Marketing Chapter 1

Marketing

Exploring, developing, and delivering products to satisfy target market.

Customer

A person who buys an organization's products or services.

Target Market

A specific group of customers that an organization focuses on.

Marketing Mix

The four marketing variables a firm can control to meet customer needs: (P.D.P.P.)
Product, Distribution, Promotion, and Pricing

What is P.D.P.P.

Product, Distribution, Promotion, Pricing

Product

A good, service, or idea offered to customers.

Distribution

Making products available and in appropriate locations.

Supply Chain Management (SCM)

Managing the flow of products through physical distribution activities.

Promotion

To persuade customers and create a desired response.

Value

usefulness a customer receives from a product or service.

Exchange

value that is traded between buyers and sellers, helping build relationships.

Stakeholder

A person or group that has a stake in a company's products and operations

Marketing Environment

The competitive forces that affect the marketing mix.

Marketing Concept

The idea that organizations should create products that satisfy customer needs

Market Orientation

An organization's commitment to researching and responding to customer needs.

Customer Relationship Management (CRM)

Using information about customers to create marketing strategies and develop rewarding customer relationships.

Relationship Marketing

Establishing long-term, mutually satisfying relationships between buyers and sellers.

Customer Lifetime Value (CLV)

A measurement that forecasts a customer's economic contribution based on the continued relationship with the company.

Green Marketing

Marketing strategies that emphasize environmental benefits

Certified B Corporation

A for-profit company that meets standards for social and environmental performance, accountability, and transparency.

Why is marketing more than advertising?

Marketing also involves products, pricing, distribution, promotion, customer relationships, and creating value.

Why is pricing important?

Products must be priced at a level customers are willing to pay while allowing the company to achieve its goals.

What are examples of pricing incentives?

Holiday sales, student discounts, coupons, and other discounts.

What can promotion accomplish?

Increase awareness, inform customers about products, persuade customers, support social/political positions, and maintain interest in established products.

Why must marketers plan for environmental changes?

Marketers cannot predict every change in the marketing environment, so they must prepare and adapt.