Marketing Exam #1 Melissa Moore Mississippi State University

Satisfying customer needs

What is the short hand definition of marketing?

7.4 billion

What is the world population?

325 million

What is the US population?

Marketing

creating value for customers and building strong customer relationships in order to capture value from customers in return

needs, wants and demands;
market offerings;
value and satisfaction;
exchanges and relationships;
markets

What are the 5 core concepts of marketing

Needs, Wants, Demands

What is the first core concept of marketing

needs

states of felt deprivation

wants

Form taken by human needs when shaped by culture and individual personality

demands

Human wants that are backed by buying power

market offerings

What is the 2nd core concept in marketing

entities

products, services, persons, places, organizations, information, and ideas

marketing myopia

paying more attention to the specific products a company offers than to the benefits and experiences produced by these products

Value and Satisfaction

What is core concept 3 in marketing

value proposition

the set of benefits or values it promises to deliver to consumers to satisfy their needs

satisfaction

feelings of pleasure or disappointment resulting from comparing a product's perceived performance in relation to expectations

Attract new customers by promising superior value;
Keep and grow current customers by delivering satisfaction

What are the goals of marketing

understand the marketplace and customer needs and wants

What is the first step of the marketing process

Design a customer-driven marketing strategy

What is the second step of the marketing process

construct and integrated marketing program that delivers superior value

What is the third step of the marketing process

Build profitable relationships and create customer delight

What is the fourth step of the marketing process

capture values from customers to create profits and customer equity

What is the fifth step of the marketing process

exchanges and relationships

What is the 4th core concept of marketing

exchange

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

creating, maintaining, and growing desirable exchange relationships with target audiences

marketing consists of...

Markets

What is core concept number 5 of marketing

marketing management

(the are and science of) choosing target markets and building profitable relationships with them

target market and value proposition

What are the basic factors to design a winning marketing strategy

4 p's:
product
price
place
promotion

What does the marketing mix consist of

customer-perceived value

the customer's evaluation of the difference between all the benefits and all the costs of a marketing offer relative to those of competing offers

production concept
product concept
selling concept
marketing concept
societal marketing concept

What are the marketing management orientations

It starts with the factory focuses on existing products through means of selling and promoting with an end result of profits through sales volume

What is the selling concept

It starts with the market focuses on customer needs through means of integrated marketing with an end result of profits through customer satisfaction

What is the marketing concept

customer satisfaction

the extent to which a product's perceived performance matches a buyer's expectations

utilitarian; affective; symbolic; obligatory

What are the different types of bonds/attachments

Customer-engagement marketing

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

customer lifetime value

the value of the entire stream of purchases a customer makes over a lifetime of patronage

customer equity

the total combined customer lifetime values of all of the company's current and potential customers

share of customers

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

Selling Concept

the idea that consumers will not buy enough of the firm's products unless the firm undertakes a large-scale selling and promotion effort

consumer relationship management

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

marketing concept

a philosophy in which achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than competitors do

product concept

the idea that consumers will favor products that offer the most quality, performance, and features; therefore, the organization should devote its energy to making continuous product improvements

Customer Relationship Management

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

market offerings

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

creating profits and customer equity

How does the marketing process capture value from customers

strategic planning

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

value chain

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

customer-focused and develop a smooth functioning value chain

Marketers should ensure all the departments are...

defining the company mission

What is the first step in strategic planning

Setting Company Objectives and Goals

What is the second step in strategic planning

Designing the business portfolio

What is the third step in strategic planning

planning marketing and other functional strategies

what is the fourth step in strategic planning

value delivery network

made up of the company, its suppliers, its distributors, and its customers who partner with each other

business portfolio

the collection of businesses and products that make up the company

cash cow

According to the BCG growth-share matrix what has a low market growth rate and a high relative market share

star

According to the BCG growth-share matrix what has a high growth rate and a high relative market share

question mark

According to the BCG growth-share matrix what has a high market growth rate and a low relative market share

dog

According to the BCG growth-share matrix what has a low market growth rate and a low relative market share

market oriented

satisfying basic customer needs

product oriented

focuses on the product

downsizing

Reduces the business portfolio by eliminating products or business units that are not profitable or that no longer fit the company's overall strategy

Rapid growth of the company;
Lack of experience in a market;
Change in market environment;
Decline of a particular product

What are reasons we downsize

market penetration

According to the product/market expansion grid (also known as Ansoff's matrix) which has existing markets and existing products

product development

According to the product/market expansion grid (also known as Ansoff's matrix) which has existing markets and new products

market development

According to the product/market expansion grid (also known as Ansoff's matrix) which has new markets and existing products

diversification

According to the product/market expansion grid (also known as Ansoff's matrix) which has new markets and new products

marketing strategy

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

market segmentation

Dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors, and who might require separate products or marketing programs

market segment

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

market targeting

evaluating each market segment's attractiveness and selecting one or more segments to enter

positioning

Arranging for a product to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers

differentiation

to create superior customer value

strengths

For the SWOT analysis which is positive and internal

opportunities

For the SWOT analysis which is positive and external

weaknesses

For the SWOT analysis which is negative and internal

threats

For the SWOT analysis which is negative and external

SWOT analysis

an overall evaluation of a company's strengths, weaknesses, opportunities, and threats

mission statement

describes the purpose of your organization—the reason for its existence

current marketing situation

describes the target market and the company's position in it, including information about the market, product performance, competition, and distribution

diversification

company growth through starting up or acquiring businesses outside the company's current products and markets

Market Implementation

turning marketing strategies and plans into marketing actions to accomplish strategic marketing objectives

market development

company growth by identifying and developing new market segments for current company products

product development

company growth by offering modified or new products to current market segments

market control

measuring and evaluating the results of marketing strategies and plans and taking corrective action to ensure that the objectives are achieved

Macro-and microenvironment

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

microenvironment

the actors close to the company that affect its ability to serve its customers—the company, suppliers, marketing intermediaries, customer markets, competitors, and public.

Federal Trade Commission Act

Monitors and remedies unfair trade methods

Gen X

the 49 million people born between 1965 and 1976 in the "birth dearth" following the baby boom.

natural environment

the physical environment and the natural resources that are needed as inputs by marketers or that are affected by marketing activities.

public

any group that has an actual or potential interest in or impact on an organization's ability to achieve its objectives.

technological environment

the forces that create new technologies, creating new product and market opportunities.

macroenvironment

the larger societal forces that affect the microenvironment—demographic, economic, natural, technological, political, and cultural forces.

Lanham Trademark Act

protects and regulates distinctive brand names and trademarks.

aggressive

Companies who hire lobbyists to influence legislation affecting their industries are said to be taking __________ action to affect the publics and forces in their marketing environment.

economic environment

economic factors that affect purchasing power and spending patterns.

Sherman Antitrust Act

prohibits monopolies and activities (price-fixing, predatory pricing) that restrain trade or competition in interstate commerce

marketing environment

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

baby boomers

the 78 million people born during the years following World War II and lasting until 1964

political environment

the laws, government agencies, and pressure groups that influence and limit various organizations and individuals in a given society.

Gen Y or Millennials

the 83 million children of the baby boomers born between 1977 and 2000.