Marketing Flashcards
What is Quantitative data?
Data that can be expressed as a number or can be quantified
(Number & statistics)
What is Qualitative data?
Information that can’t be expressed as a number
(Words, objects, pictures, observations and symbols)
What is Unique Selling Proposition (USP)
Is the essence of what makes your product or service better than competitors
Why are brand images important?
It’s important as it can create credibility and customer loyalty for your company
(Trustworthy/good impression)
What is a channel of distribution?
The process that a product or service takes in order to be sent from the manufacturer to the customer
Channels of Distribution
Direct - where the company sells the product directly to the consumer
Indirect - producers/manufacturers sells to wholesaler, to retailer then consumer
Hybrid - Use of both direct channels and indirect channels
What are the Methods of promotion?
Advertising - attracting new customers through advertisements
Special offers - a product or service offered at a low price to encourage people to buy or use another product or service
Sponsorship - a company/business pays to be associated with a project or program
Ways to segment the market
Gender
Location
Age
Income
Why is market research important?
It gathers valuable information about the company’s target market and industry
Types of primary research
Questionaires
Interviews
Focus groups
Types of secondary research
Market reports
Government publications
Articles
Pricing strategies
Price penetration - where the firm charges a new product at a very low price to attract customers
Loss leader pricing - when the price of a product is set below cost. Firm doesn’t make profit on it, but the customers will buy other products aswell
Price skimming - where firms charge a high price for a product to begin with as they know there will be a high demand
Competitive pricing - where the firm has to charge similar prices to other firms
Cost-plus pricing - the firm works out the total cost of making the product, and then adds on a certain amount depending on how much profit they want to make.
Factors affecting price
Internal: aims and objectives
Internal costs
Marketing mix
External: Nature of the Market
Competitive market
All costs
