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BUSINESS > Marketing Management (3.3) > Flashcards

Marketing Management (3.3) Flashcards

1
Q

The Role of Marketing is the process of… :

A

The process of identifying, anticipating (predicting) and satisfying customer needs profitably.

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2
Q

Marketing Objectives are target’s that a…

A

Targets that a company’s marketing department sets itself.
~ They are valuable in helping the company to achieve its overall objectives. Should be SMART.

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3
Q

(Marketing Objectives) Sales Volume and Sales Value :

A

~ Objective might be to reach a certain salves volume over a period of time.
~ Easy to visualise but it doesn’t tell you anything about the money coming in from sales.
~ Businesses that that sell lots of differently priced items usually base objectives on sales value instead.

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4
Q

The Marketing Objectives above were…

A

Quantitive - there are specific figures to aim for.
~ There can also be qualitative (non-numeric) objectives e.g. improving quality & creating brand loyalty.

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5
Q

The Marketing Objectives in a business have 3 basic objectives, Determine, Develop, Deliver :

A

~ Determine what the market wants.
~ Develop the strategy to achieve the marketing and business objectives.
~ Deliver a he marketing actions to achieve the objectives.

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6
Q

Marketing objectives set out what a business wants to achieve from its various marketing activities, they need to be :

A
  • SMART (Specific, measurable, achievable, realistic, time specific).
  • Provide a focus for marketing management, set usually by the marketing team.
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7
Q

(Marketing Objectives) Market Size is the total… :

A

The total volume of a given market.
~ If it increases from one period of time to another than the market’s growing.
~ A company might set objectives to stimulate market growth.

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8
Q

(Marketing Objectives) Market Share :

A

The percentage of total sales that a business has in a specified market.
~ Tells a business how well it’s doing compared to its competitors.
~ To increase this, a business must either entice customers away from competitors or attract brand new customers.

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9
Q

(Marketing Objectives) Market Growth is the percentage growth in… :

A

The percentage growth in the size of the market, measured over a specific period.

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10
Q

(Marketing Objectives) Sales Growth, The increase in… :

A

The increase in sales of a product or service over time.

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11
Q

(Marketing Objectives) Brand Loyalty, customers have a… :

A

Customers have a strong preference towards the identity of a particular product or company.

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12
Q

Marketing Objectives and decisions, internal (2) & external (2) :

A

Internal : Workforce skills, shareholders’ objectives.
External : Interest rates, Competitors’ actions.

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13
Q

Market Growth (%) formula :

A

New market size - old
market size
——————————- x 100
Old market size
(if number is negative them the market is shrinking).

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14
Q

In a growing market…
In a shrinking market…

A

Several firms can grow easily. In a shrinking market, competition can be heavy - there are fewer customers to go around.
- Firms can diversify or they may want to get out the market all together.

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15
Q

Market Share (%) formula :

A

Sales
—————— x 100
Total market size

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16
Q

Letting your market share go down is not good…

A

It means that competitors are gaining an advantage over you.

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17
Q

Sales Growth (%) formula :

A

Sales this year - Sales last year
—————————————— x 100
Sales last year

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18
Q

If sales growth is positive…
If sales growth is negative…

A

Positive-> Company is gaining sales.
Negative ~> Company is losing sales.
The marketing department combines its analysis of these figures in order to see if they’re meeting objectives.

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19
Q

Effective marketing objectives (4) :
- Ensure functionial….
- Provide a focus for…
- Provide incentives…
- Establish priorites for…

A

~ Ensure functional objectives consistent with corporate objective:
~ Provide a focus for marketing decision-making and effort.
~ Provide incentives for marketing team and a measure of success and failure.
~ Establish priorities for marketing resources and effort.

