Marketing

Question 1

What is an advertising campaign?

Answer 1

A series of advertisements to encourage sales, often using different advertising media

Question 2

What is advertising media?

Answer 2

The methods by which a business can advertise a product. Includes newspapers, social media, TV and radio

Question 3

What is census data?

Answer 3

Data collected by the Government every 10 years, questioning the entire population on their income, occupation etc.

Question 4

What is competitor pricing?

Answer 4

When a price is set based on prices charged by competitor businesses for a similar product

Question 5

What is cost-plus pricing?

Answer 5

A pricing method that adds a percentage of profit to the total costs of making a product. This gives the selling price.

Question 6

What is decline?

Answer 6

Final stage of the product lifecycle

When sales are falling as the product or service is seen by customers as being old and they switch to newer products and services

Question 7

What is design?

Answer 7

An important element in a number of different products, especially where style and technology work together

Question 8

What is digital distribution?

Answer 8

The distribution of goods and services digitally by downloading from a website

Question 9

What are focus groups?

Answer 9

Selected small groups of customers who give their opinion on products – a method of market research

Question 10

What is growth?

Answer 10

Stage 2 in the product lifecycle

When sales are growing strongly as the new product or service becomes known

Question 11

What is innovation?

Answer 11

The improvement on an original idea, which will often involve using new processes. It is closely linked to design, where new ideas can be used in a product due to changes in design

Question 12

What is internal data?

Answer 12

Secondary data already within a business based on past performance

Question 13

What is an interview?

Answer 13

A question sheet filled in by the person conducting the interview

Question 14

What is an introduction?

Answer 14

Initial stage of the product lifecycle.

When a product or service is first on sale

Question 15

What is invention?

Answer 15

The introduction of a totally new product or feature

Question 16

What is marketing?

Answer 16

Finding the needs of consumers and demonstrating how a business fulfils those needs in a way that increases sales

Question 17

What is market data?

Answer 17

Information that help marketing decisions. It includes data on such things as market shares, changes in demand and the effect of promotions

Question 18

What is market research?

Answer 18

The collection of data on consumer habits to help decision-making in marketing

Question 19

What is market segmentation?

Answer 19

Splitting the market for a product into different parts, or segments

Question 20

What is market share?

Answer 20

The percentage of total sales of a product that a business has made.
If a business sells 20,000 products and the total market for that
product is 50,000, then the business has a market share of 40%

Question 21

What is maturity?

Answer 21

Stage three of the product lifecycle.

When sales are at their highest level

Question 22

What are the 4P’s of the marketing mix?

Answer 22

Price, Promotion, Place & Product

Question 23

What is penetration pricing?

Answer 23

When a price is set lower than the competitor businesses. Often used by new businesses to break into a market. This should only be
seen as a short-term strategy

Question 24

What is physical distribution?

Answer 24

The distribution of goods using a physical presence such as a shop or office

Question 25

What are point of sale promotions?

Answer 25

Includes price reductions, loss leaders, competitions and free samples

Question 26

What is primary research?

Answer 26

Data collected first-hand, often in the form of surveys. Sometimes referred to as field research

Question 27

What is product life cycle?

Answer 27

The life of a product, usually shown as a graph divided up into four stages: introduction; growth; maturity; and decline

Question 28

What is promotional pricing?

Answer 28

Where prices are reduced to give products a boost or to sell off old stock. Most commonly seen as sales in shops

Question 29

What is qualitative data?

Answer 29

Data based on opinions of those being asked

Question 30

What is quantitative data?

Answer 30

Data collected that is based on facts or numbers, usually easier to analyse than qualitative data

Question 31

What is a questionnaire?

Answer 31

A question sheet filled in by the consumer

Question 32

What is research and development?

Answer 32

Used to help introduce both new and existing products.

The research may be testing products in a laboratory or conducting market research by interviewing customers

Question 33

What is secondary research?

Answer 33

The collection of data using research or information provided by others, such as magazines, journals and the internet.
Often called desk research

Question 34

What is price skimming?

Answer 34

Where a new product is more advanced than that of competitors; a price is set high as some customers are willing to pay higher prices to own the newest technology.

Question 35

What is a target market?

Answer 35

The group of customers to whom a business aims to sell its products.
The target market may be other businesses as well as consumers

Question 36

What are trials?

Answer 36

Used to test whether customers will buy a product