MNGT150 Chapter 2 Marketing Function

After working for a few years to formulate just the right Greek yogurt product, Chobani decided it eventually wanted to mass-market through grocery stores. After distributing through smaller stores, their word-of-mouth promotions and online presence began driving customer demand. Hamdi Ulukaya made a pricing decision early on to offer the yogurt for around $1. He made the marketing mix pricing decision based on what assumption

Chobani would be successful and have economies of scale ---

The Artisan Cheese Company in Florida has decided to add a new line of imported cheeses to its offering. The company president (the head cheese) has a preference for cheese from Spain. The product director has a penchant for French cheese and the customer feedback from company surveys and cheese tasting nights steers more in the direction of cheeses from England. If the company follows the marketing mix correctly, which should they choose to be their new line of cheeses

English cheeses ---

The Simply Gum company has a goal of increasing traffic to its website and raising its purchase conversion rate by 15%. What type of metrics should it capture from its website to reach these goals

Unique visitors, search engine traffic, conversion rate

Value is created through various components. What simple formula correctly states the relationship of these components

Value = benefit - cost

Listia lets people list their stuff, sell their stuff for credits, then turn around and use those credits to purchase things on its website. Its value proposition is, "Get rid of old stuff. Get new stuff for free." Identify some of the aspects of their value proposition

compelling and motivating to use website

YouTube channel entertainer Flula Borg identified a potential new viewer segment to increase his popularity and number of subscribers. What is the next step he should take to validate that the new market is large enough to increase his subscribers and increase his YouTube ad sales

conduct market research

The San Francisco Fun Factory sells kites, toys, and star lanterns. It ran financial reports from the last year which indicate the store has lost 20% of its market share. Before the SF Fun Factory goes through the exercise of analyzing all of the marketing mix areas it should first

consider and set its business goals

In today's competitive landscape, a company like Netflix can be a marketing success if it puts what guideline as its main focus

customer satisfaction

Blockbuster was a heavy hitter in the video rental business for years, but as technology changed and customers tired of paying late fees, other competition arrived. Netflix structured its offering to customers with no late fees, convenient movie delivery and return, and helped drive Blockbuster out of business. A company can be a failure if it doesn't put which marketing guideline as its main focus

customer satisfaction --

Surf Diva, a surf instruction company, finds an unmet need in teaching teenage girls how to surf. The girls that attend its classes are

customers

Sydney Harbour Paints' value proposition states "Welcome to an endless world of colour." This overall website value proposition works because it is

encouraging consumers to use their paints

The Indigo Independent bookstore set a goal to increase the foot traffic to its shop and boost book sales by 10% over the next three months. What type of metrics could capture some of the data necessary to give a more accurate reading of how to reach these goals

first-time shop visitors, how visitors heard about the shop, repeat shop visitors

You are trying to define your target market for a travel agency service. Identify the correct order of the market targeting steps

identify business needs, segment total market, profile target customer segment, research and validate marketing opportunity

Carolina Biological Supply Company sells science instructional materials. It wants to grow beyond the current customer base and identify potential markets besides the public education systems. What is the order it should follow to take in the market targeting process

identify business needs, segment total market, profile target customer segment, research and validate marketing opportunity ---

communicates its value proposition quickly and clearly to its target market. Its direct value proposition has what effect on the target market

is compelling for its target market to use its services---

Chobani chose to price its product at close to $1. It based its marketing mix pricing decision by assuming

it would be successful and have economies of scale

Pinterest is a website where you collect ideas, images, and videos and organize them by creating boards. On its website Pinterest describes itself as "A few (million) of your favorite things" and pictures its cross-platform capability of a computer screen and a cell phone. Pinterest effectively communicates the benefit of its product to a visitor through the description and the images. What has Pinterest conveyed clearly on its website

its value proposition ---

In 2001 Chipotle, a fresh Mexican grill, committed to increase its use of naturally raised meat, organic produce, and dairy without added hormones. In 2015, after listening to its customer base, it now offers all organic, non-GMO (non-genetically modified organism) ingredients for its meals. Chipotle is using what type of marketing approach

market orientation

In 2005 the hamburger restaurant Heart Attack Grill opened its doors and offered its customers food "so bad for you it's shocking." To meet the desires of its customers, they added a new promotion. If a customer finishes a Triple or Quadruple Bypass Burger, they are placed on a wheelchair and wheeled out to their vehicle by their own "personal nurse. " Heart Attack Grill is using what type of marketing approach

