MARK 3000 Exam 2 Grantham Ch 10, 11, 12, 15
Peter Drucker: How to tell if you're in decline
"If we didn't launch this product already, would we launch it now?" if answer is no- decline stage has begun
Netflix Slogan
#SheRules - diversifying programs
Concept Testing
The process in which a concept statement that describes a product or a service is presented to potential buyers or users to obtain their reactions
Receiving
The process of recording the receipt of merchandise as it arrives at a distribution center or store. -arrival receipt
Perceived Value
The relationship between a product's or service's benefits and its cost.
Early Adopters
The second group of consumers in the diffusion of innovation model, after innovators, to use a product or service innovation; generally don't like to take as much risk as innovators but instead wait and purchase the product after careful review * opinion leaders, well respected, integrated, care what ppl think
Brand Equity
The set of assets and liabilities linked to a brand that add to or subtract from the value provided by the product or service/ financial(monetary) value of brand itself
Data Mining
The use of a variety of statistical analysis tools to uncover previously unknown patterns in the data stored in databases or relationships among variables
internal secondary data
data mining, data warehousing
Benefits of JIT/Quick Response
-reduced lead time -Increased product availability and lower inventory investment
Mkting research process
1. Defining objectives and research needs 2. Designing the research 3. Data collection process 4. Analyzing data and developing insights 5. Action plan and implementation
Brand Licensing
A contractual arrangement between firms, whereby one firm allows another to use its brand name, logo, symbols, or characters in exchange for a negotiated fee
What makes a brand?
brand name, URLs, logo, symbols, characters, slogans, jingles
lovemark
brands that transcend loyalty- you can't live w/o them and will go out of your way to purchase no matter what - consumers less sensitive to price - mkting costs decrease
Niche Mkt
catering to small specific group of consumers -v short growth pd but lasting maturity -ex: skateboarding, scapbooking
external secondary syndicated data examples
census AC Nielson- TV show ratings IRI- makes sense (data-wise) of kroger card swipes JD Power- ranks companies Simmons- census based info
organized abandonment
company starts distancing themselves from product ex: use of photo film
Core Customer Value
the basic problem solving benefits that consumers are seeking
Dominoes Pizza Turnaround
used research process to change pizza for better
Shorter, more direct channel for
complex, expensive, customized items -many B2B products
probability
convenience
Breadth
count of number of product lines offered by a firm; also known as variety -ex. BMW- BMW, MINI, Rolls-Royce, Motorrad
Primary Data
data collected to address specific research needs- include focus groups, in-depth interviews, and surveys. Grewal, Dhruv. M: Marketing (Page 198). McGraw-Hill Higher Education. Kindle Edition.
Value of branding example- Apple v Samsung
Lawsuit by Apple- Samsung stole our intellectual property - Samsung pays fine + made to pull items
Trade Show
Major events attended by buyers who chose to be exposed to products and services offered by potential suppliers in an industry
Steps in Distribution Center
Management of inbound transportation Receiving and checking using UPC and RFID Storing and Cross Docking Getting Merchandise Floor Ready Preparing to ship Shipping to store
The American Marketing Association provides three guidelines for conducting marketing research: Grewal, Dhruv. M: Marketing (Page 213). McGraw-Hill Higher Education. Kindle Edition.
(1) It prohibits selling or fund-raising under the guise of conducting research (2) it supports maintaining research integrity by avoiding misrepresentation or the omission of pertinent research data 3) it encourages the fair treatment of clients and suppliers Grewal, Dhruv. M: Marketing (Page 213). McGraw-Hill Higher Education. Kindle Edition.
Associated Services
(also called augmented product) The non-physical attributes of the product including product warranties, financing, product support, and after-sale service
Selective Demand
(growth stage) need to educate public of how brand differs and is better than competition
Primary Demand
(part of intro phase) when there is demand for entire product type -ex: Got Milk? (doesn't mention one kind of milk, want to increase overall consumption)
Texas Roadhouse - Scott Colosi
- Just getting started - Avid Reader - Think like a freak - Its your ship - Do you know why? People are more collobortive when they understand the why Mission: Keep it simple. Legendary food and service. Core Values-Passion, partnership., intergrity, fun Every interaction you are showing them whether you care or not Difference between tough love/accountibility and pushing it too far Do not be afraid to ask
cross docking distribution centers
A distribution center to which vendors ship merchandise prepackaged and ready for sale. The merchandise goes to a staging area rather than into storage. When all the merchandise going to a particular store has arrived in the staging area, it is loaded onto a truck, and away it goes. Thus, merchandise goes from the receiving dock to the shipping dock—cross dock. Grewal, Dhruv. M: Marketing (Page 323). McGraw-Hill Higher Education. Kindle Edition.
