Concept Test Flashcards
Describe why branding is an important concept in marketing and
Branding can be a product or service, or also symbolic, emotional, or intangible.
- create a point of difference, facilitates “fine tuning” of strategy.
- Increases consumers loyalty.
- It is a never-ending process, branding creates a unique image for the brand, and uses imagery to portray expression of who the company is, or who the company wants to be.
- Branding creates mental structures that help consumers organize their knowledge about products and services in a way that clarifies their decision making and, in the process, provides value to the firm.
Watch example – we are willing to pay $5000 to a watch with a logo on it which epitomizes the brand, when there is a watch exactly the same without that brand that is only $50.
EG. Whittakers POD & POS
what actions you would suggest an organisation undertake to protect and develop its brand
Marketers must be sensitive to all the words and actions that might strengthen or weaken consumer ties.
registered trademarks,
manufacturing processes can be protected through patents,
packaging can be protected through copyrights and proprietary designs.
These intellectual property rights ensure that the firm can safely invest in the brand and reap the benefits of a valuable asset.
Geographic Segmentation and example?
Geographic segmentation divides the market into geographical units such as nations, states, regions, counties, cities, or neighborhoods. The company can operate in one or a few areas, or it can operate in all but pay attention to local variations.
Eg. Much of Nike’s initial success came from engaging target consumers through grassroots (a growing trend concentrating on making activities as personally relevant as possible) marketing efforts such as sponsorship of local school teams, expert- conducted clinics, and provision of shoes, clothing, and equipment to young athletes.
Demographic Segmentation and example?
Demographic variables include age, family makeup, gender, income, education, religion, social class. A reason they are so popular with marketers is they’re easy to measure, and often associated with consumer’s needs and wants.
EG. insurance companies using age to target young and middle-age individuals for their life insurance policies. Generally, they are expected to live longer compared to senior citizens and thus prove to be more beneficial customers.
Psychographic Segmentation and example?
Psychographics is the science of using psychology and demographics to better understand consumers. buyers are divided into groups on the basis of psychological/personality traits, lifestyle, or values. People within the same demographic group can exhibit very different psychographic profiles.
EG. Walmart target middle-class budget savvy individuals who aim to save money whenever and wherever they can.
Behavioral Segmentation and example?
Marketers divide buyers into groups on the basis of their knowledge of, attitude toward, use of, or response to a product.
- Needs & Benefits
- Decision Roles
- USer and USage-related Variables
EG. LG Electronics. This Company market their products offering the biggest discounts to the highest purchaser. For example, offering a 15% discount on a TV and a 35% discount on the purchase of an Air Conditioner.
Discuss the role and purpose of a marketing plan, and describe the process of marketing planning. EXAMPLES
Written doc, Contains tactical guidelines for the marketing programs and financial allocations over the planning period. Can be for individual products, lines, brands, channels, or customer groups.
Documents how the organisation will achieve its strategic objectives through specific marketing strategies and tactics, with the customer as the starting point.
The plan helps us
- Bid and legitimse activities
- Communicate what we are doing to others in the org
- Ensure integration across all marketing tools and decisions
- Identify measures for whether our decisions worked.
Logical process, which
- Analyses current marketing opportunities (or rends that needs with company capabilities and resources)
- Evaluate potential target markets
- Design marketing strategies to consider (integrated marketing relationship marketing, internal and positioning)
- Develop integrated marketing strategy (the value cycle components)
- Manage the overall marketing effort and assess performance.
Describe what is meant by integrated marketing communications and explain why marketers should adopt such an approach. EXAMPLES
It consideres that everything creates communicates and delivers values – not just discrete activities.
All company communications also must be integrated so communication options reinforce and complement each other. A marketer might selectively employ television, radio, and print advertising, public relations and events, and PR and Web site communications so each contributes on its own and improves the effectiveness of the others. Each must also deliver a consistent brand message at every contact.
E.G Iceland – post the volcano eruption of 2010, tourism numbers were extremely low. With tourism generating around 20% of the foreign exchange, government and tourism officials decided to launch “Inspired by Iceland.” This campaign was based on the insight that 80 percent of visitors to Iceland recommend the destination to friends and family. The country’s own citizens were recruited to tell their stories and encourage others to join in via a Web site or Twitter, Facebook, and Vimeo. Celebrities such as Yoko Ono and Eric Clapton shared their experiences, and live concerts generated PR. Real-time Web cams across the country showed that the country was not ash-covered but green. The campaign was wildly successful.
Marketing can be understood as an activity,
Activity – think of a small business who thinks marketing is just a motion, business is going well, profit is good, etc. Then - “oh no, it’s not” - Let’s put an ad in the local paper, just because we think its going to work. “Oh no it hasn’t work… lets lower prices!”. In other words, marketing isn’t thought through logically, it’s a standalone, separate, disjointed set of activities that are not thought through too well A set of activities that are disconnected from the rest of the business. Adhoc, not strategized. Marketing in this particular instance is not very electated in the org.
eg. local shoe shop
Marketing can be a function, discuss & examples
Function – Distinct group of people with marketing in their job title. It is their role and their role only. Separate isolated marketing departments. Group of people who, their job is to do the marketing. Noone else within the business is involved, it’s a group of dedicated people or one person who is involved is the efforts. Noone else in the org is involved.
eg whittakers
Marketing can be an orientation. Discuss and examples
Orientation – Marketing is the way of doing business. Its about the whole firm, everyone and everyone that is a part of it is a marketer. No matter what your role is, what your title is, satisfying the end consumer is thought through in every example that is made.
EG> air nz
