Definitions Flashcards
Marketing
the process of developing a product and implementing a series of strategies aimed at correctly promoting, pricing and distributing the product to a core group of consumers
Standard of Living
a measure of an individual’s quality of life, partly based on what goods and services the individual can afford to buy
Strategic Role of Marketing
the ability of the business to develop goods and services that develop a long-term relationship with a specific customer based and, in so doing, generate sales and revenue for the organisation
Brand Awareness
the extent to which consumers are aware of the existence of a particular product, its features, price and possible places of purchase
Market Share
the percentage of total sales a business has compared with its competitors within a particular market
Marketing Mix
the process of developing a product that meets the needs of consumers and implementing a series of promotional, pricing and distribution strategies that will encourage consumers to purchase the product
Selling Approach
involves a business placing emphasis on strategies aimed at convincing consumers of the need to buy a product
Intermediate Markets
markets in which retail businesses purchase products that have been produced by other organisations, also known as wholesalers
Mass Market
the market where products are aimed at all consumers
Psychological Factors
the personal characteristics of individuals that influence their behaviour
Price Discrimination
a business giving preference to some retailers by providing them with stock at lower prices than are offered to the retailer’s competition
Implied Wartranty
Regardless of whether a product is carrying a warranty, a business must, by law, either refund a client’s money or offer an exchange of the good should the good be recognised to have been faulty at the time of leaving the store
Product Analysis
examines the current production position of the goods/services that a business produces in the marketplace
Product Life Cycle
the different phases that a business’s product will often go through over the course of its existence
Primary Data
information that is collected for the specific purpose for which it will be used
Secondary Data
information that already exists, having already been collected for another purpose
Sales Analysis
an examination of the sales of a particular product among different consumer groups, by sales representatives and during various times of the year
Market Share Analysis
an examination of the sales performance of a business and its comparison with that of its direct competitors
Marketing Profitability Analysis
the process of evaluating the financial and non-financial benefits that have been achieved by a specific marketing plan against the costs of implementing the plan
Market Segmentation
the process of breaking down a total market into small markets based on the similar characteristics of a customer group
Geographic Segmentation
the process of dividing a market or customer group into smaller markets based on different geographic locations, such as nations, states, or local government areas
Demographic Segmentation
the process of dividing a market into smaller markets based on customers’ age gender, income, family size or level of education
Psychological Segmentation
the process of dividing a market into smaller markets based on consumers’ lifestyles, personalities, values and interests
Behavioural Segmentation
the process of dividing a market based on people’s knowledge of, attitudes towards and use of a product
Price
the cost to the consumer of buying a good/service
Posistioning
the image that a product has in the mind of the consumer - how it is compared against other products
Branding
the reputation that a business or product has developed over time
Penetration Pricing
a pricing strategy whereby pries are set at the lowest possible price to gain an immediate customer base
Loss Leader
a pricing strategy that involves providing a limited number of goods at a price that generates minimal profit or even a loss to encourage consumers to purchase goods from the business
Product-Deletion Pricing
a pricing strategy that is used to clear stock hat a business believes is no longer selling or attracting interest from customers
Market Skimming
a pricing strategy that is used when a business wants to recover the high costs involved in establishing a product and releasing it onto the marketplace by setting a high price
Cost-Plus Pricing
a pricing strategy whereby the business considers the total cost to the business of manufacturing or providing a good or service to the consumer and then adds an amount to allow for a profit margin
Relationship Marketing
the process of building and maintaining long-term relationships with customers
Place
the methods of distribution and availability of a good from different outlets and locations
Distribution Channels
the channels by which a product is moved from the place of manufacture to the consumer
Selective Distribution
involves the use of only a limited number of stores to sell or distribute a product
Exclusive Distribution
a form of distribution where there is a restriction on the number of products and/or the availability of the product
Intensive Distribution
occurs when a product is readily available to a wide selection of businesses or locations
Competitive Posistioning
involves the formal process of a business determining how to differentiate itself from its competitors, and, in so doing, develop strategies for the business to create value from these differences