Pick Ticket
A document or display on a screen in a forklift truck indicating how much of each item to get from specific storage areas
Distribution Center
A facility for the receipt, storage, and redistribution of goods to company stores or customers; may be operated by retailers, manufacturers, or distribution specialists
Family Brand
A firm's own corporate name used to brand its product lines and products. When all products are sold under one family brand, the individual brands benefit from the overall brand awareness associated with the family name. Kellogg's uses its family brand name prominently on its cereal brands (e.g., Kellogg's Special K, Kellogg's Froot Loops, Kellogg's Rice Krispies). Grewal, Dhruv. M: Marketing (Page 230). McGraw-Hill Higher Education. Kindle Edition.
Questionnaire
A form that features a set of questions designed to gather information from respondents and thereby accomplish the researchers' objectives; questions can be either unstructured or structured
Sample
A group of customers who represent the customers of interest in a research study
independent marketing channels
A marketing channel in which several independent members—a manufacturer, a wholesaler, and a retailer— each attempts to satisfy its own objectives and maximize its profits, often at the expense of the other members. Grewal, Dhruv. M: Marketing (Page 314). McGraw-Hill Higher Education. Kindle Edition.
viral mkting program
A promotional strategy that encourages people to pass along a marketing message to other potential consumers. Grewal, Dhruv. M: Marketing (Page 309). McGraw-Hill Higher Education. Kindle Edition.
Focus Group Interviews
A research technique in which a small group of persons (usually 8 to 12) comes together for an intensive discussion about a particular topic, with the conversation guided by a trained moderator using an unstructured method of inquiry
Marketing Research
A set of techniques and principles for systematically collecting, recording, analyzing, and interpreting data that can aid decision makers involved in marketing goods, services, or ideas.
Brand Repositioning (rebranding)
A strategy in which marketers change a brand's focus to target new markets or realign the brand's core emphasis with changing market preferences
Survey
A systematic means of collecting information from people that generally uses a questionnaire
Experimental Research (experiment)
A type of conclusive and quantitative research that systematically manipulates one or more variables that have a causal effect on customer input and continual feedback- usually based on sales/product awareness - changing 1 of 4 Ps
Premarket Test
Conducted before a product or service is brought to market to determine how many customers will try and then continue to use it. Consumers can opt into this. ex. AC NIELSON BASES- Ppl asked to try product and asked if they would buy. From these data, the firm generates a sales estimate for the new product that enables it to decide whether to introduce the product, abandon it, redesign it before introduction, or revise the marketing plan. Grewal, Dhruv. M: Marketing (Page 255). McGraw-Hill Higher Education. Kindle Edition.
