Marketing Tier 2 PIs
Explain the nature of marketing plans (MP:007) (SP)
- Explains how you will organize the new business. - Details pricing strategies and promotional plans. - SWOT Analysis: Identifies internal strengths & weaknesses and External Opportunities & Threats
Explain techniques for processing marketing data (IM:062) (SP)
One could use a spreadsheet to sort participants into categories, calculate proportions, and design visual aids to represent the findings. These findings could then be presented in a report or slideshow presentation.
Identify methods/techniques to generate a product idea (PM:127) (SP)
One must first analyze markets and the needs/wants of consumes in them. Then, the business can use the market research data and relay it over to the product/service management team so they can generate ideas for products.
Explain the need for professional and ethical standards in marketing (PD:137) (SP)
One must not release customer data without consent. All market activities should fulfill the core principles of business ethics: making a profit while bringing meaningful goods/services to the world.
Discuss motivational theories that impact buying behavior (SE:359) (SP)
1. Maslow theory of needs 2. Adams theory of Equity 3. Herzberg two factor theory 4. Pink drive theory of motivation
Describe the uses of grades and standards in marketing (PM:019) (CS)
A grade states the quality of a product. A grade label appears on packaging of a product.
Explain the concept of market and market identification (MP:003) (CS)
A market is a group of consumers who have a common interest, need or want of a given good or service. This group of consumers also must be able to purchase the product. Identifying a market is an important activity in marketing as products will not appeal to everyone. Marketers identify markets' common interests by classifying consumer's demographic, geographic and psychographic information. Examples of this information include age, income, education, zip code, buying behavior, and leisure activities.
Explain the nature of marketing planning (MP:006) (SP)
A marketing plan is a written document that details the necessary actions to achieve one or more marketing objectives. It can be for a product or service, a brand, or a product line. Marketing plans cover between one and five years. A marketing plan may be part of an overall business plan.
Explain the concept of product mix (PM:003) (SP)
A product mix is the total products that a business sells.
Identify customer touch points (PM:277) (SP)
A touchpoint is any interaction between the buyer and seller (e.g. customer viewing promotional materials, customer asking about a product/service, customer buying a product/service).
Explain the nature of affinity partner relationships (CM:021) (SP)
Affinity partner relationships is a concept that consists of a partnership between a company and an organization that gathers persons sharing the same interests (known as an affinity group) to bring a vaster consumer base to the opposite party.
Describe factors used by businesses to position corporate brands (PM:207) (SP)
Attractive logos, captivating names, powerful slogans, etc.
Explain business ethics in product/service management (PM:040) (SP)
Businesses must ensure the safety of the products/services and make products/services that do not harm the environment and society at large.
Describe the use of business ethics in promotion (PR:099) (SP)
Businesses must provide accurate information about a product or service. Marketers have a responsibility for ethical behavior in promotion as it relates to advertising and sales. They should avoid false advertising for products and services as well as pressure or misleading sales tactics and promotions.
Monitor/measure customer "buzz" (IM:469) (SP)
Buzz monitoring is the monitoring of consumer responses to commercial services and products in order to establish the marketing buzz surrounding a new or existing offer. Similar to media monitoring it is becoming increasingly popular as a base for strategic insight development alongside other forms of market research. Buzz monitoring involves the checking and analysis of myriad online sources such as internet forums, blogs, and social networks. Data can be provided in real time, which means that critical issues can be picked up instantly. It is also comparatively inexpensive compared to other market research tools and can actually guide further product and service developments. Influence is a key question in buzz monitoring - does this particular person and/or this particular piece of content matter and is it influencing others? Hence, the influence of a source is an important buzz monitoring metric that should be benchmarked. Buzz monitoring is implemented by businesses for a variety of reasons, namely to improve efficiency, reaction times and identify future opportunities. Insights gained can help guide marketing and communications, identify positive and negative customer experiences, assess product and service demand, tackle crisis management, round off competitor analysis, establish brand equity and predict market share.
Explain the nature and scope of channel management (CM:001) (CS)
Channel management is the process of determining the distribution of goods and services from the manufacturer to the consumer. It often includes manufacturers, vendors, businesses, warehouses, retailers, wholesalers, and consumers.
Describe ethical considerations in channel management (CM:006) (SP)
Channel management members must obey the law and serve the best interest of ALL members in the supply chain.