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20
Q

What Internal factors will influence a businesses’ Marketing Objectives? (3)

A
  • Corporate/Business objectives.
  • Finance.
  • Human Resources.
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21
Q

What external factors will influence a businesses’ Marketing Objectives? (4)

A
  • Market.
  • Technology.
  • Competitors.
  • Ethics and Environmental factors.
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22
Q

(Internal Factors influencing Marketing objectives) Corporate/Business Objectives :

A

Marketing department has to make sure its objectives are aligned with the company’s overall goal e.g. increasing profits.

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23
Q

(Internal Factors influencing Marketing objectives) Finance :

A

Finance department allocate the budget.

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24
Q

(Internal Factors influencing Marketing objectives) Human Resources :

A

HR identifies how many staff the company needs. If they decide to cut/increase staff, marketing will have to adjust its objectives to make sure they’re achievable.

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25
Q

(External Factors influencing Marketing objectives) Market :

A

State of the economy. Economic boom will mean the company could focus on sales volume increasing. While a recession could focus around maintaining market share.

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26
Q

(External Factors influencing Marketing objectives) Technology :

A

Changes mean marketing objectives need to follow and stay dynamic. New technology can cause prices to rise and fall very fast.

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27
Q

(External Factors influencing Marketing objectives) Competitors :

A

Their actions will impact marketing objectives, especially in highly competitive markets. If a competitor focuses on low prices the marketing objectives may need to alter e.g. lower prices after competitor does.

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28
Q

(External Factors influencing Marketing objectives) Ethics & Environmental Factors :

A

Awareness for the issues are increasing amongst consumers and behaving in a harmful way could lead to a companies reputation getting damaged e.g. use less plastic packaging (emphasise this in their adverts).

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29
Q

Government Regulations will also have a direct impact :

A
  • Predatory pricing.
  • Trade Description Act.
  • What can and cannot be advertised (including at certain times of the day).
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30
Q

A market is just a place…

A

Where people buy and sell things.
- There are different markets for different things.
- Businesses try to get ahead of their competition by analysing the market which impacts them.

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31
Q

Businesses need to understand their market (3) :

A
  • Local, national or international scale?
  • Selling online or physically?
  • Target audience?
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32
Q

How can a market be classified? (5) :
- G…
- N…
- S…
- D…
- P…

A
  • Geography (local…).
  • Nature of the product (e.g. agricultural).
  • Seasonality (seasonal or all year round).
  • Development level (new, growing, saturated).
  • Product destination (trade, private consumers).
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33
Q

Market Mapping identifies how…

A

Identifies how products/brands are perceived by customers relative to other products/brands in the market.
- Spots gaps in the market.

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34
Q

Market Mapping, Advantages (3) :

A

+ Helps spot gaps in the market.
+Useful for analysing competitors (where are their products positioned?).
+ Encourages use of market research.

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35
Q

Market Mapping, Disadvantages (3) :

A
  • Not a guarantee of success,
  • Just because there is a ‘gap’ doesn’t mean there is demand for the product.
  • How reliable is the market research that maps the position of existing products?, it’s opinion based.
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36
Q

Ways a business can identify customer needs (4) :

A
  • Questionnaires/surveys.
  • Focus groups.
  • Books
  • Quantitative/qualitative data.
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37
Q

Market Research is a process used by businesses to gain a…

A

A process used by businesses to gain a deeper understanding of who their audience is and aid decision making.

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38
Q

Market Research is used to… (4)

A
  • Identify customer needs (price, quality, choice and convenience).
  • Identify gaps.
  • Reduce risk.
  • Inform decisions.
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39
Q

Market research helps entrepreneurs/managers to make better decisions (3) :

A
  • Launching a new product or service.
  • Make a change to existing products.
  • Investing in a new store location.
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40
Q

Market Research is the process of gathering…

A

Process of gathering information about the market and customer needs and wants in order to help inform business decisions.
- Also used to reduce risk and identify gaps in the market.

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41
Q

Qualitive data, + & - (3):

A

Information that is gathered about opinions, judgements and attitudes of customers.
+ Broad, provides meaning and context behind answers.
- Expensive, takes longer and smaller sample size.

