Entre Quiz 2
Segment
A group of customers defined by certain common bases or characteristics that may be demographic, psychographic, or behavioral
A business plan is a _______ document
Living
Primary data
Marketers collect for a specific purpose through focus groups, surveys, and experiments
Secondary Data
Marketers gather from already published sources
Cost-Based Margin
Marking up price based on cost plus desired margin
Is it a good idea to develop a full product when exploring a venture idea?
NOOO
Works-like Prototype
Operates like final product, but often doesn't look like end product
power of the team=
shared vision of success
Price points
standardized, fixed levels
Price Promotion
temporary price cut. Benefits customers, retailers, distributors, etc.
Service Mark
word or symbol or combination used in connection with the offering and provision of services
Prototyping Cycle
represent assumptions, test assumptions, learn and iterate, repeat!
Look-like Prototype
*Used to test design* The appearance looks like the end product, but does not have the functionality
Listening Systems to scan and understand marketing environment
-transactional surveys -new and lost customer surveys -Focus group interviews -Customer advisory board panels -Customer specific reviews -Customer complaint/comment
Question stages for a focus group
1. Intro 2. Rapport Building 3. In-Depth Investigation 4. Closure
Two important elements of a Trademark
1. Is it too descriptive? 2. Is it already being used?
How is entrepreneurial marketing different from that done by established companies?
1. Less money 2. Less marketing expertise 3. Minimal time
Marketing related dangers for entrepreneurs
1. Overestimate demand 2. Underestimate competitor response 3. Make uninformed distribution decisions
3 Marketing Divisions
1. Segmentation 2. Targeting 3. Positioning
4 Steps of a Customer Value Proposition (CVP)
1. Target group and need 2. Brand 3. Concept 4. Point of difference
Pre-venture market analysis can reduce failure rates by up to...
60%
Utility Patents
A better, cheaper, faster use of a product that already exists
As an entrepreneur, you need to be
self aware, but not self depricating
Trademarks
Key in differentiating a business's products and services from those of others as well as in franchising agreements
Penetration Pricing
Aims to gain high market share with low margins
Marketing
An organizational function and a set of processes for creating, communicating, and delivering value to the customers and for managing customer relationships in ways that benefits the org and it's stakeholders
Kickstarter Prototypes
Kickstarter demands physical prototypes to better show preparedness of idea creators
Business planning isn't just writing, it's research. It is a ________ process
LEARNING
Price Discrimination
Charging different prices to different consumer segments
Marketing Research
Collection and analysis of any reliable info that improves managerial decisions
Positioning
Company's offering relative to certain product attributes- the ones the customer cares about the most.
Targeting
Compares the defined segments and then selects the most attractive one, making that it's core customer
Trade Secrets
Cover proprietary info (recipes, customer lists, etc)
Pull Strategy
Create end-user demand and rely on this demand to pull product through channel
Disintermediation
Cutting intermediaries out of traditional distribution channels by selling direct to customers
Shortcomings of solo entrepreneur
Limited perspective, little moral support, and small network
High-Fidelity Prototype
Designed to look like a completed product concept. May use this to promote to customers, partners and investors
Co-Creation
Developing your product with the target consumer. Consumers engaged early and repeatedly during product development *important when developing product for unfamiliar market*
Promotional Strategy Goal
Effectively communicate availability and benefits of the product to target market, and to convince people to buy your product
Core Product
Essential good or service
What is the most important part of the business plan?
Executive summary
Purpose of Prototype
Gather responses from a target customers to help decide what direction to pursue (or not pursue)
3D Printer use
In the past, used primarily for prototypes, but now being used increasingly for end product manufacturing
Teams add
Increased skill sets, improved ability to innovate, higher social level of support
Product Diffusion Curve
Innovators, early adopters, early majority, late majority, laggards
Prototyping
Process of quickly putting together working models to represent ideas, test various aspects of a design, and gather early customer feedback.
Patents
Protect Inventions
Copyrights
Protect authors' original creations, including literary, musical, artistic, software, etc.
Low-Fidelity Prototype
Prototype expresses the rough product concept, often in basic material such as paper. Helps to develop the ideas quickly and gauge reactions
Push Strategy
Push product through channel using promo, trade shows, and personal sellign
Price Skimming
Set high margins, gain small market share due to high price (best for innovative products aka entrepreneurs)
Augmented Product
Set of attributes peripherally related to it
Prototyping Services
Simulate your service offering!! to better understand needs and wants of target customer
Purpose of business planning
Tell the story of your business
Communications Mix
Tools include: advertising, sales promo, public relations, personal selling, direct marketing, etc.
Customer Value
Total customer benefits minus total customer costs (monetary and nonmonetary)
Minimum Viable Product (MVP)
Version of new product concept that allows the team to collect the maximum amount of validated learning from customers with the least effort. *Allows rapid reconfiguring of product concept*
Entrepreneurs tend to be overly dependent on....
channel partners
Cover of B Plan includes:
company name, tagline, contact info, date, disclaimer, and copy number
marketing spans the boundary between ______ and _______
company, customers
Developing and testing an MVP focuses on _____________ first
customer engagement
3 Types of Channel coverage in distribution strategy
intensive, selective, and exclusive
Importance of business plan is not in final product but in....
learning you gain from writing about your vision
______ is at the heart of an organization
marketing
Why is it so easy to enter Internet retail sector?
outsource fulfillment to other company, so they only need a virtual company.
4 P's of marketing
price, place, promotion, product