Principles of Marketing Exam 2

Who is a brand's "legal owner"?

generally the entity or person who legally filed the registration forms

A leading brand evoking a favorable or disagreeable emotional or mental association with it is the definition of:

brand equity

What are the environmental factors that marketers consider and that affect consumer beahvior?

health of the economy, legal environment, market trends, technology and its influence, cultural factors

What does "develop a research plan" mean in the marketing research process?

identify information needed, Research and analysis methods, responsible parties

what are the pitfalls of repositioning?

-Insufficient research - A bridge too far: If brands go too far in a new direction, customers may no longer believe the claims -underestimating "back to basics" -Overpromising - Confusing positioning

What are the Steps in the Marketing Research Process?

1. Identify the problem 2. Develop the research plan 3. Conduct research 4. Analyze and report findings 5. Take action

Steps of the Positioning Process

1. confirm your understanding of market dynamics 2. Identify your competitive advantages 3. Choose competitive advantages that define your market "niche" 4. Define your positioning strategy 5. Communicate and deliver on the positioning strategy

What does "Conduct Research" mean in the marketing research process?

Conduct and retrieve secondary data, primary data, suitable methods and techniques

What is one of the risks or pitfalls that can occur when a product or service is repositioned in the market?

Has the potential to weaken or undermine market perceptions of the product or service

If the decision-making process involves a customer's self-image and financial, social, or psychological risks, it is likely to be a:

High-involvement decision

Armed with marketing research results, the company marketer Jeff is conducting a brainstorming session about the price of his company's main product. Which of these questions are most appropriate to steer the conversation about price?

How would changes to pricing affect sales?

In order to determine whether a customer's purchase decision is a low-involvement or high-involvement decision, what needs to be considered?

If the decision is a new or regular purchase

A marketer works on developing the "Place" portion of the marketing mix. What question should she keep in mind while working on it?

Is there a distribution focus mentioned or implied as a competitive advantage or a positioning strategy that should be directly addresses?

One of the key characteristics of a B2B buying process is the number of individuals involved in making buying decisions. In order for an organization to control this process, what does it do?

It defines and enforces rules for buying decisions

Why is a company's brand name an integral part of its brand identity?

It reflects the overall service or product positioning, image, and benefits.

If a purchase decision is a routine purchase with little customer decision involvement, what type of decision is it?

Low-involvement decision

You are a marketer for a company that sells inexpensive picture frames through stores like All A Dollar and Walmart. What is the most likely type of customer involvement scenario that matches your product and marketing mix strategy?

Low-involvement decision scenario

How is a positioning strategy/statement used to inform a company's marketing mix?

Marketers use a positioning strategy to direct the marketing mix for a product, service, or brand.

Identify some of the commercial companies that provide syndicated marketing research often used by organizations subscribed to their services:

Nielsen, Yankelovich, Ipsos

A company is deciding whether to allocate more of its budget toward product packaging. To justify this budgetary change, the marketing team must present compelling reasons to the management team. What is the most compelling reason they could present?

Packaging is the main tangible element for creating brand positioning associations in a potential consumer's mind and in underscoring a brand's values and qualities in their products.

What is the difference between marketing positioning and repositioning a company, product, or service?

Positioning is the original way a company, product, or service is presented to the market whereas repositioning is taking that original market message and changing it to fit a different place in the market.

What is a useful exercise for a marketer to conduct to encourage a better reception of the marketing research insights in an organization?

Review the original problem the research was trying to solve

What is different about using a CRM system approach rather than a traditional marketing research project approach?

The CRM inquiries are more self-contained because of the tools system provides

How do you distinguish an effective positioning statement from an ineffective one?

The effective positioning statement includes all five key positioning statement elements, and an ineffective one leaves out some of the key elements.

A company used its CRM systems to capture customer information and interactions data and to centrally store this information. How else can a company use its CRM system?