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42
Q

Quantitative, + (3) & - (2):

A

Data that can be expressed as numbers and can be statistically analysed about customers.
+ Quick and simple to conduct, increased number of participants and results are easy to analyse.
- Focused solely on numbers and facts, no explanation/meaning of results.

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43
Q

Primary Research :

A

The gathering of new info, called primary data, which has not been collected before, e.g. :
- Survey, questionnaire, focus group, interviews and observations.

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44
Q

Secondary Research :

A

Process of gathering data, which is info that has already been gathered, e.g. :
- Internet, government statistics, company reports, newspapers/books and trade associations.

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45
Q

In market research, most errors can be traced back to…

A

Problems with the way the data was gathered.
- Particularly the validity (can the research be trusted?) and reliability (are they representative of the population?).

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46
Q

Social media can be a source of…

A

Both primary and secondary research.
- Software can quickly highlight what customers are saying about the product or brand.
- Surveys are easy to set-up and analyse results in real time.

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47
Q

Value of Digital Technology (5) :
- Ease…
- More informed…
- Greater integration…
- Availability of…
- New…

A
  • Ease if entering new markets.
  • More informed new product development.
  • Greater integration of functional areas (quick communication).
  • Availability of information to stakeholders.
  • New processes e.g. E-Commerce, automation
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48
Q

How can Technology be used to gather information about customers? (6)

A
  • Search engines.
  • Social media.
  • Track trends in sales.
  • Online surveys & emails.
  • Loyalty cards, track.
  • Cookies.
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49
Q

Product Life Cycle 5 Stages :

A
  • Research & Development.
  • Introduction.
  • Growth.
  • Maturity.
  • Decline.
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50
Q

Product :
- Can be…

A

Anything that is capable of satisfying customer needs.
- Can be a GOOD (physical thing, tangible).
- Or can be a SERVICE (can’t touch, intangible).

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51
Q

Marketing Mix (7) :

A
  • Product.
  • Price.
  • Place.
  • Promotion.
  • People.
  • Process.
  • Physical Environment.
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52
Q

The Product Life Cycle is…

A

The theory that suggests that all products follow a similar pattern over time of development, introduction, growth, maturity and decline.

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53
Q

(PLC) Research and Development is when…

A

When a business gathers knowledge to create new products or discover new ways to improve their existing products and services.

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54
Q

Challenges/Disadvantages of Research and Development (3) :

A
  • May not be successful.
  • Absorbs significant resources.
  • Often complex.
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55
Q

Product Life Cycle, BENEFITS (3) :

A

+ Finance managers can use this to choose which investments/products they should focus on.
+ Sales and marketing manager to forecast sale trends.
+ General managers to analyse and manage a product portfolio.

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56
Q

Product Life Cycle, NEGATIVES (2) :

A
  • PLC shape and duration varies, length of product life also varies.
  • Companies need to change strategies to grow sales/maintain market share e.g. extension strategies.
57
Q

Extension Strategies :

A

Aim to extend the life of a product and keep products within the maturity stage.
- Businesses use these when they identify that a product is close to entering the decline stage.

58
Q

(Extension Strategies) Price Reduction :

A
  • The business may no longer be able to charge a high price, it keeps customers by lowering the price.
59
Q

(Extension Strategies) Re-designing/Re-branding :

A
  • To make the product more desirable to customers&consumers?????????
60
Q

(Marketing Mix play a role in PLC, PRODUCT) Introduction, Growth, Maturity and Decline :

A

INTRODUCTION - Low sales, high promotional spending, high cost per customer.
GROWTH - Increasing sales and profit, lower costs per customer, more customers and competitors.
MATURITY - Peak sales, profits rise, large number of customers.
DECLINE : Falling sales, profits fall, customer base contracts.

61
Q
  • In which stage do businesses make the highest profit?
  • In which stage do businesses have few (if any) competitors?
A
  • Maturity.
  • Introduction.
62
Q

The Boston Matrix is a… helps…
- Ideally, a business would prefer…

A

A model which helps businesses to analyse their portfolio of brands and products.
- Products in Star, Cash Cow or Question Mark (NOT dog) to give it a balanced product portfolio.

