Marketing Notes: Research, Segmentation, Product & Promotion

Vocabulary flashcards covering the key terms and definitions from the lecture notes on marketing research, segmentation, product types, pricing, and promotion.

Marketing research

Systematic gathering, recording, and analysis of information about problems relating to marketing of goods and services to inform decision making.

Problem recognition

Stage in the marketing research process where the research problem to be studied is identified.

Identification of research objectives

Defining what the research aims to accomplish and the questions to answer.

Research design

Plan for the entire study, outlining methods and procedures for collecting and analyzing data.

Data collection

Gathering the information needed to address the research question (primary data).

Analysis & evaluation of results

Interpreting data to draw conclusions and inform decisions.

Exploratory research

Preliminary research to help define the problem and suggest hypotheses.

Descriptive research

Research that describes market potential, attitudes, or behaviors of buyers.

Causal research

Research that tests hypotheses about cause-and-effect relationships.

Primary data

Information collected by the marketer to address a specific research question.

Secondary data

Data originally collected by others (e.g., government, journals) used for the study.

Observational research

Gathering primary data by observing relevant people, actions, and situations.

Survey research

Gathering primary data by asking people questions about knowledge, attitudes, preferences, and buying behavior.

Experimental research

Gathering primary data by giving different treatments to matched groups, controlling related factors, and checking for differences in responses.

Mass marketing

An approach where the organization develops its marketing mix to appeal to the broadest group with the same product and message.

Market segmentation

Dividing a market into distinct groups with distinct needs, characteristics, or behavior who might require separate products or marketing mixes.

Market segment

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

Demographic variables

Socio-demographic characteristics used for segmentation (e.g., age, gender, ethnicity).

Geographic location

Segmentation by geographic areas (rural/urban, region, etc.).

Behavioral variables

Purchasing habits, benefits sought, usage patterns.

Psychographic variables

Lifestyles, social class, personality, values.

Concentrated strategy

Directing marketing efforts to a specific market; focus on one segment.

Differentiated strategy

Targeting multiple segments with different products or marketing mixes.

Undifferentiated strategy

Using the same product for all consumers.

Bases for segmentation

Categories used to segment markets: socio-demographic, geographic, psychographic, and behavioral.

Socio-demographic

Demographic characteristics such as age, gender, income used in segmentation.

Geographic (segmentation)

Segmentation by location (rural/urban, region, climate).

Psychographic segmentation

Segmentation by lifestyles, social class, activities, opinions, and values.

Behavioral segmentation

Segmentation by purchasing habits, benefits sought, usage.

Market positioning

Arranging for a product to occupy a clear, distinctive, and desirable place in the minds of target consumers; promoted through promotion.

Positioning

The process of designing a product’s image and place in consumers’ minds.

Segmentation in business markets

Four broad classifications: demographics, operating variables, purchasing approaches, and usage segmentation.

Demographics (business markets)

Segmentation based on characteristics of the buying organization (e.g., company size, industry).

Operating variables

Business-market segmentation based on operating characteristics and technologies.

Purchasing approaches

Ways organizations purchase goods and services.

Usage segmentation (business markets)

Segmentation based on how customers use a product in business contexts.

Consumer products

Products purchased by the ultimate consumer.

Industrial products

Products purchased for use in the manufacture of other products or for resale to end users.

Product line

Groups of related products or services offered by a firm.

Product mix

The entire range of products and services offered by a firm; the set of all product lines and items.

Goods

Tangible items.

Services

Intangible activities or benefits that satisfy needs.

Non-durable goods

Goods consumed quickly, typically within three years or less.

Durable goods

Goods not consumed in a single use; lasting three years or more.

The 5 I’s of services

A framework describing service characteristics: Intangibility, Inseparability, Inconsistency, Inventory, and Interaction with customers.

Intangibility

Services cannot be seen, tasted, felt, heard, or smelled before purchase.

Inseparability

Services cannot be separated from their providers.

Inconsistency

Quality varies with who provides the service and when, where, and how.

Inventory

Services cannot be stored for later sale.

Interaction with customers

Customer interaction is a core part of service delivery.

Advertising

Any paid form of non-personal communication of ideas or products in the prime media; intended to persuade and inform; key elements are the message and the medium.

Personal selling

Oral communication with potential buyers aimed at making a sale; may focus on relationship-building and ends with closing the sale.

Sales promotions

Incentives to customers or channels to stimulate demand; typically short-term.

