Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

Marketing > Mktg Midterm > Flashcards

Mktg Midterm Flashcards

1
Q

Eras of Marketing

A

Production<Value Based Marketing

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

Production-Oriented Era

A

*concern with product innovation not satisfying needs of individual consumers and retail stores were typically considered places to hold merchandise until consumer wanted it.
ex: Henry Ford “customers can have any color as long as black”
begin 1920

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

Sales-Oriented Era

A

1920-1950
when production and distribution techniques became more unique. Great Depression/WWII condition customers to consume less or manufacture item themselves planted victory gardens instead buying produce. as result,manufacturers had capacity to produce more than customers really wanted or able to buy.
* Firms found a answer to overproduction in becoming sales oriented/depend on PERSONAL SELLING and advertising

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

Marketing-Oriented Era

A

after WWII, soldier return home, got new job, started family. as results stop focusing on war effort toward making consumer products. suburban communities feature cars in every garage new fixtures ,shopping center

  • began to replace cities central business districts as hub of retail/place to hang out
  • supply limited WWII became PLENTIFUL
  • U.S. enter buyer market
  • now make decisions on quality, convenience, and price.
  • SO Manufacturers and retailers focus on what consumer want/need BEFORE design,made, or attempt to sell.
  • during this period, firms discovered marketing.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

What is Value-Based Marketing?

A
  • most sucessful firm are market oriented
  • transcended production/sell orientation and attempt discover need/want of customer
  • realize have to give GREATER VALUE
  • customer relationship oriented
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

What is Value?

A

relationship of benefits to costs what you get for what you give.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

real life examples of value-based marketing

A

whopper at burger king, diamond at costco, BMW

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

Cocreation- apart of value based marketing

A

some companies engage in. customers can act as collaborators to create product/service.

ex: cocreation when customer work with investment advisors to create invest. port.
ex2: Nike allow cust. to submit designs they “cocreate” their sneakers
ex3: M&M’s let customer specify order online w/ custom personalized message for holidays sense of romanse or business deal 17 diff. color choices. can order in embroider bags

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

Value Based Marketing

A

customers make explicit/implicit trade offs between perceived benefits of product/service and its cost. customers naturally seek options that provide greatest benefits at lowest costs.
-strong product/service and decide who to provide to
ex:Walmart delivers on the value of one stop shopping convenience and low prices** but may not deliver on quality.
william sonoma-extra quality service -expert sales assistance and product selection

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

ex of Value based marketing

A

sheraton hotel. high level service by personnel+convenience book room at site+overall quality of room/meal
critical = service/convenience/merchandise quality
target
southwest airline
kohls

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

how do firm become value driven?

A
  1. share info about cust and competitor across own org. & with manufac. & transportation co.that help them get product/service to mktplce
  2. strive to balance cust benefit & cost
  3. concentrate build relationship w/ cust
    fashion designer/logistician WORK together.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

transactional orientation

A

before/after transaction dont matter. ex:used car seller. seller wants high price and buy wants lowest. neither expect business again

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

relational orientation

A

lifetime profitability MATTERS.

ex: apple make new innovation to encourage customer to long term for electronics.
ex: UPS develop with transportation and overtime become part of fabric of shipper org.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

Customer Relationship Management (CRM) -value based marketing

A

business philosophy & set of strategies, programs, & systems that focus on identify/build loyalty among firm most valued customers.
-collect info on cust need through info and then target best product/service/promotions that appear most important to them

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

ethical failures

A

Bear Sterns near failure, Lehman Brothers collapse, about Goldman Sachs, financial industry questionable

  • all of these companies had code of ethics in place
  • 2200 page report lehman executive negligent
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

good example of ethics

A

Deloitte, ben&jerry, amazon, netflix, pixar, oprah winfrey

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

What are the 4 components of marketing mix?