63
Q

Product Portfolio is a range of…

A

A range of products or brands provided by a business.

64
Q

The Boston Matrix categorises the products into one of the four different quadrans based on (2) :

A
  • Market share (high or low).
  • Market growth (number of potential customers).
65
Q

Reasons for using the Boston Matrix (3) :

A

+ A useful tool for analysing portfolio decisions.
+ Helps businesses to decide which of their units/products they should keep.
+ Where they should invest further/where they should consider getting rid of.

66
Q

Boston Matrix makes a series of Key Assumptions (3) :

A
  • Market share can be gained by investment in marketing.
  • Market share gains will always generate profit.
  • Cash surpluses will be generated when the product is in the maturity stage of the life cycle.
67
Q

(Boston Matrix) Star :

A

High growth products competing in markets where they’re strong compared with the competition.
- Need heavy investment to sustain growth.

68
Q

(Boston Matrix) Cash-Cows :

A

Low-growth products with a high market share. Mature, successful products with relatively little need for investment.

69
Q

(Boston Matrix) Question Marks/Problem Child :

A

Products with low market share operating in high growth markets. They have potential, but may need substantial investment to grow market share at the expense of larger competitors.

70
Q

(Boston Matrix) Dogs :

A

Products with a low market share in unattractive, low-growth markets.

71
Q

Limitations of Boston Matrix (4) :

A
  • Only a snapshot of the current position and has little or no predictive value.
  • It is highly subjective.
  • Focus on market share & market growth ignores issues e.g. developing a sustainable competitive advantage,
  • BM classifies businesses as low and high, but businesses could be medium also.
72
Q

Price must be consistent with…

A

Other elements of the Marketing Mix.
- Without a reliable and realistic price, businesses will not be able to promote their products/services.

73
Q

Price :

A

Amount of money customers are wiling to give up to purchase a product or access a service to satisfy their needs and wants.

74
Q

Costs :

A

Expense incurred for making a product or service that is sold by a company (e.g. raw materials).

75
Q

Factors that influence Price (5) :
- Where…
- A…
- Q…
- C…
- B…

A
  • Where the product is in its life cycle.
  • Availability.
  • Quality.
  • Competitors.
  • Brand Image.
76
Q

How do businesses determine Price? :
Divided into 2 things :

A
  • The market determines the highest price that can be charged. Will need to take into account company objectives.
  • Companies decide on a price after understanding the overall costs and the market competition.
    2 TYPES : Pricing a new product & Managing the price throughout the product life.
77
Q

How high should mark-up % be?

A
  • Depends on the market & customers and whether the price chosen is beneficial to customers.
78
Q

Cost Plus Pricing, + and - :

A

A strategy that adds a markup to a product’s unit cost to determine the final SP.
+ Profit guaranteed on each item sold.
- If mark-up is too high, Price may be expensive compared to rivals and therefore uncompetitive.

79
Q

Pricing Low (Penetration Pricing), + (3) and - (2) :

A

Involves setting a low initial price for a new product in order to get a foothold in the market and gain market share.
- Suitable for mass market.
+ Builds customer loyalty, Can gain market share quickly, Can develop LT profitability of having higher sales and MS.
- ST likely to result in lower profits, May be difficult to raise SP in the future.

80
Q

Pricing High (Price Skimming), + (3) and - (2) :

A

Involves setting a high initial price for a new product in order to recoup costs.
- Firms often base initial promotional campaign on this, create a ‘must have’ mentality. Then usually lower price.
+ Potential for high profits straight away (help pay back R&D costs, Product may get reputation for quality (encourage brand loyalty), Additional profits can be invested on other products.
- Can’t last long as competitors soon launch rival products which puts pressure on price, May slow down growth in sales of product (not all customers can afford this), competitors pressure.

