Introduction to Marketing L1 Flashcards
What types of marketing exist?
- Telemarketing
- Public relations
- Advertising
- Branding
- Social media
- Pricing
- Selling
What is the economic definition of marketing according to Kottler (1967)?
The analysing, organising, planning and controlling of the firm’s customer impinging resource, policies and activities, with a view to satisfying the needs and wants of chosen customer groups at profit
What is the social definition of marketing according to Doyle (1994)?
As philosophy for the whole business. It defines the primary goal of everyone in the organisation as meeting the needs of customers.
How does the CIM (2001) define marketing?
The management process of anticipating, identifying and satisfying consumer requirements profitabily.
How does the AMA (2007) define marketing?
Marketing is the activity, set of institutions, and processes for creating, communicating, delivering and exchanging offerings that have value for customers, clients, partners and society at large.
What is the difference between a customer and consumer?
Buyer = customer User = consumer
What does the save acronym refer to?
Solution
Access
Value
Education
The purpose of a brand
What is a brand?
A set of differentiating promises that link a product to its customers.
They are defined by the sum of experiences that are created between consumers and the company or product/
They communicate instantly what would take too much time and effort to explain.
They lead to trust and a relationship.
What are the benefits of brands to consumers?
Image benefit: brands have an idea - finale value: self realisation, self representation, identification
Risk reduction: brands reduce the risk of making the wrong decisions - safety, continuity, trust
Information efficiency: brands facilitate information processing - provenance, orientation, interpretation, recognition
What are examples of marketing exchanges?
a) the fire service provide protection and the public give funds and cooperation
b) retailer gives offerings and customer service and customer pays retail price
c) manufacturer gives goods, credit facilities etc and retailer pays at wholesale price
What is the modern exchange process?
Individual larger operators take out the wholesaler and retailer sections meaning it is:
producer –> e.g Amazon –> consumer
What is a simple exchange system?
Need –> money + information –> design + produce –> product/place/price/promotion
What are the four different management philosophies that facilitate change?
- Product concept
- Production concept
- Selling concept
- Marketing concept
What is the product concept?
Consumers prefer products that offer quality, performance, or innovative features, craftsmen make high quality artisan product
What is the production concept?
Consumers prefer products that are widely available and inexpensive firms mass produce inexpensive products
What is the selling concept?
Consumers buy products only if the company actively promotes or sells it to them, firms engage in high pressure selling tactics
What is the marketing concept?
Consumer buy and prefer products which focus on their needs/wants and deliver better value then competitors, firms focus on consumer needs, wants and values
What are the elements of the selling concept as opposed to the marketing concept?
Production –> existing products –> selling and promotion –> profits through sales volume
What are the elements of the marketing concept as opposed to the selling concept?
Target market –> customer needs –> integrated marketing –> profit through customer satisfaction
What can the key inputs for successful marketing be?
- Tangible and intangible
- Rational or emotional
- Existing (identified and satisfied)
- Latent (not yet satisfied)
- Incipient (not yet known)
- Market driving (creating) vs market driven (from the market)
What is integrated marketing?
Coordinating all the marketing activities affecting customers “marketing is too far important to be left only to the marketing department” (David Packard)
How do consumers choose between products and services?
Customer value
Customer satisfaction
Customer loyalty
What is customer value?
Value is the difference between the perceived benefits of owning and the perceived sacrifices of acquiring e.g product/service/image benefits vs monetary/time/energy/psychological costs
What is customer satisfaction?
Balance between expected/reputed performance vs perceived/experimental performance