Explain the nature of channels of distribution (CM:003) (CS)
Channels of distribution are what a good or service goes through before reaching the market. Channels of Distribution: Manufacturer - makes/performs good/service Vendor - sells good/service Business - purchases good/service from vendor, sells good/service to retailers/wholesalers for profit Warehouse - stores good/service Retailer - sells good/service directly to consumer Wholesaler - sells good/service in bulk quantities to other parties, who sell to consumers Consumer - purchases and consumes good/service
Explain company selling policies (SE:932) (CS)
Company selling policies guide the rules for training, compensation, legal and ethical issues and sales quotas. Company policies for training ensure that sales representatives know the product or service they are selling and present those in a way reflective of the business. Compensation and sales quotas of a company are communicated through various policies to ensure clear expectations for the sales force. Company sales policies also instruct sales representatives on how to conduct legal contracts and ethical sales practices.
Explain characteristics of effective data-collection instruments (IM:418) (SP)
Effective data-collection instruments are often digital and are easy-to-use. If it involves human interaction, the researcher should be well-equipped with strong communication skills.
Explain the nature of corporate branding (PM:206) (SP)
Corporate brands are the names of companies, used to allow consumers to easily identify products by a certain business.
Explain legal and ethical considerations in selling (SE:106) (SP)
Credibility and have an honorable reputation Ethical: Fair treatment of all customers and no price discrimination Proper condition and packaging RIP UP: (write page about racism, sexism, social status, sexuality): Zero tolerance policy towards discrimination Legal- No lying about the claims made about a product. Legal- bait-and-switch: -FISH HOOK
Describe word-of-mouth channels used to communicate with targeted audiences (PR:247) (SP)
Customer advocacy is the most common word-of-mouth in which consumers show approval for a product, service, or businesses by telling others about them through various media including social media and personal conversation.
Explain factors affecting pricing decisions (PI:002) (SP)
Customers, competitors, and costs influence prices through the demand and supply. Customers and competitors affect demand Cost affects supply
Describe the use of technology in the marketing-information management function (IM:183) (SP)
Database programs can be used to store marketing information management data. This data can be analyzed using spreadsheet programs, and presented through word processing and slideshow programs.
Identify data monitored for marketing decision making (IM:184) (SP)
Demographics - age, sex, race, etc. Geographics - location, culture, etc. Psychographics - attitudes, lifestyles, etc.
Describe methods used to design marketing research studies (i.e., descriptive, exploratory, and causal) (IM:284) (SP)
Descriptive marketing research is a form of conclusive research used to describe both the composition of a group in such terms as income, gender, age and education and the characteristics of group members in regards to both current and future behavior. Exploratory research is an important part of any marketing or business strategy. Its focus is on the discovery of ideas and insights as opposed to collecting statistically accurate data. In the causal form of research the marketer tries to determine if the manipulation of one variable, called the independent variable, affects another variable, called the dependent variable. In essence, the marketer is conducting an experiment.
Describe data-collection methods (e.g., observations, mail, diaries, telephone, Internet, discussion groups, interviews, scanners, tracking tools) (IM:289) (SP)
Descriptive marketing research is a form of conclusive research used to describe both the composition of a group in such terms as income, gender, age and education and the characteristics of group members in regards to both current and future behavior. Exploratory research is an important part of any marketing or business strategy. Its focus is on the discovery of ideas and insights as opposed to collecting statistically accurate data. In the causal form of research the marketer tries to determine if the manipulation of one variable, called the independent variable, affects another variable, called the dependent variable. In essence, the marketer is conducting an experiment.
Describe the use of technology in the promotion function (PR:100) (SP)
Digital media can be used in promotion (e.g. social media, printing computer-generated materials, etc.)
Explain the nature of direct marketing channels (PR:089) (SP)
Direct marketing channels include those methods targeting a specific group of consumers. This usually means delivering a message via direct mail to a home or business or by e-mail. Direct marketing channels are guided by the CAN-SPAM Act of 2003 which requires marketers to provide opt-out options and creates standards for delivering electronic promotion information. -Direct marketing refers to when a seller sells straight to the buyer without intermediaries. They can often be less expensive, but the business needs the expertise.
Explain legal considerations in channel management (CM:005) (SP)
Distributors and vendors may sue for price-fixing and other legal issues related to business.
Explain the importance of coordinating elements in advertisements (PR:251) (SP)
Each element of an advertisement needs to work together as a cohesive message for a product, service or business. Before placement, marketers check to ensure that the ad stands out on a page, the layout is clean, the text is easy to read and understand, the signature can be distinguished and that the message relates to the target market.