Scanner Data
A type of syndicated external secondary data used in quantitative research that is obtained from scanner readings of PC codes at check-out counters -i.e. Whenever you go into your local grocery store, your purchases are rung up using scanner systems. The data from these purchases are likely to be acquired by leading marketing research firms, such as IRI or Nielsen, which use this information to help leading consumer packaged-goods firms (e.g., Kellogg's, Pepsi, Kraft) assess what is happening in the marketplace. For example, a firm can use scanner data to determine what would happen to its sales if it reduced the price of its least popular product by 10 percent in a given month
Product Development
Also called product design; entails a process of balancing various engineering, manufacturing, marketing, and economic considerations to develop a product's form and features or a service's features
Marketing Channel Management
Also called supply chain management, refers to a set of approaches and techniques firms employ to efficiently and effectively integrate their suppliers
Retailer/Store Brands
Also called the private-label brands, are products developed by retailers (Kroger Brand)
Vendor-managed Inventory (VMI)
An approach for improving supply chain efficiently in which the manufacturer is responsible for maintaining the retailer's inventory levels in each of its stores
Alpha Testing
An attempt by the firm to determine whether a product will perform according to its design and whether it satisfies the need for which it was intended; occurs in the firm's research and development (R&D) department - internal to company (ex. Chick-fil-A gives employees free lunch- tries new things out on them first)
Advanced Shipping Notice (ASN)
An electronic document that the supplier sends the retailer in advance of a shipment to tell the retailer exactly what to expect in the shipment
Observation
An exploratory research method that entails examining purchases and consumption behaviors through personal or video camera scrutiny
In-Depth Interview
An exploratory research technique in which trained researchers ask questions, listen to and record the answers, and then pose additional questions to clarify or expand on a particular issue
Evaluation of Results
Analysis of the performance of the new product and making appropriate modifications
Product
Anything that is of value to a consumer and can be offered through a voluntary marketing exchange - includes goods, services, places, ideas, organizations, people, and communities
Value of branding for consumers
Brands facilitate purchase, establish loyalty, protect from competition and price competition, are assets, affect mkt value
Manufacturer Brands (National Brands)
Brands owned and managed by the manufacturer (Nike, Coca-Cola, KitchenAid, and Sony) - the manufacturer develops the merchandise, produces it to ensure consistent quality, and invests in a marketing program to establish an appealing brand image. The majority of the brands marketed in the United States are manufacturer brands Grewal, Dhruv. M: Marketing (Page 229). McGraw-Hill Higher Education. Kindle Edition. )
Concepts
Brief written descriptions of a product or service; its technology, working principles, and forms: and what customer needs it would satisfy
Structured Questions
Closed-ended questions for which a discrete set of response alternatives, or specific answers, is provided for respondents to evaluate ex: Please rate the importance of the following shampoo attributes. Price 1 2 3 4 5 Fragrance 1 2 3 4 5 Ability to clean 1 2 3 4 5 Dandruff control 1 2 3 4 5 Grewal, Dhruv. M: Marketing (Page 210). McGraw-Hill Higher Education. Kindle Edition.
Laggards
Consumers who like to avoid change and rely on traditional products until they are no longer available, often ignored by mkters- products in early decline or late maturity when they become interested * traditional
Intensity Lvl: Intensive
Convenience goods Many intermediaries ex: Coke wants to place their drinks w/in an arms reach of everyone on the planet
Ticketing and Marking
Creating price and identification labels and placing them on the merchandise
Sentiment Mining
Data gathered by evaluating customer comments posted through social media sites such as Facebook and Twitter
big data
Data sets that are too large and complex to analyze with conventional data management and data mining software. Grewal, Dhruv. M: Marketing (Page 204). McGraw-Hill Higher Education. Kindle Edition.
Product Life Cycle
Defines the stages that new products move through as they enter, get established in, and ultimately leave the marketplace and thereby offers marketers a starting point for their strategy planning
Pull Marketing Strategy
Designed to get consumers to pull the product into the supply chain by demanding it Orders based on sales data More accurate inventory Better when the demand is uncertain
Push Marketing Strategy
Designed to increase demand by motivating sellers--wholesalers, distributors, or salespeople--to highlight the product, rather than the products of competitors, and thereby push the product onto consumers Merchandise allocated based on forecast Good for steady demand items
Product Development
Development of prototypes and/or the product
Idea Generation
Development of viable new product ideas
biometric data
Digital scanning of the physiological or behavioral characteristics of individuals as a means of identification. Grewal, Dhruv. M: Marketing (Page 214). McGraw-Hill Higher Education. Kindle Edition.
Inbound Transportation
Dispatcher coordinates deliveries •Manufacturer may pay transportation expenses or retailers may negotiate directly with trucking companies and pay expenses
Brand extension failures
Evaluation of Results stage - strayed too far from core concept of brand ex: cosmo yogurt, colgate frozen dinners
Slotting Allowance
Fees firms pay to retailers simply to get new products into stores or to gain more or better shelf space for their products
Increase Depth & examples
Firms might add items to address changing consumer preferences or to preempt competitors while boosting sales -ex. Oreos add cinnamon flavor -ex. Taco Bell- addition of new varieties of its Doritos Locos Tacos enable it to appeal better to consumers who enjoy spicy foods or love Cool Ranch flavor. The tacos still contain the same ingredients, but the availability of 123 different Doritos flavors significantly increases the product line's depth. Grewal, Dhruv. M: Marketing (Page 222). McGraw-Hill Higher Education. Kindle Edition.