A
  1. product = creating value
  2. place = capturing value
  3. price = delivering value
  4. promotion = communicating value
  5. apple,pixar,ben&jerry,nantucket juice
  6. walmart, jet blue
  7. amazon,starbucks
  8. hollywood blockbusters,vid games,other merchandise
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

CSR (Corp. Social Responsibility)

A
  • social responsibility -commitment being good stewards to society
  • voluntary actions taken by a company to address the ethical, social, and environmental impacts of its business ops. & concern of stakeholders
  • closely related to ethical business behavior
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

Role of marketing in organizations

A

activities, set of institutions organizational function, and a set of processes for creating, capturing, communicating, delivering, and exchanging offerings that have value for customers/client/partner/ & society at large. in ways that benefit he organization and stakeholders.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q

link between ethics and social responsibilties

A

ethical,social respon.- both ethical and socially responsible
ethical, social irrespon- ethical firm not involve w/ larger community
unethical, social respon- questionable firm practices,yet donate a lot to community
unethical, social irrespom-neither ethical nor socially responsible

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
21
Q

What are marketing ethics?

A

examines those ethics problems that are specific to the domain of marketing. Firms attempts to apply sound ethical principles must be a continuous and dynamic process. *marketing profession is often singled out among business disciplines as root cause of host of ethical lapses (unethical advertising, promostion of shoddy products) Anyone in marketing must recognize ethical implications of their actions, involving societal issues, sales/products/services that may damage environment, global issues such as child labor. individual consumer issue such as deceptive advertising or marketing of dangerous products

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
22
Q

What are business ethics?

A

refers to the moral or ethical dilemmas that might arise in a business setting.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
23
Q

ethical climate

A

within marketing firm or in marketing division of firm. include having set of values that guide decision making and behavior.
Ex: Johnson & Johnsons in 1943.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
24
Q

How can firms maximize their value delivery to customers?

A

use the marketing mix which is crucial controllable activities that a firm can use to influence their customers or respond to marketing opportunities.

or through forms of communication such as advertising or personal selling.

25
Q

Why is marketing important?

A

is pervasive, can enrich society, & determine societal values (both good&bad)

26
Q

-used because we dislike ads

A
  • unexpected and unconventional marketing
  • stealth marketing (subtle product placement)
  • buzz (word of mouth) marketing
  • viral marketing (via social network)
  • character licensing (spongebob and spiderman for food)
    ex: look at pervasiveness of food amd tobacco!
27
Q

Marketing ethics

A

issues: child labor, work condition, fair trade, stealth marketing, relationship w/ 3rd wolrd countries, environmental problem, etc. has change the attitude of Western World towards more SOCIALLY RESPONSIBLE way of thinking.
- hope to win customer loyalty by reinforcing positive values of brand, creating strong citizen brand.

28
Q

marketing mix

A

elements product, price, place, promotion are crucial controllable activities that a firm can use to influence their customers and/or respond to marketing opportunities.

29
Q

how create value for product/service?

A
  1. increasing benefits
  2. reducing costs
    or both.
30
Q

what is the impact of marketing on society?

A
  • coordinates with product design, production, logistics, and human resources.
  • helps facilitate the smooth flow of goods through supply chain all the way from raw material to consumer
  • marketing function facilitates our buying process and can support career goals
  • important for society to embrace solid ethical business practices. firms do the right thing
  • cornerstone of entrepreneurship many companies have been founded by great marketers. but entrepreneurial spirit pervades the marketing decisions of great firms of all sizes.
31
Q

STP Process

A
  1. Segmentation
    - Strategy or Objectives
    - Describe Segments
  2. Targeting
    - Evaluate Segment Attractiveness
    - Select Target Market
  3. Positioning
    - Identify and Develop Positioning Strategy
32
Q

Segmentation

A

is about identifying basis (buyer characteristics) and subdivide market based on market potential

  • Who are buyers/users
  • who are the largest buyers
  • what potential customer can be identified
  • how does the market segment
  • how should market be segmented
33
Q

Ways to Segment a Market

A

Geographic, demographic, pyschographic, behavioral

34
Q

Geographic segmentation

A

regional variables such as region, climate, population density, and population growth rate

35
Q

Demographic segmentation

A

variables such as age, gender, ethnicity, education, occupation, income, and family status.

36
Q

Psychographic segmentation

A

variables such as values, attitudes, and lifestyle.

37
Q

Behavioral segmentation

A

variables such as usage rate and patterns, price sensitivity, brand loyalty, and benefits sought.