81
Q

Competitive Pricing, + (2) and - (2) :

A

Companies match their product’s price to competitors, common in big companies with direct competition.
+ Businesses can attract more customers and create more leads with competitive prices, Prevent market share losses.
- Business may need other ways to attract customers other than CP (non-price methods), Business will be researching what competitors are charging often which is time consuming.

82
Q

(Pricing) Predatory Pricing :

A

When a business deliberately lowers prices to force another business out of the market (illegal).

83
Q

(Pricing) Psychological Pricing :

A

Basing the product on customers expectations i.e. high price for perceived high value products.

84
Q

(Pricing) Loss Leaders :

A

Sold at below costs price to entice people in, (hopefully customers will buy more products).

85
Q

(Pricing) Price Discrimination :

A

Prices are different depending on the type of consumer, i.e. child gets ticket for cheaper.

86
Q

(Pricing) Dynamic Pricing :

A

Pricing aims to increase revenue by changing prices depending on customers and demand.
- e.g. When demand is high, prices rise, like for hotels near concerts.

87
Q

Promotion is the process of…
- There are 2 main forms :

A

Is the process of communicating with customers or potential customers to increase sales through various methods.
- Informative promotion and Persuasive Promotion.

88
Q

(Promotion)
- Above-the-line :
- Below-the-line :

A
  • Above-line-promotion : All types of PAID advertising through various different media outlets e.g. TV, radio and billboards.
  • Below-the-line promotion : All other types of targeted promotions used by a firm (non-paid media avenues) e.g. sponsorship, PR and sales promotion.
89
Q

What is promotion trying to achieve? (4)
- I…
- C…
- B…
- P…

A

Inform : The customer about the product (e.g. features, price, etc).
Create : Awareness and customers loyalty.
Build : A brand image.
Persuade : The customer to purchase or keep purchasing the product.

90
Q

Branding is the process of…

A

Building an image that helps to differentiate a product from it’s competitors.

91
Q

Main Benefits of Branding :
- Higher…
- Ability to…
- Helps…
- Create…

A
  • Higher demand and sales.
  • Ability to charge higher prices and maximise profits.
  • Helps products to stand out from competition.
  • Create customer loyalty.
92
Q

7 Types of Marketing :

A
  • Advertising.
  • Sponsorship.
  • Public Relations.
  • Personal Selling.
  • Sales Promotion.
  • Social Media.
  • Direct Marketing
93
Q

Advertising, + AND - (3) :

A

Paying for a message to be shown through various media.
+ Wide coverage, Control of message, Repetition means the message can be communicated effectively.
- Often expensive, impersonal, one way communication.

94
Q

Sponsorship, + AND - (2) :

A

Providing financial assistance to an individual, event or organisation in return for exposure and advertising.
+ Can increase brand awareness at large scale (sports team), Public relations with community.
- Very expensive and may not reach audience, Wrong image may be presented (e.g. loosing team, poor behaviour).

95
Q

Personal Selling, + AND - (3) :

A

Using specialist sales staff to directly speak to customers. Person to person basis.
+ Message is customised, Interactivity, Persuasive impact.
- High cost, Labour intensive, Only reach a limited number of customers.

96
Q

Public Relations (PR), + and - (2) :

A

Creating a favourable image of the company without paying for advertising e.g. celebrity endorsements.
+ Connect with target audience (relationship), Achieve favourable publicity about the business.
- Difficult to control, Lack of guarantee of success.

97
Q

Sales Promotion, + AND - (2) :

A

Tactical, point of sale material or other incentives designed to stimulate purchases e.g. Coupons, Free gifts and samples.
+ Effective at achieving a quick boost in sales, Encourages customers to trial a product or switch brands.
- Sales effect may only be short-term, Customers may come to expect or anticipate further promotions.

98
Q

Direct Marketing, + AND - (3) :

A

Promotional material directed through mail, email or telephone to individual households or businesses.
+ Focus limited resources on targeted promotion, Can personalise marketing message, Relatively cost-effective.
- Response rates vary, Negative image of junk and email spam, Databases expensive to maintain and keep accurate.

