4.2 - Marketing and planning Flashcards
What is marketing and planning?
Setting objectives and determining marketing strategies for their achievements.
What is a marketing plan?
A document that records marketing objectives and strategies as well: marketing mix, market research methods, segmentation and targeting methods, positioning, budgeting, control tools, auditing etc
What is marketing planning?
The systematic, cyclical and reflective process of setting marketing objectives and determining strategies for their achievement.
What is marketing cycle?
A series of reflective actions that organisations go through to maintain the reflective nature of marketing.
What are the advantages of marketing planning?
- Reduces risk
- Fosters Interdependance among the functional departments of the organisation
- Motivates
What are the disadvantages of marketing planning?
- Doesnt guarantee success
- Time consuming and costly
- Beauracratises the organisation
What is segmentation?
The process of dividing potential customers into groups with similar characteristics.
What is a market segment?
A group of people that share similar characteristics.
What are the types of market segments?
- Demographic: age, gender, ethnicity, marital status
- Geographic: continent, country region, province
- Psychographic: lifestyle, hobbies, wealth, “class”
What is targeting?
The process of selecting the relevant market segment
What is the target market?
Potential customers with similar characteristics.
What are the types of targeting?
- Undifferentiated(for everyone)
- Differentiated(different approaches to marketing for different groups of customers)
- Concentrated(niche, a very specific group of customers)
What is consumer profiling?
The process of outlining the description of the perfect customer by listing their key characteristics. Consumer profile - description of a potential customer
What is positioning?
The process of presenting the brand/product in a specific way in order to create the desired customer perception
What is PPM?
A visual tool that outlines customers’ perception on brands/products. It can be product positioning map or product perception map.
What are classifications of brands in PPM?
- Premium products: High quality, high price
- Cowboy products: Low quality, high price
- Bargain products: High quality, low price
- Economy products: Low quality, low price
Specificity of niche market?
Very specific and narrow defined group of potential customers
Are niche markets targeted or untargeted?
Targeted
How is the consumer profile of a niche market?
Very specific and “realistic”
Specificity of mass market?
Unspecific and broadly defined group of customers
Are mass markets targeted or untargeted?
Non-targeted, for everyone
How is the consumer profile of a mass market?
Broad and unrealistic
What is USP(unique selling point)?
Special feature of a product or organisation that helps it to stand out among competitors. Based on marketing mix.
What are the advantages and disadvantages of USP?
Cost effective but it does not guarantee sales
