Unit 3 Flashcards
What is primary market research?
Use of data collected first-hand to make marketing decisions.
What are some examples of primary market research?
Focus groups, interviews, surveys.
What is secondary market research?
Use of data that already exists to make marketing decisions.
What are some examples of secondary market research?
MINTEL, Government, Media
What are the advantages and disadvantages of Market Mapping?
Adv - identify gaps, encourages research
Disadv - is there actually demand, no guarantee of success
What is a confidence interval?
% probability that an estimated range of possible values includes the actual value being estimated
What are 4 ways to segment a market?
Demographic, Geographic, Behavioural, Income
What is a niche market?
Targets a smaller segment with specific needs and wants.
What are the advantages and disadvantages of niche markets?
Adv - less competition, specialisation
Disadv - lack of EOS, overdependence
What is a mass-market?
When firms sell to the largest part of the market.
What are the advantages and disadvantages of mass markets?
Adv - higher sales, EOS
Disadv - marketing difficulty, unclear focus
What are the Marketing Mix 7P’s
Price, product, place, people, process, promotion, physical
What is the difference between consumer and industrial goods?
Consumer - personal consumption
Industrial - aids business function
What is penetration pricing?
Offering a low initial price to aid market entry.
What is price skimming?
Setting the highest price possible before other competitors enter the market.