Data Warehouses
Large computer files that store millions and even billions of pieces of individual data
Increase Breadth & Examples
Firms often add new product lines to capture new or evolving markets and increase sales -ex. Listerine branches out from mouthwash to floss, breath freshener -ex. adding new line of yogurt
Decrease Depth & examples
From time to time, it is also necessary to delete products within a product line to realign the firm's resources. firms often must prune their product lines to eliminate unprofitable or low margin items and refocus their marketing efforts on their more profitable items. -ex. McCormick- stop creating spices that don't sell -ex. P&G introduced Tide Basic as an extension of its Tide line—probably the best-known detergent brand and a product that enjoys a reputation as an innovative, high-end brand. Tide Basic was priced 20 percent cheaper than regular Tide, but P&G deleted the extension less than a year after introducing it, worried that an inexpensive, less effective version simply undermined its brand rather than offering an appealing alternative. Grewal, Dhruv. M: Marketing (Page 222). McGraw-Hill Higher Education. Kindle Edition.
Marketing Channel Management Affects Other Aspects of mkting such as
Fulfilling delivery promises Meeting customer expectations Reliant on an efficient supply chain
Product Launch
Full scale commercialization of the product
Product Lines
Groups of associated items, such as those that consumers use together or think of as part of a group of similar products -ex: BMW's product lines (brands) include BMW, cars targeted at middle-aged professionals; the MINI, cars targeted to the young adult market; Rolls-Royce, cars targeted at the ultra-wealthy market; and BMW Motorrad, its motorcycle line. Grewal, Dhruv. M: Marketing (Page 220). McGraw-Hill Higher Education. Kindle Edition.
Beta Testing
Having potential consumers examine a product prototype in a real-use setting to determine its functionality, performance, potential problems, and other issues specific to its use. - external to company (ex. having ppl try out Google Glass)
Product Development Process
Idea generation Concept testing Product development Market testing Product launch Evaluation of results Grewal, Dhruv. M: Marketing (Page 248). McGraw-Hill Higher Education. Kindle Edition.
Planners
In a retailing context, employees who are responsible for the financial planning and analysis of merchandise, and its allocation to stores
Sources of ideas
Includes Internal R&D, R&D Consortia, Licensing, Brainstorming, Outsourcing, Competitors' products, and Customer input
Qualitative Research
Informal research methods, including observation, following social media sites, in-depth interviews, focus groups, and projective techniques
Panel Data
Information collected from a group of consumers, organized into panels, over time.
Lead Users
Innovative product users who modify existing products according to their own ideas to suit their specific needs
Test Marketing
Introduces a new product or service to a limited geographical area (usually a few cities) prior to a national launch- mini product launch
Just-In-Time (JIT) Inventory Systems / Quick Response
Inventory management systems designed to deliver less marchandise on a more frequent basis than traditional inventory systems; the firm gets the merchandise "just in time" for it to be used in the manufacture of another product, in the case of parts or components, or for sale when the customer wants it, in the case of consumer goods; also known as quick response (QR) systems in retailing - backbone of supply chain mgmt
Reverse Engineering
Involves taking apart a competitor's product, analyzing it, and creating an improved product that does not infringe on the competitor's patents, if any exist
Factors in deciding # of lvls (of intermediaries)
Market characteristics •Size, geographic dispersion, buying patterns Productfactors •Complexity, cost ,ease of movement Company(mfg)factors •Size, desire for control, diversity in consumers/retailers
Brand Awareness
Measures how many consumers in a market are familiar with the brand and what it stands for; created through repeated exposures of the various brand elements (brand name, logo, symbol, character, packaging, or slogan) in the firm's communications to consumers -The more aware or familiar they are, the easier their decision-making process is, which improves the chances of purchase. Grewal, Dhruv. M: Marketing (Page 226). McGraw-Hill Higher Education. Kindle Edition.
