Test Flashcards
5 Steps in Marketing Research
- Define the Problem
- Develop the Research Plan
- Collect Relevant Info
- Develop Findings
- Take Marketing Actions
What is a “Measure of Success”
Criteria or standards used in evaluating proposed solutions to a problem
Triangulation
If 3 different research methods come back with the same results, then the results are most likely good
- Like-Type Scale ?’s in Market Research
Strongly Disagree 1 2 3 4 5 Strongly Agree.
- Semantic Differential ?’s in Market Research
Important………Unimportant; Draw a X where you think it applies.
Interim step is evaluator deciding what number value would coincide with the X
- Dichotomous ?’s in Market Research
__Yes __No
- Multiple Choice ?’s in Market Research
MC answers, always include a “Other” choice
- Open-ended ?’s in Market Research
Respondent provides a essay/short answer
3 examples Probability Sampling
- Simple Random Sample; Ex: Draw from hat
- Systematic Sample; Nth number
- Stratified Sample- Divide into a segment, then random sample
2 example of Non-Probability Sampling
- Convenience sample; people who are available to sample
2. Quota Sample- People from certain segments are sampled
Market Segmentation
Putting prospective buyers into groups that: 1. Have common needs and 2. will respond similarly to a marketing action
Market Segments
relatively homogenous groups of prospective buyers that result from the market segmentation process
Target Market
A specific group of potential buyers a business targets
Product Differentiation
A marketing strategy that involves using different marketing mix activities to help consumer perceive their product as Different & better
Positioning (Image)
The place a product occupies in consumer’s minds based on important attributes relative to competitive products
Niche
Very Small Marketing Segment of loyal customers
Market Product Grid
A framework to relate the market segments of potential buyers
Steps for Market Segmentation
- Identify Market Needs
- Link Needs to action
- Execute marketing programs actions
3 ways to segment a market
- One Product and multiple market segments (Johnson baby Oil) Lowest Price
- Multiple Product/Multiple Segments: Coke, Diet Coke, Coke w/ lime, w/o caffeine, 2nd highest price
- Mass customization: ‘segments of one’ Highest Price
Criteria for Grouping Potential Buyers into Segments
Simplicity and Cost effectiveness Potential for increased profit Similarity of needs Differences of needs Potential of a marketing action to reach segment
Two approaches to Product Positioning
Head to Head: take on same position as competition (McDonalds vs Burger King)
Differentiation- image that shows how different it is compared to competitors
Product
A offering. Can be tangible or intangible, an idea
Product Line
related products of various sizes, types, colors, qualities
Product Line Extension
making a product line longer by adding a different variation of the product
Types of Consumer Product
- Convenience- Relatively inexpensive
- Shopping- Fairly inexpensive, Large number of selective outlets, Differentiation from customers
- Specialty- Very Expensive, very limited, Uniqueness of brand stressed
- Unsought-consumers to do not seek these types
Reasons why new products fail
- Insignificant points of difference
- Incomplete market and product definition
- Too little market attractiveness
- Poor Execution of 4 P’s
- Poor Product quality
- Doesn’t satisfy needs on critical factors
- Bad Timing
Seven Stages in the new-product process leading to success
- New product Strategy development
- Idea Generation
- Screening and evaluation
- Business Analysis
- Development
- Market Testing
- Commercialization
Uniqueness of Service; The 4 I’s
- Intangibility
- Inconsistency
- Inseparability
- Inventory “Use it or lose it”
Reasons for Repositioning a Product
- Reacting to a competitor’s position
- Reaching a New Market
- Catching a Rising Trend
Branding Equity
- Provides a competitive advantage
- Consumers are willing to pay a premium
- Financial advantage, Liscensing
Multiproduct Branding Strategy
“Corporate”; Multiple Products with the same brand name *Toro
MultiBranding Strategy
Company produces multiple brands *Sears
Private Branding Strategy
“Private Label” select stores are the only ones to carry the specific brand
Mixed Branding Strategy
Sears makes Michelin and Sears tires