Public relations

Communication of a product/brand/business through media without paying for time/space; aims to create positive associations and media coverage (CSR is often part of this).

CSR

Corporate Social Responsibility; activities that support social goals and enhance brand image.

Push strategy

Promotional efforts directed at intermediaries in the distribution channel to move products through the channel.

Pull strategy

Promotional efforts directed at end users to create demand and pull products through the channel.

Introduction stage (Product Life Cycle)

Advertising creates awareness for a new product.

Growth stage (Product Life Cycle)

Advertising is needed to compete as competition increases.

Maturity stage (Product Life Cycle)

Promotional focus is on maintaining existing buyers.

Decline stage (Product Life Cycle)

Promotional effort diminishes.

Sender

The person or company that sends the marketing message.

Receiver

The target of the marketing communication.

Marketing research

Systematic gathering, recording, and analysis of information about problems relating to marketing of goods and services to inform decision making.

Stages of Marketing Research

The five stages of the marketing research process are: 1. Problem recognition, 2. Identification of research objectives, 3. Research design, 4. Data collection, 5. Analysis & evaluation of results.

Problem recognition

Stage in the marketing research process where the research problem to be studied is identified.

Identification of research objectives

Defining what the research aims to accomplish and the questions to answer.

Research design

Plan for the entire study, outlining methods and procedures for collecting and analyzing data.

Data collection

Gathering the information needed to address the research question (primary data).

Analysis & evaluation of results

Interpreting data to draw conclusions and inform decisions.

Exploratory research

Preliminary research to help define the problem and suggest hypotheses.

Descriptive research

Research that describes market potential, attitudes, or behaviors of buyers.

Causal research

Research that tests hypotheses about cause-and-effect relationships.

Primary data

Information collected by the marketer to address a specific research question.

Secondary data

Data originally collected by others (e.g., government, journals) used for the study.

Types of Data Collection

Methods for gathering primary data: Observational research, Survey research, and Experimental research.

Observational research

Gathering primary data by observing relevant people, actions, and situations.

Survey research

Gathering primary data by asking people questions about knowledge, attitudes, preferences, and buying behavior.

Experimental research

Gathering primary data by giving different treatments to matched groups, controlling related factors, and checking for differences in responses.

Mass marketing

An approach where the organization develops its marketing mix to appeal to the broadest group with the same product and message.

Market segmentation

Dividing a market into distinct groups with distinct needs, characteristics, or behavior who might require separate products or marketing mixes.

Bases for segmentation

Categories used to segment markets: socio-demographic, geographic, psychographic, and behavioral.

Demographic variables

Socio-demographic characteristics used for segmentation (e.g., age, gender, ethnicity, income).

Geographic location

Segmentation by geographic areas (rural/urban, region, climate).

Psychographic variables

Segmentation by lifestyles, social class, personality, values, activities, and opinions.

Behavioral variables

Purchasing habits, benefits sought, usage patterns.

Market positioning

Arranging for a product to occupy a clear, distinctive, and desirable place in the minds of target consumers; promoted through promotion.

Positioning

The process of designing a product’s image and place in consumers’ minds.

Segmentation in business markets

Four broad classifications for segmentation: Demographics, Operating variables, Purchasing approaches, and Usage segmentation.

Demographics (business markets)

Segmentation based on characteristics of the buying organization (e.g., company size, industry).

Operating variables

Business-market segmentation based on operating characteristics and technologies.

Purchasing approaches

Ways organizations purchase goods and services.

Usage segmentation (business markets)

Segmentation based on how customers use a product in business contexts.

Goods (Product)

Tangible items, such as medical devices or pharmaceuticals in a healthcare context.

Services

Intangible activities or benefits that satisfy needs, such as medical consultations, surgeries, or nursing care.

Consumer products

Products purchased by the ultimate consumer.

Industrial products

Products purchased for use in the manufacture of other products or for resale to end users, such as hospital equipment or bulk medical supplies.

Product line

Groups of related products or services offered by a firm. For a healthcare system, this might be a 'Surgical Services' product line including general surgery, orthopedic surgery, and cardiac surgery.

Product mix

The entire range of products and services offered by a firm; the set of all product lines and items. For a healthcare system, this could include hospital services, outpatient clinics, urgent care centers, home health services, and pharmacies.

The 5 I’s of services

A framework describing service characteristics: Intangibility, Inseparability, Inconsistency, Inventory, and Interaction with customers.