"floor ready" merch
Merchandise that is ready to be placed on the selling floor immediately. Grewal, Dhruv. M: Marketing (Page 323). McGraw-Hill Higher Education. Kindle Edition.
Pioneers
New product introductions that establish a completely new market or radically change both the rules of competition and consumer preferences in a market; also called breakthroughs - ipod, Iphone
Brand Dilution
Occurs when a brand extension adversely affects consumer perceptions about the attributes the core brand is believed to hold ex: Cheetos Lip Balm was based on the idea that if you like Cheetos, you would want to wipe it all over your lips. Grewal, Dhruv. M: Marketing (Page 231). McGraw-Hill Higher Education. Kindle Edition.
Brand Loyalty
Occurs when a consumer buys the same brand's product or service repeatedly over time rather than buying from multiple suppliers within the same category
Unstructured Questions
Open-ended questions that allow respondents to answer in their own words ex: what do you think about this brand of shampoo?
Information
Organized, analyzed, interpreted data that offer value to marketers
Secondary Data
Pieces of information that have already been collected from other sources and usually are readily available- including census data, information from trade associations, and reports published in magazines, AC Nielson Grewal, Dhruv. M: Marketing (Page 200). McGraw-Hill Higher Education. Kindle Edition.
sustainable packaging
Product packaging that is ecologically responsible. Grewal, Dhruv. M: Marketing (Page 234). McGraw-Hill Higher Education. Kindle Edition.
First Movers
Product pioneers that are the first to create a market or product category, making them readily recognizable to consumers and thus establishing a commanding and early market share lead
Consumer Products
Products and services used by people for their personal use
Unsought Products/Services
Products or services consumers either do not normally think of buying or do not know about -ex. burial plots, fire extinguishers
Specialty Products/Services
Products or services toward which the customer shows a strong preference and for which he or she will expend considerable effort to search for the best suppliers, go out of their way to get/obtain - ex. car you want is not in Athens -> go to Atl
Data
Raw numbers or facts
Supply Chain Management
Refers to a set of approaches and techniques firms employ to efficiently and effectively integrate their suppliers, manufacturers, warehouses, stores, and transportation intermediaries into a seamless value chain in which merchandise is produced and distributed in the right quantities, to the right locations, and at the right time, as well as to minimize system wide costs while satisfying the service levels their customers require
likert scale
Respondents may be offered a choice of five to seven or even nine pre-coded responses with the neutral point being neither agree nor disagree. In it final form, the Likert Scale is a five (or seven) point scale which is used to allow the individual to express how much they agree or disagree with a particular statement.
Channel Intermediaries
Retailer, Merchant wholesaler, Agent/Broker
Introductory Price Promotions
Short term price discounts designed to encourage trial
Decrease Breadth & Examples
Sometimes it is necessary to delete entire product lines to address changing market conditions or meet internal strategic priorities -ex. the firm drops its line of protein bars and focuses its attention on its energy drinks and vitamin water - ex. TCBY starts only focusing on yogurt and deleting sandwiches and ice cream bc of competition Grewal, Dhruv. M: Marketing (Page 222). McGraw-Hill Higher Education. Kindle Edition.
Maturity Stage
Stage of the product life cycle when industry sales reach their peak, so firms try to rejuvenate their products by adding new features or repositioning them. - firms add line extensions, increase depth of product line
Introduction Stage
Stage of the product life cycle when innovators start buying the product
Decline
Stage of the product life cycle when sales decline and the product eventually exits the market *Laggards gain interest at this stage
Growth Stage
Stage of the product life cycle when the product gains acceptance, demand and sales increase, and competitors emerge in the product category
Quantitative Research
Structured responses that can be statistically tested to confirm- experiments, surveys, scanners
Market Testing
Testing the actual products in a few test markets
Concept Testing
Testing the new product idea among a set of potential customers (JUST THE IDEA ITSELF), no significant investment made yet
lead time
The amount of time between the recognition that an order needs to be placed and the arrival of the needed merchandise at the seller's store, ready for sale. Grewal, Dhruv. M: Marketing (Page 324). McGraw-Hill Higher Education. Kindle Edition.
