Marketing Flashcards
Marketing
Creating, communicating, & delivering offerings that have value for customers.
Marketing Concept
Analyze customer needs and then make decisions to satisfy those needs while achieving organizational goals.
Target Market
Group of people with some shared characteristics that a company has identified as potential customers for its products
Consumer Market
Buyers who want the product for personal use
Industrial Market
Buyers who want the product for use in making other products
Segmenting
Grouping potential customers with common characteristics that influence their buying decisions
Niche Market
A narrow or focused market segment
Demographic Segmentation
Divides market based on variables such as age, marital status, gender, ethnic background, income, occupation, education, etc.
Geographic Segmentation
Dividing market based on variables such as climate, region, and population density (urban, suburban, small-town, rural)
Behavioral Segmentation
Dividing consumers based on variables such as attitude toward the product, user status, or usage rate
Psychographic Segmentation
Classifies consumers based on individual lifestyles such as people’s interests, activities, attitudes, and values
Marketing Mix (4 Ps)
Shape the development and execution of marketing objectives to reach a target market
Product: Good or service a company provides
Price: What a consumer pays in exchange for a product
Place: Where a product is purchased
Promotion: Advertising, sales, and other communication efforts the utilized to attract customers
Brand
An intangible asset with tangible value; made up of promotion efforts and customer meaning
Brand Value
The financial asset associated with a brand. SUBJECTIVE
Brand Equity
Added value generated by favorable consumer experiences w/ a product
Pricing Skimming
Introducing a new product on the market at a high price and then lowering it over time
Penetration Pricing
Offering new products at low prices in hopes of achieving a large sales volume
Leader Pricing
Pricing products below normal markup or below cost to attract customers to a store where they wouldn’t otherwise shop
Bundling
Grouping two or more related products together and pricing them as a single product
Odd-even Pricing
Setting a price at an odd number to connote a bargain and at an even number to imply quality
Prestige Pricing
Raising the price of a product so consumers will perceive it as being of higher quality, status, or value
Promotion Mix
Tactics marketers use to communicate with the customer. ex.
What’s the main purpose of the promotion?
What is my target market?
Which product features should I emphasize?
How much can I afford to invest in a promotional campaign?
How do my competitors promote their products?
Advertising
Paid, non-personal communication designed to create an awareness of a product or company
Personal Selling
One-on-one communication with customers or potential customers.
Typically for large-ticket items, like homes, cars, or insurance policies
Sales Promotion
Creates an incentive to purchase; provides for a fairly immediate increase in sales in the short term
BOGO sales
“Limited time only”
Publicity
Notice or attention given by the media (often free)
Public Relations
Any action that help to create and maintain a favorable public image
Promoting via a press release about a fundraising event and controlling the damage of controversy for the company
Primary Data
Newly collected information that addresses specific questions (found from secondary data)
- Includes Surveys/Questionnaires, personal interviews, and focus groups
Secondary Data
Information already collected that pertains to the target market
Social Media Marketing
Using social media platforms to deliver content that drives engagement
Marketing linkages to strategy and business model
The business plan defines a company’s objectives and missions, and the marketing strategy answers in detail how these aforementioned objectives will be accomplished.
Brands/brand equity
Value a company gains from its name recognition when compared to a generic equivalent.
Benefits
How a product’s features could make a consumer’s life easier/more enjoyable
Feature
An essential function or component of a good or service
