CH 7-10 Flashcards by Mack Holland

The process of defining a marketing problem or opportunity, systematically collecting and analyzing information, and recommending actions.

Market research

How well did you know this?

Not at all

Perfectly

Specific, measures goals the decision maker seeks to achieve in conducting the marketing research.

Research Objective

How well did you know this?

Not at all

Perfectly

Criteria or standards used in evaluating proposed solutions to the problem.

Measures of Success

How well did you know this?

Not at all

Perfectly

In research, Restrictions placed on potential solutions to a problem - often time or money.

Constraints

How well did you know this?

Not at all

Perfectly

Ideas about products or services

Concepts

How well did you know this?

Not at all

Perfectly

Preliminary test of a new product idea with customers using written descriptions and sketches rather than a prototype or actual finished product

New Product Concept test

How well did you know this?

Not at all

Perfectly

Facts and figures obtained by watching how people behave, using personal observation, mechanical methods, or neuromarketing techniques.

Observational Data

How well did you know this?

Not at all

Perfectly

Research that asks people about their attitudes, awareness, intentions and behaviors.

Questionnaires

How well did you know this?

Not at all

Perfectly

The process of selecting elements form a population, collecting data from them, and using it as a representative of all those a researcher is interested in.

Sampling

How well did you know this?

Not at all

Perfectly

Using statistical methods to generalize the results from a sample to the population of interest.

Statistical Inference

How well did you know this?

Not at all

Perfectly

Facts and figures related to a research problem

Data

How well did you know this?

Not at all

Perfectly

Facts and figures recorded prior to the research project

Secondary Data

How well did you know this?

Not at all

Perfectly

facts and figures newly collected for the research project.

Primary data

How well did you know this?

Not at all

Perfectly

Facts and figures obtained by watching either mechanically or in person, how people actually behave.

Observational Data

How well did you know this?

Not at all

Perfectly

Observational approach in which trained observers seek to discover subtle behavioral and emotional reactions as consumers encounter products in their natural use environment.

Ethnography

How well did you know this?

Not at all

Perfectly

Field of marketing research that focuses on understanidng how the brain respinds to nonconcios, marketing stimuli
- Eye tracking
- Biometric monitoring
- Emotional-response facial
coding

Neuromarketing

How well did you know this?

Not at all

Perfectly

facts and figures obtained by asking people about their attitudes, awareness, intentions, and behaviors

Questionnaire data

How well did you know this?

Not at all

Perfectly

A qualitative research method that involves bringing together a small group of individuals - typically 6 to 10 participants - for a structured discussion led by a moderator.

Focus Group

How well did you know this?

Not at all

Perfectly

Questions that allow respondents to express opinions and ideas or describe behaviors in their own words

Open-ended Questions

How well did you know this?

Not at all

Perfectly

Questions that require the respondents to select one or more response options from a set of predetermined choices.

Closed-end or fixed alternative questions

How well did you know this?

Not at all

Perfectly

Questions that have only two possible response options - usually “yes” or “no”

Dichotomous questions

How well did you know this?

Not at all

Perfectly

Questions that measure the precipitins associated with a concept using pairs of opposing adjectives

Semantic differential questions

How well did you know this?

Not at all

Perfectly

Questions that measure respondents’ attitudes, opinions, or perception’s by asking them to rate statements on a scale from “Strongly agree” to Strongly Disagree”

Likert scale questions

How well did you know this?

Not at all

Perfectly

Vast amounts of data collected from various sources and analyzed with an increasingly sophisticated set of technologies.

Big Data

How well did you know this?

Not at all

Perfectly

The practice of examining large databases to find statistical relationships between consumer purchasing patterns and marketing actions.

Data mining

Based on statistical models that use data mining and probability analysis to foretell outcomes.

Predictive modeling

Type of forecasting that involves estimating the value without any intervening steps

Direct Forecast

A forecast made by strating with the ladt known value of the item, listing the factors that could cause changes in that value, estimating the degree of impact that each of those factors would have, and adjusting the base level to arrive at the final amount.

Lost-horse forecast

The total sales of a product that a firm expects during a specified time period under specified conditions and its own marketing efforts.

Sales forecast

Forecasting sales by extending a pattern observed in past data into the future. When the pattern is described with a straight line, it is linear trend extrapolation.

Trend extrapolation

A branding strategy in which a company uses one name for all its products in a product class

Multiple product Branding

Involves aggregating prospective buyers into relatively homogeneous groups, or segments, that (1) have common needs and (2) will respond similarly to a marketing action.

Market segmentation

A marketing strategy that involves a firm using different marketing mix actions help consumers perceive the product as being different and better than competing products.

Product differentiation

Manufacturing a product only when there is an order from a customer.

Build to order

Tailoring products or services to the tastes f individual customers on a high-volume scale

Mass customization

A decline in the sales of one of a company's products resulting form an increase in the sales of another of its products.

Cannibalization

Geography - where prospective customers live or work. Demographics - physical characteristics, measurable characteristics, and other classification attributes of prospective customers. Behaviors - observable actions. (usage rates, 80/20 Rule)

4 ways to segment markets

Represents the financial worth of a customer to a company over the course of their relationship.

Customer lifetime value

1. Group potential buyers into segments. 2. Group products into categories. 3. Develop a market-product grid and estimate the sizes of markets. 4. select target markets. 5. Determine product positioning.

Segmentation, targeting and Positioning Steps

A framework to relate the market segments of a potential buyers to products offered or potential marketing actions

Market-product grid

The place a product occupies in consumers' minds based on important attributes relative to competitive products.

