Marketing 311 final

What are the six different types of products discussed in class?

Convenience, Specialty, Shopping, Unsought, Consumer, Industrial

Ninetysix percent of USAA home insurance policy holders report that USAA representatives meets their commitment in calling back customers quickly about claims. The most likely result of USAA's effort is:

Customer satisfaction

Mary Kay Cosmetics and Amway sell their products through home and office sales parties, online Web sites, and social media. Both companies use a(n) ________ channel to distribute their offerings. Indirect (Wholesaler) Direct Indirect (Broker/Agent) Indirect (Retailer) Selective

Direct

True or False. A market penetration strategy makes sense when a product's quality and image support its higher price, and as an organization you are concerned with recovering your research and development costs.

False

True or False. A branded community Web site aims to present content that engages consumers rather than sell products to them.

True

True or False. A disadvantage of advertising as a promotional tool is that it only provides one-way communication with customers.

True

True or False. An advantage of brick and mortar retailing stores is that it allows consumers to have instant need gratification, in comparison to what they would be able to experience online.

True

True or False. An advantage of using social media platforms of communication is that they are fairly cost-effective means of communicating a targeted, more personalized message to consumers, particularly in comparison to traditional advertising tools.

True

True or False. Even if a segment features a desirable size and growth rate and is structurally attractive, a company must consider its own objectives and resources and how they align with the target market's needs before targeting that segment to determine feasibility.

True

True or False. Integrated marketing communications involves carefully coordinating a company's many communications channels to deliver a clear, consistent, and compelling message about the organization and its products.

True

True or False. Primary data, because it is collected for addressing the purpose at hand, is both relevant and current.

True

True or False. Selecting your marketing intermediaries should be assessed based on four criteria: economic, adaptability, control, and company.

True

True or False. Social class is not determined by a single factor, such as income, but is measured as a combination of occupation, income, education, wealth, and other variables, and as such, can be difficult to determine.

True

True or false. The focus of a productionoriented firm is on what it can make or do best.

True

True or false. The societal marketing concept considers society's longterm best interests along with the satisfaction of customers' wants and needs.

True

Define Industrial Product

bought by individuals and organizations for further processing or for use in conducting a business

Define Unsought product

consumers don't know about or are unsure if they need/want them; could be a product you never want to have to use; producers must convince consumers they want it/ need to try it out

Define Shopping product

consumers often conduct a lot of research before buying and compare products; use internal and external searches; often perceived as risky and are more expensive; ex: computers, phones, shoes; usually compared on attributes like suitability, quality, price, style

Producers use marketing intermediaries because they ________. create greater efficiency in making goods available to target markets, otherwise known as contact efficiency monitor day-to-day activities during production supply inexpensive raw materials for manufacturing products provide technical expertise for faster production form a part of the company's direct channel

create greater efficiency in making goods available to target markets, otherwise known as contact efficiency

What is a product?

Anything that is of value to a consumer and can be offered through voluntary marketing exchange. Example would be goods and services

How can you expand product line length?

By Line filling and Line stretching

I am a skater. I am more likely than my non-skater husband to adopt a new electric skateboard that's coming to the market because I have knowledge of and past experience with skateboards, and value the eco-friendly nature of skateboards in general. This means that the new electric skateboard checks off which pre-requisite for successful product adoption? Relative advantage Compatibility Trialability Communicability Complexity

Compatibility

________ involve engaging directly with carefully targeted individual consumers and customer communities to both obtain an immediate response and build lasting customer relationships. Sales promotions and traditional advertising Segmented and strategic marketing Traditional advertising and public relations Undifferentiated and differentiated marketing Direct and digital marketing tools

Direct and digital marketing tools

True or False. Andrea frequently interacts with her friends Jason and Christine. When considering what type of phone to buy, she asks them what phones they like and observes what phones they use. This indicates that Jason and Christine likely represent a membership (secondary) reference group for Andrea.

