Market Share, Market Growth, Matker Segmentation

Question 1

market share definition

Answer 1

how much of the total market is held by one firm

Question 2

market growth definition

Answer 2

change in the total market size

Question 3

product orientated market/product/firm

Answer 3

made because they can

brand new product for the sake of it - often loss making

Question 4

customer orientated market/product/firm

Answer 4

done and made through research

made because its what people want

Question 5

what does it depend on?

Answer 5

• the nature of the product
• the size of the market
• the degree of competition
• the business’ objectives

Question 6

segmenting the market

Answer 6

dividing the market into groups of people with similar characteristics

= appropriate of marketing
= saves money
= no waste resources
= concentrates efforts

Question 7

aggregation

Answer 7

standardised marketing to a very large target market using mass media

= assuming customers are all the sam (MACCIES)
= expensive
= can firms afford to do that?

Question 8

how do you segment your market?

Answer 8

age
income
education
locaiton
race/religion
special interests
gender

Question 9

mass vs. niche marketing

Answer 9

firms do neither of these things and market to a CERTAIN SEGMENT on the scale

• mass = TESCO
• middle = MARS, LIDL, iphone is growing
• nice = ferrari

Question 10

disadvantages of market segmenting

Answer 10

shouldnt take segmenting too far so that they exclude customers

harder to categorise consumers + their behaviour now - break boundaries in their purhcasing patterns

too much segmentation can mean a loss in sales

Question 11

factors affecting consumer buyer behaviour?

Answer 11

• income in relation to the business price
• price of complementary goods or substitutes
• the brand
• the promotion campaign
• fashion and trends
• confidence in the brand or product
• the outlet/shop layout (middle shelf) is it impulse buy or planned?

Question 12

whos the product being sold to?

Answer 12

are you aiming it at the kid (consumer) or the parent (customer) - advertising and promotion, actual product

Question 13

business to business / B2B sales

Answer 13

different from buisness to customer sales

they use trade prices not customer price list
there are more B2B sales than B2C

promoting B2B sales:

= makes personal contact and salesmans
= trade magazines and online
= trade fairs of B2B