Chapter 2 Flashcards
The process of discovering the needs and wants of potential buyers and customers and then providing goods and services that meet or exceed their expectations
Marketing
What data is used in marketing
Quantitative (numerical) and qualitative (descriptive) data are used to inform creative work
What are 4 types of marketing research
Focus groups
Pain points
Customer insights and analytics
Surveys
What is the SWOT analysis
Strengths (internal)
Weaknesses (internal)
Opportunities(external)
Threats(external)
A framework that identifies external forces that can impact a business
PESTEL
Political
Economic
Social
Technological
Environmental
Legal
The process of separating, identifying, and evaluating the layers of a market in order to identify a target market
Segmentation
the differentiation of markets through the use of categories such as age, education, gender, income, race, social class, and household size
Demographic segmentation
the differentiation of markets by regional location, population density, or climate
Geographic segmentation
the differentiation of markets by lifestyle, personality, interests, or values
Psychographic segmentation
the differentiation of markets by behaviors that occur when a consumer
interacts with a company
Behavioral segmentation
the differentiation of markets based on the amount of the product purchased
(light vs. heavy user)
Volume segmentation
a method of honing in on specific people in the consumer landscape based on various factors insuring that the message reaches the best consumers for the product or service
Targeting
When targeting the ideal targets must be:
Profitable: the segment has money to spend
Reachable: the segment is accessible
A method for fine-tuning the value propositioning message to make it more meaningful to each
intended target market
Positioning
When positioning a company what do you focus on?
Focus on need fulfillment, prioritized attributes, and preferred communication style.
- For example, the gym Equinox can change the focus of its message from weight loss and muscle gain to the
social scene depending on the target market
marketing that is creating a unique marketing mix for every customer
Personalized marketing or one-to-one marketing. uses big data and digital marketing to customize to individuals. ex. facebook pixel
Goal of STP and personalized marketing
efficiency
a set of foundational marketing factors that a company addresses when advertising its products or services
The four P’s
Product
Price
Placement
Promotion
People
In marketing, a good, service, or idea, along with its perceived attributes and benefits, that creates value for the customer
Product
▪ Products: iced coffee, books
▪ Services: flights, massages
▪ Experiences: concerts, escape rooms
▪ Ideas: consulting, life coaching
how much a product or service sells for, and it can be set based on what the market will allow or set
using various pricing strategies
Price
the strategy of increasing the price of a product so that consumers will perceive it as being of higher quality, status, or value
Premium pricing
the strategy of providing a basic service at a low price
Example: generic brands like Great Value or Kirkland Signature
Economy pricing
the strategy of selling new products at low prices in the hope of achieving a large sales volume and acquiring market share
Penetration pricing
Sell one product at a loss to stimulate sales of more profitable products/services
Loss leader
the strategy of introducing a product with a high initial price and lowering the price over
time as the product moves through its life cycle
Price skimming
Where the product is sold, seen, distributed
Placement
Examples of placement
Traditional retail, online/e-tail, experiential marketing onsite, delivery
to inform, persuade, or remind consumers and industrial users to engage in the exchange process
Promotion
Traditional marketing communications
TV, print, radio/broadcast, promotions, sponsorship
Non-traditional marketing
guerrilla and content marketing
Digital Marketing
social media, SEO/SEM, influencer marketing
those who work for the company and who interact with consumers
People. It can even include the consumers themselves
▪ Example: salesclerks, cashiers, Disney “cast members”
Steps of the marketing funnel
- Awareness: if people are unaware of the product, they won’t buy it
- Interest: curiosity, want to learn more
- Desire: implicate self, see the new improved you
- Action: purchase, subscribe, experience
- Bonus: loyalty
the process in which a customer completes a desired action
Conversion
Customer value is based on what three things
Price, quality, service
Interacting with your customers in unexpected ways
Guerilla marketing
Content marketing
a marketing strategy that is not part of your core business but helps promote your brand and business overall.
The use of consistent branding and images across all marketing platforms
IMC Integrated Marketing Communications