To tailor its marketing mix to customer interests and needs and target segments

Identify all of the activities and areas a marketer must monitor in order to measure the impact of a new or repositioned marketing campaign:

Twitter posts, number of YouTube video viewings, Facebook impressions, sales, revenue, customer satisfaction, new leads generated

A business you are trying to sell to has a manager named Mark who is involved in the selection process. Mark constantly interrupts you and he enjoys giving people in the room high-fives. Mark's actions exemplify which type of unique influencing behavior factor?

individual factor

What does it mean to "take action" in the marketing research process?

it means to consider thought and planning, evaluate the options, and make course adjustments and execute

Which marketing process is a systematic way to link collected and analyzed marketing information of customer insights with marketing opportunities and solutions to marketing problems?

marketing research

If you work with the tools of one of the leading providers of CRM, such as Salesforce.com, what components are included in their offerings?

sophisticated analytical tools and data warehouses and databases

Joe's Crab Shack is on the heavily trafficked beach boardwalk. Lance, the owner, decides to see what the other crab shacks are offering. He discovers that most of the competition is within a mile of his location, have better advertising and signage than his shack, and offer smaller meals for lower prices. With this new competitive intelligence, what is Lance's best marketing choice?

update his signage and highlight his bigger meals as a better deal

What does it mean to "analyze and report findings" in marketing research process?

use findings to conduct data formatting & analysis, interpret the results, and report recommendations

A marketer must understand potential buyers' needs and wants to be able to address and satisfy them. There are two key questions the marketer needs to ask. The first is "How do potential buyers go about making purchase decisions?" What is the other question?

what influences a potential buyer's decision process and in what way?

Which of the following is considered an example of a brand as a promise for a company or organization?

A company's promise of what its offerings will bring to an interaction with a person

Tangible and intangible features like design, symbols, customer touch points, etc. differentiate the services and goods of one seller from another. These features create a psychological stimulus or trigger that causes associations with other ideas or thoughts about a seller. Which marketing term best fits this definition?

Brand

Roto Rooter is discussing measuring its brand equity. What reasons could the marketing team use to support why brand equity must be measured?

Brand equity is strategically important and correlates directly to Roto Rooter's profitability

What is Secondary Research?

Secondary research uses information that has PREVIOUSLY been collected either inside or outside the organization. (ex: internal data, government and non-governmental organization, industry associations, journals, and media, commercial market research data, and search engine results

When a marketer aims her product message at a specific target market, what does she do with the general value proposition?

She uses the positioning strategy to adjust the value proposition to the target segment's needs and interests.

The organization that collects data in the U.S. economy about industries, businesses, and the general population which is focused on a business user is:

U.S. Small Business Administration (SBA) General Business Data and Statistics

A consumer household cleaning products company, the Klean Kompany, has multiple products. Each is labeled with the Klean Kompany name, including Klean Kompany Disinfecting Wipes, Klean Kompany Kitchen Shine, and Klean Kompany Toilet Bowl Scrub.. Which branding strategy is Klean Kompany using to build its brand?

Umbrella branding strategy

What triggers a company to realize it is time to reposition a product or service?

When it sees the opportunity or need to improve the market demand for its product or service

Cora is strategizing expanding her business consulting services into international markets. In order to identify what countries have a robust enough economy to support her business model she must sift through international economic data. Cora can best find her relevant data through which source?

World Bank Data

Which of the following is considered an example of a brand as a promise for a company or organization?

a company's promise of what its offerings will bring to an interaction with a person

Fill in the blank with the best response. A competitive advantage is ________.

a quality, capability, or trait that grants an organization that ability to outperform its competitors.

Which answer best completes the statement, "Effective positioning is always linked to________"?

a specific target segment

The first step in outlining a strong marketing positioning statement is to:

address the target audience

An organization's management and marketing teams often speak of brand ownership. Brand ownership means:

an organization or company building a brand that reflects its values and principles and maintains that consistent message

A company's product or service that provides a unique, intangible strength or outcome for a customer is the definition of a:

benefit

Which factors can trigger an organization's decision to reposition a product, service, or brand?

competition and consumer trends

A fruit stand marketer has gathered marketing information about a rival fruit stand by reading their advertisements, checking out their website, and looking at what other similar fruit stands have opened their area. This is known as:

competitive intelligence

The Android open source operating system places its little green android icon on a variety of other manufacturers' products, like cell phones, tablets, and games. Which branding strategy is Android using to build its brand?

