The Role of Marketing Flashcards

Flashcards covering the role of marketing, market research, pricing strategies, and product lifecycle based on the lecture transcript.

What are the primary roles of marketing regarding product sales and customer needs?

To increase the sales of products and services profitably and to undertake market research to understand the needs of customers.

According to the lecture, what is the definition of marketing?

Finding the needs of consumers and demonstrating how a business fulfils those needs in a way that increases sales.

How is market research defined in the context of business decision-making?

The collection of data on consumer habits to help decision-making in marketing.

What are the three main learning outcomes concerning the role of marketing?

Identify and understand customers, inform customers/communicate, and increase sales profitably.

What are two methods Everything Voice uses to inform present and potential customers of technological developments?

Methods include email, website, trade fairs/meetings, social media, and phone.

What are three ways a business like Everything Voice might increase its sales?

Increase advertising (employ more marketing staff), expand the target market to other businesses needing reliable communication, or reduce service prices.

What is market segmentation?

The process of dividing customers with similar characteristics into sub-groups.

What are the '4Ps' of the marketing mix?

Price, place, promotion, and product.

Under which of the 4Ps does packaging fall?

Packaging comes under the banner of product.

What is penetration pricing?

Setting a low price for a new product in order to attract customers.

What is price skimming?

Setting a relatively high price at first, then reducing the price later on.

What is the difference between primary and secondary market research sources?

Primary sources include face-to-face interviews, focus groups, and questionnaires; secondary sources include magazine articles.

How is the growth stage of the product life cycle identified on a sales graph?

It is represented by a steep incline approaching the summit.

What is the primary purpose of using a regional distribution centre?

To allow for fast delivery to all parts of the country by having warehouses in different regions.

What is 'trialling' in a marketing context?

Using selected stores to test the popularity of a product.

What does digital distribution refer to?

Delivering products via the Internet, such as software and e-books, without physical distribution channels.

If Product A sales increase by $3 \text{ million}$ to a total of $6 \text{ million}$, what is the percentage increase?

The sales increase by $100\%$. ($\frac{3}{3} \times 100 = 100\%$).

If Product B sales increase by $1 \text{ million}$ to a total of $11 \text{ million}$, what is the percentage increase?

The sales increase by $10\%$. ($\frac{1}{10} \times 100 = 10\%$).

What is an example of point of sale promotion mentioned in the notes?

Offering free samples.

What is one disadvantage of using social media as an advertising medium for a sole trader?

The message and the rate of spread are controlled by the social media users, not the sole trader.