Chapter 1 Flashcards
What are the five core customer and marketplace concepts?
(1) needs, wants, and demands; (2) market offerings (products, services, and experiences); (3) value and satisfaction; (4) exchanges and relationships; and (5) markets.
What is marketing myopia?
paying more attention to the specific products they offer than to the benefits and experiences produced by these products; focus only on existing wants and lose sight of underlying customer needs
Define exchange
the act of obtaining a desired object from someone by offering something in return
What is a market?
the set of actual and potential buyers of a product or service; These buyers share a particular need or want that can be satisfied through exchange relationships
Define marketing management
the art and science of choosing target markets and building profitable relationships with them.
What is market segmentation? Target marketing?
market segmentation= dividing the market into segments of customers
target marketing= selecting which segments to go after
what is a brand’s value proposition?
A brand’s value proposition is the set of benefits or values it promises to deliver to consumers to satisfy their needs.
What are the five alternative concepts under which organizations design and carry out their marketing strategies?
the production, product, selling, marketing, and societal marketing concepts.
What is the production concept?
- consumers will favor products that are available and highly affordable; therefore, management should focus on improving production and distribution efficiency
- one of the oldest orientations that guides sellers
- i.e. Lenovo
- risk of marketing myopia
What is the product concept?
- consumers will favor products that offer the most in quality, performance, and innovative features
- risk of marketing myopia i.e. improving a mousetrap when better solution cld be chemical spray
What is the selling concept?
- consumers will not buy enough of the firm’s products unless it undertakes a large-scale selling and promotion effort.
- high risk b/c it focuses on creating sales transactions rather than on building long-term, profitable customer relationships
- aim often is to sell what the company makes rather than to make what the market wants
What is the marketing concept?
- achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than competitors do
- job is not to find the right customers for your product but to find the right products for your customers
What is the societal marketing concept?
- questions whether the pure marketing concept overlooks possible conflicts between consumer short-run wants and consumer long-run welfare
- marketing strategy should deliver value to customers in a way that maintains or improves both the consumer’s and society’s well-being
What are the 4 P’s of marketing?
product, price, place, and promotion
- To deliver on its value proposition, the firm must first create a need-satisfying market offering (product).
- It must then decide how much it will charge for the offering (price) and
- how it will make the offering available to target consumers (place).
- Finally, it must engage target consumers, communicate about the offering, and persuade consumers of the offer’s merits (promotion)
Marketing was once understood in the sense of making a sale. Today, marketing is understood in the new sense of __________.
satisfying customer needs
The key element of successful marketing today is to __________.
create value
What is the final step in the marketing process?
Capture value from customers.
Engaging customers and managing profitable customer relationships is the simplest definition of ________.
Marketing
y ou are thirsty and decide to have an iced tea. Your thirst is a ________ and your choice of iced tea is a ________.
need; want
Which of the following correctly identifies the five core customer and marketplace concepts?
(1) Needs, wants, and demands;
(2) Market offerings; (3) Value and satisfaction;
(4) Exchanges and relationships; and
(5) Markets
the primary goal of consistently delivering superior value is to ________.
build profitable customer relationships
In marketing terms, what is a market?
The set of actual and potential buyers of a product or service
Market offerings include ________.
products, services, and experiences
The actual and potential buyers in a market share which of the following characteristics?
They share a particular need and/or want.
The first step to a successful value-driven marketing strategy is to determine whom to serve with a market offering. To make this decision, marketers engage in which two activities?
Segmenting and targeting
What is the purpose of a value proposition?
To differentiate and position a market offering in the marketplace
Which marketing orientation states that consumers will favor products that offer the most in quality, performance, and innovative features?
The product concept
Which of the following uses a sense-and-respond philosophy to promote a customer-centered marketing orientation?
The marketing concept
Companies such as IBM, Walmart, and Google now look beyond economic gain and, in their marketing strategies, they also consider the well-being of customers, the depletion of natural resources, the viability of suppliers, and the interests of the local community. This reflects which marketing philosophy?
The societal marketing concept
What are the 4 Ps of marketing?
Product, price, place, promotion
What is the key to building lasting customer relationships?
Creating superior customer value and satisfaction
__________ is the customer’s evaluation of the difference between all the benefits and all the costs of a market offering relative to those of competing offers.
Customer-perceived value
Which of the following is an accurate statement about building customer relationships in the modern marketing era?
Building relationships through consumer-generated content is expensive and takes time.
The total combined lifetime value of a company’s current and potential customers is called __________.
customer equity
For which customer relationship group should a company make continuous relationship investments to delight, engage, retain, and grow them?
True friends
In today’s global environment, everything and everyone are digitally connected to everything and everyone else. The term used to describe this is __________.
the Internet of Things
How has the Great Recession of 2008dash2009 affected marketers in terms of consumer attitudes?
Consumers are showing an enthusiasm for frugality.
Vince’s Video has suffered in the current economy because fewer people have the money for videos and because more people use online streaming sites such as YouTube and Hulu. The videos that Vince’s Video does sell are often outpriced by versions coming from China or Taiwan, or they are accused of being damaging to the environment. Which of the following marketing impacts has NOT affected Vince’s Video?
A. Rapid globalization B. The changing economic environment C. Not-for-profit marketing D. Sustainable marketability E. The digital age
