Key terms 1.3-Marketing Mix and Strategy Flashcards
what is design mix?
the range of features that are important when designing a product
what is consumer durables?
good that can be used repeatedly over a period of time, such as cars and household appliances
what is product design?
the process of creating a new product or service
what is ergonomics?
the study of how people interact with their environment and the equipment they use- often in the workplace
what is ethical sourcing?
usi ng materials, components and services from suppliers that respect the environment, treat their workforce and generally trade with integrity
what is recycling?
making use of materials that have been discarded as waste
what is resource depletion?
the using up of natural sources
what is waste minimisation?
reducing the quantity of resources that are discarded in the production process
what is marketing mix?
the elements of a business’s marketing that are designed to meet the needs of customers (4Ps)
what is promotion?
an attempt to obtain and retain customers by drawing their attention to a firm or its products
what is advertising?
communication between a business and its customers where images are placed in the media to encourage the purchase of products
what is viral marketing?
any strategy that encourages people to pass on messages to others about a product or a business electronically
what is above the line promotion?
placing adverts using the media
what is below the line promotion?
any promotion that does not involve using the media
what is emotional branding?
the practice of using the emotions of a consumer to build a brand
what is a generic brand?
products that only contain the name of the product category rather than that company or product name
what is a manufacturing brand?
brands created by the producers of goods or services
what is own label, distributor or private brands?
products that are manufactured for wholesalers or retailers by other businesses
what is point of sale?
any point where a consumer buys a product
what is public relations?
an organisation’s attempt to communicate with interested parties
what is sales promotion?
methods of promoting products in the short term to boost sales
what is sponsorship?
making a financial contribution to an event in return for publicity
what is product life cycle?
shows the different stages in the life of a product and the sales that can be expected at each stage
what is extension strategies?
methods used to prolong the life of a product
what is unit costs?
the same as average cost (total cost/output)
what is mark up?
the percentage added to unit cost that makes a profit for a business when setting the price
what is pricing strategy?
the pricing strategies or methods used by a business when deciding what to charge for its products
what is competitive pricing?
pricing strategies based on the prices charged by rivals
what is cost plus pricing?
adding a percentage (mark up) to the costs of producing a product to get the price
what is penetration pricing?
setting a low price when launching a new product in order to get established in the market
what is predatory/ destroyer pricing?
setting a low price forcing rivals out of business
what is psychological pricing?
setting the price slightly below a round figure
what is price skimming?
setting a high price initially and then lowering it later
what is distribution?
the delivery of goods from the producer to the sonsumer
what is distribution channel?
the route taken by a product from the producer to the customer
what is intermediaries?
links between the producer and the consumer
what is an agent?
an intermediary that brings together buyers and sellers
what is retailer?
a business that buys goods from manufacturers and sells them in small quantities to consumers
what is a wholesaler?
a business that buys goods from manufacturers and sells them in smaller quantities to retailers
what is breaking bulk?
dividing a large quantity of goods received from a supplier before selling on in smaller quantities to customers
what is direct selling?
producers selling there products directly to consumers
what is e-commerce?
the use of electronic systems to sell goods and services
what is marketing strategy?
a set of plans that aim to achieve a specific marketing objective
what is the boston matrix?
a 2x2 matrix model that analyses a product portfolio according tot he growth rate of the market and the relative market share of products within the market
what is product lines?
a group of products that are very similar
what is product portfolio?
the collection of products a business is currently marketing