Universal Product Code (UPC)
The black-and-white bar code found on most merchandise
Product Mix
The complete set of all products offered by a firm
Electronic Data Interchange (EDI)
The computer-to-computer exchange of business documents from a retailer to a vendor and back
Prototype
The first physical form or service description of a new product, still in rough or tentative form, that has the same properties as a new product but its produced through different manufacturing processes, sometimes even crafted individually
Late Majority
The last group of buyers to enter a new product market; when they do, the product has achieved its full market potential * skeptics, adopt new product after they see it works for others
Direct Marketing Channel
The manufacturer sells directly to the consumer
Brand Associations
The mental links that consumers make between a brand and its key product attributes; can involve a logo, slogan, or famous personality
Churn
The number of consumers who stop using a product or service, divided by the average number of consumers of that product or service
Primary Package
The packaging the consumer uses, such as the toothpaste tube, from which he or she typically seeks convenience in terms of storage, use, and consumption
Actual Product
The physical attributes of a product including the brand name, features/design, quality level, and packaging
Co-Branding
The practice of marketing two or more brands together, on the same package or promotion - Co-branding can enhance consumers' perceptions of product quality by signaling unobservable product quality through links between the firm's brand and a well-known quality brand. For example, Yum! Brands frequently combines two or more of its restaurant chains, including A&W, KFC, Long John Silver's, Pizza Hut, and Taco Bell, into one store space. This co-branding strategy is designed to appeal to diverse market segments and extend the hours in which each restaurant attracts customers. Grewal, Dhruv. M: Marketing (Page 231). McGraw-Hill Higher Education. Kindle Edition.
Manufacturer's Suggested Retail Price (MSRP)
The price that manufacturers suggest retailers use to sell their merchandise
Innovation
The process by which ideas are transformed into new products and services that will help firms grow
Diffusion of Innovation
The process by which the use of an innovation, whether a product or service, spreads throughout a market group over time and over various categories of adopters
Individual Brands
The use of individual brand names for each of a firm's products -For example, while Kellogg's makes good use of the family branding strategy, it also allows other products, such as Morningstar Farms, Famous Amos cookies, Keebler cookies, and Cheez-Its, to keep individual identities not readily seen as being under the Kellogg's umbrella. - P&G does a good job of this. They control brands like Tide detergent and Bounty paper towels
Brand Extension
The use of the same brand name for new products being introduced to the same or new markets (Coke and, eventually, Dasani water) - increases product mix's breadth
Line Extension
The use of the same brand name within the same product line and represents an increase in a product line's depth (Coke and Coke Zero)
Secondary Package
The wrapper or exterior carton that contains the primary package and provide.s the UPC label used by retail scanners; can contain additional information that may not be available on the primary package
Innovators
Those buyers who want to be the first to have the new product or service, don't care what ppl think * venturesome
Wholesalers
Those firms engaged in buying, taking title to, often storing, and physically handling goods in large quantities, then reselling the goods (usually in smaller quantities) to retailers or industrial business users
Shopping Products/Services
Those for which consumers will spend time comparing alternatives, such as apparel, fragrances, and appliances - ex. shoes, laptop, cellphone
Convenience Products/Services
Those for which the consumer is not willing to evaluate prior to purchase- minimum effort - ex. shampoo, candy
Radio Frequency Identification (RFID) Tags
Tiny computer chips that automatically transmit to a special scanner all the information about a container's contents or individual products
Checking
Undamaged Ordered=received
Brand History in Advertising & Example
Use of "heritage" in advertising - ex. Planters Peanuts: tried and true > new and improved Planters Peanut has been re-drawn over 100 yrs but it is still familiar this helps brands stay relevant
Fufillment Center
Warehouse facillities used to ship merchandise directly to customers
Indirect Marketing Channels
When one or more intermediaries (retailers, etc) work with manufacturers to provide goods and services to customers
Trade Promotions
advertising to wholesalers or retailers to get them to purchase new products, often through special pricing incentives
Depth
equals the number of products within a product line. -ex. Within BMW's Rolls-Royce brand, for example, it offers Phantom, Wraith, and Ghost models. Grewal, Dhruv. M: Marketing (Page 221). McGraw-Hill Higher Education. Kindle Edition.