False

True or False. Marcia's organization is currently experiencing a decline in sales. Marcia, the CEO, has determined that the main problem they are attempting to address through their research is "How do we increase sales?" Marcia has therefore defined her marketing research problem.

False

True or False. Organizations that are profit-oriented in terms of their pricing goals will most likely be concerned with an outcome such as increased market share.

False

True or False. S-T-P addresses the two key questions of who to serve and how we can win.

False

True or False. The Curl Up and Dye hair salon charges $15 for female haircuts and $10 for male haircuts, as males typically take less time for their cuts. This suggests that the hair salon uses dynamic pricing.

False

True or False. The advantages of branding and the practice of creating strong brands are primarily experienced by marketers, not consumers.

False

True or False. Tom usually buys new devices such as PDAs, DVRs, and MP3 players after his friends and family start owning these devices and the company has worked out most of the bugs associated with the devices. In this case, Tom is likely an early adopter.

False

True or false. Customer value is the relationship between company profits and company costs.

False

True or false. Only a firm's salespeople need to be customer oriented.

False

True or false. The five C's of channel structure decisions are the costs, coverage, conflict, competitive advantage, and contact efficiency.

False

True or false. The way to achieve customer satisfaction and value is to offer the lowest price.

False

True or false. Unlike a production orientated firm, a firm embracing a sales orientation focuses on customer wants and needs so it can develop the best product at the lowest cost that will require very little selling effort.

False

True or false. When engaging in pricing decisions, competitive factors do not need to be considered when setting your prices.

False

True or false. While most marketing organizations rely on various forms of promotion to succeed, salesoriented organizations make the most effective use of their entire marketing mix.

False

What are the five ways to segment a market

Geographic, Demographic, Psychographic, Geodemographic, Behavior

For retailers, charging higher prices on an everyday basis, coupled with frequent sales and other price promotions to increase store traffic, create a low-price image, or attract customers who will buy other goods at full prices is referred to as ________ pricing. segmented category killer every day low predatory high-low

High-Low

Producers of convenience products and common raw materials typically seek ________ distribution — a strategy in which they stock their products in as many outlets as possible. Selective Intensive Universal Exclusive Comprehensive

Intensive

Devon is in the market for a new car. After having done her research, she has determined that the Jeep Grand Cherokee is the best car for her, as she enjoys and regularly participates in outdoor recreational activities, as well as spends her free money on recreational adventures. This indicates that Devon was primarily influenced by what individual influence factor of consumer behavior in making this choice? a. Lifestyle b. Age and Life stage c. Occupation d. Culture e. Economic situation

Lifestyle

A business is concerned with many daytoday activities. Some of the most important of these activities are the planning and development of a product, its pricing policy, and the distribution strategy. These activities are all a part of:

Marketing

________ consists of arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers. Positioning Market segmentation Targeting Differentiation Mass marketing

Positioning

When deciding on the lighting and music that will be featured in a retail store, as well as whether to use self-checkout kiosks, the marketing manager is engaged in which of their 6P retailing decisions? Presentation Place Promotion Product Personnel

Presentation

Which marketing management philosophy focuses on the question, "What can we make or do best?"

Production

In a marketing communications mix, ________ refers to any short-term incentive that encourages the purchase or sale of a product or service. promotion public relations advertising personal selling

Promotion

_____ is the collaborative efforts of people to achieve common objectives.

Teamwork

What is line filling?

adding more items within the present range of the line

What does the sales orientation assume?

aggressive selling is what is needed to increase demand

Establishing prices for razor blades that must be used with a razor blade system is known as ________ pricing. captive-product market-penetration product line by-product segmented pricing

captive-product

What is line stretching?

