Marketing Functions Flashcards
Define Marketing.
The process of taking customers from a point of ignorance, to awareness of the the brands, and eventually to the point where customers part with their money for your product or service.
What is the textbook definition of Marketing?
The management process responsible for identifying, anticipating and meeting customer requirements, profitably.
What is the marketing mix?
- Promotion
- Product
- Price
- Place
Define Promotion (in marketing terms.)
Promotion refers to any type of marketing communication used to inform or persuade target audiences of the relative merits of a product, service or brand.
What are the aims of promotion?
- Increase Awareness
- Create Interest
- Generate Sales
- Create/Improve Brand Loyalty
Name the Stages of the Product Lifecycle with explanation.
- Development - Product gets designed.
- Introduction - Low Sales/Awareness + Negative Profit.
- Growth - Rapidly increasing sales + Highest profits.
- Maturity - Highest Sales + Growth Slows + Competitors enter market.
- Saturation - Similar Products on Market + Price Lowered
- Decline - Sales/Profits Fall
- Extension - Sales growth!
Name the three main distribution channels.
- Manufacturer -> Wholesaler -> Retailer -> Consumer
- Manufacturer -> Retailer -> Consumer
- Manufacturer -> Consumer
What are the three main purposes of Packaging?
- To Promote
- To Protect
- To Preserve
Define Market Segmentation.
This splits up a market into different types (segments) to enable a business to better target its products to relevant consumers.
Why do businesses segment the market?
Because customers differ in the:
- Benefits they want.
- Amount they are willing to pay.
- Media that promotes the product to them.
- Quantities they usually buy.
What does Market Segmentation allow for?
- Better maintaining of customer needs.
- Enhanced Profits.
- Better opportunities for growth!
