4.2 Marketing Planning Flashcards
Define marketing mapping
Process of formulating marketing strategies & tactics that will help a business achieve its marketing objectives.
State 4 key components of market mapping
SMART marketing objectives
Market research
Marketing mix
Resources (finance / staff)
Evaluate market mapping
✅ aligns departments w/ marketing goals
✅ improves coordination & control
✅ ⬆️ chances of achieving business success
❌ time-consuming & expensive to develop
❌ can become outdated in fast-changing markets
❌ doesn’t guarantee success if implementation fails
Define market segmentation
dividing a market into distinct consumer groups w/ similar needs/characteristics. Allows firm to tailor their products & marketing strategies.
Evaluate market segmentation
- better customer understanding = fewer wasted resources
- Higher sales revenue from focused marketing
- Opportunities for market growth
- Allows effective differentiation
❌ requires detailed market research = costly
❌ segments may be too small + unprofitable to
cater for
State 3 ways of segmenting the market
- Demographic: Age, gender, income, ethnicity, religion
- Geographic: Country, region, climate
- Psychographic: Values, interests, attitudes, lifestyle
Define targeting
choosing a specific segment to serve, then developing a marketing mix that meets the needs of that group
Define positioning
how a product is perceived in the minds of consumers relative to competitors.
Usually represented in a position map using variables like price and quality.
Evaluate position mapping
identify market gaps
Refine marketing strategies
Highlights competitor threats
Simple to contract + easy visual representation
❌ gap in market may not be profitable to fill
❌ only 2 criteria chose = too simplistic
Define repositioning
changing hoe a product is perceived, often through an re price, promotion, or target audience.
Define niche market
A focus on a small market segment through specialised products, aimed at satisfying specific market needs for a well- defined segment of the population
State 4 characteristics of niche maraakets
- Products generally more expensive
- Costumer loyalty tends to be higher
- Likely to be very small compared to whole market
- Has its own distinctive identity and needs making it unrelated from traditional market
Evaluate niche marketing
✅ better customer understanding
✅ ⬇️ competition = premium pricing
✅ Higher customer loyalty
❌ small market = limited sales volume & growth
❌ higher costs / unit (no economies of scale)
Define mass market and mass marketing
Mass market: large number of potential costumers willing to buy products (products aimed at large market segments)
Mass marketing: marketing strategy that targets a broad audience w/ one product for all
State 4 a characteristics of mass a relates
✅ large costumer base = higher sales
✅ low average costs bc of economies of scale
❌ not tailored = less personal engagement
❌ high competition
❌ wasteful marketing to uninterested customers
Define a unique selling point
distinct feature that makes a product stand out from competitors. Key reason customers choose one brand over another.
Evaluate having a unique selling point
✅ creates strong brand identity
✅ competitive advantage
✅ can justify premium pricing
❌ can become meaningless bc of new technology
❌ can become too focused, can = lost opportunities
Define differentiation
strategy of making brand/product stand out from competitors by emphasising unique features or benefits, allowing it to gain competitive advantage + attract customer loyalty.
States few methods of differentiation
✅ creates strong brand identity
✅ competitive advantage
✅ can justify premium pricing
❌ can become meaningless bc of new technology
❌ can become too focused, can = lost opportunities
Evaluate differentiation
✅ competitive advantage (products stands out = easier to attract + retain customers)
✅ ⬆️ brand loyalty
❌ requires strong marketing
❌ may limit & reduce target market
❌ higher production costs
