Marketing Mix Lecture

A comprehensive set of vocabulary flashcards covering key terms from the lecture on the marketing mix, including product concepts, pricing strategies, promotion methods, and distribution channels.

Marketing Mix (4 Ps)

The controllable set of four key marketing elements—Product, Price, Promotion, and Place—used to satisfy customers and achieve organizational goals.

4 Cs

A customer-oriented alternative to the 4 Ps: Customer Solution, Customer Cost, Convenience, and Communication.

Product

Anything offered to a market for use or consumption; one of the 4 Ps.

Value Package

The total bundle of benefits a product offers, including features, design, packaging, ordering ease, credit, delivery, warranties, and post-purchase support.

Consumer Products

Goods bought by final consumers for personal use.

Convenience Goods

Low-priced, frequently purchased items requiring minimal buying effort.

Shopping Goods

Products for which consumers compare quality, price, and style before purchase.

Specialty Goods

Unique items with distinctive characteristics for which buyers make a special purchasing effort.

Industrial Products

Items bought for use in producing other goods or running a business.

Expense Items

Short-lived industrial products such as supplies and services.

Capital Items

Long-lasting industrial products like machinery or buildings used in production.

Product Development Process

The systematic steps from generating ideas to launching a new product.

Idea Generation

First stage of product development; collecting new product concepts.

Screening

Evaluating ideas to eliminate those lacking potential or resources.

Research

In-depth market and technical studies to assess product feasibility.

Design

Creating detailed product specifications and prototypes.

Testing

Assessing the product and marketing plan with target customers; may lead to redesign.

Launch

Commercial introduction of the final product to the market.

Product Life Cycle (PLC)

The stages a product goes through: Introduction, Growth, Maturity, and Decline.

Introduction Stage

PLC phase when the product is first launched; sales low, costs and promotion high.

Growth Stage

PLC phase of rapid sales increase and rising profits as awareness grows.

Maturity Stage

PLC phase where sales peak and competition intensifies; goal is to extend life cycle.

Decline Stage

PLC phase of falling sales; product may face clearance or discontinuation.

Product Extension

Marketing an existing product in global markets to lengthen its life cycle.

Product Adaptation

Modifying a product to better suit different countries or segments.

Reintroduction

Reviving an obsolete or declining product for new markets.

Price

The amount charged for a product; must cover costs, support profit goals, fit market share aims, and consider competitors.

Mark-up

An addition to product cost to arrive at the selling price.

Mark-down

A reduction from the original selling price.

Penetration Pricing

Setting a low introductory price to quickly attract buyers and gain market share.

Price Skimming

Setting a high initial price to attract buyers less sensitive to cost.

Promotion

Marketers’ efforts to communicate with target audiences to inform, persuade, or remind.

Promotional Mix

The blend of tools—advertising, personal selling, sales promotion, publicity/PR—used to promote a product.

Advertising

Paid, non-personal communication through mass media about a product.

Personal Selling

Face-to-face process where a seller identifies, converts, and maintains customers.

Sales Promotion

Short-term incentives to encourage immediate purchase or action.

Coupon

Sales promotion offering a price discount when presented at purchase.

Point-of-Purchase Display

In-store presentation designed to stimulate impulse buying.

Premium

Free gift or reduced-price item offered as an incentive with purchase.

Trade Show

Exhibition where companies display products to industry buyers and media.

Publicity

Unpaid media coverage about a firm, its products, or actions.

Public Relations (PR)

Planned efforts to build goodwill and mutual understanding with stakeholders.

Place

Marketing activities that move products from producer to consumer and make them easily accessible.

Direct Marketing Channel

Distribution path with no intermediaries between producer and consumer.

Indirect Marketing Channel

Distribution path containing one or more intermediary levels.

Distribution Mix

The combination of channels a firm uses to deliver products to end users.

Intermediary

Individual or firm that helps move products from producer to consumer.

Wholesaler

Intermediary that sells products to other businesses for resale.

Retailer

Intermediary that sells products directly to consumers.

Sales Agent/Broker

Independent intermediary representing multiple manufacturers to wholesalers or retailers.

Intensive Distribution

Strategy of placing a product in as many outlets as possible.

Exclusive Distribution

Strategy granting limited intermediaries exclusive rights to sell in a geographic area.

Selective Distribution

Strategy using only intermediaries that give special attention to the product.