company lengthens its product line beyond its current range

The marketing manager of Appeal Inc. has noticed a sharp decrease in sales over the last two months. The manager decides to conduct marketing research to identify potential causes for the drop in sales. Which of the following should the manager do first when deciding to conduct research? a. determine your research design b. analyze and report findings c. define the problem and objectives d. conduct secondary research e. determine your sampling plan

define the problem and objectives

Port Orleans Shipping markets different services to the tourism, defense, and trade segments. The firm designs separate offers for each segment based on their needs. This approach is called ________ marketing with regards to their targeting strategy. a.mass/undifferentiated b.differentiated c. local d. concentrated e. individual

differentiated

A company that sells personal care products sends a trained observer to watch potential buyers in their homes and how they utilize their care products (a.k.a., their natural environments). This is an example of ________ research. a.mall interview b. experimental c. survey d. ethnographic e. focus group

ethnographic

Denta Clean's decision to add a a citrus flavored toothpaste to its current line of toothpastes is an example of product line ________. mixing contracting filling widening stretching

filling

Define Specialty product

has unique characteristics or brand identification for which a significant group of buyers is willing to make a special purchase effort; product traits are distinct, different and special; consumers are willing to go the extra mile and pay premium prices to get it; often luxury goods like particular cars; producers can charge a high price; often use targeted marketing through emails or direct mail/catalogues; consumers typically have high involvement

Market oriented companies are successful at?

in getting all business functions working together to deliver customer value.

I need asthma medicine to breathe, so when the manufacturer raised prices on my inhaler medicine, I paid the higher price. My demand for the product is best described as ________. established variable fixed inelastic elastic

inelastic

Our product development team has been tasked with developing a new market offering within the coming year. We are currently debating the characteristics we'd like our new product to have and the role we envision a new product would play within our current product mix. This indicates we are at which stage of the new product development process? concept testing idea screening commercialization idea generation new product strategy test marketing

new product strategy

Product mix width refers to the ________. total number of items a company carries within its product lines number of different product lines the company carries total market share captured by the entire product line number of versions offered for each product in the line ways in which the various product lines are related

number of different product lines the company carries

What is product line length?

number of items in each product line

World Skies' Flight 167 takes off at 50 percent capacity. The unoccupied seats cannot be stored for later sale or use. This is an example of which service characteristic? perishability inseparability intangibility variability tangibility

perishability

Karen Dodd is employed by Dell and responsible for calling on primary schools in her home state of Maine to promote the company's offerings. She demonstrates the Dell line of products including desktop computers, laptops, and tablets and fields questions from teachers and administrators alike. This is an example of which promotion tool? television advertising personal selling digital advertising sales promotion public relations

personal selling

When a company issues a one to two page article to announce a sizable donation to a national charity, and they send this out to multiple media outlets, they are using a ________ as part of their public relations strategy. press release product placement event sponsorship press conference publicity

press release

Fred's, a national supermarket chain, sells its own brand of items across all categories: Fred's Choice. Such items are considered ________ brands. private national manufacturer licensed manufacturer's

private

Define Consumer product

product bought by final consumers for personal consumption

Define Convenience product.

product that consumers buy frequently, immediately, and with minimal comparison and buying effort; convenient to buy, ubiquitous, consumers are not willing to put a lot of effort into buying it; often have lwo price and are promoted by mass awareness; widely available at stores like 7-11 and Wal-Mart.

In which of the following promotion tools does a customer send a proof of purchase to a manufacturer, who then refunds part of the purchase price by mail? sample price pack rebate coupon premium

rebate

Kellogg's gives consumers the chance to receive a free DVD. Consumers who buy five boxes of specially marked cereal can cut out the coupons and mail in their completed official form to get a free DVD. Kellogg's is engaging in:

relationship marketing

Dove Men's Care has segmented their consumer markets using a specific variable of segmentation which resulted in the consumer segments of nonusers, ex-users, potential users, first-time users, and regular users of a product. The variable of segmentation that Dove utilized is called ________. a. demographic segmentation b. user status segmentation c. usage rate segmentation d. loyalty status segmentation e.psychographic segmentation

user status segmentation

Define Product Line

• groups of products that are closely related because they function in a similar manner, are sold to the same customer groups, are marketed through the same types of outlets or fall within given price ranges - Ex: Nike produces several lines of athletic shoes and apparel