Marketing 351 EXAM 2

Convenience Sampling

People you know for feedback

Random Sampling

Random people for feedback

Sampling methods

research on sample of people, then applying it to the population

Causal research

Cause + Effect, specific research

Exploratory research

New insights, test new products

Descriptive research

who, what, where?

Consumer behavior

Primary data

collected personally, specific problem

Secondary data

collected by another person, usually data that’s found online

Data visualization

help decision makers understand concepts

Marketing Research Process

1. Define the problem (research objectives)

2. Develop a research plan

3. Collect data

4. Analyze the data (data → information)

5. Present results & take action (formal report)

4 categories of new products

1. new to the market products

2. new category entries

3. product-line extensions

4. revamped products

New to the market products

never been seen, creates a new market

Most risky

Disruptive technology

smartphone vs cellphone, distractions

new category entries

new to a company, not the market (smart watches)

Less risky

Product-line extensions

products that extend a current company’s product line (Dyson air wrap)

Less risky

Revamped products

new packaging, different features, updated functions/designs

Severity of Risks

1. Very high - fails to meet wants/needs

2. High - quality does not meet standards

3. Moderate - supplier cost not covered

Product Life Cycle (PLC)

1. new product development

2. introduction

3. growth

4. maturity

5. decline

qualitative method

customers’ feelings, motivations, and perceptions

quantitative method

NUMERICAL data, patterns or behaviors using statistics

marketing ethics

more principles that guide how a company should behave during researching, promoting, pricing etc.

differentiated marketing strategy

Segmented marketing

different products across different segments

undifferentiated marketing strategy

one market, one message, entire market

niche marketing strategy

only one narrowly defined segment with specialized offering

perceptual map

visual diagram that shows how customers perceive competing brands

three primary objectives of an advertising campaign

inform

persuade

remind

informative advertising

attempt for initial demand for product

persuasive advertising

attempt to increase demand for existing product

Reminder advertising

product that’s easy to switch (shampoo, toothpaste, etc)

four bases of segmentations

1. define needs and wants

2. design specific marketing strategies

3. decide how to allocate marketing resources

adopter categories

1. innovators

2. early adopters

3. early majority

4. late majority

5. laggards

product placement

the showing of a product in a movie/show