Explain the nature of channel-member relationships (CM:008) (SP)
Each member in a channel has a specific role in the quality of a product/service.
Explain key factors in building a clientele (SE:828) (SP)
Factors involved with building a clientele include knowing who makes purchase decisions, industry trends, and customer referrals. When developing a group of prospective clients, a sales representative needs to know who will ultimately make a decision so that the right customer is targeted with information. Industry trends can affect whether purchases are able to be made. Customer referrals can significantly impact a business's ability to grow the market.
Explain the nature of product/service branding (PM:021) (SP)
Flaunting features and benefits, dissing competition, attractive logos, captivating names, powerful slogans, etc
Discuss the nature of marketing research problems/issues (IM:282) (SP)
Flawed Survey Design - improper design may lead to inaccurate conclusions Survey Nonresponse - many participants may choose not to participate Survey Bias - participants may be inclined to answer in a certain way Observational Errors - observational studies can be erroneous if not conducted meticulously
Identify the impact of product life cycles on marketing decisions (PM:024) (SP)
Growth - more willing to be risky Peak - anxious to keep product in market Recession - focus on product upgrades, new products
Coordinate channel management with other marketing activities (CM:007) (SP)
Information can be collected to plan out a course of action based on prices and which vendors provide the best products and services. That's 4 marketing functions related to channel management.
Describe the use of technology in the selling function (SE:107) (SP)
Information is a necessary tool for a salesperson and technology now makes this available at all times. Technology also reduces the amount of time a sales representative uses for research and makes them a more effective resource for business. Examples of technology used in sales include Bluetooth technology, laptops, PDA's, CRM software, e-mail, text messages, social media, etc. Information is a necessary tool for a salesperson and technology now makes this available at all times. Technology also reduces the amount of time a sales representative uses for research and makes them a more effective resource for business. Examples of technology used in sales include Bluetooth technology, laptops, PDA's, CRM software, e-mail, text messages, social media, etc.
Explain the types of promotion (i.e., institutional, product) (PR:002) (CS)
Institutional promotion is a marketing approach that demonstrates the goodwill of an organization or individual in order to boost its public relations appeal. Product promotion is to inform, persuade and influence the consumer's decisions on a certain product. You can advertise these things by using TV ads, billboards, magazine ads, buyer and seller interactions, public relations activities, etc.
Describe factors used by marketers to position products/services (PM:042) (SP)
Marketers ensure that products/services related to one another are near each other and fit all the needs and wants of consumers in that market.
Describe the need for marketing data (IM:012) (CS)
Marketing data can be used to analyze various metrics of consumers within a market, such as: Demographics Psychographics Geographic. Businesses can then use market segmentation based on these factors in order to determine a target market, to whom they will tailor their marketing strategies.
Explain the nature and scope of the marketing-information management function (IM:001) (SP)
Marketing information management is one of the functions of marketing in which businesses use surveys, observational studies, or experiments to collect data on a potential market. After conducting analysis on the data, marketing information managers can make recommendations and/or decisions on marketing strategies that can be used to appeal to an identified target market.
Explain employment opportunities in marketing (PD:024) (CS)
One could manage quality control and inventory, market research and their databases, be a market planner, pricing economist, product/service manager, promotional specialist, or professional salesperson.
Explain the nature of marketing research (IM:010) (SP)
Marketing research is used by businesses to identify sales trends and changing markets so that they can alter their marketing strategies as needed.
Explain the concept of marketing strategies (MP:001) (CS)
Marketing strategies are techniques at different parts of the marketing process in order to get the product/service to the consumer and make as large of a profit as possible.
Identify product opportunities (PM:134) (SP)
Opportunist products are well-positioned in emerging markets to fulfill the needs and wants of consumers.
Describe the role of business ethics in pricing (PI:015) (SP)
Predatory pricing, aka pricing extremely low to drive competitors out the market, is illegal, it's difficult to prove that the price decreases had such an intention and were not simply the result of competitor based pricing. Price fixing involves the an agreement between a group of people on the same side of a market to buy or sell a good or service at a fixed price. bid rigging involves promising a commercial contract to one group, even though you make it look like multiple parties had the opportunity to submit a bid. Price discrimination is the strategy of selling the same product at different prices to different groups of consumers, usually based on the maximum they are willing to pay. Price skimming is when the price for a product is first sold at a very high price and then gradually lowered.