99
Q

Promotion Mix, helping make decisions (3) :

A

1) Target Market.
2) Nature of Market.
3) Finance Available.

100
Q

(Promotion) Digital Marketing is the use of…

A

The use of any form of digital technology to improve communications with customers.
- e.g. SMS messages, social media, targeted feed, SEO, online advertising etc.

101
Q

(Promotion) Advantages of digital marketing + E-Commerce (4) :

A

+ Access to a global market.
+ 24/7 exposure.
+ Improved understanding of buying habits.
+ Greater two-way communication.

102
Q

(Marketing Data) Information is when data is…

A

When data is processed, organised and structured to give a useful meaning.

103
Q

(Marketing Data) Data :

A

Raw recognised facts that need to be processed.

104
Q

Businesses interpret marketing data by…

A

Looking for trends, connections, patterns and gaps.

105
Q

(Marketing Data) Moving Average (MA) is when you identify…

A

Identify trends in sales data, smooth out seasonal fluctuations.

106
Q

(Marketing Data) Extrapolation uses data that…

A

Uses data that has been collected in the past to predict future patterns of behaviour.
- Based on quantitative data.

107
Q

(Marketing Data) Interpolation :

A

Prediction between two given data points.

108
Q

(Marketing Data) Extrapolation + & - (2) :

A

+ Based on data already collected (cheaper).
+ Allows a business to make decisions based on data.
- Based on past experience and may not consider unforeseen changes in circumstances.
- Relies on accuracy of data previously collected.

109
Q

Correlation :

A

A statistical technique used to establish the extent of the relationship between two variables such as sales and customer income.

110
Q

Confidence Intervals/Confidence Level is an expression of how…

A

It is an expression of how confident researchers are in debt collected by calculating the probability that research findings are correct.

111
Q

Benefits of using Confidence Intervals (2) :

A

+ Businesses benefit from the use of these in evaluating the reliability of a particular estimate.
+ Management can utilise confidence level or intervals in making decisions about their processes.

112
Q

A prediction based on a strong, negative correlation will have a ___________ confidence level than one based on a weak, positive correlation.

A

A prediction based on a strong, negative correlation will have a higher confidence level than one based on a weak, positive correlation.

113
Q

Elasticity :
PED :
YED :

A

Measure the extent to which demand for a product changes.
PED : Price elasticity of demand.
YED : Income elasticity of demand.

114
Q

Elastic Demand :

A
  • Where the % change in quantity demanded is greater than % change in price.
    CUSTOMERS HIGHLY SENSITIVE TO ELASTIC PRODUCTS WHEN IT COMES TO PRICE (MAY NOT PURCHASE).
115
Q

Inelastic Demand :

A
  • Where % change in quantity demanded is less than % change in price.
    CUSTOMERS BUY THE SAME AMOUNT OF INELASTIC PRODUCTS REGARDLESS OF PRICE CHANGES (WILL PURCHASE).
116
Q

Whether a product is ELASTIC or INELASTIC depends on 4 things :
- T…
- A…
- S…
- C…

A
  • Type of product.
  • Availability.
  • Substitute products.
  • Choice.
117
Q

Price Elasticity of Demand FORMULA :

A

% change in price

118
Q

Price Elasticity of Demand is a measurement of the…

A

Measurement of the change in demand for a good or service in relation to the change in it’s price.

119
Q

If answer is between ___ and ___ : relationship is INELASTIC.
If answer is between -___ and _________ : relationship is ELASTIC>

A

0 & 1 : RELATIONSHIP INELASTIC.
-1 & INFINITY : RELATIONSHIP ELASTIC.

120
Q

PED always has a ‘ - ‘ in front because…

A

As price rises, demand falls and vice-versa.
- (Inverse relationship between price and demand means answer will always be negative).

