goes through the same four stages of introduction, growth, maturity and decline.
Profit margins:
profit as a percentage of the selling price (one unit) or as a percentage of total sales revenue (for the business as a whole).
Branding:
giving your product or service a name that helps recall and recognition, and gives a sense of personality.
E-newsletters:
regular updates on the activities of a business sent electronically to actual or potential customers.
Promotional strategy:
a medium- to long-term plan for communicating with your target customers.
Sponsorship:
when companies pay to have a brand associated with an iconic individual or event (usually connected with sports or the arts).
Viral advertising:
when people start to spread your message for you through social means, be it word of mouth or via social media.
Distribution:
how ownership changes as a product goes from producer to consumer.
E-tailer:
an electronic retailer; in other words purchasing electronically, either by e-commerce or, more likely these days, mobile commerce (m-commerce).
Retailer:
a shop or chain of shops, usually selling from a building in a high street or shopping centre.
