exam 1 marketing

factors that can influence involvement

interest, perceived risk, situation, social visibility

number of alternatives

low routine, few limited, many extensive.

value for customers

needs are satisfied.

Undifferentiated Targeting Strategy

A marketing approach that views the market as one big market with no individual segments and thus uses a single marketing mix.

Perceptual Mapping

A means of displaying or graphing, in two or more dimensions, the location of products, brands or groups of products in customers' minds.

Product Differentiation

A positioning strategy that many firms use to distinguish their products from those of competitors.

5 Steps within the 3 phases of marketing plan

(1) mission and objectives (2) SWOT (3) Identify opportunities (4) Marketing Mix (5) Evaluate performance

exchange

2 or more parties, something of value, freedom to reject or accept.

evoked set

A group of brands resulting from an information search from which a buyer can choose.

Target Market

A group of people or organizations for which an organization designs, implements, and maintains a marketing mix intended to meet the needs of that group, resulting in mutually satisfying exchanges.

Cannibalization

A situation that occurs when sales of a new product cut into sales of a firms existing products.

Multisegment Targeting Strategy

A strategy that chooses two or more well-defined market segments and develops a distinct marketing mix for each.

Concentrated Targeting Strategy

A strategy used to select one segment of a market for targeting marketing efforts.

Market Segment

A subgroup of people or organizations sharing one or more characteristics that cause them to have similar product needs.

Portfolio martix

A tool for allocating resources among products or strategic business units.

question marks

According to the BCG growth-market share matrix, ________ are strategic business units with products that have low market shares in fast-growth markets. A) dogs B) exclamation points C) cash cows D) stars E) question marks

social factors

family members, friends, opinion leaders, network.

stars

According to the BCG growth-market share matrix, ________ are strategic business units with products that have a dominant market share in a high-growth market. A) problem children B) exclamation points C) cash cows D) stars E) question marks

cash cows

According to the BCG growth-market share matrix, ________ are strategic business units with products that have a dominant market share in a low-growth market. A) dogs B) exclamation points C) cash cows D) stars E) question marks

dogs

According to the BCG growth-market share matrix, ________ are strategic business units with products that have a small share of a slow-growth market. A) dogs B) exclamation points C) cash cows D) stars E) question marks

sales orientation

Agressive selling, techniques.

involvement

Amount of time and effect put in behind the decision making process of a product

One-to-one Marketing

An individualized marketing method that utilizes customer information to build long-term, personalized, and profitable relationships with each customer.

Portfolio Matrix strategies

Build, Hold, Harvest, Divest

Satisficers

Business customers who place an order with the first familiar supplier to satisfy product and delivery requirements.

Repositioning

Changing consumers' perceptions of a brand in relations to competing brands.

Segmentation Bases

Characteristics of individuals, groups or organizations.

Elements of marketing mix are

Controllable

Product development

Create new products for present markets(existing customers).

marketing mix

find target markets>product/service strategy>distribution,pricing, and promotion strategy

Positioning

Developing a specific marketing mix to influence potential customers overall perception of a brand, product line, or organization in general.

Usage-Rate Segmentation

Dividing a market by the amount of product bought or consumed.

SWOT analysis

Each year, Honeywell asks every department manager to rate his or her department's strengths and weaknesses as well as those of the other departments with which the department interacts. Then each department manager is asked what he or she sees as the greatest threats and opportunities for the company. Honeywell is asking its department managers to engage in a(n) ________. A) SWOT analysis B) portfolio analysis C) market analysis D) functional planning session E) compatibility assessment

Customer satisfaction

Expectations, strongly influenced. Met their needs.

Harvest

Extract or collect what you can (short term)

market segmentation

Ford Motor Company produces passenger cars, commercial trucks and specialty vehicles, performance vehicles, and race cars. Ford uses a procedure called _____ to divide its large market.

Build

Give it support, brand that has potential to become a star or remain star

Marketing implications

High involvement, engage and give as much info as possible

production orientation

If we build it, they'll buy it.

Product and market development

Introducing new products into new markets.

Psychographic Segmentation

Market segmentation on the basis of personality, motives, lifestyles, and geodemographics.

Niche

One segment of the market.

Market

People or an organization with needs or wants and the ability and willingness to buy.

Marketing mix elements

Product, price, promotion, place

Marketing objectives

Realistic, measurable, time specific, compared to benchmark.

cognitive dissonance

Second guessing, inner tension that a customer experiences after recognizing an inconsistency between behavior and values or opinions.

Demographic Segmentation

Segmenting markets by age, gender, income, ethnic background, and family life cycle.

Geographic Segmentation

Segmenting markets by region of a country or the world, market size, market density, or climate.

Geodemographic Segmentation

Segmenting potential customers into neighborhood lifestyles categories.

Divest

Sell off something or get rid. (dog or problem child)

Hold

Stick to what you are doing (stay cash cow)

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.

Position

The place a product, brand or group of products occupies in consumers minds relative to competing offerings.

Market Segmentation

The process of dividing a market into meaningful, relatively similar, and identifiable segments or groups.

Benefit Segmentation

The process of grouping customers into market segments according to the benefits they seek from the product.

customer value

The relationship between two benefits and the sacrifice necessary to obtain those benefits.

80/20 Principle

Twenty percent of all customer generate eighty percent of the demand.

Competitive advantage

Unique aspects for a company and its products that are perceived by the target market as being significant and superior to the competition.

Market Development

finds new markets, Attract new customers to existing products.

Marketing strategy

a way of approaching something. the process of creating a fit between your company's resources and objectives the overall evolving market opportunities.

Sources of sustainable competitive Advantage

copyright, history, location, geography, personalities.

Societal orientation

customer needs are satisfied along with focusing on long term societal issues.

Market orientation

focusing on customer needs/wants and differentiating from a competitors offering.

customer perceived value

function, influenced by two big factors. the two are benefits and cost.

market penetration

existing products in existing markets. increase market share among existing customers.

individual factors

gender, lifestyle, personality

between segments

heterogenity

within segments

homogenity

consumer decision making process

recognizing needs, information search, evaluation of alternatives, purchase, post purchase behavior.

psychological factors

selective exposure, selective retention, selective distortion

Criteria for segmentation

substantial, identifiable, accessible, responsive

importance of market segmentation

techniques to attract customers. can give a firm a temporary commercial advantage.

Factors in the external environment are

uncontrollable