market orientation

The mix of factors a company or organization uses to bring value to its target customers is the definition for the

marketing mix

The BFD International company just adjusted its corporate goals for the year. In order for the company to attain these goals, the marketing team must identify how to market accurately by creating

marketing objectives

You are asked to create a tool the company you work for can use to focus its customer identification and acquisition strategy, plan strategic moves within the competitive market environment, focus company resources, and use the 4Ps of marketing to achieve the company's goals. You would be smart to create a

marketing plan

After thinking through the marketing mix, if a disposable razor is sold through a drugstore or grocery store to a discount type of customer, the disposable razor company is more likely to

package the razor in low-cost packaging

A customer is deciding between two milk chocolate ice creams that contain peanut butter and bananas. One company is a small local dairy company and the other a well-known national brand. The customer does not like the taste of the national brand ice cream and chooses the local dairy company ice cream, paying $1.50 more for it. This is an example of a

perceived or added value

A cotton swab manufacturer looked at its abysmal sales figures and conducted an organizational situation analysis. Next, it decided on its marketing goals and began creating its marketing plan. What is a next step for it

planning effective strategies and specific tactics to accomplish the strategic objectives

The TomTom Bandit camera is an example of which marketing 4Ps component

product

The 4Ps of marketing are

product, price, promotion, place

A dog grooming business is walking through the target market defining process and is now asking questions about its potential customers, such as "Who will buy the serviceWhere are they located geographically How do they want the service delivered" What part of the process is the business currently using

profiling target customer segments

A nonprofit raising awareness of post-traumatic stress disorder that is asking questions about its potential clients, such as "Who will use the service Where are they located geographically What is their annual income" is in what part of the target market defining process

profiling target customer segments

A balloon manufacturer is trying to grow its sales by better addressing the needs of its customers. Besides party stores, the company doesn't really know who purchases balloons from it. What should the company do to understand its customers better

run a segmentation analysis of current customers

Zeus' Boltz, a bolt manufacturer, pays a large sales staff to focus its efforts primarily on selling its bolts to vehicle manufacturers. They push purchases regardless of the manufacturer's needs, which often causes business relations problems. Zeus' Boltz is an example of a company using which marketing philosophy

selling concept

Better Mudder, the three-year-old mud race organization, has a goal of increasing its racing market share by 20% over the next year. It looks into how to accomplish this and discovers a low repeat runner rate. As it digs further it finds that three more mudding race organizations have started in the area this year. With increased competition, Better Mudder must change its new runner offerings and generate higher loyalty in current mudding participants. To identify this information, Better Mudder conducted a

situation analysis

Chobani was able to grow demand for its product by leveraging what "Promotion" strategy

social media

Zingerman's Deli in Michigan is deciding which new sandwich to add to their menu. There was a month of customer voting, employee voting, and corporate feedback as well to consider. Each segment chose different sandwiches. If the company follows the marketing mix smartly, which sandwich choice should be added to their menu

target customer's sandwich choice

Gabrielle is a marketer with a non-profit organization building schools in Ecuador. She is given the task to evaluate the organization's new value proposition. To best evaluate the value proposition, she should come from the perspective of the

target market

Chuck E. Cheese's focuses their resources and marketing messages to specifically address their desired customers: families. Chuck E. Cheese's marketing focus is known as

targeting

An example of the 4Ps Promotion area of the marketing mix is a

text announcing a year-end sale to customers

Clay is a marketing student learning how to evaluate value propositions for effectiveness. He looked through ten different propositions and found them to all be ineffective. What elements did he mostly likely identify as the reasons for their ineffectiveness

they were generic, and they had no unique value communicated

The Grow Your Garden seed company recently conducted a situation analysis. It decided on its marketing goals too. What is its next step in the process

to plan effective strategies and specific tactics to accomplish the strategic objectives --

The Ladders is a career search site specializing in high income ($80k+) job placement. Their headline, "Your career is our job," indicates to the customer the company will work hard until you are satisfied. The visual layout of its website also indicates organizational clarity to speed you toward your new job. What has this website done a good example of conveying

value proposition

The Clean Guys office cleaning company has a value proposition of, "America's most trusted janitorial service and commercial cleaning company." Their value proposition statement is

very specific and compelling to their target market --

A marketer conducted a target customer feedback survey that captured many points of information from customers. For a marketer to understand value, they must discover

what the target customer values as greatest