38
Q

DEVELOPING SEGMENT PROFILES

A

Customers seeking benefits that products provide, not physical products
Benefits are understood/experienced under certain contexts/usage occasions. Therefore, different usage contexts require different benefits, thus different “use/benefit” market segments

39
Q

case 1 tablet PC example of segmenting

A

Benefits and usage occasions were key factors differentiating the segments

Behavioral and demographic data were gathered and found that most people report they would like to use a tablet PC for:
• 82% intend to use email
• 71% expect to use a web browser
• 57% plan to watch TV or download movies
• 56% intend to use social networking
• 55% plan to play games

Potential segments: internet, entertainment center, gaming, reading, and office tablets.
Or, students, enterprise, or special purpose (like medical).

40
Q

Case Auto Insurance example segmenting

A

Distribution and service needs were key factors differentiating the segments
Attitudinal, behavioral, and demographic data were gathered using a mail panel survey of 2000 U.S. households that own auto insurance. Geo-demographic and credit information supplemented the survey responses.

Potential Segments:
Internet Buyers were most interested in using the Internet to buy insurance.
Direct Buyers were more interested than others were in buying via direct mail or telephone.
Budget Conscious consumers were differentiated, primarily, by their interest in minimal coverage and their determination to find the best deal.
Agent Loyals expressed strong loyalty to their agents and interest in high levels of personal service.
Hassle-Free consumers were similar to “Agent Loyals,” except that they were much less interested in high levels of faceto-face service.

41
Q

DETERMINE SEGMENT ATTRACTIVENESS

A

Identifiable: size of segments and purchasing behaviour must be quantifiable
Reachable: segments can be served and reached with marketing mix efforts
Substantial and profitable: segment is economically viable, profitable and sustainable
Response: possible to design an effective marketing program for a specific segment

42
Q

TARGETING STRATEGYPRODUCT VS SEGMENT

A

Undifferentiated marketing: a single product for the entire market (e.g. sugar)

Differentiated marketing: a multiple segment strategy where product modified for various segments (e.g. Colgate toothpaste)

Concentrated marketing: a single segment strategy where company focuses on a well defined segment (e.g. Fortune magazine)

Micromarketing (one-to-one marketing): engages in mass customization (e.g. Dell computer)

43
Q

Positioning

A

A process of defining the marketing mix variables so that target customers have a clear, distinctive, desirable understanding of what the product does or represents in comparison with competing products. To achieve that, you will need to:

Determine the customers’ perception of product or service

Identify a competitive advantage over competitors via some form of differentiation

Choose a single unique value proposition for each brand to highlight the competitive advantage

Communicate and deliver the chosen position to the target customers based on description of segment, product or brand benefits

44
Q

apple positioning posture

A

“There’s always a large junk part of the market,” Cook says. “We’re not in the junk business”

45
Q

Perceptual mapping

A

Perceptual mapping to graphically represent consumers’ perceptions of alternative offerings.

Usually confine to two or three (3D) attributes (dimensions): attribute rating

Use maps to plot strategy: e.g. position against a market leader, reinforce positioning, or repositioning if current positioning is not longer effective.

46
Q

PERCEPTUAL MAPPING FOR BEERS

A

Select a set of Beers of interest to the target group of customers.

Identify a set of key attributes on which these Beers evaluated by the target group (e.g., through focus groups).

Have customers evaluate the products on the chosen set of attributes (e.g., Light-Heavy; Cheap-Expensive; Drink alone-Share with friends).

47
Q

competitive advantage

A

value (e.g. Target)
symbol (e.g. Rolls Royce)
specific product attributes (e.g. Nantucket juice)
specific benefits (e.g. safest car, Volvo)
usage occasions (best application for cold, e.g. Vicks VapoRub)
certain classes of user (e.g. Apple for graphic design)
quality/price (e.g. Chanel No. 5)
against or away from a competitor (e.g.7 Up at the unCola)
for different product classes/categories (e.g. xerox means photocopy)

48
Q

VALUE PROPOSITIONBenefits vs Costs

A

More for more (Mont Blanc, most luxury goods)
More for the same (Toyota Lexus over Mercedes)
More for less (Wal-mart, well known brand for less)
The same for less (Panasonic TVs)
Less for much less (Airline not serving food)

49
Q

Positioning Statement

A

Target Audience - the attitudinal and demographic description of the core prospect to whom the brand is intended to appeal; the group of customers that most closely represents the brand’s most fervent users.
Frame of Reference - the category in which the brand competes; the context that gives the brand relevance to the customer.
Benefit/Point of Difference - the most compelling and motivating benefit that the brand can own in the hearts and minds of its target audience relative to the competition.
Reason to Believe - the most convincing proof that the brand delivers what it promises.

