Flashcards Marketing Exam 9/30/26

Product (one of the 4 Ps)

The goods-and-services combination the company offers to the target market.

Price (one of the 4 Ps)

The amount of money customers must pay to obtain the product.

Value

A customer's overall assessment of the benefits a product/service provides relative to its cost.

Marketing concept

Know the needs/wants of target markets and deliver satisfaction better than competitors

Customer equity

The total combined customer lifetime values of all of a company's customers.

Marketing mix

The set of tactical marketing tools (the 4 Ps) that a firm blends to produce the response it wants in the target market.

Product concept

Consumers favor products offering the most quality, performance, and features — firm should focus on continuous product improvement.

Marketing myopia

Paying more attention to the specific products a company sells than to the benefits/experiences those products produce.

Customer lifetime value

The value of a customer's entire stream of purchases over a lifetime of patronage.

Value proposition

The full mix of benefits a brand promises to deliver to satisfy customer needs

Promotion (one of the 4 Ps)

Activities that communicate the merits of the product and persuade target customers to buy it.

Customer-generated marketing

Brand exchanges created by consumers themselves — invited and uninvited — through which consumers help shape their own brand experience.

Place (one of the 4 Ps)

Company activities that make the product available to target consumers.

Customer engagement marketing

Making the brand a meaningful part of consumers' conversations and lives by fostering direct, sustained engagement.

Market offerings

Some combination of products, services, information, or experiences offered to a market to satisfy a need or want.

Needs, wants, demands

_____ = felt deprivation;

_____ = needs shaped by culture/personality;

_____ = wants backed by buying power.

Selling concept

Consumers won't buy enough of a firm's products unless it undertakes large-scale selling and promotion efforts.

Market

The set of all actual and potential buyers of a product or service.

Exchange

The act of obtaining a desired object from someone by offering something in return.

Societal marketing concept

Balances company profits, consumer wants, AND society's long-run interests.

Share of customer

The portion of a customer's total purchasing that a company captures in its categories.

Production concept

Consumers favor products that are available and highly affordable.

Product, Price, Place, Promotion.

The 4 Ps of the marketing mix

Competitive rivalry, threat of new entry, supplier power, buyer power, threat of substitution

Porter's Five Forces — the 5 forces.

Goals

Specific, measurable targets a company aims to achieve, typically derived from its broader objectives.

SWOT analysis

Strengths, Weaknesses (internal) and Opportunities, Threats (external)

BCG Matrix — 'Stars'

High growth, high market share — require heavy investment, will become cash cows.

Market penetration (growth strategy)

More sales to current customers without changing the product.

Diversification (growth strategy)

Starting/acquiring businesses beyond current products and markets.

BCG Matrix — 'Dogs'

Low growth, low market share — generate little cash and don't promise much.

Mission statement

A statement of the organization's purpose — what it wants to accomplish in the larger environment.

Strategic planning

Developing and maintaining a strategic fit between the org's goals/capabilities and its changing marketing opportunities.

Product development (growth strategy)

Offering modified or new products to current market segments.

BCG Matrix — 'Cash Cows'

Low growth, high market share — established, need less investment.

Capabilities

The internal resources, skills, and competencies a company has available to pursue opportunities.

Market development (growth strategy)

Identifying and developing new markets for current company products.

Opportunities

Favorable conditions in the external environment that a company can exploit for growth or advantage.

BCG Matrix — 'Question Marks'

High growth, low market share — need lots of cash to hold or build share.

Marketing

process by which companies create value for customers

and build strong customer relationships in order to capture value from

customers in return.

Integrated marketing program

a comprehensive plan that communicates and

delivers intended value

Marketing management

the art and science of choosing target markets and

building profitable relationships with them.

Strategic planning

process of developing and maintaining a

strategic fit between the organization’s goals and capabilities, and its

changing marketing opportunities

Demographics

The study of human populations in terms of size, density, location, age, gender, race, occupation, and other statistics.

Economic environment

Factors that affect consumer purchasing power and spending patterns.

Political environment

Laws, government agencies, and pressure groups that influence and limit organizations and individuals in society.

Environmental sustainability

A management approach involving developing strategies that both sustain the environment and produce profits for the company.

Macroenvironment

Larger societal forces: demographic, economic, natural, technological, political, cultural.

Cultural environment

Institutions and other forces that affect a society's basic values, perceptions, preferences, and behaviors.

Core beliefs and values

Persistent beliefs passed parent-to-child, reinforced by schools/government — very hard for marketers to change.

Disintermediation

The elimination of intermediary layers between producers and consumers, often through direct or online channels.

