The Marketing Process Flashcards
1
Q
What is role of marketing plan
A
- Gives purpose and direction to all activities
2
Q
What are steps involved in developing marketing plan
A
- Situational analysis
- Market research
- Establishing marketing objectives
- Identify target markets
- Develop marketing strategies
- Implementation, monitoring and controlling
- SMEIDI
3
Q
What are two sections of situational analysis
A
- SWOT analysis
- Product life cycle
4
Q
What are stages of product life cycle
A
- Introduction
- Growth
- Maturity
- Decline
- Each stages requires different mix 4P’s
5
Q
Apple and Product life cycle
A
- Introduction stage (2001-2003): iPod nano and shuffle introduced, customers sceptical and sales were slow. Distribution channels widened to reach greater amount of customers
- Growth stage (2003-2007): iPod sales grew, eventually growing exponentially in 2004. Market share was increased as Apple diversified product through introducing the iPod mini
- Maturity (2007-2009): Sales plateaued, largely due to release of the iPhone. In response price of iPod lowered and some products were discontinued
- Decline 2009 onwards: 2017 Apple discontinued production of all iPods aside from the iPod touch. Apple iPhone sales continued to increase
6
Q
What is market research
A
- The process of systematically collecting and analysing information concerning a specific marketing problem
- Marketing strategies perform best when they are based on accurate, up-to-date, detailed and relevant information.
7
Q
What are the steps of market research
A
- Developing information needs
- Data collection
- Data analysis
8
Q
Apple and market research
A
- Every month Apple surveys iPhone buyers
- Rreveals what drives customers to buy iPhone products versus other products
9
Q
What are main marketing objectives
A
- Increasing market share
- Expanding product range
- Maximising customer service
10
Q
What is a way that marketing objectives may be achieved
A
- Through setting SMART goals
- Specific: Goals must be straightforward and clear as to what the business must achieve
- Measurable: Goals must be capable of being measured (qualitative and quantitative) so managers can see if change has occurred.
- Achievable: Goals need to be challenging but not too far out (staff/managers become unmotivated due to lack of progress.
- Realistic: Goals must represent something that owners/managers are willing to work towards
- Timebound: Goals must have deadlines otherwise commitment is too vague
11
Q
How are customer’s in target markets grouped
A
- Demographics: age, gender, job, education
- Sociocultural factors: religion, culture
- Geographics: location (urban country)
- Psychographics: lifestyle/buyer behaviour
12
Q
What are benefits of identifying a target market
A
- Business identifies and selects a target market so they can direct their marketing strategies to that group of customers.
- Allows business to better satisfy needs/wants of targeted group (occurs as businesses better understand their target market e.g. their buying behaviour and may design relevant )
13
Q
What is an approach to target markets
A
- Marketing segmentation approach
- Business divides market into segments as entire market is usually too big
- Market segmentation occurs when the total market is subdivided into groups of people who share one or more common characteristics and once the market has been segmented, it selects one of these segments to become the target market.
14
Q
What is purpose of marketing strategies in relation to plan
A
- Marketing strategies are actions undertaken to achieve marketing objectives through the marketing mix of the seven P’s
- Product
- Price
- Place
- Promotion
- People
- Physical evidence
- Process
15
Q
Marketing mix broken down
A
- Product: the physical good or service along with its essential features including, branding, quality, design, packaging, and labelling
- Price: Selling price being asked for in exchange for product. Business must decide price above or below competitors, what their product is valued and what is demand, what are costs of production. Interdependence between marketing and finance
- Promotion: Strategies used to inform customers about the product and encourage its purchase. Main forms include: advertising, personal selling, sales promotions, publicity and public relations. Internet has had significant impact on promotion of products
- Place/distribution: this element of the marketing mix deals with the channels of distribution (ways product reaches customers)– use of wholesalers or retailers, selectively distributed (Louis Vuitton) or widely distributed (e.g. Coke)?
