3. Marketing Flashcards
Objectives
Sales volume/value
Sales growth
Market share
Brand loyalty
value of objectives
aligned with c. obj
provides focus
measure performance
primary MR
collected first hand for specific purpose
secondary MR
existed already for other purpose
examples primary MR
focus group
survey
interviews
product trial
mystery shoppers
examples secondary MR
market report
trade associations
sales transactions
big data
Primary benefits and negatives
good: fit for purpose, up to date, detailed insight
bad: time consuming, costly, risk of bias
secondary MR benefits and negatives
good: free/easy, market insight
bad: out of date, costly, not tailored
Quantitative
data, numbers, figures ect
Qualitative
opinions, beliefs, attitudes
sampling
gather data from sample to represent target population
3 types of sampling
quota
stratified
random
benefits of sampling
insight provided
decision making = reduces risk/cost
flexible and quick
drawbacks of sampling
unrepresentative
risk of bias
not useful with changing opinions
stratified sampling
one from each rep group of full target population
quota sampling
based on characteristics
random sampling
randomly chosen
correlation
strength of relationship
+1=positive
-1=negative
0=no
Confidence interval
how certain they are of results (margin of error)
confidence level
% probability that research is correct
PED
%change in quantity demanded/
%change in price
what influences PED
brand strength
necessity
time
habit
available substitutes
elastic, inelastic, unitary
more than 1
less than 1
exactly 1
Income elasticity of demand
demand in response to changes in income
Two products relating to YED
luxury and necessities
Inferior goods
switching substitutes
income increase but demand decreases
4 segmentation
demographic, geographic, income, behavioural
mass marketing
target whole market
niche targeting
smaller segments targeted
positioning
place of product compared to competitors products in customers minds = value
market mapping
positioning of product in market
boston matrix axis
y axis= market growth
x axis= market share
4 boston matrix categories
Star
Cash cow
Problem child/ ?
dog
extended marketing mix 7ps
product
price
place
promotion
people
process
physical environment
2 product types
consumer- bought by final consumer for personal consumption
industrial- further processing or use in conduct of other business
what is product life cycle used for?
forecaster sales
market position
product portfolio
investment
product life cycle stages
development
intro
growth
maturity
decline
penetration pricing
set low then high
aim: gain market share
hook and bait
eg. razor handle cheap but blades expensive
price skimming
set high price then lower
aim: maximise profit
branding benefits
adds value
customer loyalty
charge higher price
promotional decisions aim
make customers aware of positioning/ products and persuade customers to buy
8 promotional mix
advertising
sales promo
direct marketing
personal selling
pr
branding
social media
viral marketing
influences on promo mix
objectives
target market
competition
positioning
resources
technology
multichannel distribution
more than 1 distribution channel (each wants cut of profit)
benefits of multichannel distribution
reach tm segment
increase choice of where to buy- satisfaction
higher sales
negatives of multichannel distribution
confilct channels
decrease profit margin
pricing strategies= confusing
digital marketing types
email
online adverts
search engine optimisation
content, viral, influences marketing
benefits of digital marketing
24/7 international communication
receive feedback
analyse large data
extrapolation
using historical trends to predict future trends
market/ sales growth
new-old / old x100
market share
business sales/ market size x100
market size
all sales in market
