5.1 Marketing Flashcards
What are the 4Ps in the marketing mix?
- Product
- Price
- Promotion
- Place
Give 4 reasons why it is important to identify customer needs?
- For more sales
- To select the correct marketing mix
- To avoid costly mistakes
- To operate competitively in the market
What is market segmentation?
Market segmentation is when people within a market are divided into different groups
How are markets segmented?
Markets are segmented based on characteristics like gender, age, location and income
Why do businesses use market segmentation?
To identify their target market and tailor the marketing mix (product, place, price and promotion) towards them and make it more suitable for them
What is the drawback of market segmentation?
It generalises a population based on their characteristics
What information is collected during market research?
During market research, information on the following is collected (as it may help a business with decision making):
* Demand of a product or service
* Competition within the market
* Target Market
Give 3 reasons why businesses collect information on demand during market research?
- To get a better insight into their customers
- To see how many sales a product could generate
- To maximise profit OR avoid costly mistakes by making too much
Why is it important for a business to collect information on the competiton during market research?
To help understand and prepare the business with the major threats in a market, such as another businesses’ product or pricing
Give 3 reasons why it is important for a business to collect information about the target market during market research?
- To help understand their customer’s wants and needs
- To create targeted marketing
- To identify a gap in the market
What is qualitative research?
Qualitative research is information on opinions and views
What is quantitative research?
Quantitative research is information that can be measured or quanitified
i.e. “How many pizzas do you eat per week?”
What is primary research?
Primary research is first hand market research that is done directly by you or the business
Give 4 examples of primary research methods
- Questionnaires
- Surveys
- Interviews
- Focus groups
What are the two benefit of primary research?
- It is up to date
- It is tailored to the needs of the business
What is the advantage of using questionnaires & surveys
They are quick and cheap
What is the disadvantage of using questionnaires
The questions are very restrictive
What is the advantage of interviews and focus groups?
You gain detailed responses and opinions
What is the disadvantage of interviews and focus groups?
- Time Consuming
- Expensive
What is the advantage of focus groups over interviews?
It is faster as you are collectively interviewing several people rather than individually
What is the disadvantage of focus groups over interviews?
Quiter people do not get their opinions heard
What is secondary research?
Secondary research is research that has been performed by other organisations or people
Give 3 examples of secondary research
- Internet research
- Printed press
- Government Reports
List three benefits of using secondary research
- It is cheaper
- It is instantly accessible and faster
- It is more expansive as it gives access to a wider range of data
