Marketing Midterm: Chapters 1,2,3,4,5,15

Differentiation

What makes a product unique and stand our to customers above other products

Exchange

A basic business function that takes place when a person or company satisfies a need by exchanging money for products or services

Marketing

the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.

Marketing management

The process of setting marketing goals, the planning and execution of activities to meet these goals, and measuring progress toward their achievement,

Marketing mix

the building blocks that a marketer can just to affect the overall marketing strategy of a product

People

encompasses the human actors who provide goods, services, and ideas to the customer.

Physical evidence

The tangible elements in the space that the good or service is sold.

Place

The means of getting the good, service, or idea to the customer

Process

the flow of activities involved in providing goods, services and ideas to the customer

Product

A good, service, or ideate satisfy a customers needs

Price

the amount that is being charged for their good, service, or idea.

Promotion

the means of communicating with the customer

The marketing concept

A management orientation that focuses on identifying and satisfying cucumber needs to ensure the organization’s long-term profitability.

The selling concept

The tendency to focus on selling current products and services to customers

The 4 P’s of Marketing

Product, Price, Place, and Promotion

The 7 P’s of Marketing

Product, Price, Place, and Promotion, People, Physical Evidence, and Process

Attitudes data

Measure consumers feelings, convictions, or beliefs about a brand

Awareness data

measure the knowledge consumers have of brands, products, and solutions

Case Analyses

Intensive studies of representative examples (cases) of the subject under study

Casual Research

Research that is quantitive in nature and focus on discovering the cause and effect relationship between variables

Data Mining

The process of searching or mining for insights from the patterns, trends, and relationships within data sets

Demographic/ socioeconomic data

measure characteristics of consumers, such as income, gender, education level, marital status, social status, and many others: analysis of this data often reveals certain segments of consumers with strong affinity or loyalty to a brand

Depth Interviews

Interviews with people who are knowledgeable about the general subject under investigation

Descriptive research

quantitative in nature and focuses on determining how often something occurs or how two things are related to each other.

Exploratory research

focus on gaining ideas or insights and is particularly helpful in funneling broad research questions into more precise ones

Focus Groups

a set of individuals from whom a researcher wished to Ian insists on using a structured interview process that is moderated by a facilitator

Intention data

measure future, anticipated behaviors; this data helps marketers predict demand or future consumption

Literature search

A search for statistics and content in various blogs, books, newspapers, or magazines for data or insight into the research project

Marketing research

The process of collecting and analyzing information from and about consumers to influence marketing strategy and decisions

Motivation data

measure the motives of consumers so as to understand what conditions drive behavior

Net Promoter Score (NPS)

A specific type of survey, used by many marketers, to measure the experience customers have with brands; a brands net promoter score is calculated by subtracting the percent of detractors in the survey from the percent promoters

Promoters

(scores of 9 and 10): customers who are loyal enthusiasts, tend to buy more, stay in relationships with brands longer , refer friends, and provide feedback and ideas

Passives

(scored of 7 and 8): customers who are satisfied but not enthusiastic about the brand; they are vulnerable to competitive offerings

Detractors

(scores between zero and 6): customers who are unhappy and can hurt your brand through negative word-of-mouth communications

primary data

new data that marketers must collect when no data exist to help marketing research hers persur answers to research

Projective methods

form of research that used indirect methods-usually some sort of task- that causes study participants to reveal their feeling, thoughts, and opinions or express behaviors

psychographic/ lifestyle data

measure personality traits interests, opinions, or lifestyle characteristics of consumers; these data are frequently combined with demographic data to let marketers create a persona of the ideal consumer

Qualitative research

the collection and analysis of non-numeric data to understand thoughts, ideas, and opinions. Begins with with “who” “what” “how” “why”

Quantitative Research

The collection and analysis of numeric data for the purpose of statistical analysis

Secondary data

pre-existing data that was originally gathered for another purpose but is helpful for current research projects

Survey

A poll designed to gather input, information, or opinions fro, a specific population of people

Buyer Persona

a semi-fictional representation of an ideal consumer that is based on real research

Concentrated marketing strategy

A targeted strategy wherein a company chooses only one segment to target and customizes a marketing mix for that target market

Demographic segmentation

segmenting the market according to statistic such as age, gender, income, ethnicity, and education

Differentiated marketing strategy

a targeted strategy wherein the company targets more than one market segment and develops a unique marketing mix to target each segment separately.

