3 Flashcards
Marketing definition
process of creating communicating and exchanging offerings of value
Importance of marketing for starting and maintaining
important part of business plan when starting up
what are you offering, who will you sell to, and how
important when maintaining
based on input from each aspect of the company
production, finance, personel
4Ps useful at each step because they change overtime
marketing metrics must reflect goals of company
Marketing mix policy
4Ps
Product: buys to satisfy a need
Price: bought in sufficient amounts to generate profit
Place (Distribution) : connection from buyer to profit
Promotion : measures for encouraging sales
Consumer Behavior Model
Marketing Stimuli Other Stimuli Consumer Psychology + Characteristics Buying Decision Process Purchase Decision
Consumer Segmentation: Definition, Purpose, Types
Division of market into specific consumer groups with common characteristics
Key to identifying customers: not everyone is your target audience
Geographic, Demographic, Psychographic, Motive for Purchase
Product Policy + Strategies
Product design, name, shape, relation to other products, production pipeline, development, warranty, post-sale services, etc.
Strategies:
innovation (development)
variation (changes to existing)
diversification of production (extra flavors, etc)
Product Features
Core: main benefit
Actual: packaging, size, quality, features
Augmented: installation, warranty, delivery, etc
Production Mix Policy
Product lines
Width vs Depth
Price Policy: Steps to setting price
Select the price objective Determine the demand Estimate costs Analyze competitors price mix Select pricing method Select final price
Price Differentiation definition
Offering different prices for same product to different groups
Geographic
Student Discounts
etc.
Price Goals
Survival
Maximize profit margins
Market penetration
Distribution Policy
Channels of getting the product to the consumer
Direct vs Indirect
Distribution Channels
Indirect: wider reach less control less expensive
Value Added Partners
Distributors
Retail
Direct: narrow reach more control more expensive
Retail
Sales force
Internal Departments (telemarketing, direct marketing, etc)
Communication Policy: Definition and types
remind consumers of product and encourage them to buy it
advertising (paid nonpersonal)
sales promotion (samples, sales competitions)
events and experiences (redbull)
public relations (create corporate image)
direct marketing (telemarketing)
personal selling (meetings, solicited and personal)