Describe options businesses use to obtain marketing research data (i.e., primary and secondary research) (IM:281) (SP)
Primary research is research conducted by the business. Secondary research is research obtained through another party.
Describe the nature of product bundling (PM:041) (SP)
Product bundling is when multiple products are being sold together at the point of purchase, likely used as an incentive to compel consumers to purchase certain/more products.
Acquire product information for use in selling (SE:062) (CS)
Product information can be found through four channels: direct experience, written publications, other people, and formal training. In addition, product demonstrations or product manufacturing can help a salesperson acquire product information. Printed materials can include user guides, warranties, catalogs and labels. Formal training is considered the method for information gathering about a product.
Analyze product information to identify product features and benefits (SE:109) (SP)
Product information provides detailed information that allows a sales representative to understand how a product will benefit a customer through a feature. A feature is a physical attribute of the product. Benefits are the advantages or satisfaction a customer receives from the product. Knowledge of product information allows a salesperson to match the appropriate product to fill a customer's needs. For example, a t-shirt may be made of brushed cotton (feature) which means it will be extra soft to the touch (benefit).
Explain the nature and scope of the product/service management function (PM:001) (SP)
Product/service management involves checking inventory and quality. Marketing information management teams can provide info on public opinion to help the product/service management teams improve their products/services.
Explain the role of promotion as a marketing function (PR:001) (CS)
Promotion is persuasive communication that prompts a target market to take action. As a marketing function, it includes all the activities to inform, persuade, and remind consumers about products and services.
Evaluate questionnaire design (e.g., types of questions, question wording, routing, sequencing, length, layout) (IM:293) (SP)
Questions should be about things the respondent would be comfortable sharing such that response bias is eliminated or diminished. The wording should be clear and simple and questions should be sequenced by category. Questions should not be long and the interface should be smooth and user-friendly. If needed, question routing should be used to derive new questions tailored specifically to the respondent based on their answers to previous questions.
Discuss the nature of sampling plans (i.e., who, how many, how chosen) (IM:285) (SP)
Sampling plans are used to determine the sample population to be used in a marketing research study. More participants means less variability, but more impracticality. Those chosen should be likely consumers within a business' market, and the business should perform a random selection of these consumers in order to obtain a variety of participants.
Explain the role of situation analysis in the marketing planning process (MP:008) (SP)
Situation analysis is an integral part of marketing. The situation analysis refers to the combined external and internal factors that are related to marketing decisions. One relationship of situation analysis in marketing is its use in finding out what the company is all about. If a company can accurately define itself and what it stands for, then it has a better chance of devising an effective marketing strategy based on its core values and beliefs.
Explain the use of descriptive statistics in marketing decision making (IM:191) (SP)
Statistical research gives managers the information they need to make informed decisions in uncertain circumstances. When managers analyze statistical research in business, they determine how to proceed in areas including auditing, financial analysis and marketing research.
Describe the use of technology in the channel management function (CM:004) (CS)
Technology can be used to determine factors used in selection of channels, contact owners of these channels, and monitor the distribution of goods/services.
Describe the use of technology in the product/service management function (PM:039) (SP)
Technology can be used to edit models of a product or determine public opinion on a product/service.
Explain the use of technology in the pricing function (PI:016) (SP)
Technology can be used to quickly and accurately calculate price
Identify communications channels used in sales promotion (PR:249) (SP)
Telemarketing, social media, e-mail listings, etc.
Identify consumer protection provisions of appropriate agencies (PM:017) (SP)
The Bureau of Consumer Protection has provisions banning unethical business practices such as price-fixing.
Describe the regulation of promotion (PR:101) (SP)
The Federal Trade Commission is the main regulator of promotional practices overseeing issues related to advertising and endorsements. Trade associations and consumers also play a role in regulating promotion strategies. The primary topics that are discussed are deceptive advertising practices including advertising to children, privacy, contests, false testimonials, bait and switch advertising, free offers, and misleading demonstrations. -There are laws in place to prohibit slanderous promotional tactics or tactics that limit competition.
Describe the role of customer voice in branding (PM:276) (SP)
The brand needs to appeal to the consumer, so businesses often use testimonials and market research.