Product positioning

Competing directly with competitors on similar product attributes in the same target market.

Head-to-head positioning

Changing the place an offering occupies in consumers' minds relative to competitive products.

Product repositioning

Targeting a less competitive, smaller market niche with unique product benefits.

Differentiation positioning

A means of displaying in two dimensions the location of its own and competing product's or brands in the minds of consumers

Perceptual map

A succinct written statement derived from the company's customer value proposition that directs the company's overall marketing strategy. For (target market and need), the product is a (product category) that offers (benefits).

Product Positioning statement

Analysis of consumer lifestyles

Physchographics

A good, service, or idea consisting of a bundle of tangible and intangible attributes that satisfies consumers' needs and is received in exchange for money or something else of value.

Product

Tangible product or physical item. Can be durable or non-durable.

Good

Intangible activity or benefit that an organization provides to satisfy consumers' needs

Service

Full scale operating model of the product

Prototype

Relying primarily on its internal resource's research, and development teams to create new product and technologies.

Closed innovation

Collaborating with external stakeholders including customers suppliers, research institutions, startups and even competitors, to access a broader pool of ideas and resources.

Open innovation

Process of obtaining ideas, content, or solutions by soliciting contributions from a large group of people, typically via the internet.

Crowdsourcing

A method of raising money for a project by obtaining small contributions from a group of people, typically via an online platform

Crowdfunding

items that consumers purchase frequently with a minimum of shopping effort.

Convenience products

items that consumers compare several alternatives on selected criteria.

Shopping products

items that consumers make special efforts to seek out and buy.

Specialty products

items that consumers either do not know about or do not initially want.

Unsought products

A specific product with a unique brand, size, or price, (SKU or Stock Keeping unit)

Product item

A group of closely related products sold by one company that share similar characteristics and serve similar customer needs.

Product line

All the product lines offered by an organization

Product mix

Addition of a new product to an existing product.

Product line extension

using an existing brand name in a new product category.

Brand extension

A specific product with a unique brand size, or price.

Stock Keeping Unit (SKU) or product item

Revolutionary new product.

Radical innovation

Unnecessary product features or functions

Feature bloat

producing products based on individual customized orders in mass scale approach. based on component inventory methods.

Mass Customization

Manufacturing a product only when there is an order.

Build to order

- Intangibility: services cannot be experienced before purchase - Inconsistency: The quality of services varies. - Inseparability: Consumers cannot distinguish the service provider from the service itself. - Inventory (perishability): Can not be stored

Four I's of Service

An expanded Marketing mix for services that includes: Product Price Promotion Place People Physical environment Process

Seven P's of Services Marketing

Unused productive capacity that occurs when the service provider is available but there is no demand for the service

Idle production capacity

7 Stages: 1. New product Strategy 2. idea Generation 3. Screening and Evaluation 4. Business Analysis 5. Development 6. Market testing 7. Commercialization

New Product Development Process

- Continuous Innovation: No learning or behaviors - Dynamically Continuous Innovation - Some learnings and disruptions to normal routines - Discontinuous Innovation - Extensive learning and entirely new consumption patterns

Degree of New Consumer Learning Model

Describes the stages a new product goes through in the marketplace - introduction, growth maturity, and decline

Product Life Cycle

Stage of the product life cycle is characterized by rapid increases in sales. Competitors begin to emerge and distribution expands. Emphasis on product differentiation.

Growth Stage

Stage of the product life cycle is characterized by the slowing of total industry sales or product class revenue, causing marginal competitors to begin leaving the market. Emphasis on maintaining brand loyalty

Maturity Stage

Market declines and emphasis on reducing costs/maximizing profits via exiting, selling off, or milking.

Decline Stage

The initial purchase of a product by a customer.

Product Trial

Setting a low initial price to discourage competitive entry and build unit volume.

Penetration pricing

Setting a high initial price to help the company recover development costs and capitalize on the price insensitivity of early buyers.,

Skimming pricing

Retaining a product while reducing marketing costs

Harvesting

Selling a brand to another company.

Divesting

Dropping a product from the company's product line

Deletion

A favorable attitude toward and consistent purchase of a single brand over time.

brand Loyalty

Altering one or more of a products characteristics to increase the product's value to customers and increase sales.

Product Modification

Strategies companies use to find new customers, increase a product’s use among existing customers, and create new use situations. * Finding new customers * Increasing product use * Creating a new use situation

Market modification

Adding value to the product or product line through additional features or higher-quality materials.

Trading up

Reducing a product’s number of features, quality, or price.

Trading down

Using a name, phrase, design, symbol, or combination of these to identify a company’s products and distinguish them from those of competitors.

Branding

A word, device (design, sound, shape, or color), or combination of these used to distinguish a company’s products from those of competitors.

Brand name

The added value a brand name gives a product beyond functional benefits provided

Brand Equity

A set of human characteristics associated with a brand name.

Brand Personality

Brand Identity (salience), Brand Meaning (performance and imagery), Brand Responses (customer feelings and judgments), and Brand Relationships (resonance).

Brand Equity Pyramid

A contractual agreement where one company (the licensor) allows its brand name or trademark to be used with products offered by another company (the licensee) for a royalty or fee.

Brand Licensing

An integral part of the package that typically identifies the product or brand, who made it, where and when it was made, how it is to be used, and package contents and ingredients

Label

Any container in which a product is offered for sale and on which information is communicated

Packaging