MKTG 301 Midterm UW Meyer

Marketing myopia

Defining your business by the product you sell instead of the customer need you serve.

SWOT analysis

A framework for analyzing strengths, weaknesses, opportunities, and threats.

Switching costs

The money, time, effort, and risk a customer faces when changing from one provider to another.

Customer acquisition

The process of winning new customers, measured by cost of acquisition.

Customer retention

The act of keeping existing customers, generally cheaper than acquiring new ones.

Bundling

Selling multiple products together for one price.

Bundling pros

Benefits include raising perceived value, increasing average order size, and cross-selling.

Bundling cons

Potential drawbacks include diluted margins and unwanted items in the bundle.

Pure vs. mixed bundling

Pure bundling means items are sold only together; mixed allows sales both together and separately.

Targeting strategy: undifferentiated

A strategy offering one product for the entire market.

Targeting strategy: differentiated

A strategy with different offers for multiple segments.

Targeting strategy: concentrated

A focus on one offer for a single niche segment.

Targeting strategy: micromarketing

Tailoring marketing efforts to individual customers or small local groups.

Crossing the chasm

The gap between early adopters and the early majority in technology adoption.

Technology adoption life cycle

A model that categorizes consumers into innovators, early adopters, early majority, late majority, and laggards.

How to cross the chasm

Target a niche segment, deliver a complete product, then expand outward.

Main variable (positioning)

The primary attribute for comparing competitors within a market.

Dynamic variable (positioning)

A differentiating attribute that distinguishes your brand in the market.

Laddering

A technique to show the emotional benefits of a product, moving from features to functional benefits.

Demographic segmentation pros

Easy to measure and reach.

Demographic segmentation cons

Weak predictor of actual behavior.

Behavioral segmentation pros

Strong predictor based on actual behavior.

Behavioral segmentation cons

Data can be harder to acquire, and finding new customers may be challenging.

Attitudinal segmentation pros

Captures the motivations behind purchases.

Attitudinal segmentation cons

Difficult to measure and target effectively.

Reliability (research)

The consistency of research results when repeated.

Validity (research)

The accuracy of research in measuring what it intends to measure.

Generalizability (research)

The applicability of sample results to the broader target population.

Ethnographic research pros

Provides rich insights and uncovers unspoken needs.

Ethnographic research cons

Can be slow, expensive, and subject to observer bias.

Focus groups pros

Offer fast insights and spark idea generation through discussion.

Focus groups cons

Small sample size and risks of groupthink or moderator bias.

Surveys pros

Allow for large samples and can be generalized.

Surveys cons

Low response rates and lack of depth.

Interviews pros

Provide depth and opportunity for follow-up questions.

Interviews cons

Can be costly and time-consuming, with potential interviewer bias.

Experimental research pros

Can demonstrate cause and effect relationships.

Experimental research cons

Can be expensive or artificial, and field tests might alert competitors.

Badge products

Products consumed publicly that signal status, identity, or group membership

Habit products

Frequently purchased, low-involvement products bought out of routine with little thought

Quantitative research

Structured, measurable data, hypothesis testing

Qualitative research

Unstructured, open-ended data, hypothesis building