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Marketing mix,market resaerch and product life cycles (pg 57-62)
What are the 4 P’s of marketing and why are they important?
↳ Prouduct- fufills a want or need
↳ Price-right price so it’s good value for money
↳ Promotion- potential customers knows it exists
↳ Place- convenient place to buy and channel of distributation
What is segmentation?
↳ When people within a market are split up into different groups
Why is knowing market segments useful?
↳ Helps busineess find out their target market (aimed at)
Name some ways markets can be segmented?
↳ Age- teenage market
↳ Gender toiletry manufactors (stupidly gendered)
↳ Income- how much people make effects how much they are willing to buy
↳ Location
How is market research useful?
↳ Helps understand it’s customers and competitors
↳ Can satisfy wants and needs
↳ Increase sales- know demand and be able to adjust prices to help avoid making costly mistakes
↳ Stay competetive- gather information about other products and prices and show how they are differemt
↳Create target market- Produce promotional material that is effective
How can market research help find market opportunities?
↳ Find gap in the market
↳ Find marketing opportunites
What is primary research?
↳ Doing your own research by asking customers
↳ Qustionaires
↳ Phone surveys
↳ Focus groups
Advantges of primary research?
Find out new information and getting views on potential new products
↳ Up to date research and specific to your business
↳ Help find a target market
↳ Save costs by carrying out research online such as phone calls
Disdvantges of primary research?
↳ Can’t ask all customers
↳ Large samples are most accurate but expensive
↳ Time consuming
What is secondary research?
↳ Using other peoples research
↳ Internet
↳ Magazines
↳ Goverment publications
Advantges of secondary research?
↳ Look at past trends and whole market
↳ Cheaper then primary
↳ Instantantly avaialable
↳ Wide range
Disadvantges of secondary research?
↳ Not alwyas relevent to your specific needs
↳ Often out of date
What is quantitative data?
↳ Number based answers
What is qualititive data?
↳ Feelings and opions
↳ Harder to compare differnt opinions
What are the stages of a product life cycle?
↳ Research and development (R&D)- develop an idea
↳ Introduction- Procuct is launched and lots of advertisement and sales promotion (loss)
↳ Growth- demand increases until it’s established
↳ Maturity- demand reaches it’s peak causing less advertisement being needed and the product get’s more widely available (make back initial investment hopefully)
↳ Decline- demand starts to fall and rival producta take over unless an extention stratergy is used
What some types of extention stratergy
↳ Adding features- more useful and appealing increasing demand
↳ New packagaing- make it more eye catching so people are more likely to choose over competitors and can attract a new target market
↳ Target new market- increase potential customers
↳ Change advertising- promote in a more appealing way
↳ Reduce price- more people willing to spend money
