Week 1: Chapter 1 Flashcards
what is marketed
- persons
- services
- goods
- places
- experiences
- events
- properties
- organizations
- information
- ideas
what are examples of persons marketed
- celebrities
- politicians
- students
- sports personality
what are examples of services marketed
- doctors
- lawyers
- accountants
what are goods marketed
anything that can be bought
what are examples of places marketed
- countries (from tourism)
- restaurants
what are examples of experiences marketed
- zoos
- amusement parks
- tourism
what are examples of events marketed
- concerts
- olympics
- holiday events
what are examples of properties marketed
- houses
- apartments
- airbnbs
what are examples of organizations marketed
- food banks
- humane society
- blood banks
what are examples of information marketed
- newspapers
- articles
what is an example of an idea marketed
self-driving car
who markets
- marketer
- its a person or company who promotes
what is a marketer trying to do
get responses from the prospect (potential customers)
what examples of responses are marketers trying to get from prospects
- attention
- purchase
- donation
- vote
what are key customer markets
- global markets
- consumer market
- business market
- government market
what happens in global markets
- trade between countries
- imports and exports
what happens in consumer markets
where consumer goods/services are sold and bought
what happens in business markets
- business to business
- things like materials, supplies, and goods are ‘traded’
what happens in government markets
- purchases made by the government from the private sector
- infrastructure purchases and investments (ex. like a new highway)
what are core marketing concepts
- needs, wants, demands
- offerings and brands
- target markets, positioning, and segmentation
- value and satisfaction
- marketing channels
- supply chain
- marketing environment
- competition
what is a need
- things that are essential for survival and basic well-being
- when a person feels deprived of basic necessities in life (ex. food, clothing, shelter, safety)
what is a want
- things that are desired but not needed to survive
- but sometimes is a need
- a way a person chooses to fulfill their need
- based on a persons, knowledge, culture, personality, lifestyle, personal preferances
what is a demand
when you have a desire for something and actually have the ability to pay for it
how does a company satisfy customer needs and wants
- first identify the customers or markets for its product/service
- marketers divide the market into subgroups/segments of people who they are interested in marketing their products/service/ideas to
- they build marketing strategies to meet the needs and wants of the target market
what are marketing channels
different ways to communicate the goods/services to the consumers/customers/clients
what are examples of marketing channels
- social media
- billboards
- emails
- tv ads
- events
what is the marketing environment like
- an ecosystem
- where a company thrives and survives as a business
- trends
- regulatory changes
- social trends
- tech advancements
what is a supply chain
- how goods are created and delivered to customers
- distributors
what is competition
- companies that sell similar products/services
- there can be a monopoly (no competition)
what is the difference between consumer, customer, and client
consumer = someone who actually consumes the product/service
customer = someone who buys the product/service but may not be the end user (ex. they give it to another person who becomes the consumer)
client = someone who receives professional services
how does marketing entail an exchange
- they trade something of value between the two
- sellers provide communications/delivery of a good/service to a buyer who provides money/information for it
who are sellers
- goods/services producers
- they value money more than their goods/services
who are buyers
- customers/consumers
- they value goods/services more than money
describe the simple marketing system
- there is the industry (collection of sellers), and a market (collection of buyers)
- the industry provides goods and services, and the market provides money
- in terms of marketing, the industry provides communication, while the market provides information
what does it mean when the market provides information
- things like responses from the demand/feedback of a good/service
- helps the industry with innovation, ways to improve to keep demand high
what kind of decisions does marketing require
- the 4 p’s
- product, price, place, and promotion
what are things product looks at
- functionality
- brand
- packaging
- services
what are things price looks at
- list price (inventory & demand affects price)
- discounts
- bundling (selling goods together for a price)
- credit terms
what are things place looks at
- channel
- inventory
- logistics
- distributions
what are things promotion looks at
- advertising
- sales force
- publicity
- sales promotion
what are the different types of analytics and their competitive implications graph
y axis analytic capabilities
x axis insights/intelligence
higher up in the diagonal = competitive advantage
what is the order of things from least to most analytical capabilities
- standard reports
- ad hoc reports
- query/drill down
- alerts
- statistical analysis
- forecasting/extrapolation
- predictive modeling
- optimization
what insights/intelligence does standard reports provide the answer to
what happened
what insights/intelligence does ad hoc reports provide the answer to
how many, how often, where
what insights/intelligence does queries/drill downs provide the answer to
where exactly is the problem
what insights/intelligence does alerts provide the answer to
what actions are needed
what insights/intelligence does statistical analysis provide the answer to
why is this happening
what insights/intelligence does forecasting/extrapolation provide the answer to
what if these trends continue
what insights/intelligence does predictive modeling provide the answer to
what will happen next
what insights/intelligence does optimization provide the answer to
what is the best that can happen
what does the marketing engineering approach do
shows how it transforms objective and subjective data about the marketing environment into insights, decisions, and actions (implementation)
what does marketing engineering do
collects data, information, insights, decisions, and implementation in the marketing environment
what an example of what the marketing environment is like
- automatic scanning
- data entry
- subjective interpretation
what an example of what is done with data in the marketing engineering approach
- data base management
- like selection, sorting, summarization, report generation
what an example of what is done with information in the marketing engineering approach
- mental models
- decision models
what an example of what is done with insights in the marketing engineering approach
- judgement under uncertainty
- like modeling, communication, introspection
what an example of what is done with decisions in the marketing engineering approach
- financial
- human
- and other organization resources
what is implementation in the marketing engineering approach
implemented into the marketing environment
what is a model
stylized representations of reality that structure our thinking about the world works
what do models indicate
- indicates which factors should be considered and which factors can be ignored
- focusing on relevant factors and their interrelationship reality can be simplified
why are models useful
because they facilitate top-down processing (instead of bottom up)
what kind of models should be used
- decision support tools and mental models together (50-50)
- mental models incorporate idiosyncratic aspects of the decision situation
- decision models are consistent and unbiased
what are some issues in using models
- you need to assemble an arsenal of models for a domain of interest
- retrieve relevant mental models in a given situation
- limitations: may overrepresent, underrepresent, or even misrepresent things
- no model is true, but some are useful
what are the different types of models
- verbal (ex. “sales are a function of advertising”)
- box and arrow (linking boxes of content together)
- graphical (a graph)
- mathematical (an equation)
what is the ATAR model application
- a model that determines potential impacts (profits)
- awareness, trial, availability, rebuy, or repeat
how is the ATAR model used
take number of potential buyers
x % awareness after a year
x % of aware owners who will try the product
x % availability at the retailers
x measure of repeat in purchases
x price per unit - cost at the intended volume
= profits
what are benefits of models
- small models can offer insight (change goals and priorities even if they don’t influence your decisions)
- even simple models can align management beliefs with marketing policy
- don’t need hard data to get value from models - judgments and intuition is often enough
- digital data capture enables large model ROI
