Helgy Midterm Flashcards
Marketing Basics
The process of planning and executing the conception, pricing, and promotion and distribution of goods and services to exchanges that satisfy individual and organizational objectives
Core concept=exchange
2 areas of Mktg decision making
Target Market Decisions and marketing mix decisions
Target market decisions
- Segmenting
- Positioning
- Market entry
- Timing
- Growth
Marketing Mix Decisions
- Product
- Price
- Promotion
- Place (Distribution)
Marketing Concept Definition
the idea that an organization should strive to satisfy the needs of consumers while also trying to achieve the organization’s goals
Marketing Concept steps
Focus: Customers (receiving end)
Means: Steps toward end/total company effort
End: What you are striving for
Death Star: Competition
Flow of Strategic Planning
Mission statement -> Objective/Goals -> Grand strategy -> Mktg. strategy/Tactics -> Target Market -> Mktg. Mix -> Offering to Market -> feedback of results
funnel
Thinker Toys
-mother of all thinker toys
Tools that aid decision making
Models
Models
Specifications of a set of variables and their interrelationships, designed to represent some real system or process in whole or in part.
Product Life Cycle
describes the stages a new product goes through in the marketplace: introduction, growth, maturity, and decline
General Electric Multifactor Matrix
Business strengths (high, medium, low) -Size, growth, share, position, technology position, profitability, margins, image, people
Industry attractiveness (high, medium, low) -Size, market growth (pricing), market diversity
BCG (Boston Consulting Group) Matrix
A framework for evaluating businesses relative to the growth rate of their market and the organization’s share of the market.
Stars
Question Marks
Cash Cows
Dogs
Growth Opportunity Matrix
market penetration, market development, product development, diversification
perceptual maps
a visual representation of the perceptions of customers or potential customers about specific attributes of an organization, brand, product, service, or idea.
Positioning
arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers
Sources of Information
Marketing internal data
-accounting data
marketing intelligence
-observations, outside data
marketing science
-analytical systems
marketing research
- quantitative (survey research)
- qualitative (focus groups)
Consumer Behavior Decision
Problem Recognition
- > Search
- > Alternative Evaluation
- > Choice
- > Outcomes
Value-Model
Benefits-costs=value
Tangible: Performance Price Economics
Between: Perception Perceived perceived
- Product
- service
- brand
intangible: Psych/Emotional Perceived perceived
Customer-service and articles
peep the doc
New Product Development (NPD) Process
- Select new product strategy
- search for new product ideas
- screening
- business analysis
- development and testing
- Test Market
- Introduction
- Evaluation
Competitive Advantage
an advantage over competitors gained by offering greater customer value, either by having lower prices or providing more benefits that justify higher prices
based on cost adv, differentiation adv, and mktg, adv.
cost advantage
significantly lower cost position from which to create lower prices while still achieving desirable profit margins.
(variable cost/mktg. expense/operating expense)
Differentiation advantage
Meaningful differentiation that creates desired performance benefits at a level superior to competitors.
(Product dif/Service quality/brand reputation)
MKTG. Advantage
A market position and mktg effort that dominates the competition in brand recognition, product line, and channels of distribution
(Market leader/Product line advantage/channel advantage)
Discontinuous innovation
A major shift from an old technology to a new technology that usually effects new customer benefits.
New technology, for example, has led to the development of digital photography, which has largely replaced film photography. Similarly, flat-panel televisions have eroded the market for picture-tube sets.
Continuous Innovation
The development of technology and improved products for a given product market
The mainframe computer, vacuum-tube television, and fountain pen were all improved over many years of continuous innovation.
Disruptive Innovation
Change along the technology innovation curve that allows for the development of products that are less expensive, smaller, and often easier to use.
The microcomputer, solid-state television, and ballpoint ben greatly expanded the market demand and market potential for computers, televisions, and pens.
Major behaviors of an effective service delivery game plan
- Quick
- Effective
- Skillful
- Safe
- Caring
- Managed
5 marketing concepts
Production concept → can we produce the product? Can we produce enough of it?
Product concept → quality, performance, or innovative features
Selling concept → can we sell the product? Can we charge enough for it?
Marketing concept → what do customers want? Can we develop it while they still want it? How can we keep our customers satisfied?
Societal marketing concept →
Value creation
- Customer analysis
- Computer analysis
- Improve product benefits
- Seek a price point
- Challenge production engineers
