Customers & Trends Flashcards
How do you identify customer needs
Research
What must a business know when planning their marketing
Customer knowledge (characteristics of the particular target demographic)
Competitors (know competitor strengths and weaknesses)
Market (aware of market ongoings)
Demands and trends
Opportunities (PESTLE)
Pricing (high, market rate, low)
What are demands
The quantity of goods or services that a customer will buy at a given price
What are trends
Offer businesses warnings as to whether something is popular or no longer popular
What does AIDA stand for
Awareness
Interest
Desire
Action
What acronym describes the steps taken when a customer engages with a new business
AIDA
What are the various ways to communicate with customers
Verbal (direct speech)
Non-verbal (images)
Listening (listening to customers)
Responding to complaints
Define cash flow
The total amount of money flowing in and out of a business
Define capital
Cash invested in order to generate income
Allows the business to know how much money it’ll be operating with
Define operational costs
Expenses relating to the day to day running of a business
What are fixed costs
Costs a business pays regardless of how much it sells
What are variable costs
Costs related to sales
As sales go up, so do variable costs
What are various trends to keep track of
- New technologies
- social medias
- changes in national participation rates for specific activities
What are the 4 benefits of developing products to take advantage of trends
Improvement of products
Diversification of products
Improvement of customer service
Business growth
What are the 2 risks of developing a new product to take advantage of trends
- Failing to meet customer needs
- failing to achieve a return on investment
