Perry Flashcards
Formula for market share
Business sales/
Total market share x 100
Formula for market growth
(New -old)/
Old
X 100
What is market segmentation?
A sub group of consumers with similar characteristics and these can be grouped into Age Gender Occupation Hobbies Income Location
Physical marketing
Going into the shop and buying the good
Local
Electronic marketing
Going online to buy goods
(Inter)national
What is the definition for market research?
The collection, collation and analysis of data relating to the marketing and consumption of goods and services
What are the four points on a market map?
High quality
Low quality
High price
Low price
Primary research
Research conducted by the business e.g. Questionnaire
Secondary research
Research which already exists and was conducted by another business, this is easily accessible on the internet
Quantitative research
This is research with closed questions which can easily be analysed using charts and graphs e.g. Questionnaire answers
Qualitative research
This involves looking at the opinions of the target audience e.g. Focus groups
What is random sampling?
This is when people are randomly selected from a statistical population in such a way that everyone has an equal chance of being selected
Quota sampling
Pre-determined section of people based on the characteristics of the target audience
Stratified sampling
This is combination of quota and random where by a population are split into groups and then selected at random
Cluster sampling
Business identifies and area of the country or city that represents the population as a whole
What are the 7 Ps of the marketing mix/strategy?
Price Promotion Place Product Physical environment People Process
What does SMART stand for and what does it involve?
Objectives and it stands for Specific Measurable Achievable/Agreed Realistic Time related
Promotional pricing
Using sales promotions and offers to attract the attention of customers
Price skimming
Start price high, gradually lower price
Penetration pricing
Start price low and gradually increase
Loss leader
Sell product at a loss with the purpose of attracting customers to buy other related products
Competitive pricing
Price of product is based on that of its competitors
What are the 7 potential stages in a products life cycle?
Research and development Introduction Growth Maturity Saturation Decline Extension strategies
What are the characteristics of a cash cow in the Boston matrix?
High market share, low market growth