component branding strategy

Frank owns a skateboard store. He needs to capture another market and is walking through the steps of a marketing plan. He begins checking out his current customers and analyses what they are like, what type of purchases they make, and what they look like demographically. He talks with a few of his best customers and then realized he missed a step in the process. Now that he has conducted his primary research, what should be his next step?

conduct secondary research

A critical part of a brand's message to the market and consumers is to not only be relevant to customers and build credibility, trust, and loyalty, but also present coherent message differentiation of its product or service from the competition. This type of coherent, unifying brand messaging is known as:

consistency

Corporate Research

corporate reputation and opportunities for strengthening an organization's position in the market through brand building, research and development mergers and acquisitions, strategic partnerships, corporate planning and profitability

A discipline in marketing combining computer and database technology with marketing communications and customer service is the definition of:

customer relationship management (CRM)

Which strategic steps should be determined before brainstorming on a brand name?

decide whether the name is for the company's own brand, for private-labeling, or for a mixed brand

An organization has decided on brand naming its own products. What are the next steps it should take to develop a new brand name?

define the personality of the products being named, look at the competitive environment, identify active brand names in the category, brainstorm name ideas look at the competitive environment and identify active brand names in that category, brainstorm name ideas, and check domain names and social media availability

Once a company has identified its competitive advantages and chosen the ones that define its market niche, what is its next step?

defining its positioning strategy

After considering the life stage and personality of a customer, what is another important personal factor to consider?

demographic

The dog grooming shop Coddled Critters has recently lost many of its clients. Coddled Critters is starting a market research process and has identified its problem, objectives, and research questions. What is the next logical step for Coddled Critters to take?

developing the research plan

The process organizations use to highlight the standout qualities of their product or service and the value it brings to a customer as compared to their competition is the definition of:

differentiation

A company making expensive watches for the jet-set crowd of international travelers should consider incorporating which elements of packaging to match its product and brand?

distinction, aesthetic beauty, and quality

The relationship formed between the seller and the customer after they both assess trade-offs and swap value is called the:

exchange process

If something is an intangible or tangible characteristic of a product, service, or offering, it is considered a:

feature

What does "identifying the problem" mean in the marketing research process?

identifying the problem to solve, project objectives, research questions

A company sells vacuums for consumers and wants to see the latest marketing trends, find data on its industry, and developments in both online and offline news sources for its yearly forecasting. What is a best place for it to discover this information?

industry associations, professional journals

A camera company had a system set up to captured their customer's information from company interactions. The information included buying behaviors, communication preferences, gender, geographic location, and age. What is this type of collection of information called?

internal data

What is Internal Data

large databases that collect massive amounts of data a variety of sources (generates recommendations and insights about how to increase sales)

Sherry traveled to Moscow, Russia in the early 1990s. When she walked to the local store to purchase some bread, cheese, and milk, she discovered there was only one brand choice for each of the items on her grocery list. This lack of choice made her decisions easy, but she left the store dissatisfied. Without having multiple brands from which to make her selection, which type of situational factor did Sherry experience?

limited market offerings

A student's marketing teacher asks which attributes can be used to assess a brand's equity or its strength. Select all choices the student should include.

market share and price premium familiarity of customers with the brand (brand awareness)

What is the next step to take after marketing research is conducted and results collected?

marketers share marketing information with appropriate team members to highlight findings

What is the freshest source of dependable customer information from either outside or inside an organization?

marketing information

What is Competitive Intelligence?

marketing information that helps marketers better understand the organizations competitors and competitive market dynamic (ex: product information, market share and penetration, pricing strategy, competitive positioning and messaging, win/loss analysis)

Why is conducting marketing research vital in today's world?

new competitors enter markets and change the dynamics of customer expectations

Choose all of the following types of organizations that provide free publicly available data:

non-profit organizations and government agencies

Caroline started doing her marketing research process by identifying the problem of poor marketing message penetration. What does Caroline need to articulate next?

objectives for the research

What does product research explore?

