The Market Flashcards
What is the difference between needs, wants and demands?
Needs are the basics which turn into wants as they are shaped by culture and personality. When backed by buying power, these become demands.
What are the 4 marketing principles/orientations?
Product orientation
Production orientation
Sales orientation
Marketing orientation
What is product orientation?
When a company believes it’s products high quality and features will make it superior and this alone will make people want to buy it.
What is marketing orientation?
When a company puts the customers wants and needs at the forefront of its marketing strategy.
What is production orientation?
When a company’s focus is around economies of scale and looks to reduce costs in order to maximise profits.
What is sales orientation?
When a company makes a product and uses hard selling tactics to sell it.
What is the exchange process?
The exchange between the organisation, its customers and suppliers.
What are the barriers to achieving a marketing orientation?
Leadership Customer knowledge Infrastructure Conflict with other functions Preference for other focus Transactional approach to business
What is the loyalty ladder?
Prospect Customer Client Partner Advocate
What is the difference between transactional and relationship marketing?
Transactional focuses on one off sales and on a short time scale.
Relationship marketing focuses on customer retention on a long time scale with high customer commitment
What is marketing?
The management process for identifying, anticipating and satisfying customer needs profitably.
What are the 5 types of customer needs?
Functional benefits Emotional benefits Physiological needs Socio-cultural forces Luxury or necessity
What are the 5 main types of consumer buying behaviour?
Routine response/programmed Limited decision making Extensive decision making Impulse purchase Variety seeking
What are the 5 steps in the consumer decision making process?
Need recognition Information search Evaluation of alternatives Purchase Post purchase behaviour
What is the decision making unit?
The team of people who make a buying decision
