Marketing Test 1
The _______ concept holds that achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than competitors do.
Marketing
Company strategy should create customer value and build profitable relationships
Marketing concept
Statement of an organizations purpose. Market orientated- defines in terms of satisfying basic customer needs. Emphasize the company's strengths. Focus on customers and the customer experience.
Mission Statement
high potential profitability, long term loyalty
True friends
Company departments are links in the company's internal
Value chain
_______ is composed of the company, it's suppliers, it's distributors, and it's customers
Value delivery network
A brand's ______ is the set of benefits that it promises to deliver to consumers to satisfy their needs
Value proposition
JetBlue's promise to put "You Above All" by "bringing humanity back to travel" is their
Value proposition
The societal marketing concept holds that
a company's marketing decisions should focus on creating economic value in a way that also creates value for the surrounding environment
is the act of obtaining a desired object from someone by offering something in return
exchange
Consumers' needs and wants are fulfilled through
market offerings
Existing product, existing market
market penetration
Dividing a market into several sections of customers is known as
market segmentation
Dividing a market into several sections of customers is known as ________.
market segmentation
Sally purchased a newly introduced moisturizing lotion. By attempting to find out if the lotion's perceived performance matched her expectations, Sally was measuring her level of customer ________.
satisfaction
Step 2 of Strategic Planning
setting company objectives and goals
refers to the portion of the customer's purchase that a company gets in its product categories
share of customer
Various government agencies have launched campaigns to encourage energy conservation and concern for the environment as well as discourage smoking, illegal drug use, and obesity. This illustrates ________ marketing.
social
In which of the following customer relationship groups do organizations generally avoid investing in?
strangers
are customers who show low potential profitability and little projected loyalty
strangers
Dollar General profitably appeals to families with more modest means. The retailer's approach is most likely referred to as
target marketing
Customers who are classified as true believers
tell others about their good experiences with a company
Which of the following concepts is based on a customer-centered philosophy?
the marketing concept
A customer is both loyal and profitable is referred to as a
true believer
Amazon Prime strives to convert casual shoppers into loyal customers. An Amazon Prime customer can be classified as a
true believer
According to the five step model of the marketing process, the first step in marketing is
understanding the marketplace and customer needs and wants
Steps in business portfolio planning:
- analyze the firm's current business portfolio - develop strategies for growth and downsizing to shape the future portfolio
Extent to which a product's perceived performance matches a buyer's expectations
Customer Satisfaction
Marketing logic by which the company creates customer value and achieves profitable customer relationships
Customer Value-Driven Marketing Strategy
Customer's evaluation of a marketing offer relative to those of competing offers
Customer-percieved value
Step 1 of Strategic Planning
Defining the company mission
Human wants that are backed by buying power
Demands
Goals of Marketing
1. Attract new customers by promising superior value 2. Keep and grow current customers by delivering satisfaction
The Marketing Process
1. Understand the marketplace and customer needs and wants 2. Design a customer-driven marketing strategy 3. Construct an integrated marketing program that delivers superior value 4. Build profitable relationships and create customer delight 5. Capture value from customers to create profits and customer equity
Buyers perspective would emphasize the four A's:
Acceptability, affordabiltig, accessibility, awareness
Low potential profitabilty, long term loyalty
Barnacles
the company most decide how it will differentiate and position itself in the marketplace
Choosing a value proposition
Step 3 of Strategic Planning
Designing the business portfolio
The market offering to create superior customer value
Differentiating
Engaging consumers via their digital devices using digital marketing tools and social media
Digital and social media marketing
New products, new market
Diversification
low market growth, low market share (BCG)
Dog
Products or business units that are unprofitable or no longer fit the company's overall strategy
Downsizing
Existing product, new markets
Market development
turning marketing strategies and plans into marketing actions to accomplish strategic marketing objectives. Addresses the who, where, when, and how do the marketing activities
Market implementation
Dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors, and who might require separate products or marketing programs
Market segmentation
states of felt deprivation; physical, social, and individual
Needs
Step 4 of Strategic Planning
Planning marketing and other functional strategies
Management's evaluation of the products and businesses that make up the company -identify the strategic business units (SBUs) -assess SBUs attractiveness and decide on the level of support SBU deserves
Portfolio Analysis
The product to occupy a clear, distinctive, and desirable place relative to competing prouducts
Positioning
4 p's of the marketing mix
Product, price, promotion, place
high market growth, low market share (BCG)
Question mark or problem child
Portion of the customer's purchasing in their product categories
Share of Customer
High Market Growth Rate & High Relative Market Share (BCG)
Star
Low potential profitability, short term loyalty
Strangers
Game plan for long run survival growth. Helps to maintain a strategic fit between its goals and capabilities and changing marketing opportunities
Strategic Planning
Internal, positive
Strengths
Which of the following is the difference between the marketing concept and the selling concept?
The marketing concept focuses on customer needs, whereas the selling concept focuses on existing products.
external, negative
Threats
-making a sale -abundance of products in the nearby shopping centers -television, magazine, and direct-mail ads
Traditional Marketing
Form taken by human needs when shaped by culture and individual personality
Wants
Internal, negative
Weaknesses
Carla, a team leader in charge of customer relationship management, is planning strategies to improve the profitability of her firm's least profitable but loyal customers. She is also examining methods for "firing" customers in this group who cannot be made profitable. To which of the following customer relationship groups do these customers belong?
barnacles
Collection of businesses and products that make up the company.
business portfolio
Efforts to convert _______ into loyal customers are rarely successful
butterflies
high potential profitabilty, short term projected loyalty
butterflies
A consumer who is potentially profitable but not loyal to a firm's offerings is referred to as a
butterfly
Low market growth rate and high relative market share (BCG)
cash cow
The selling concept knows that
consumers will not buy enough of a firm's products unless the firm undertakes large-scale persuasion and promotions efforts
is the total combined customer lifetime values of all the company's current and potential customers
customer equity
the value of the entire stream of purchases a customer makes over a lifetime of patronage
customer lifetime value
Abel now has the buying power to purchase the computer that he wanted to buy six months ago. Abel's want has most likely become a
demand
Marketing mix tools should be blended into a comprehensive _________
integrated marketing program
Evaluating each market segment's attractiveness and selecting one or more of the market segments to enter is called:
market targeting
The __________ concept holds that achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than competitors do
marketing
measuring and evaluating the results of marketing strategies and plans and taking corrective action to ensure that the objectives are achieved
marketing control
is the art and science of choosing target markets and building profitable relationships with them
marketing management
Paying more attention to the specific products a company offers than to the benefits and experiences produced by these products
marketing myopia
Using mobile channels to stimulate immediate buying, make shopping easier, and enrich the brand experience
mobile marketing
are defined as states of felt deprivation
needs
External, positive
opportunities
The ultimate aim of customer relationship management is to produce
produce high customer equity
New products, existing market
product development