BUS2000-Exam 3-Marketing

marketing

for creating, communicating, delivering, and exchanging offerings with value

customer orientation

putting customer first -what are they thinking of buying, what they like, treating then well

elements in the marketing mix

product, place, price, promotion

secondary data

company records, govt agencies, trade associations, research companies

primary data

specific to project - surveys, observations, focus group

secondary data advantage

easily accessible, low or no cost

secondary data disadvantage

doesn’t always coincide with your problem

why is secondary data used

inexpensive, quick to collect data but the data can be outdated

primary data advantage

takes time

primary data disadvantage

cost more

consumer (B2C) market

business sells products and services to final consumers

business to business (B2B) market

businesses selling to other businesses, not to individual people

what is marketing

try to understand what customers want and needs

customer orientation

what are they thinking of buying

service orientation (integrated effort)

everyone in the company works together to serve the customer well

profit orientation

market activity should focus on making money

market research process

find new problems, collect data, analyze the research data, choose the best solution and implement it(put a plan)

environmental scanning

the process of looking at changes in those environments to see whether there’s opportunities or threats coming up

marketing environment

sociocultural, competitive, economic, global, technological

demographic segmentation

age, education, income

mass marketing

try to please everyone with one product, one product mix variable

target marketing

sepárate the market, fix the target, you position particular way, and then you serve it

CRM (customer relationship marketing)

over times, we consider any transaction is not just one time connection but it is part of the long term connection

what is the last step on decision-making process

post purchase evaluation - feeling of regret

why do people buy particular products

seeking value

value

good quality at a fair price

total product offer

cost-benefit analysis

product mix

all the product items manufactured by a company

product differentiation

when a company makes its product different from competitors product to attract customers

convenience goods

widely available, low price, frequently purchased

what is the function of packaging

product the product, attract customers, provide information

generic brands

there is no name so you can attach to the product, except just mention what’s inside

new product development

idea generation, product screening, product analysis, development, testing, commercialization

product life cycle

4 stages - introduction, growth, maturity, decline

penetration strategy

you set to low price in the beginning , expecting that your sales to increase quickly, then increase the sale

skimming strategy

set high price in the beginning

non price competition

we charged certain amount of money as a price, but consumers are willing to pay more

non price competition

add value and offer higher quality, educate consumers, establish relationship

marketing intermediaries

helpers who get products from makers to buyers. wholesaler, retailer

wholesaler

buy a lot of products and sell them in smaller amounts

retailers

sell products directly to customers

why do we need middleman in intermediaries

to reduce the number of transactions, to make it more efficient

utility

form, time, possession, place, information, service

category killer

large stores that sell one category of all sections of items in good price

channel cooperation - contractual distribution

franchise systems

supply chain management

suppliers’ plants, manufacturers, wholesalers, retailers, consumers

channel of distribution

manufactures, wholesalers, retailers, consumers

promotions

marketing communication and promotion mix

promotion mix

advertising, personal selling, sales promotion, public relation

Integrated Marketing Communication (IMC)

when you advertise, you say we offer 50% discount for 2 days, should put the sign as advertise in the TV

relationship marketing

that is not just one transaction with transactional attitude, now we build a relationship with company and customer

advertising - informercials

a television program that promotes a product

steps in personal selling

prospect/qualify, pre approach, approach, presentation, objections, close, follow up

what is the last step in personal selling

follow up

personal selling

sales person will contract potential buyers, make a presentation, and make a sale

public relations advantages and disadvantages

it’s free and believable but has no control

promotional strategies

push and pull

pull promotional strategy

encourage customers to ask for the product. advertise heavily to consumers (let consumers pull them for retailer)

push promotional strategy

encourage retailers to sell to customers. push through Chanel members (wholesalers, retailer, consumer)