Marketing Flashcards
Define Marketing
Marketing is identifying customer wants and satisfying them profitably
Define Customer
A person, business or other organization which buys goods or services from a business
Define customer loyalty
When existing customers continually buy products from the same business
Define customer relationships
Communicating with customers to encourage them to become loyal to the business and its products
Define Market share
The percentage of total market sales held by one brand or business
Define Consumer
A consumer buys goods or services for personal use (not to re-sell)
Define Mass market
Where there is a very large number of sales of a product
Define niche market
A small, usually specialized, segment of a much larger market
Define Market segment
An identifiable sub-group of a whole market in which consumers have similar characteristics or preferences
State the stages of the product life cycle
Name all
- Developed
- Introduced
- Grow
- Maturity
- Saturation
- Decline
Sate the ways you can extend a product’s life cycle
At least five
- Introduce new variations
- Introduce improved version of the product
- Sell into new markets
- Sell through more retail outlets
- Change product’s design
- Use new advertising campaign
What are the 4 elements of the marketing mix
Product
Price
Place
Promotion
4Ps
Define USP
The special feature of the product that differentiates it from the products of its competitors
Define brand name
Unique name of a product that distinguishes it from other beands
Define Brand loyalty
When consumers buying the same brand again and again instead of choosing a competitor’s brand
Define Brand image
An image or identity given to a product which gives it a personality of its own
Define Cost-plus pricing
The cost of manufacturing the product plus a profit mark-up
Basically profit
Define competitive pricing
When the product is priced in line with or just below competitors’ prices to try to capture more of the market
Define Penetration pricing
When the price is set lower than the competitors’ prices in order to be able to enter a new market
Define Price skimming
Where a high price is set for a new product on the market
Define Promotional pricing
When a product is sold at a very low price for a short amount of time
Define Dynamic pricing
When businesses change product prices usually when selling online, depending on the level of demand
Define Price elastic demand and Price inelastic demand
PED=Consumers are very sensitive to price changes
PID=Consumers are not sensitive to price changes
Define distribution channel
Which a product is passed from the place of production to the customer
Wholesalers, Retailers…
Define Agent (distribution channel)
An independant person or business that is appointed to deal with the sales and distribution of a product or range of products
State the medians of distribution
At least five. C’mon
- Department stores
- Chain stores
- Discount stores
- Superstores
- Supermarkets
- Independant retailers
- Direct sales
- Mail order
- Internet
Define promotion
Where marketing activities aim to raise customer awareness of a product or brand, generating sales and helping them to create brand loyalty.
State the aims of promotion
At LEAST five
- Create brand image
- Inform people about issues
- Introduce new products on to the market
- Increase sales
- Compete with competitors
- Improve company image
Define Advertising
Paid for communication with potential customers about product to encourage them to buy it.
What is Informative and persuasive advertising
- Informative advertising=give full information about the product
- Persuasive advertising=Persuade customers that they really need the product.
Define Target audience
Refers to the people who are potential buyers of a product of service
State the modes of advertisement
AT LEAST FIVE
- Television
- Radio
- Newspaper
- Magazines
- Billboards
- Cinema/DVD
- Leaflets
- Internet
Define sales promotion
Incentives such as special offers or deals aimed at customers to achieve short-term increase in sales
State the types of sales promotions
At least 5
- After-sales service
- Gifts
- Buy-one-get-one-free (BOGOF)
- Price reductions
- Free samples
- Product placement
- Competitions
- Point-of-sale display
Define marketing budget
The financial plan for the marketing of a product for a specified period of time
Define social media marketing
A form of marketing that involves creating and sharing content on social media
Define Viral marketing
When consumers are encouraged to share information online about a product
(To Businesses)
Advantages of E-commerce
Only 4 c’mon
- Low cost promotion
- Global coverage
- Able to access many customers
- Shops not needed
(To Businesses)
Disadvantages of E-commerce
Also only 4, You can do it
Updating website costs
No direct consumer contact
Online competition
Transport costs
Define Marketing Stategy
COC reference :0
A plan to combine the right combination of the four elements (PPPP) for a product or service
Explain why some business remain small
If they were large:
1. Can’t offer close and personal services
1. Most small businesses are specialised, so it only appeal to a limited number of consumers
1. The owner’s choice to keep the business small
Reminder to not use dotted-lists in answers, unless the question asked for it
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