Marketing

Question 1

What is the marketing mix

Answer 1

A process of developing a product that meets consumer needs and implementing strategies to encourage an increase in purchases.

Question 2

The 8 P’s

Answer 2

Product, price, promotion, place, people, process, physical presence and performance

Question 3

Product

Answer 3

A product should meet consumer needs.

Question 4

Tangible aspects (product)

Answer 4

size, shape, packaging, colour, features and design

Question 5

Intangible aspects (product)

Answer 5

Services, warranties, brand image and reputation.

Question 6

Product positioning

Answer 6

The method used to create a unique impression of a product to consumers.

Question 7

Brand

Answer 7

The name term, symbol or design that identifies a brand

Question 8

Trademark

Answer 8

A symbol or name forming part of a business’s intellectual property.

Question 9

Price

Answer 9

Pricing determines product cost. The price will change to ensure there is a sales income and also to meet profit objectives

Question 10

What happens if a price is too high

Answer 10

Consumers most likely wont see enough value in the product to justify the price.

Question 11

What happens if the price is too low

Answer 11

Consumers may think the product is low quality.

Question 12

Skimming (pricing)

Answer 12

High price at launch, then gradually lowered

Question 13

Premium (pricing)

Answer 13

High price to maintain a perception of exclusivity.

Question 14

Penetration (pricing)

Answer 14

Low price initially to attract customers before switching strategies.

Question 15

Psychological (pricing)

Answer 15

Price is set based on customer perception of quality and value.

Question 16

Pricing methods

Answer 16

How the cost of a product is determined.

Question 17

Pricing strategies

Answer 17

How the price is positioned in the market.

Question 18

Promotion

Answer 18

Promotion communicates product information to the target market to influence consumer behavior.

Question 19

What are some common promotional strategies?

Answer 19

Sales promotion, advertising, direct selling, publicity, product placement, push and pull promotion.

Question 20

Push promotion

Answer 20

Spreads product information through wholesalers and retailers.

Question 21

Pull promotion

Answer 21

Uses extensive advertising before launch to create customer demand.

Question 22

Place

Answer 22

Refers to how a product is distributed to consumers.

Question 23

Distribution channels

Answer 23

The path in which goods take from the manufacturer to the consumer.

Question 24

Direct distribution

Answer 24

Goes from the manufacturer straight to the consumer.

Question 25

Indirect distribution

Answer 25

Goes from the manufacturer then the wholesales, retailer and finally to the consumer.

Question 26

People

Answer 26

Includes employees and staff who interact consumers and provide services.

Question 27

What is personal selling?

Answer 27

Is a two way communication between a buyer and seller and is aimed at influencing a purchase.

Question 28

Process

Answer 28

It ensures businesses follow proper procedures for customer service and inquiries.

Question 29

Physical presence

Answer 29

Includes All elements of a business's identity visible to the customer, including shopfronts, websites, branding, and packaging.

Question 30

Performance

Answer 30

Measures how well a business is achieving its marketing goals.

Question 31

Factors of performance

Answer 31

Customer satisfaction, sales revenue and profit margins, market share growth and brand reputation.

Question 32

What is marketing

Answer 32

The process of promoting a product to potential customers to try and gain the largest possible market share.

Question 33

Roles of marketing

Answer 33

Satisfies consume needs and wants at a profitable price and encourages consumers to pay for the same product. It also will build up a brand's awareness.

Question 34

Why is marketing important?

Answer 34

Connects businesses to customers and drives business activity. Develops products that align with customer preferences.

Question 35

What is a customer

Answer 35

Someone who purchases a product or service with an intention to use or gift it.

Question 36

What is a consumer

Answer 36

Anyone who uses a product or service with a motivation to not resell it.

Question 37

Market research

Answer 37

A key feature of effective marketing that identifies what customers desire in a product that helps businesses to develop the most appealing product the can in order to maximise sales.

Question 38

What is a market segment?

Answer 38

A distinct group of customers with similar characteristics. It helps to target particular customers.

Question 39

Ways to segment the market

Answer 39

Age, Religion, income, gender, occupation, family, social status and cultural backgrounds.

Question 40

Target marketing

Answer 40

Identifying and catering to a specific customer segment.

Question 41

Mass marketing

Answer 41

A marketing approach where one product will fit all customers, reaching a larger audience.

Question 42

Demographic segmentation

Answer 42

Income, sex, age, education, occupation, nationality. etc.

Question 43

Geographic segmentation

Answer 43

Country, state, rural/suburban/urban, climate, population

Question 44

Lifestyle segmentation

Answer 44

Opinions, personality, attitude, interests, beliefs, leisure activities.

Question 45

Behavioral segmentation

Answer 45

Product usage, loyalty, status and benefits wanted.

Question 46

Primary data

Answer 46

Is collected directly from the consumer.

Question 47

Secondary data

Answer 47

Is collected from another source.

Question 48

Qualitative research

Answer 48

Is based on opinions and perceptions of research participants.

Question 49

Quantitative research

Answer 49

Based on numerical data and figures for market research purposes.