Chapter 5 Flashcards
Marketing Mix
The series of seven key variables-product, price, place, promotion, people, process, and physical evidence - that are varied by marketers as part of the customer offering
Digital branding
Technology brand for target audiences
Differential advantage
What a firm creates added value by varying the mix to stand out from competitors and get noticed by customers
Branding
The process by which companies distinguish their product offerings from the competition by the sum of the characteristics of the product or service as perceived by the customer
Brand equity
The assets are liabilities, linked to a brand name and symbol that add to or subtract from a service
1. Brand domain.
2. He heritage
3. Brand values.
4. Brand assets.
5. Brand personality.
6. Brand reflection.
Brand experience
The frequency and depth of interactions with a brand which can be enhanced through the Internet
Brand advocates
A customer who has a favorable perception of a brand who will talk favorably about a brand to acquaintances to help generate awareness of a brand or influence purchase intent
Brand intensity
The totality of associations, including name and symbols that must be communicated
Product variable
The element of the marketing mix that involves research and customers needs developing appropriate products and service products and communicating their features and benefits
Core product
The fundamental features of the product that meet the users needs
Extended product
Additional features and benefits beyond the core product
Mass customization
A form of micro segmentation where firms use economies of scale enabled by technology to offer variance of products to individual customers or groups or customers
Bundling
Bundling combined several product or service options into a package of services, typically at a discounted price
Tipping point
Using the science of social epidemics that typically explains principles underpin the rapid spread of ideas, products and behaviors through a population
Long tail concept
A frequency distribution suggesting the relative variation and popularity of items selected by consumers
Price variable
the element of marketing mix it involves defining product prices, and pricing models
Pricing models
Describes the form of payments such as outright purchase auction, rental value purchases, and credit terms
Price transparency
Customer knowledge about pricing increases due to increased availability of pricing information
Differential pricing
Identical products are priced differently for different types of customers markets are buying situations
Price elasticity of demand
Measure of consumer behaviour that indicates the change in demand for a product or service in response to changes in price. Price elasticity of demand is used to assess the extent to which a change in price will influence demand for a product
Satisfacting behavior
Consumers do not behave entirely rationally in product or supplier selection. They will compare alternatives, but then may make their choice given imperfect information.
Aggregators
An alternative term to price comparison sites or comparison search engines (CSEs). Aggregators include product, price and service information, comparing competitors within a sector such as financial services, retail or travel. Their revenue models commonly include affiliate revenues (CPA), pay-per-click advertising (CPC) and display advertising (CPM
Commoditisation
The process whereby product selection becomes more dependent on price than on differentiating features, benefits and value-added services
Forward auctions
Item purchase but highest bid made in bidding period