Explain the role of customer service as a component of selling relationships (SE:076) (CS)
The direct one-on-one interaction between a consumer making a purchase and a representative of the company that is selling it. Most retailers see this direct interaction as a critical factor in ensuring buyer satisfaction and encouraging repeat business. use CRM as a method to develop loyalty (which impacts future sales) -selling relationships refer to the sales technique that focuses on the interaction between the buyer and the salesperson rather than the price or details of the product -therefore, if CRM is higher (meaning customers like the salesperson and trust the business), they are more inclined to buy from said salesperson/business
Explain the components of advertisements (PR:014) (SP)
The elements of an advertisement are the headline, copy, illustrations, signature and slogan. The headline is a sentence that gets a consumers attention. The copy explains the product or service. The illustrations use graphic elements to demonstrate the product or service. The illustrations may also grab the consumer's attention to the advertisement. The signature is an identification symbol of the business. The slogan is a quick message about the product or company. -Attraction/Attention: What grabs customers attention Interest: What engages the audience into focusing on the ad Desire: Convince customers that they want and desire the product Action: call to action. ex order today, call today, etc.
Assess appropriateness of marketing research for the problem/issue (e.g., research methods, sources of information, timeliness of information, etc.) (IM:428) (SP)
The information should be recent such that it represents current trends in the market. Furthermore, methods of research should be ethical and compliant with law regarding marketing information management. Reliable sources include government reports and verified business data.
Explain communications channels used in public-relations activities (PR:250) (SP)
The press is the most common methods of public relations.
Explain the nature and scope of the selling function (SE:017) (CS)
The selling function provides consumers with the products or services that they want or need. This includes all members of the distribution channel. Selling process if personalized and influences purchase of products for future sales. Approaching the customer Determining their needs Presenting the product Overcoming customer objections Closing the sale Suggestion selling Relationship Building
Explain the selling process (SE:048) (CS)
The selling process is the interaction between a salesperson and their potential buyer. There are seven common steps to the selling process: prospecting, preparation, approach, presentation, handling objections, closing and follow-up.
Identify the elements of the promotional mix (PR:003) (SP)
There are five main elements of the promotional mix: PPADS. 1. Personal selling is when sales representatives sell products by communicating directly with the consumer. 2. Public relations involve managing the company's perceived image through non-paid advertising and different media channels. It is the development of a favorable image for a company, its products or its policies. 3. Advertising is any paid, non-personal activity that serves to promote the product. 4. Direct marketing is advertising that is targeted at groups of potential consumers, using market segmentation. 5. Sales promotion includes activities (i.e. limited time offers) that are used to create purchases and sales not related to the other types of promotion.
Describe the regulation of marketing-information management (IM:419) (SP)
There are laws in place pertaining to marketing information management in order to protect consumer privacy.
Explain types of advertising media (PR:007) (SP)
Types of advertising media include print, broadcast, online, specialty and social. Print media include newspaper, magazine, direct mail, directory, outdoor, and transit. Broadcast media include television and radio advertising. Online advertising are all forms of that use the Internet or e-mail including banner and pop-up ads. Specialty media are items used for distribution with the company's branding message. Social media includes platforms including Facebook, Twitter, and mobile media applications. -Advertising media are the channels used to promote a product/service. Some kinds are TV ads, social media content marketing, etc.
Identify types of public-relations activities (PR:252) (SP)
Types of public relations activities include sponsoring product, sports, cultural or charitable events, awarding scholarships, and donations. Another aspect of public relations is creating news releases, an announcement that a company sends to the news media.
Explain warranties and guarantees (PM:020) (CS)
Warranties are a promise to the consumer that a product will reach a certain expectation to quality, performance, etc. Different types: Express: Warranty in writing or communicated verbally to convince a buyer to buy. Guarantees replacement if it is found defective Limited: Excludes certain parts of a product from a warranty. Implied: Protect customers based on state laws. Guarantees are used in promotion like money-back, results, time of use, or satisfaction guarantees.
Explain the role of ethics in marketing-information management (IM:025) (SP)
Written consent must be obtained for experiments, and data cannot be disclosed without the consent of those involved in the data collection.
Explain the nature and scope of the pricing function (PI:001) (SP)
a) Price is the value of money placed on a good or service. b) Return on investment- calculation that is used to determine the relative profitability of a product. c) Market share- a firm's percentage of the total sales volume generated by all competitors in a given market.
Explain the nature of sales forecasts (MP:013) (SP)
a) Sales forecasting is an attempt to estimate the future sales of an existing product. b) Included in the sales forecast are a total estimate of the market, analyzing of competitor and company sales, and the individual share of the business.
Generate product ideas (PM:128) (SP)
e.g. VR, AR, drones, modular smartphones, hoverboards, etc.