marketing exam 2

product qualitiy

The characteristics of a product or service that bear on its ability to satisfy stated or implied customer need

test marketing

The stage of new-product development in which the product and its proposed marketing program are tested in realistic market settings

product mix width

number of different product lines the company carries

product mix depth

number of verisions offered for each product in the line

market penetration

offer low price initially then higher price once est. customer loyalty

what is the strongest link between a company and a customer

personal selling

idea generation

systematic search for new product ideas

do successful businesses use target or shotgun marketing

target

Selecting which segments of a population to serve is called ________. A) market segmentation B) positioning C) customization D) target marketing E) differentiation

target marketing

product life cyle

the course that a products sales and profits take over its life time

social behavhior

family, reference groups, roles and status

sustainable marketing focuses on the

future

uniform delievered pricing

geographical pricing strategy in which the company charges the same price plus freight to all customers, regardless of their location.

four ways to segment the market

geogrpahical, demographic, psycholgrahpic, behavior

Boston consulting group matrix (market growth/market share; dog, star, cash cow, question mark)

graph

draw the product/market expansion graph (new/old products/markets)

grpj

question mark

high growth, low share

market skimming pricing

high initial then low

what are the 8 stages in new-product development

idea generation, idea screening, concept development, marketing development, business analysis, product development, test marketing, commercialization

production concept

idea that consumer want products that are highly affordable and available so businesses should focus on production efficiency

product concept

idea that consumers want products that are innovative and high quality so businesses should focus on constantly improving product

marketing concept

idea that profits are driven by customer satisfaction, must focus on consumers wants and needs

primary data

information collected for a specific purpose

secondary data

information that already exists somewhere

crowdsourcing

inviting broad communities of people into the new product innovation process

cash cows

low growth, high share

value delivery network

made up of suppliers, distributors, and customers that team up to improve the performance of the entire system

types of direct marketing

mail, catalogs, interactive TV and online marketing

Which of the following marketing orientations holds that achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than competitors do? ✖ A) the product concept B) the production concept C) the selling concept D) the marketing concept E) the societal marketing concept

marketing concept

marketing information includes

marketing intelligence, internal data and marketing research

The art and science of choosing target markets and building profitable relationships with them is called ________. ✔ A) marketing management B) positioning C) marketing mix D) market offering E) differentiation

marketing management

a set of product, price, promotion and place that the firm blends to produce the response it wants in a market

marketing mix

difference between marketing concept and selling concept

marketing you are getting profit from satisfaction, selling you are getting profit from sales volume

psychological pricing

the pricing says something about the product

mission statements describe what

they describe how they will meet the needs of the customer, emphasize company strengths NOT what they do

what is the objective of advertising?

to persuade, remind and inform

product mix length

total number of items a company carries within its product line

According to the five-step model of the marketing process, a company should ________ before designing a customer-driven marketing strategy. A) determine how to deliver superior value to customers B) build profitable relationships with customers C) use customer relationship management to create full partnerships with key customers D) understand the marketplace and customer needs and wants E) construct an integrated marketing program

understand the market place

demand curve

A curve that shows the number of units the market will buy in a given time period, at different prices that might be charged

zone pricing

A geographical pricing strategy in which the company sets up two or more zones. All customers within a zone pay the same total price; the more distant the zone, the higher the price.

freight absorbtion pricing

A geographical pricing strategy in which the seller absorbs all or part of the freight charges to get the desired business

Basing-point pricing

A geographical pricing strategy in which the seller designates some city as a basing point and charges all customers the freight cost from that city to the customer

price elasicity

A measure of the sensitivity of demand to changes in price.

dynamic pricing

Adjusting prices continually to meet the characteristics and needs of individual customers and situations.

positioning

Arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers.

product development

Developing the product concept into a physical product to ensure that the product idea can be turned into a workable market offering.

differientation

Differentiating the market offering to create superior customer value

market segmentation

Dividing a market into smaller segments with distinct needs, characteristics, or behavior that might require separate marketing strategies or mixes.

commericialization

Introducing a new product into the market

Customer-centered new-product development

New-product development that focuses on finding new ways to solve customer problems and create more customersatisfying experiences.

service inseparablitiy

Services are produced and consumed at the same time and cannot be separated from their providers.

experience curve

The drop in the average per-unit production cost that comes with accumulated production experience.

market targeting

The process of evaluating each market segment's attractiveness and selecting one or more segments to enter.

what is the product life cycle

`product development, introduction, growth, maturity, decline

what is a product

a product, service, event, person, organization

what are the three aspects to a product

actual product, augmented product, core customer value

personal

age, occupation, lifestyle, personality

competition based

basing price on competitors strategies, costs and prices

what is the marketing function responsible for

being the voice of the consumer and understanding the consumer

psychological

beliefs and attitudes

According to the five-step model of the marketing process, which of the following is the final step in creating value for customers? ✖

building profitable relationships

the final step of the marketing process is

capturing value

Generation Y

children of the baby boomers from 1977-2000

name the four factors that affect consumer behavior

cultural, social, personal, psychological

cultural behavior

culture, subclass, social class

When customers don't know what they want or don't even know what's possible, the most effective marketing strategy is ________ marketing. ✖

customer driving

FOB orgiin

customer pays for shipping

________ is determined by a customer's evaluation of the benefits and costs of a market offering relative to those of competing offers. A) Customer-perceived value B) Customer lifetime value C) Share of customer D) Customer-managed relationship E) Brand value proposition

customer perceived value

Which of the following marketing strategies should marketing managers focus on to manage detailed information about individual customers and carefully manage customer touchpoints to maximize customer loyalty? A) customer divestment B) customer-managed relationships C) the societal marketing concept D) partner relationship management E) customer relationship management

customer relationship management

Which of the following is a characteristic of customer-driven marketing? ✖ A) Companies understand customer needs even better than customers themselves do. - Given B) Customers are unaware of their needs. C) Products are created that meet both existing and latent needs, now and in the future. D) Customers know what they want. E) Customers don't know what is possible.

customers know what they want

steps in strategic planning

define mission, goals and objectives, designing business portfolio

a positioning statement

describes why the consumer would by the brand

market strategy developement

designing an initial marketing strategy for a new product based on the product concept

product concept

detailed version of the new product idea stated in meaningful consumer terms

what type of marketing is the fastest growing promotion tool

direct marketing

reference pricing

prices that buyers carry in their minds and refer to when looking at a given product

value based

pricing based on perception of value

four p in marketing

product, place, price, promotion

Which of the following marketing management orientations focuses primarily on improving efficiencies along the supply chain? A) production concept B) product concept C) selling concept D) marketing concept E) societal marketing concept

production concept

business analysis

review of the sales, costs, and profit projections for a new product

idea screening q

screening new product ideas to spot good ideas and drop poor soons

service intangiability

services cannot be seen, tasted, smell or heard before being bought

market penetration pricing

setting a low price for a new product to attract a large number of buys and a large market share

captive pricing

setting a price for products that must be used along with a main product, blades for razor

cost based

setting based on product, distributing, selling plus marginal

product line pricing

setting prices across an entire product line

Which of the following statements is true of the selling concept? ✖ A) It requires minimum promotion efforts. B) It creates long-term, profitable customer relationships. C) It takes an outside-in perspective. D) It is typically practiced with unsought goods. E) It follows the customer-centered sense-and-respond philosophy.

unsought goods

what are the three major pricing strategies

value based, cost based, competition based

augmented product

warranties, service after sale