marketing test review unit 2 Flashcards
What is a NPO
A NPO is an organization that does not seek profit as a primary motive, but instead raises funds for a specific goal (to benefit society).
They receive money from the public, government, or businesses.
Examples; Salvation army
Characteristics of a NPO
- Have a mission
(Describes what the organization will do to improve quality of life) - Raise funds
(Collecting money in order to achieve their mission) - Governed by their members
( Members may be on board of directors and committees.)
Difference between for-profit and NPO marketing
For-Profit: The primary goal of for-profit marketing is to generate revenue and profits for the organization and its stakeholders.
NPO: Non-profit marketing focuses on promoting a cause, raising awareness, and encouraging support (financial or volunteer) for a social or charitable mission. The main aim is not to generate profits for shareholder
NPO marketing activities
Identifying the Target Market
Promoting an Image
Reaching the Target Market
NPO’s 4 P’s
Product
Usually an intangible item
For a cause
Price
Should be low enough for people to feel like they can donate
Place
Make it easy to donate
Make it highly visible
Promotion
Display the image you want (create emotions).
E-Commerce
E-commerce is business activities conducted via the internet.
These business activities include:
Buying
Selling
Promoting
Product research
Competition research
Customer service
E-tailing
E-tailing is the selling of products to consumers over the internet.
Requirements to shop online:
An internet-enabled device
An internet connection
Software/application
A credit card / payment method.
4 Characteristics of Successful E-tailing
Easy to selecting Products
“Add to shopping cart”
Easy to pay for products
Virtual check-out via Pay-pal or Credit card
Easy to return merchandise
Must provide easy way to return the goods
Easy to find the website
Advertise the website
Easy to evaluate Products
Businesses usually provide reviews online
4 Challenges of E-tailing
Security
Privacy
Complaints
Website effectiveness
Slow connections
Marketing Research
Marketing research is the gathering of into to make marketing decisions
Purpose of marketing research
to learn as much as you can about your customers, competition and opportunities.
3 Areas of Market Research
Customer (Learn about customers so that the company can meet customers’ needs)
Competition(Learn about competition so that the company can beat the competition)
Opportunity(Learn about new opportunities so that the company can grow)
Primary Research
Primary Data - is information collected first hand by a researcher for a specific purpose
Examples of Primary Research
Secret Shoppers
Focus Groups
Taste tests
Questionnaires
Advantages:
Targeted
Research designed by me
Obtain original data that is highly specific
Disadvantages:
Time consuming
Having to find willing participants
Can become expensive
Secondary Research
Secondary Research
Secondary Data = research that has been collected and published by others.
Sources of Secondary Research
Libraries
Business Records
Internet
Private databases
Government databases
Advantages
Less expensive
Quicker to conduct
Easier access
Disadvantages
Not targeted or specialized
Not confidential (competitors can benefit from the same research)
Potentially out of date
Qualitative vs Quantitative Research
Both are different forms of Primary research
Qualitative: More detailed info (why<when<how)
Quantitative: Based on numeric sample size (stats)
8 Steps in marketing research
Define the problem
Conduct background research
State a hypothesis
Develop a research plan
Collect data
Analyze the data
Draw conclusions
Make recommendations
Trends vs Fads
Trend is a significant change that lasts for over ten years.
Example: Increased online shopping and banking.
Fad is something that enjoys popularity for a short amount of time and then disappears
Example: fidget spinners
Trends / Types of Trends
In marketing, a trend is a direction of movement of consumer behavior.
Three trends that are of interest to marketers:
Social Trends - Changes in society
Demographic Trends - Changes in the size of various segments in the population
Product trends - Development of products
Types of questions
Statement of Purpose
State who you are and why you are conducting the interview
Personal Info
About the person you are interviewing
Questions
Multiple choice, open ended, level of agreement and rating
Demographic Info
Examples: Age, Education level, household income.
4 Elements of a successful Questionnaire
- Questions are written clearly and briefly
- The tone of the survey is inviting
- The questions are well organized
- There are no spelling/grammatical errors
Business Social Responsibility
The obligation to make business decisions that consider the impact on society
3 Requirements of Business Corporate Social Responsibility
- Be Legal
Every business is obligated to
2.Be Ethical
Ethics = are rules for deciding the right behavior in a situation
Business ethics = are the rules used to make ethical business decisions
- Be Philanthropic
Philanthropy = consists of actions that improve human welfare and promote goodwill.
Human welfare = means the health, happiness, and well being of people. Ex. Donating to charity
Goodwill = is the positive feelings people get about a company when it does good things for the community. Ex. Ronald McDonald house
Examples of Philanthropic Business Initiatives
- Bell Lets Talk
- Jumpstart / Canadian Tire.
- Camp Day / Timmies
Ethics
are rules for deciding the right behaviour in a situation
3 Types of ethics
Personal Ethics, Professional ethics, and business ethics.
Cause Marketing
Involves a collaboration between a for-profit business and a non profit organization for a common benefit
Can also refer to social or charitable campaigns put on by-for profit brands
A brand’s association with a nonprofit will boost their corporate social responsibility
Benfits of Social Responsibility
Save / Make Money
Build Reputation
Increase Worker Productivity