Template for a Positioning Statement:For (target audience), (brand name) is the (frame of reference) that delivers (benefit/point of difference) because only (brand name) is reason to believe).

50
Q

Effective Positioning

A

Substantive “brand” value (has meaning both internally and to customers)
Consistency
Internally (all parts working together to reinforce perception about brand)
Over time (perception reinforcement persists over duration of weeks, months, …)
Simplicity (easy to remember, encapsulate the essence)
Distinctiveness (competitive advantage over competitors’ offerings)

51
Q

POSITIONING STATEMENTe.g. Target

A

To value conscious customers of all income levels. Target is the brand of discount retailer, that delivers great design at reasonable prices.

It is an internal statement, that can guide advertising strategy, slogan and tagline.

				:            EXPECT MORE,
						PAY LESS
52
Q

POSITIONING STATEMENTe.g. Home Depot

A

To value conscious DIY and professional customers, Home Depot is the brand of home improvement business, that provides excellent customer service, with broadest product selection at most competitive prices.

It is an internal statement, that can guide advertising strategy, slogan and tagline.

				:            MORE SAVING,
						MORE DOING
53
Q

Marketing Strategy

A

identifies

  1. firm’s target market
  2. related marketing mix
  3. the bases on which firm plans to build sustainable competitive advantage
54
Q

sustainable competitive advantage

A

is an advantage over the competition that is not easily copied and thus can be maintained over a long period of time. acts like a wall that firm has built around its position in a market

55
Q

ex competitive advantage

A

starbucks vs dunkin donut vs mcdonalds
star- pay high for nice social atmosphere
donut- fair price for good taste coffee
mcdonald-fine quality cup coffee low price available across massive retail network and provide more extense food menu to choose from

56
Q

marketing strategy

A

An organization’s strategy that combines all of its marketing goals into one comprehensive plan. A good marketing strategy should be drawn from market research and focus on the right product mix in order to achieve the maximum profit potential and sustain the business. The marketing strategy is the foundation of a marketing plan.

Read more: http://www.businessdictionary.com/definition/marketing-strategy.html#ixzz2h6na4QU4

57
Q

marketing strategy continued

A

A strategy is a long-term plan to achieve certain objectives. A marketing[link] strategy is therefore a marketing plan designed to achieve marketing objectives. For example, marketing objective may relate to becoming the market leader by delighting customers. The strategic plan therefore is the detailed planning involving marketing research, and then developing a marketing mix to delight customers. Every organisation needs to have clear marketing objectives, and the major route to achieving organisational goals will depend on strategy. It is important, therefore, to be clear about the difference between strategy and tactics.

Read more: http://businesscasestudies.co.uk/business-theory/marketing/marketing-strategy.html#ixzz2h6ntS0H4
Follow us: @Thetimes100 on Twitter | thetimes100casestudies on Facebook

58
Q

sustainable competitive advantage

A

A sustainable competitive advantage is a long-term strategy or process that allows a business to remain ahead of its competitors. Unlike short-term advantages, such as being the first to market a new type of product, a sustainable competitive advantage may be built into the fabric of a business, and will help maintain its dominance over years and even decades. The development of a sustainable competitive advantage often takes dedicated effort, the ability to consistently innovate, and even some luck. According to some of the most successful business minds in the world, sustainable competitive advantages are one of the main keys of long-term success.

One of the most likely sources of a sustainable competitive advantage is the ownership of a patent or trademark. Patents permit only the owner to create and license a certain product, meaning that customers can only buy it from the original source or licensed distributors. One of the keys to making a patent a sustainable advantage, however, is the inability of competitors to closely imitate the product with similar, though not infringing, versions.

Marketing (1 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions