Marketing Exam 1 - Ormsbee Cedarville University

Marketing

process by which companies create value for customers and build strong customer relationships in order to capture value from customers in return

Needs

are states of felt deprivation

Wants

are the from human needs take they are shaped by culture and individual personality

Demands

Are human wants that re backed by buying power

Market offerings

Some combination of products, services, information, or experiences offered to a market to satisfy a need or want

Marketing myopia

Focusing only on existing wants and losing sight of underlying consumer needs

Exchange

The act of obtaining a desired object from someone by offering something in return

Market

Set of actual and potential buyers

Marketing management

The art and science of choosing target markets and building profitable relationships with them

Value proposition

The set of benefits or values it promises to deliver to customers to satisfy their needs

Societal marketing

The company's marketing decisions should consider consumers' wants, the company's requirements, consumers' long-run interests, and society's long-run interests

Marketing mix

Product, price, promotion, place

Integrated marketing program

Comprehensive plan that communicates and delivers intended value

Customer relationship management

Overall process of building and maintaining profitable customer relationships by delivering superior customer value and satisfaction

Customer-engagement marketing

Fosters direct and continuous customer involvement in shaping brand conversations, experiences, and community

Consumer-generated marketing

Brand exchanges created by consumers themselves

Partner relationship management

Involves working closely with partners in other company departments and outside the company to jointly bring greater value to customers

Customer lifetime value

The value of the entire stream of purchases that the customer would make over a lifetime of patronage

Share of customer

The portion of the customer's purchasing that a company in its product categories

Customer equity

The total combined customer lifetime values of all of the company's customers

Strangers

show low potential profitability and little projected loyalty.

Butterflies

are potentially profitable but not loyal.

True friends

are both profitable and loyal.

Barnacles

Are highly loyal but not very profitable

Strategic planning

The process of developing and maintaining a strategic fit between the organization's goals and capabilities, and its changing marketing opportunities

Business portfolio

The collection of businesses or products that make up the company

Portfolio analysis

Major activity in strategic planning whereby management evaluates the products and businesses that make up the company

Market penetration

Involves making more sales to current customers without changing its original product such as by adding new stores in current market areas to make it easier for customers to visit

Market development

Involves identifying and developing new markets for its current products

Product development

Create new products that can be sold in existing markets

Value chain

Series of departments that carry out value creating activities to design, produce, market, deliver, and support a firm's products

Value delivery network

Made up of the company, suppliers, distributors, and ultimately customers who partner with each other to improve performance of the entire system

Strategic plan

Company's overall mission and objectives

Marketing plan

Which follows in development, describes how the company hopes to create customer value and achieve profitable relationships

Marketing strategy

Marketing logic by which the company hopes to create customer value and achieve profitable customer relationships

Customer value-driven marketing strategy

Market segmentation and the division of a market into distinct groups

Market segment

Group of consumers who respond in a similar way to a given set of marketing efforts

Marketing environment

The actors and forces outside marketing that affect marketing management's ability to build and maintain successful relationships with target customers

Microenvironment

Forces close to a company that influence it

Macroenvironment

Larger societal forces that affect the microenvironment

Marketing intermediaries

Firms that help the company to promote, sell, and distribute its goods to final buyers

Generational

Segmenting people by lifestyle or life stage instead of age

Value marketing

Involves offering financially cautious buyers' greater value

Marketing information system (MIS)

Provides info to the company's marketing and other managers and external partners such as suppliers, resellers, and marketing service agencies

Customer insights

Fresh and deep insights into customer needs and wants

Competitive marketing intelligence

The systematic collection and analysis of publicly available information about consumers, competitors, and developments in the marketing environment

Marketing research

The systematic design, collection, analysis, and reporting of data relevant to a specific marketing situation facing an organization - addressing specific question

Marketing intelligence

Scanning general marketing environment Without specific question in mind

Ethnographic research

Sending trained observers to watch and interact with consumers in their "natural environments"

Netnography research

Observing consumers in a natural context on the internet and mobile space