Key terms Unit 2 marketing Extra Help Flashcards
What are the different service competition factors?
-Convenience
-Degree of Service
-Selection
-Reputation
-Price
C.D.S.R.P
Convenience meaning
making some activity easier or more comfortable, sell how convenient it is
Ex. cleaning services, and catering services
Degree of Service Meaning
the amount of service that the company provides
Selection Meaning
Offering a greater selection of services is a way of creating a competitive advantage.
Ex. A video store that rents video games, game consoles, VCRs, DVDs, DVD players, and a large selection of movie titles.
Reputation meaning
It is important for a company to maintain a good reputation because it does not have a tangible product to show the customer. Word-of-mouth can either make or break a service business.
Price meaning
Price is a factor in both good and service competition. If two services are similar the business with the lower price has the competitive edge, however if prices are too low customers may question the business’s reputation and credibility.
What is market share?
The size the company has to the market in relation to the competitors
What is market research?
Learning about trends, demographic and market share to develop a marketing strategy
What is the responsibility of the research and development department?
Creating new products and doing tests to see if viable to develop a marketing strategy or to solve a marketing problem.
Internal Information Sources:
Where companies build databases that provide both personal data and purchasing records for every customer they serve. The information can be used to target previous buyers with sales promotions and advertising Ex: data collecting, using barcodes to see what is popular, reward cards,
Sustainable competitive advantages
Sustainable: D.L.S.C
-Developing a unique selling proposition
-Lowering production costs
-Servicing a niche market
-Creating customer loyalty
Non-sustainable competitive advantages?
Non-sustainable:
P.P.Q.B.P.D
-Promotion
-Placement
-Quality
-Benefits of use
-Price
-Design features
