Marketing Mix and Strategy 1.3

Question 1

What are the 3 elements of the design mix?

Answer 1

1. Function
2. Economic manufacture
3. Aesthetics

Question 2

What is function as part of the design mix?

Answer 2

• Way a product works
• Do what it needs to?
• Reliable?

Question 3

What is economic manufacture as part of the design mix?

Answer 3

• Made + sold profitably?
• Value added?

Question 4

What is aesthetics as part of the design mix?

Answer 4

• Appeals to customers
• Based on subjective judgement of customers
• Differentiation

Question 5

How does the design mix change to reflect social trends?

Answer 5

1. Sustainability-> making product without affecting long term supplies of inputs
2. Ethical supply chains
3. Minimise waste-> lean production + recycling

Question 6

What is the benefit of effective branding?

Answer 6

• Adds significant value
• Able to charge higher prices
• Builds customer loyalty

Question 7

What are the different types of brands?

Answer 7

1. Product brands
2. Service brands
3. Umbrella brands
4. Corporate brands
5. Own label
6. Global brand

Question 8

What is the aim of promotion?

Answer 8

• Ensure that customers are aware of the existence + positioning of products
• Persuade customers that product is better than competition

Question 9

What is the promotional mix?

Answer 9

Promotional methods that businesses use to pursue its marketing objectives

Question 10

What are the main elements of the promotional mix?

Answer 10

1. Advertising
2. Sales promotion + merch
3. Personal selling
4. PR
5. Direct marketing

Question 11

What is advertising?

Answer 11

• Paid for communication

Question 12

What are the benefits of advertising?

Answer 12

1. Wide coverage
2. Control of message
3. Repetition means message communicated effectively
4. Builds brand awareness + loyalty

Question 13

What are the drawbacks of advertising?

Answer 13

1. Expensive
2. Methods impersonal
3. One way communication
4. Lacks flexibility
5. Limited ability to close sale

Question 14

What is personal selling?

Answer 14

• Promotion on a person to person basis
• 2 way communication
• Meeting with customer to close sale

Question 15

What are the benefits of personal selling?

Answer 15

1. High customer attention
2. Message customised
3. Interactive
4. Persuasive impact
5. Adaptable

Question 16

What are the drawbacks of personal selling?

Answer 16

1. High cost
2. Labour intensive
3. Expensive
4. Only reach limited number of customers

Question 17

What is a sales promotion?

Answer 17

• Tactical point of sale material designed to stimulate purchase

Question 18

What are the benefits of a sales promotion?

Answer 18

1. Effective at achieving quick boost in sales
2. Encourages customers to trial product

Question 19

What are the drawbacks of a sales promotion?

Answer 19

1. Sales effect short term
2. Customers may come to expect further promotions
3. Damage brand image

Question 20

What is PR and what do they do?

Answer 20

Personal relations create goodwill towards a business
Aim:
- Build image + reputation
- Communicate
Activities:
- Promote products
- Enhance awareness
- Project business image
- Obtain product reviews

Question 21

What is direct marketing?

Answer 21

Sending of promotional material directed through mail…
- Allows business to get response from targeted customers
- Business focus on marketing objectives