Marketing Mix

Question 1

What is the communications mix?

Answer 1

Same as promotional mix. Ways in which you communicate with the customer e.g advertising, personal selling, events, direct, PR

Question 2

What is the difference between above the line and below the line methods of promotion?

Answer 2

Above the line is the use of mass media such as newspaper, TV, radio, billboards.
Below the line is smaller more direct promotions such as competitions, sponsorship, direct mail, pr and POS displays

Question 3

Why use below the line promotional methods?

Answer 3

Less expensive
Short term
More targeted
Aimed at consumer

Question 4

Why use above the line promotional methods?

Answer 4

Informs a wide audience
Reaches beyond target market
But difficult to measure impact and expensive

Question 5

What does AIDA stand for?

Answer 5

Attention
Interest
Desire
Action

Question 6

What is AIDA used for?

Answer 6

Promotional objectives

Question 7

When is the people element most important?

Answer 7

In services industry

Question 8

What is the marketing mix?

Answer 8

The tactical element of the marketing planning process and is the element that allows the marketer to be creative and innovative.

Question 9

A good marketing mix is…

Answer 9

Co-ordinated

Question 10

Which part of the marketing plan does the marketing mix apply?

Answer 10

Tactics

Question 11

What are the 4 product elements?

Answer 11

Core - basic function
Expected/actual - features including packaging quality
Augmented - added value eg warrantee
Potential eg fair trade

Question 12

What are the stages of the product lifecycle?

Answer 12

Introduction
Growth
Maturity
Saturation
Decline

Question 13

What is the BCG?

Answer 13

Boston Consultancy Group Matrix

• cash cow
• star
• problem child
• dog

Question 14

What is the difference between cost plus and cost based pricing?

Answer 14

Cost plus is the cost of production plus a fixed margin percentage
Cost based is the cost of production plus a margin percentage which may change

Question 15

What is price skimming?

Answer 15

High price to start with and then lowers over time. Usually used with electronics

Question 16

What is penetration pricing?

Answer 16

A low price to introduce a product to the market

Question 17

What is predatory pricing?

Answer 17

Low pricing to drive out competitors or create barriers to entry

Question 18

What is demand based pricing?

Answer 18

Find out what customers are willing to pay before setting a price

Question 19

What is optional product pricing?

Answer 19

Selling a product with a range of optional extras. Often used in car industry

Question 20

What is competitor parity?

Answer 20

A pricing strategy where prices are matched to the competitors. The product must differentiate in some way

Question 21

What options does a business have for distributing products?

Answer 21

Agents
Distributors
Wholesalers
Retailers
Direct routes

Question 22

What factors might influence the marketing mix?

Answer 22

Resources
Objectives
If it needs to be controlled
Perceived credibility desired
Nature and location of target audience

Question 23

What are the 4 main functions of packaging?

Answer 23

Protection
Promotion
Provision of information
Convenience

Question 24

What are the 3 B2B purchase types?

Answer 24

New task
Modified rebuy
Straight rebuy

Question 25

What is KAM?

Answer 25

Key account management

Managing more important relationships differently to rest. B2B

Question 26

What are the 7ps?

Answer 26

Product
Place
Price
Promotion

People
Process
Physical evidence