Marketing

Question 1

What is marketing?

Answer 1

The entire process of creating relationships with customers by offering goods, services and experiences they value

Question 2

What is marketing mix?

Answer 2

Providing goods and services that satisfy customers’ needs through a coordinated set of activities

Question 3

How can you satisfy customers’ needs?

Answer 3

Identify a problem that customers are currently trying to solve and spending money to solve, but aren’t satisfied with the solution yet

Question 4

What are the 4Ps of the marketing mix?

Answer 4

Product, Pricing, Place/Distribution, and Promotion

Question 5

How have marketing concepts changed?

Answer 5

Shifted from production orientation (taking orders, mass production, and distributing goods) to customer orientation (determining customer needs, satisfying those needs, and using customer feedback to continually improve offerings)

Question 6

What is the consumer buying decision process?

Answer 6

Recognize problem/opportunity, search for information, evaluate alternatives, purchase, evaluate after purchase

Question 7

What does the consumer buying decision process depend on?

Answer 7

Perceived importance of purchase… often price

Question 8

What is the STP process?

Answer 8

Segment (identify subsets of customers)
Target (identify customers you wish to direct your product towards)
Position (identify how best to compete in target market)

Question 9

What is the basis for segmentation?

Answer 9

Benefits they seek - stylish, unique, practical, etc
State of being - geography, demography, customer type
State of mind - lifestyle i.e values, attitudes, beliefs, personality
Behaviour - media usage, product usage, brand loyalty, price sensitivity… why do they make decisions that they do?

Question 10

How can you determine which segment will be the target market?

Answer 10

Finding the biggest gap between what the customer wants/needs (preference analysis) and how the customer perceives the competition is currently meeting those needs (perceptual map)

Question 11

What is the difference between the perceptual map and the preference analysis?

Answer 11

Perceptual map locates positions of competing products according to perceptions
Preference analysis locates each segment’s ideal product