Chapter 13: Marketing

the production era

"produce as much as you can, because there is a limitless market for it"

the marketing concept era

1. customer orientation (find out what customers want and provide it) 2. service orientation (one objective: customer satisfaction) 3. profit orientation (focus on goods and services that will earn most profit)

marketing research process

1. defining the question and determining the present situation 2. collecting research data 3. analyzing the research data 4. choosing the best solution and implementing it

consumer decision-making process

1. problem recognition 2. information search 3. evaluate alternatives 4. purchase decision

brand name

a word, letter, or group of words or letters that differentiates one seller's goods and services from those of competitors

demographic segmentation

age, income, religion, race, occupation, and education level

product

any physical good, service, or idea that satisfies a want or need, plus anything that would enhance the product in the eyes of consumers such as the brand name

the business-to-business market (B2B)

consists of all the individuals and organizations that want goods and services to use in producing other goods and services or to sell, rent, or supply goods to others

consumer market

consists of all the individuals or households that want goods and services for personal consumption or use and have the resources to buy them

the emerging mobile/on-demand marketing era

customers demanding relevant information whenever they want

primary data

data that you gather yourself

marketing mix

designing a want-satisfying product, setting a price for the product, putting the product in a place where people will buy it, promoting the product

benefit segmentation

determining which product benefits your target market prefers and using those to promote a product

one-to-one marketing

developing a unique mix of goods and services for each individual customer

mass marketing

developing products and promotions to please large groups of people

geographic segmentation

dividing a market by cities, countries, states, or regions

psychographic segmentation

dividing the market using groups' values, attitudes, and interests

marketing environment factors

global, technological, sociocultural, competitive, economic

force group

group of people who meet under the direction of a discussion leader to communicate their opinions about an organization, its products, or other given issues

target market

groups of people interested in product

niche marketing

identifying small but profitable market segments and designing or finding products for them

secondary data

information that has already been compiled by others and published in journals and books; what marketers should gather first

relationship marketing

lead away from mass production and toward custom-made goods and services

factors that affect consumer behavior

learning, reference group, culture, subculture, cognitive dissonance

B2B marketers

manufacturers, intermediaries, hospitals, schools, charities, the government

middlemen/intermediaries

middle links in a series of organizations that distribute goods from producers to consumers

four rising areas of customer demands

now, can i?, for me, simple

Customer relationship management (CRM)

process of learning as much as possible about present customers and doing everything you can over time to satisfy them with goods and services

the selling era

producing to selling

four Ps of marketing

product, price, place, promotion

four eras of marketing

production, selling, marketing concept, and customer relationship plus mobile/on-demand marketing

the B2B market

relatively few customers, business customers are large, tend to be geographically concentrated, business buyers are more rational and less emotional, b2b sales tend to be direct, sales are based on personal selling

target marketing

selecting which groups or segments an organization can serve profitably

volume (or usage) segmentation

separating the market by volume of product use

marketing

the activities buyers and sellers perform to facilitate mutually satisfying exchanges

marketing research

the analysis of marketers to determine opportunities and challenges and to find the information needed to make good decisions

market segmentation

the process of dividing the total market into groups with similar characteristics

environmental scanning

the process of identifying factors that can affect marketing success

test marketing

the process of testing products among potential users

promotion

the techniques sellers use to inform people about and motivate them to buy their products. advertising, personal selling, PR, publicity, word of mouth, coupons, etc.