Brainscape's Knowledge GenomeTM


Top Flashcards (Certified)
All Flashcards

Business aqa a level > Marketing > Flashcards

Marketing Flashcards

1
Q

Objectives

A

Sales volume
Sales growth
Market share
Market size
Market growth
Brand loyalty

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

Why is market research done

A

1- to spot opportunities eg allows business to research customer buying trends to aid them in predicting what people will be buying in the future
2- Before launching a product or advertising campaign

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

Primary research

A

Surveys, interviews
uses sampling to make predictons about whole market
Great for niche markets as it’s specific to the businesses purpose and is exclusive to the business who researched it so competitors cannot benefit.
However can be expensive and labour-intensive

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

Test marketing

A

eg launch a product in one region and measures sales and customer response before launching it across the country

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

Secondary research

A

Information from loyalty cards, analysis of sales reports or government publications
easier, cheaper and faster to access
However secondary data might be unsuitable as it contains many errors and may be out of date

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

Stratified sampling

A

divided into groups and selected randomly

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

Quota sampling

A

fitted into categories

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

Extrapolation

A

Trends in sales data from previous year can be continued into the future to forecast future sales.
adv- most useful in stable environments eg number of competitors is unlikely to change
cons - pace of change in market can be fast

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

Confidence intervals

A

A confidence interval gives the percentage probability that an estimated range of possible values in fact includes the actual value being estimated

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

PED formula

A

%change in QD/ % change in price

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

What products are inelastic

A

Necessary products such as milk

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

YED formula

A

%change in QD/ %change in real income

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

Normal goods

A

eg fruit have a +YED <1

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

Luxury goods

A

YED>1

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

Inferior goods

A

negative YED eg aldi branded bread

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

What is STP

A

Segment,Target, Position

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

What are the different ways to segment a market

A

Demographic eg Age, Gender,Income
Geographic
Behavior

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

Concentrated marketing

A

Involves one or two segments. Good approach for smaller businesses with limited resources. Segment must be big enough to have growth potential eg sports clothing for pensioners

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

Differentiated marketing

A

Several segments are targeted. Only feasible for large companies

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q

Undifferentiated marketing

A

Segments are ignored and company tries to reach entire market. Makes sense for widely used products eg Toothpaste
Has an advantage of potentially high sales volume and low marketing costs- mass market

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
21
Q

Positioning

A

Creating an image of your brand or product in the mind of your target customer eg an outdoor clothing company targeting young travellers may position itself as more ethical as market research has highlighted ethical sourcing.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
22
Q

Influences on positioning

A

State of the market eg if economy is in recession then companies are likely to position itself as a best value for money product/brand.
company current products eg if other products are seen as cheap and reliable

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
23
Q

Market mapping

A

extremes for two measures eg Price, quality or luxury,customer appeal

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
24
Q

Advantages of market mapping

A

Can help a business spot a gap in the market.
if sales are declining the company can use a market map to find out how customers view their product and try to reposition it on the map.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
25
Marketing mix
describes the factors that firms consider when marketing a product
26
7 Ps
Price Product Places Promoted People - customer service from staff Physical environment- presentation of store Process- waiting time etc
27
Integrated marketing mix
When the 7 Ps work togethere
28
Factors influencing the integrated marketing mix
Competitors- the price of a product will be directly influenced by the price of similar products and competition may be mean more money spent on promotion Where the company wants to position a product eg Pandora highlight that there product is high quality by having well trained staff and exclusive stores
29
Internal factors influencing integrated marketing mix
Corporate objectives eg if an airline wants to increase brand loyalty it will offer better customer service and promotions Finances - small firm doesn't have retained profits to promote niche product through TV advertising
30
Boston matrix
model of portfolio analysis
31
High market growth and low market share
Question marks- new products so will need high marketing
32
High market share and high market growth
Star
33
Low market share and low market growth
Dogs
34
Low market growth and high market share
Cash cow- In maturity phase
35
Why businesses develop new products
Give competitive advantage Bring in new customers Balanced product portfolio
36
Tangible benefits of having a USP
can be measured - eg low calorie pizza, savings account with high interest rates
37
Intangible benefits
cannot be measured eg product image and is important for beauty products
38
Product life cycle in order
1 Development 2 Introduction 3 Growth 4 Maturity 5 Decline
39
Development stage
Research and development, the costs are high. Has a high failure rate as the business cannot benefit from economies of scale yet
40
Introduction stage
Sometimes launched with complementary products eg Playstation with games Promotion is heavy to build up sales Use of price skimming or penetration pricing Competition may be limited if it is a innovated product
41
Growth stage
Sales grow fast Competition may be attracted
42
Maturity stage
Sales reach a peak and at saturation
43
Decline stage
Sales fall
44
Extension strategies
try to prolong the life of the product by changing the marketing mix
45
Product development
Business improve the product and can help give new focus to existing marketing campaigns
46
Market development
Find new markets for existing products
47
Price skimming
new and innovative products set at an initial high price - consumers will pay may as there is a scarcity value. eg Apple
48
Price penetration
Initial low price to attract customers and gain market share. Works well for companies who benefit from economies of scale and elastic industries.
49
Loss leaders
Make a loss on one product to attract customers to store for overall profit
50
Predatory pricing
Illegal in Uk - delibarately lowers prices to drive out competition
51
Dynamic pricing
aims to increase revenue by changing prices depending on demand and competitor prices. eg Hotels, Train prices, Flights
52
Promotional mix
the variety of ways that a business promotes products. eg social media and viral marketing, newspapers word of mouth
53
What does promotional mix depend on
The product itself Product life cycle Budget available Competitor action
54
What is a channel of distrubution
is the route a product takes from the producer to the consumer eg retailers,wholesalers and agents
55
Direct selling
Manufacturer straight to the consumer has been made easier by E-Commerce eg Accountants and hairdressers
56
Indirect selling
Manufacturer - Retailer - consumer Large supermarkets use this can be through a wholesaler as well
57
Direct selling through an agent
sold by a sales representive and they get commission
58
Multi-channel distribution
when businesses sell through more than one method eg online and instore eg Supermarkets and fashion brands, Apple
59
Types of products for a short distribution channel
Expensive, complex goods Services Custom-made products Industrial products
60
Types of products for a long distribution channel
Consumer products Many customers Inexpensive, simple goods
61
People (7 ps) importance
with services such as banking and haircuts, the customers experience is highly dependent on the people they are dealing with- if employees are friendly and knowledgeable they are more likely to buy the good or service.
62
Process (7p's)
how easy it is for customers to get what they want, when they want eg call centres operators put customers on hold although it annoys customers.
63
Physical environment
Cleanliness eg restaurants and hotels Appearance of website, staff, layout

Business aqa a level (12 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2025 Bold Learning Solutions. Terms and Conditions