MKT 340 Iowa State University Exam 1

Customers seeking fair return for goods/ services for their hard earned money are seeking ____________ which reflects the relationship of benefits to cost.

Value

Core Aspects of Marketing

- Marketing entails an exchange.

- Marketing helps create value.

4 P's

Product, Price, Place, Promotion

Of the 4 P's, _____ is whatever the buyer gives up in exchange for product--for example, money, time, or energy.

Price

Product _____________.

Creating Value

Price ___________.

Captures Value

Place ___________.

Delivers Value

Promotion ___________.

Communicates Value

How do marketers inform, persuade, and remind potential buyers about a product or service?

Promotion

Two key elements marketers consider when determining price.

- How much customers are willing to pay

- Ensure sellers reach a reasonable profit

Marketing mix that aims at creating value by providing features and benefits to meet customer needs.

Product

B2B (business-to-business)

the process of selling merchandise or services from one business to another

B2C (business-to-consumer)

the process in which businesses sell to consumers

C2C (consumer-to-consumer)

the process in which consumers sell to other consumers

B2B example

Manufacturer sells a computer to a retailer

B2C example

Retailer sells a computer to customer A

C2C example

Customer A sells computer to his friend

In order to compete successfully most firms today, operating in the market orientation phase of marketing, have to provide their customers with better _______-based marketing than their competitors.

Value

Fundamental factor underlying all buyer-seller relationships.

Exchange

If a car manufacturer wanted to segment its marketplace it would:

- divide consumer into groups based on income

- identify customer needs for different types of cars

A core aspect of marketing, borrowed from economics, includes a(n) ___________, which is a transaction in which things of value are traded by buyers and sellers.

exchange

any intangible offering that involves a performance that CANNOT be physically touched

service

whatever the buyer gives up in exchange for the product is...

price

in a ____ orientation, lifetime probability is more important than money made during each transaction

relational

Firms must instill good service over the long term to consumers so it becomes part of _____ and helps retain loyal customers.

organizational culture

strategies for achieving operational excellence are....

- efficient operations

- supply chain management

- strong relationships with suppliers

A ________ competitive advantage is an advantage over the competition that is not easily copied and can be maintained over a long period of time.

sustainable

SWOT analysis

strengths, weaknesses, opportunities, threats

licensing of a brand, a reputation, and large amount of retail stores is which part of SWOT

strengths

macro strategies for developing customer value through effective branding and postioning

product excellence

A firm can build sustainable competitive advantage:

- through some business activities over a long period of time

- when it outperforms competition

of the five-step marketing planning process, marketing managers are responsible for implementing the 4 P's of the marketing mix.

fourth step

a market segment consists of _____ who respond similar to a firm's marketing efforts.

customers

Step 1 of Marketing Plan

business mission and objectives

Step 2 of Marketing Plan

situation analysis (SWOT)

Step 3 of Marketing Plan

identifying and evaluating opportunities using STP

Step 4 of Marketing Plan

Implement Marketing Mix and allocate resources. Use the Four P's to allocate products and services appropriately.

Step 5 of Marketing Plan

Evaluate your performance through Marketing Metrics. Can determine why it did or did not achieve its goals and therefore decide where to go from there. (control phase)

STP

Segmentation, Targeting, Positioning

the process of defining the marketing mix variables so that target customers have a clear, distinctive, desirable understanding of what the product does is....

marketing position

competitive advantage that is not easily copied and can be maintained over a long period of time

sustainable

A metric is a ______ that quantifies a trend, dynamic, or characteristic

measuring system

a strategy that employs existing products or services to reach a new market segment is....

marketing development

Some commonly used financial performance metrics include:

- profits

- sales revenue

One of the app pricing models is known as __________ apps which charge the customer an upfront price to download the app

paid

3 stages of social media engagement process

1. listen

2. analyze

3. do

During a social media marketing campaign, step 4 is to ensure that an adequate _ is developed to support the campaign.

budget

4E Framework for Social Media

Excite, Educate, Experience, Engage

paid apps with in-app purchases

Require the customer to pay initially to download the app and then offer the ability to buy additional functionality

best micro-blog

twitter

Effective uses of corporate blogs include:

- developing long term relationships

- educating customers

- connecting and engaging with customers

blogs written by people who review and give recommendations

professional

enables customers to scan a product in store and compare prices

show rooming

how much control do companies generally have over corporate blogs

high degree

step 4 social media marketing campaign

adequate budget

4 types of pricing models for apps

- freemium

- paid apps

- ad supported

- paid apps with in-app purchases

if advertising is included in a social media campaign , costs are determined

set daily budget

average consumer least likely will trust a....

corporate blog

total requests for a page

hits

percentage of potential customers

conversion rate

Steps in Social Media Marketing Campaign

1. Identify strategy and goals

2. Target audience

3. Campaign: experiment and engage

4. Budget

5. Monitor and change

Stakeholders include

- Consumers

- Marketing intermediaries

- Stockholders

- Employees

the evolution of ____ marketing means that now companies take into consideration not only their shareholders but stakeholders

conscious

An example of corporate social responsibility is when a firm

lessens the negative impact on the environment

Steps in ethical decision making

1. identify issues

2. gather information and identify stakeholders

3. brainstorm and evaluate alternatives

4. choose a course of action

blending of economic, social, and and environmental performance

tripple bottom

gives a company a sense of purpose beyond making a profit

conscious marketing

American Marketing Association provides a document for ethical behaviors called

statement of ethics

Triple Bottom Line

people, planet, profit

in which stages of the marketing planning process do firms address conscious marketing

- planning

- control

- implementation

whereas conscious marketing takes a holistic view, CSR takes a

mechanistic

CSR (Corporate Social Responsibility)

A business's concern for the welfare of society.

systems are put in place during the _______ phase to check whether ethical issues raised in the planning phase have been addressed.

control

consumers in a generational ______ are groups of people in the same generation

cohert

which covert represents the widest age range, ranging from teenagers to young adults with children

Gen Y

a new technology called ________ allows a company to follow items as they move through the supply chain

RFID

the most important immediate environmental factors that impact consumers

- company

- competitors

- corporate partners

government legislation policies to protect consumers

- children's television act

- nutrition labeling and education act

- consumer product safety act

when a company uses more resources advertising green products than it actually spends on environmentally sound practices

greenwashing

immediate environmental factors that impact consumers

- corporate partners

- the company

- competition

Gen Y

people born between 1986-2002; also known as Echo Boomers and Millennials