Marketing Vocab (5, 6, 7, 8, 9)

Consumer buyer behavior

Buying behavior of final consumers

Consumer market

All the individuals and households that buy or acquire goods and services for personal consumption

Three words:

Acquire, Use, Dispose

S-R

Stimulus Response

BBB

Buyers Black Box

Culture

Set of basic values perceptions wants, and behaviors learned by an individual from family and other important institutions

Subculture

Group of people with shared value systems based on common life experiences in situations

Opinion leader

Person within a reference group that exerts influence due to special skills, knowledge, personality, or other characteristics

Influencer marketing

Enlisting established influencers (macro or micro)

Reference group

Direct or indirect point of comparison (a benchmark or standard when forming attitudes value values purchasing decisions)

Roles and status

Varies based on the group you belong to

AIO

Activities, Interests, Opinions

Perception

Selecting, organizing, and interpreting information to product meaning

Subliminal advertising

Uses hidden or masked visual stimuli to influence, consumer behavior, and emotions

JND

Just Noticeable Difference

Attitude

An individuals endearing evaluation of feelings about behavioral tendencies toward an object or idea.

-can be positive or negative

-tend to be stable in the short term

-individuals acquire attitudes through experience and interactions

Cognitive dissonance

A buyers doubts shortly after a purchase about whether the decision was the right one. It often occurs after expensive high involvement purchases

Customer journey

The complete series of interactions, touch points and experiences a person has with a brand spanning from initial awareness to post-purchase advocacy

Adoption process

The mental and behavioral journey a consumer takes from first learning about a new product to finally adopting it as a regular user

Trial

Tests the product

Adoption

Make full and regular use of the product

Business buyer behavior

Purchasing goods and services that are used in the production of other products and services

Business to business (B2B)

Marketers must understand business markets, and business buyer behavior

Business buying process

Determining which products and services to purchase

Straight rebuy

Buyer routinely re-orders something without any modifications

Modified rebuy

Buyer wants to modify product, specifications, prices, terms, or suppliers

New task

Buyer purchases a product or service for the first time

Geographic

Nations, regions, states, counties cities, neighborhoods, population density (urban, suburban, rural), climate

Demographic

Age, lifecycle stage, gender, income, occupation, education, religion, ethnicity generation

Psychographic

Lifestyle, personality

Behavioral

Purchasing behavior, usage occasions, benefits, user status, usage rate, digital proficiency, online activities, loyalty status

Market segmentation

Divide the total market into smaller segments

Market targeting

Select the segment or segments to enter

Market differentiation

Differentiate the market offering to create superior customer value

Market positioning

Position the market offering in the minds of target customers

Competitive advantage

An advantage over competitors gained by offering greater customer value either by having lower price prices or providing more benefits that justify higher prices

Perceptual map

Created by questioning a sample of consumers about their perception of products, brands, and organizations with respect to two or more dimensions

Positioning statement

Summarizes company or brand positioning

Product

Anything that can be offered to a market for attention acquisition use, or consumption that might satisfy a want or need

Market offering

A combination of products services information or experiences offered it to a market to satisfy a customers need or want

Product quality

Dependability and durability

Product feature

Versatility (multiple function)

Product design

Improves usefulness (function and form)

Brand

A name, term, design, symbol, or other feature that identifies the marketers product as distinct from those of other marketers

Brand name

The part of the brand that can be spoken (ex: Nike or Coca-Cola)

Brand mark

The part of a brand that is not made up of words

Trademark

A legal designation of exclusive use of the brand

Product line

Closely related products that have similar functions and customer groups and are sold through a similar outlets or fall within given price ranges

Stretching vs filling

Stretching expands a product line beyond its current range (upward, downward, or both), while filling adds more items within the current range to fill gaps

Intangibility

Services cannot be seen tasted felt heard or smelled before purchase

Variability

Quality of services depends on who provides them and when where and how

Inseparability

Services cannot be separated from their providers

Perishability

Services cannot be stored for later sale or use

Brand equity

The differential effect that knowing the brand name has on customer response to the product or its marketing

National brands (manufacturers brand)

Marketed under the manufacturers own name

Store brands (private brand)

Created and owned by a reseller of a product or service

Licensing

Use names and symbols created by other companies or well-known movie characters or celebrities for a fee

Co-branding

Use the established brand names of two different companies on the same product

New product development

The term “new product” includes acquisitions (includes buying a whole company, a patent, or a license) and product development (includes original products, product, improvement, and modifications, and new brands).

Crowd sourcing

Where companies ask the public — customers, fans, or online users — for ideas, feedback or content rather than relying solely on internal teams

Product concept

An idea for a possible product that the company can see itself offering to the market

Business analysis

A review of the sales costs and profit projections for a new product

Commercialization

Introducing a new product into the market

PLC

Product Life Cycle

Price (broad)

The sum of all the values that customers give up in order to gain the benefits of having/using the product/service

Price (narrow)

Amount of money charged for a product or service

Cost plus

Based on the costs of producing distributing and selling the product plus a fair rate of return for effort and risk

Competition based

Based on competitors strategies, prices costs, and market offerings

Customer value based

Based on buyers perceptions of value rather than on the sellers cost

Demand curve

Measure of the sensitivity of demand to changes in price

Market penetration pricing

Setting a low price to attract a large number of buyers in a large market share

Market skimming pricing

Setting a high price to skim maximum revenues from the segments willing to pay the high price

Captive product

Pricing products that must be used with the main product product

By product

Pricing low value byproducts to get rid of them or making money on them

Product bundle

Pricing bundles of products sold together

Product line

Setting prices across an entire product line

Optional product

Pricing, optional or accessory products sold with the main product

Seasonal

By off season

Functional

Store the product, or transport

Quantity

Based on volume

Promotional allowances

Pay for ad cost or promotional samples

Trade-in allowances

Old for new

Psychological pricing

Considers the psychology of prices and not simply the economics

Reference price

Prices that buyers carry in their minds and referred to when looking at a given product

Segmented price

Adjusting prices to allow for differences in customers, products, or locations

Dynamic pricing

Adjusting prices, continually to meet the characteristics and needs of individual customers and situations

Pure competition

Market structure featuring many small firms selling identical, differentiated products

Monopolistic competition

A competitive structure featuring many firms selling similar but differentiated products

Oligopolistic competition

A market structure dominated by a small number of large firms that control the majority of market share

Pure Monopoly

A market structure where a single firm is the sole producer or seller of a product with no close substitutes giving it complete control over market supply and price