Unit 16 : Technology and Marketing Mix

Question 1

Define Social Media Marketing

Answer 1

a form of internet marketing that involves creating and sharing content on social media networks to achieve marketing goals

Question 2

Define Viral Marketing

Answer 2

when consumers are encouraged to share information online about a business’s product

Question 3

Define how Technology Influences Product

Answer 3

may change to respond to new technology

Question 4

Define how Technology Influences Promotion

Answer 4

social media marketing and viral marketing can be used to promote

Question 5

Define how Technology Influences Price

Answer 5

the internet allows businesses to gather information about customer purchasing habits, which means dynamic pricing can be used to increase revenue

Question 6

Define how Technology Influences Place

Answer 6

the widespread spread of online purchasing and e-commerce. Can create new opportunities

Question 7

5 Opportunities of Using Social Media for Promotion

Answer 7

1. targets specific demographic groups who can share information through viral marketing
2. guarantee of reaching customers
3. information can be regularly changed, speed in response to market changes
4. cheap / low cost for advertisements
5. reaches difficult to reach groups

Question 8

4 Threats of Using Social Media for Promotion

Answer 8

1. alienates customers who find adverts annoying
2. businesses have to pay for advertising if using pop-ups
3. lack of control over advertising if used by others
4. messages can be altered, used badly and forwarded causing bad publicity

Question 9

6 Opportunities of Using Websites for Promotion

Answer 9

1. no extra costs if website is already set up
2. website is owned, allowing control over advertising
3. can quickly change / update adverts, pictures, prices, etc.
4. interactive adverts can be more attractive than magazines / posters
5. can provide more information in adverts + link to other pages for more information
6. attracts funds / payments from companies that want to advertise / associate / link with website

Question 10

4 Threats of Using Websites for Promotion

Answer 10

1. potential customers may not see website
2. relies on customers finding website
3. design costs may be high
4. team needed for updates / bugs which can be costly

Question 11

Define E-Commerce

Answer 11

online selling / buying of goods / services using computer systems linked to the internet and apps

Question 12

5 Benefits of E-Commerce to the Business

Answer 12

1. cheaper than other forms of marketing
2. orders can be directly sent to warehouse for dispatch
3. attractive / easy to follow websites encourage customers to buy more than intended
4. business - 2 - business e-commerce is cheaper
5. dynamic pricing is easier to employ with number of visitors on website

Question 13

7 Threats of E-Commerce to the Business

Answer 13

1. customers can easily find alternative if price is too high
2. website should be clear + well designed which can be costly
3. transport + packing costs are expensive
4. no direct contact, can’t gain useful customer feedback
5. returns are expensive
6. stock system is needed to manage orders accurately + efficiently
7. not suitable for personal services

Question 14

6 Benefits of E-Commerce to Customers

Answer 14

1. no need to leave house, convenience
2. comparisons for prices and products can be easily made
3. payment through credit / debit card is easy
4. easy access to imported goods
5. lower prices
6. packaging + transport costs are cheaper due to competition on the internet

Question 15

4 Threats of E-Commerce to Customers

Answer 15

1. need access to internet
2. products can’t be seen, touched or held
3. high chance of fraud / theft
4. no direct contact, hard to get information