Chapter 13 study guide

Benefit segmentation

Dividing the market by determining which benefits of the product to talk about.

Brand name

A word, letter, or group of words or letters that differentiate one seller's goods and services from those of competitors.

Business-to-business (B2B) market

All the individuals and organizations that want goods and services to use in producing other goods and services or to sell, rent, or supply goods to others.

Consumer market

All the individuals or households that want goods and services for personal consumption or use.

Customer relationship management (CRM)

Learning as much as possible about customers and doing everything you can to satisfy or exceed their expectations.

Demographic segmentation

Dividing the market by age, income, and education level.

Environmental scanning

The process of identifying factors that can affect marketing success.

Focus group

A small group of people who meet under the direction of a discussion leader to communicate opinions.

Geographic segmentation

Dividing the market by cities, countries, states, or regions.

Marketing

The activity, set of institutions, and process for creating, communicating, delivering, and exchanging offerings with value for customers, clients, parents, and society at large.

Marketing concept

A three-part business philosophy involving customer orientation, service orientation, and profit orientation.

Marketing mix

The ingredients that go into a marketing program; also known as the four P’s: Product, price, place, promotion.

Marketing research

The analysis of markets to determine opportunities and challenges, and to find the information needed to make good decisions.

Market segmentation

Dividing the total market into groups whose members have similar characteristics.

Mass marketing

Developing products and promotions to please large groups of people.

Niche marketing

Finding small but profitable market segments and designing or finding products for them.

One-to-one marketing

Developing a unique mix of goods and services for each individual consumer.

Primary data

Data that you gather yourself.

Product

Any physical good, service, or idea that satisfies a want or need plus anything that would enhance the product in the eyes of consumers.

Promotion

All the techniques sellers use to inform people about and motivate them to buy their products or services.

Psychographic segmentation

Dividing the market using the groups values, attitudes, and interests.

Relationship marketing

Keeping individual customers over time by offering them products that exactly meet their requirements.

Secondary data

Information that has already been compiled by others and published in journals and books or made available online.

Target marketing

Marketing directed toward those groups an organization decides it can serve profitably.

Test marketing

Testing products among potential users.

Volume segmentation

Dividing the market by usage (volume of use).

What is the main purpose of marketing today?

To help buyers buy, often accomplished by cultivating customer relationships.

What are the four eras of marketing evolution?

Production, Selling, Marketing concept, and Customer relationship.

What defines the production era philosophy?

Produce as much as you can, because there is a limitless market for it.

What is concept testing?

Developing an accurate product description and soliciting feedback to gauge appeal.

What are promotion techniques used in marketing?

Advertising, personal selling, public relations, publicity, word of mouth, and sales promotions.

What distinguishes B2B marketing from B2C marketing?

Business buyers have their own decision-making processes compared to individual consumers.