geographic location segmentation

segmenting the market according to where the consumers are located

Market segmentation

segmenting the larger market into smaller segments based on meaningfully shared characteristics and shared needs

Psychographic segmentation

Segmenting the market by consumer activities, values, interests, and opinions

Target marketing

Process of selecting one or more market segments for focused marketing efforts

Undifferentiated marketing strategy

the marketer uses only one strategy or marketing mix for the entire market; also known as mass marketing

usage behavior segmentation

segmenting the population based on how consumers use (usage situation) or how much they use (usage rate) a product

Confused positioning

occurs when a product is positioned by claiming too many benefits that are contradictory

Doubtful positioning

occurs when the way a product is positioned touts benefits that are simply not believable, or too good to be true.

First (in the market)

first to provide some service or functionality

Follower (in market)

other products preceded the product to market

irrelevant positioning

occurs when a product claims benefits differentiation that no group of customers cares about

Over positioning

Occurs when the product has been positioned too narrowly

Position

the space in the market for which the product is ideally suited, or the market you would like to occupy completely.

Positioning

the strategic process of developing a market position for a product involving collaboration between marketing, sales, and product management teams

Positioning matrix

a visualization in grid format of how various products in a market are positioned using the top differentiators as scales along an X and Y axis

Positioning statement

a succinct expression of a product market position

reposition

to find a niche in which to compete

target audience

this is the ideal customer segment of the niche you selected for the product you are positioning

under-positioning

occurs when a product has no clear advantage or differentiation, thus failing to convey to consumers an understanding of what makes the product better.

unique selling proposition

an adaptation of the product positioning statement for use in sales dialogues and communications

Buyer Behavior Process

The stages that consumers go through when deciding to purchase and consume a product

Buyers remorse

A phenomenon that occurs when a customer regrets a purchase decision

Consideration set

The collection of choices that a consumer considers and evaluates for consumption after disregarding any options that would be obviously unsuitable

Consumption

using goods and services to fulfill needs

Esteem needs(ego)

There are both internal and external needs

Internal esteem needs

Include self-respect, autonomy, and achievement

External esteem needs

Include status and recognition

Evaluation of alternatives

The consumer looks at the different viable options and weighs the upsides and downsides of each; the consumer compares and contrasts the different available options that they found

Evaluative criteria

The product attributes important to consumers

External Cue

A cue in the environment that signals a need

External search

Looking for information from outside sources

High Involvement purchases

Purchases that are often more costly and risker to the consumer than are low involvement purchases

Impulse purchases

Purchases made with very little thought or planning

Information search

The consumer searches for information regarding the options for purchase or consumption

Internal cue

A cue within a person that signals a need

Internal search

a search of a consumer’s own experience or memory is often the first place a consumer looks when looking for information

Level of involvement

How involved a consumer is with the purchase, how much money is spent, and how important the purchase is

Low involvement purchase

The purchase doesn’t cost much or there is not a risk for the customer if they make a purchase mistake.

Need

A gap between a consumers current state and their desired state

Need recognition

The consumer recognizes the her or she has a need to be filled

Physiological needs

Basic needs such as huger ,thirst, shelter

Purchase

The consumer decides to purchase, including where and how they purchase

Reaction

The consumer has consumed the product, be it a physical product or service and is please or displeased

Routine purchases

Purchases made regularly by a consumer

Safety needs

Needs for shelter and protection from harm

Search engine optimization

Designing or enhancing a website in ways that improve its visibility within one or more search engines

Self-actualization needs

Needs for finding enjoyment and purpose in life achieving ones potential

Social needs

Needs for belonging, community, friendship, relationship

Top mind awareness

reflected in the brands a consumer first recalls from memory

Word of mouth

A recommendation about a product or service from a consumer

Economic forces

All factors that influence the wealth or buying power of consumers, including inflation, income, employment, interest rates, and productivity, found in the external environment

Environmental scanning

The process of gathering and interpreting data in the immediate and external environments to identify possible opportunities and threats and to develop strategic plans for the,

External Environment

uncontrollable forces which effect the company and all actors in the immediate environment and establish the surrounding context in which business is conducted

Immediate environment

Actors that can directly influence a company’s ability to market successfully

Legal Forces

The regulatory systems that affect business at the local. regional, national, and international levels, including health and safety laws and regulations for business formation