opportunities and gaps exist for improving existing products or introducing new ones, concept testing, sizing the market for a product, market penetration, prioritizing product features and preferences, resting product effectiveness, customer receptivity, user testing, pricing strategies, product naming and branding, how to position a product relative to competitors

Bia Han is prospecting a potential company to sell her company's payroll services. Identify all the considerations of the potential B2B company she must factor into her sales pitch:

organizational complexity and timing complexity

What aspect of marketing contains, protects, displays, increases the utility, and promotes a product, as well as conveying the product and brand messages?

packaging

What is the term for the process marketers use to strategically determine which niche a product or service should occupy in a market compared to other products or service offerings?

positioning

A sentence that summarily describes the target market and defines what a company wants customers to think about its brand is the definition of:

positioning statement

A medicinal product needs a new packaging design. What attributes do marketers need to ensure are built into the packaging for this product?

quality, safety, instructions, legal compliance.

Jason has run out of toilet paper in the bathroom. He walks over to his supply closet only to discover that all of his toilet paper rolls have been used up. Jason has just experienced what part of the consumer decision-making process?

recognition of a need

With the variety of ways to conduct primary research, what does a company need to considered to conduct primary research in a most effective manner?

resources, timing, and budget

Besides marketing information being used throughout all of the marketing mix process, what is another critical area that benefits from discovering the marketing research information?

sales forecasting and related costs

A company has just finished brainstorming around fifty names for its new product line. What are the next two steps it needs to take in the name development process?

screen out problematic names and check for domain and social media availability

Jim and his friends decide they want to start crossfit training to get in shape for their week-long mountain biking trip in the fall. Jim has become the designated gym and coach researcher for the group. Each of his buddies has "heard of a guy" who is good, so Jim begins calling and visiting various gyms, talking with other crossfitters, and collecting data to bring back to the group. What part of the consumer decision-making process is Jim working in right now?

searching for information

Source information previously collected from either outside or inside an organization is known as:

secondary research

Which of the following categories influence a customer's problem-solving process?

social factors and personal factors

The Y-Combo company is in need of new software to run its information technology services. Y-Combo narrows down the prospects to two companies. The second company shows how itsIT software also integrates easily with Y-Combo's accounting, human resources, and CRM software package. The second company is offering Y-Combo what type of a sale?

solution sale

Select all of the following that influence and convey a brand's multiple levels of meaning to the market

specific product features, cultural elements of a brand or company distinctive personality, operational principles and/or company values

Select all of the following that influence and convey a brand's multiple levels of meaning to the market:

specific product features, cultural elements of a brand or company distinctive personality, operational principles and/or company values

If a company's positioning statement includes a target segment, the service/product category in which a company is establishing that market position, the key differentiation points, and the reasons why customers should believe the positioning claims, what is the statement missing?

the brand name

If a brand positioning statement is guided by principles that an organization uses to make decisions and conduct business then it is being driven by:

the brand's core values

If a consumer knows the exceptional experience a brand assures its consumers, and they count on the brand from year to year, then the consumer knows what about the brand?

the brand's promise

Megan grabs a box of Joe Joe's cookies every time she shops at Trader Joe's. She discovered them after taste testing many different kinds of cookies last year. This example involves which situational factor?:

the buying task of cookie brand loyalty

Which promotion considerations does a marketer need to address when using a company's new positioning statement?

the type of campaigns used and message and activity consistency across channels

A hair salon wants to expand its business. It began working through a marketing research process and are they now in the planning the research step. What do they need to put in the plan besides the types of data needed, timing, budget, data collecting methods, interpretation, and reporting?

their analysis plan

What is the goal of brand positioning?

to explain its differentiating qualities to its target customers, why it is better, and why the superiority to its competitors matters.

Last year the Ritzy Fan company loaded up all of their customer interaction information into a customer relationship management (CRM) system. Using the sophisticated computer algorithms in the system, the marketing department has identified the best times to offer discounts and increase prices and when customers are more likely to drop away from purchases. This new insight into their customer behaviour can assist the team in deciding:

when to generate a marketing campaign offering additional discounts to retain customers