(Unit 3) Decision making to improve marketing performance

Question 1

What is marketing?

Answer 1

This is the management process responsible for identifying, anticipating and satisfying customer requirements to be profitable.

Question 2

What are the 5 types of marketing objectives?

Answer 2

Sales volume, Sales value, Sales growth (%), Market share and Brand loyalty/awareness.

Question 3

What is sales volume (marketing objective)?

Answer 3

The volume of sales, measured in terms of number of units sold/ produced (e.g. 200,000 units in Q1 in 2024).

Question 4

What is sales value (marketing objective)?

Answer 4

The value of sales, measured in terms of how much is spent on a product (e.g. sales of 30,000).

Question 5

How do you calculate sales value?

Answer 5

Average price X No.sold

Question 6

What is sales growth (%) (marketing objective)?

Answer 6

The growth of sales over a period of time, target will depend on how quickly the overall market is growing.

Question 7

What is market share (marketing objective)?

Answer 7

The % of how the sales of a product or service achieved by one business compared with the total sales in the market.

Question 8

How do you calculate market share?

Answer 8

(Sales of one brand / total sales in the market) X100

Question 9

What is brand loyalty/awareness (marketing objective)?

Answer 9

This is the ensuring of customers returning for repeated purchases as consumers become convinced about the brand (businesses will spend less on promotions).

Question 10

What is the value of setting marketing objectives?

Answer 10

All business departments set objectives:
- help ensure the department stays on track with what he business hopes the achieve overall.
- must align with corporate objectives.

Question 11

What are the potential problems with marketing objectives?

Answer 11

• Fast changing external environment
• Potential conflict between marketing objectives
• Easy to be too ambitious with marketing objectives

Question 12

What are the internal influences on marketing objectives?

Answer 12

• change in strategic direction
• the development of a new product
• new financial objectives

Question 13

What are the external influences on marketing objectives?

Answer 13

• changes in consumer tastes/habits
• changing competitive pressures
• changing economic pressures
• changing natural environment (green)

Question 14

What is market research?

Answer 14

This involves gathering and analysing data relevant to the marketing process (aid with business decision-making).

Question 15

What are the 6W’s of market research?

Answer 15

Who, What, What influences, Why, When and Where.