Principles of Marketing: Strategies, Eras, and the Marketing Mix

What is the primary purpose of marketing?

To create, communicate, and deliver value to customers.

What are the four types of utility in marketing?

Form, Time, Place, and Ownership (Possession).

What are the four variables of the marketing mix?

Product, Price, Place, and Promotion.

What does the term 'target market' refer to?

The group of people toward whom the firm aims its marketing efforts and merchandise.

What is the significance of the marketing mix?

It combines variables to satisfy the needs of the target market.

What is included in the product element of the marketing mix?

Goods, services, ideas, customer service, package design, brand names, trademarks, patents, and warranties.

How does the external environment affect pricing strategies?

Factors like political unrest, fuel prices, and crop destruction can complicate pricing.

What is distribution in the context of marketing?

Decisions involving transportation, warehousing, inventory control, order processing, and marketing channels.

What is the role of promotion in marketing?

Communication to buyers about products, using methods like advertisements and sales promotions.

What is integrated marketing communications (IMC)?

A strategy to coordinate all promotional activities for a unified message to consumers.

What was a significant marketing achievement by Pepsi in 2015?

Pepsi became the second most popular soda in the U.S., surpassing Diet Coke.

What can the Pepsi vs. Diet Coke competition teach us about marketing?

It illustrates the importance of strategic marketing and consumer perception.

What does the term 'ownership utility' refer to?

The satisfaction derived from owning a product.

What is the focus of relationship marketing?

To move customers up the loyalty ladder through ongoing engagement.

What are the eight functions of marketing for physical goods?

Functions include buying, selling, transporting, storing, standardizing and grading, financing, risk taking, and market information.

How does the economy influence consumer behavior in marketing?

In a booming economy, consumers are more willing to spend; in a slow economy, they seek bargains.

What is the importance of customer service in the product element?

It enhances the buying experience and adds value to the product.

What is the definition of 'place' in the marketing mix?

The distribution channels through which products reach consumers.

What are the implications of technological advancements in distribution?

They open new channels of distribution and improve efficiency.

What is the historical significance of the five eras of marketing?

Each era reflects a different focus and approach to marketing practices over time.

What is the focus of production orientation in marketing?

Manufacturers stressed the production of quality products before seeking buyers.

During which period did production orientation peak?

In the early part of the twentieth century.

What characterizes the sales orientation era?

The belief that creative advertising and personal selling will persuade consumers to buy.

What significant change occurred in the marketing era since the 1950s?

The shift from a seller's market to a buyer's market, focusing on consumer needs.

What is the primary objective of a consumer orientation in marketing?

To satisfy the needs and wants of consumers for long-term success.

What does the relationship era focus on?

Developing long-term, value-added relationships with customers and suppliers.

What technological advancement characterizes the social era in marketing?

The use of the Internet and social media to connect with customers.

What is transaction-based marketing?

The traditional view of marketing as a simple exchange process.

Define relationship marketing.

The development, growth, and maintenance of long-term, cost-effective relationships for mutual benefit.

What is the goal of moving customers up the loyalty ladder in relationship marketing?

To transform new customers into advocates who recommend products to others.

What is mobile marketing?

Marketing messages sent to wireless devices, such as phones and tablets.

What is social marketing?

The use of online social media as a communications channel for marketing messages.

What does product marketing involve?

Efforts designed to communicate the benefits of a good or service.

How many categories of marketing are there?

Six categories.

What are the eight universal functions of marketing?

Buying, Transporting, Standardizing and Grading, Risk Taking, Selling, Storing, Financing, Securing Market Information.

What percentage of costs in a tangible product can be traced to marketing?

On average, half of the costs.

What is the first step in analyzing a marketing strategy?

Defining the target market.

Which element of the marketing mix includes the distribution of products?

Place.