121
Q

If DEMAND is PRICE ELASTIC :
(E FOR E___________)

A
  • INCREASING price would REDUCE total revenue.
    (%∆ quantity demanded > %∆ price)
  • REDUCING price would INCREASE total revenue.
    (%∆ quantity demanded > %∆ price)
122
Q

If DEMAND is PRICE INELASTIC :

A
  • INCREASING price would INCREASE total revenue.
    (%∆ quantity demanded < %∆ price)
  • REDUCING price would REDUCE total revenue.
    (%∆ quantity demanded < %∆ price)
123
Q

YED (Income Elasticity of Demand) measures the…

A

Measures the responsiveness of demand to a change in real income.

124
Q

YED (Income Elasticity of Demand) FORMULA :

A

%∆ in income

125
Q

Inferior Goods :

A

An economic turn that describes a good whose demand drops when people’s income rise.
- Goods fall out of favour as income and economy improves, leads to consumers buying more costly products.

126
Q

(INFERIOR GOODS)
- YED __ 0 : __________
- Inferior goods will always have a ‘__‘…
- An increase in income leads to…

A

YED < 0 : Elastic
- Inferior goods will always have a ‘-‘ income elasticity of demand.
- An increase in income leads to a fall in quantity demanded.

127
Q

(NORMAL GOODS)
- YED __ 0 .
- Will always have a positive ‘__‘…
- An increase in income leads to…

A
  • YED > 0.
  • Will always have a ‘+’ income elasticity of demand.
  • An increase in income leads to an increase in quantity demanded.
128
Q

(NORMAL GOODS) Two Types :
- NECESSITY GOODS :
- LUXURY GOODS :

A

Necessity Goods : e.g. Clothes.
- Only a small increase (inelastic).
Luxury Goods : e.g. Ray bands.
- YED > 1.
(larger increase, elastic).

129
Q

% DIFFERENCE FORMULA :

A

Difference between two
values
————————————- x 100
Average Value

130
Q

(Marketing Mix) People :

A

Are the employees involved in dealing with customers before, during and after a sale.

131
Q

(Marketing Mix) People :
- Customer service is…
- Staff must be…
- Important aspect in all businesses : …

A
  • Customer service is extremely important.
  • Staff must be appropriately trained, motivated and show good communication skills when dealing with customers.
  • Important aspect in all businesses : they’re the ones interacting with the customer.
132
Q

(Marketing Mix) Role of People in the Marketing Mix (4) :

A
  • Providing information.
  • Supporting the customer when it comes to making decisions.
  • Resolving problems.
  • Completing the transaction.
133
Q

(Marketing Mix) Process :

A

Includes all the steps a customer goes through to actually complete a transaction.
- Easiness will directly impact a customer’s perception of the business, e.g. credit card.
- Also includes payment systems, distribution and logistics.

134
Q

(Marketing Mix) Physical Environment / Physical Evidence :

A

The design and features of the actual place where a transaction takes place.
- Can directly influence the customer’s shopping experience and their level of satisfaction as well as willingness to return.

135
Q

(Marketing Mix) Aspects of Physical Environment/ Physical Evidence (3) :

A
  • Cleanliness.
  • Design, e.g. ease of movement around the premises and the ability to find what you are looking for.
  • Facilities.
136
Q

(Marketing Mix) Place :

A

Defines both the physical location where a product is available as well as the distribution channel it has travelled through to get from the manufacturer to the customer.
- Can be physical or virtual.

137
Q

(Marketing Mix, Place) Distribution is the process of…

A

Process of getting the firm’s product to the market.

138
Q

(Marketing Mix, Place)
- Distribution Channels : are the routes…
- Short Distribution : are where the…
- Long Distribution : where there are more…

A
  • Are the routes to a market that a product takes from producers to final customers.
  • Channels are where the producer sells either directly to the customer or through a retailer, e.g. Apple store.
  • Where there are more than one intermediary (middle person) between producer and customer e.g. Amazon.

BUSINESS (9 decks)

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