Generational cohorts

Groups born in the same period who share cultural/political/economic experiences (Boomers, X, Y, Z).

Microenvironment

Actors close to the company that affect its ability to serve customers (company, suppliers, intermediaries, competitors, publics, customers).

Secondary beliefs and values

More open to change than core beliefs — marketers have some chance of shifting these.

Technological environment

The most dramatic force shaping the marketplace, creating new products but raising safety/regulatory concerns.

'Same for less' (value proposition)

Offering a good deal — similar quality at a lower price, often through purchasing power or lower costs.

More for less' (value proposition)

The ideal, hardest-to-sustain value proposition — more benefits at a lower price.

One-to-one marketing (individual/customized)

Tailoring products and marketing programs to the needs and preferences of individual customers.

Behavioral segmentation

Segmenting by occasion, benefits sought, user status, usage rate, and loyalty.

Market segmentation

Dividing a market into smaller groups of buyers with distinct needs, characteristics, or behaviors.

Market targeting

Evaluating each segment's attractiveness and selecting one or more to enter.

Psychographic segmentation

Dividing a market into different groups based on social class, lifestyle, or personality traits.

Geographic segmentation

Dividing a market into different geographical units such as nations, states, regions, counties, or cities.

Competitive advantage

An advantage gained by offering greater customer value via lower prices or benefits justifying a higher price.

Positioning map (perceptual map)

A visual chart that shows consumer perceptions of a brand versus competing products on important buying dimensions.

Mass marketer

A firm that uses undifferentiated marketing, ignoring segment differences and targeting the whole market with one offer.

Positioning

Arranging for an offering to occupy a clear, desirable place in consumers' minds relative to competitors.

'More for the same' (value proposition)

High quality at a lower price than a 'more for more' competitor.

Market specialist

A firm that concentrates on serving many needs of a particular customer group.

'Less for much less' (value proposition)

Meeting lower performance or quality needs at a much lower price.

'More for more' (value proposition)

The most upscale product/service offered at a higher price.

Differentiation (general definition)

Actually differentiating the firm's market offering to create superior customer value.

Niche marketing

Going after a large share of one or a few smaller segments.

Positioning statement format

'To (target segment/need), our (brand) is (concept) that (point of difference)'

Product specialist

A firm that sells a certain product to several different market segments.

Demographic segmentation

Segmenting by age, gender, income, occupation, education — the most popular basis.

Product position

The way consumers define a product on important attributes relative to competitors.

Sample 4

A segment of the population selected for marketing research to represent the population as a whole.

Secondary data

Info that already exists, having been collected for another purpose.

Open-ended questions 4

Survey questions that allow respondents to answer in their own words.

Closed-ended questions 4

Questions that include all possible answers, and respondents choose among them.

Casual research 4

Testing hypotheses about cause-and-effect relationships.

Survey research 4

The most widely used method for collecting descriptive information about consumer knowledge, attitudes, preferences, and buying behavior.

Customer insight(s) 4

Fresh understanding of customers/market that becomes the basis for value and competitive advantage.

Neuromarketing 4

Research using mechanical instruments to measure brain activity/body responses to stimuli.

Chief Privacy Officer (CPO) 4

An executive responsible for safeguarding consumer/employee data privacy.

Marketing research (definition) 4

The systematic design, collection, analysis, and reporting of data relevant to a specific marketing situation facing an organization.

Sample size 4

How many people should be surveyed to achieve reliable results.

Social targeting 4

Mining a person's social connections' activity to serve ads.

Observational research 4

Gathering primary data by observing relevant people, actions, and situations.

Descriptive research 4

Marketing research to better describe marketing problems, situations, or markets, such as market potential or consumer demographics.

Sampling unit 4

Who is to be surveyed — the target population for the sample.

Exploratory research 4

Gathering preliminary info to define the problem and suggest hypotheses.

Primary data 4

Information collected for the specific purpose at hand.

Sampling procedure 4

How respondents should be chosen (e.g., probability vs. non-probability sampling).

Marketing information system (MIS 4

People/procedures to assess info needs, develop information, and help decision-makers generate insights.

Experimental research 4

Gathering primary data by selecting matched groups of subjects, giving them different treatments, and measuring resulting differences.

Behavioral targeting 4

Using a person's own online browsing/purchase history to serve ads

Market challenger

~30% share, aggressively pursues growth against the leader.

Barriers to entry

Obstacles like patents/learning curves that make it hard for new firms to enter a market.

Market follower

A runner-up firm (roughly 20% share) that chooses not to rock the boat, instead holding its share steady.