Why experience is the heart of branding (article)
even the most carefully crafted brand imagery is meaningless w/o experience
Syndicated Data
external data available for a fee from commercial research firms such as Information Resources Inc. (IRI), National Purchase Diary Panel, and Nielsen. Grewal, Dhruv. M: Marketing (Page 201). McGraw-Hill Higher Education. Kindle Edition.
Agent/Broker
facilitate sale, no title (think realtor) -B2B
Non-Traditional PLCs
fads, trends, seasonal, niche
Steps to create a questionnare
for a questionnaire to produce meaningful results, its questions cannot be misleading in any fashion (e.g., open to multiple interpretations), and they must address only one issue at a time. They also must be worded in vocabulary that will be familiar and comfortable to those being surveyed. The questions should be sequenced appropriately: general questions first, more specific questions next, and demographic questions at the end. Finally, the layout and appearance of the questionnaire must be professional and easy to follow, with appropriate instructions in suitable places. Grewal, Dhruv. M: Marketing (Page 210). McGraw-Hill Higher Education. Kindle Edition.
factory to store to consumer
funneling efforts, need less transactions - increased efficiency and lower expenses
Product Launch example- iPad 2
iPad 1 was v successful so the iPad 2 was positioned as an entirely new design to keep ppl interested
Lanham Act
in place to protect brand name - can't use a brand name to refer to a general product ex: calling all tissues "kleenex" or all ice pops "popsicles"
primary v secondary panel data
include their records of what they have purchased (i.e., secondary data) as well as their responses to survey questions that the client gives to the panel firm to ask the panelists (i.e., primary data). Secondary panel data thus might show that when Diet Pepsi is offered at a deep discount, 80 percent of usual Diet Coke consumers switch to Diet Pepsi. Primary panel data could give insights into what they think of each option. Grewal, Dhruv. M: Marketing (Page 202). McGraw-Hill Higher Education. Kindle Edition.
Extending Time in PLC
increase frequency of use -by same consumers increase number of users -expand into diff target mkt w/ same product find new users -ID new applications for product
seasonal mkt
increased and decreased pds of demand depending on -ex: ski resorts in winter v summer
issues w surveys
interviewer bias - need a moderator
retailer
know consumers, understand price discount -B2C
questions to avoid during surveys
leading, double barreled (asking 2 q at once- should be formatted separately), jargon or inappropriate terminology, consumer unable to answer
longer, more indirect channel for
low cost standard items -most consumer products
Trend
mass movement, can be composed of # of products -more lasting effect on mkt than fad -ex: organic food, fashion trends (represented by fashion in this picture)
Early Majority
members don't like to take much risk and therefore tend to wait until bugs are worked out of a particular product; few new products can be profitable until this large group buys them * deliberate, intentionally evaluate alternatives, collect info, weigh pros + cons
You can eliminate the store but
not the function
eye tracking technology
observation research- what ppl's eyes movements are online - erratic movements- confused - controlled movements- reading -"heat maps"
transportation
physical flow of merch -ex: Sprinkles cupcake ATM
The Supply Chain
physical supply network - raw materials - components mkting channel (place) - resellers -consumers
predictive analytics
predicting what ppl want by studying shopping habits
sampling issues for primary data
probability v nonprobability
Fad
product is v popular for brief pd of time -unpredictable -> increases risk -ex: sillybandz, furbys
Disintermediation
reduction in the use of intermediaries/lvls between producers and consumers, for example by investing directly in the securities market rather than through a bank - direct -> disintermediation -> indirect
nonprobability
sampling frame simple random sampling - can generalize from this bc everyone has = chance of participation
merchant wholesaler
take title to merch, sells the merch to other businesses, more risk -B2B
Intensity Lvl: Selective
shopping and some specialty goods several intermediaries ex: clothing designer puts clothes in only some stores (higher end clothing in higher end shop)
Intensity Lvl: Exclusive
specialty goods and some industrial equipment one intermediary ex: airplanes, caviar only found in one place in the world
Mkting Environment
spot mkting -> wholesale rack -> brand rack -> retail
TARGET data mining
studying pregnant women- able to ID pregnant women by sifting thru data of past purchases - camouflage targeting by adding unrelated items
Walmart Case Study
supply chain mgmt sets standard - @ backbone of their success -uses EDI
