exam 1 marketing
factors that can influence involvement
interest, perceived risk, situation, social visibility
number of alternatives
low routine, few limited, many extensive.
value for customers
needs are satisfied.
Undifferentiated Targeting Strategy
A marketing approach that views the market as one big market with no individual segments and thus uses a single marketing mix.
Perceptual Mapping
A means of displaying or graphing, in two or more dimensions, the location of products, brands or groups of products in customers' minds.
Product Differentiation
A positioning strategy that many firms use to distinguish their products from those of competitors.
5 Steps within the 3 phases of marketing plan
(1) mission and objectives (2) SWOT (3) Identify opportunities (4) Marketing Mix (5) Evaluate performance
exchange
2 or more parties, something of value, freedom to reject or accept.
evoked set
A group of brands resulting from an information search from which a buyer can choose.
Target Market
A group of people or organizations for which an organization designs, implements, and maintains a marketing mix intended to meet the needs of that group, resulting in mutually satisfying exchanges.
Cannibalization
A situation that occurs when sales of a new product cut into sales of a firms existing products.
Multisegment Targeting Strategy
A strategy that chooses two or more well-defined market segments and develops a distinct marketing mix for each.
Concentrated Targeting Strategy
A strategy used to select one segment of a market for targeting marketing efforts.
Market Segment
A subgroup of people or organizations sharing one or more characteristics that cause them to have similar product needs.
Portfolio martix
A tool for allocating resources among products or strategic business units.
question marks
According to the BCG growth-market share matrix, ________ are strategic business units with products that have low market shares in fast-growth markets. A) dogs B) exclamation points C) cash cows D) stars E) question marks
social factors
family members, friends, opinion leaders, network.
stars
According to the BCG growth-market share matrix, ________ are strategic business units with products that have a dominant market share in a high-growth market. A) problem children B) exclamation points C) cash cows D) stars E) question marks
cash cows
According to the BCG growth-market share matrix, ________ are strategic business units with products that have a dominant market share in a low-growth market. A) dogs B) exclamation points C) cash cows D) stars E) question marks
dogs
According to the BCG growth-market share matrix, ________ are strategic business units with products that have a small share of a slow-growth market. A) dogs B) exclamation points C) cash cows D) stars E) question marks
sales orientation
Agressive selling, techniques.
involvement
Amount of time and effect put in behind the decision making process of a product
One-to-one Marketing
An individualized marketing method that utilizes customer information to build long-term, personalized, and profitable relationships with each customer.
Portfolio Matrix strategies
Build, Hold, Harvest, Divest
Satisficers
Business customers who place an order with the first familiar supplier to satisfy product and delivery requirements.
Repositioning
Changing consumers' perceptions of a brand in relations to competing brands.
Segmentation Bases
Characteristics of individuals, groups or organizations.
Elements of marketing mix are
Controllable
Product development
Create new products for present markets(existing customers).
marketing mix
find target markets>product/service strategy>distribution,pricing, and promotion strategy
Positioning
Developing a specific marketing mix to influence potential customers overall perception of a brand, product line, or organization in general.
Usage-Rate Segmentation
Dividing a market by the amount of product bought or consumed.
SWOT analysis
Each year, Honeywell asks every department manager to rate his or her department's strengths and weaknesses as well as those of the other departments with which the department interacts. Then each department manager is asked what he or she sees as the greatest threats and opportunities for the company. Honeywell is asking its department managers to engage in a(n) ________. A) SWOT analysis B) portfolio analysis C) market analysis D) functional planning session E) compatibility assessment
Customer satisfaction
Expectations, strongly influenced. Met their needs.
Harvest
Extract or collect what you can (short term)
market segmentation
Ford Motor Company produces passenger cars, commercial trucks and specialty vehicles, performance vehicles, and race cars. Ford uses a procedure called _____ to divide its large market.
Build
Give it support, brand that has potential to become a star or remain star
Marketing implications
High involvement, engage and give as much info as possible
production orientation
If we build it, they'll buy it.
Product and market development
Introducing new products into new markets.
Psychographic Segmentation
Market segmentation on the basis of personality, motives, lifestyles, and geodemographics.
Niche
One segment of the market.
Market
People or an organization with needs or wants and the ability and willingness to buy.
Marketing mix elements
Product, price, promotion, place
Marketing objectives
Realistic, measurable, time specific, compared to benchmark.
cognitive dissonance
Second guessing, inner tension that a customer experiences after recognizing an inconsistency between behavior and values or opinions.
Demographic Segmentation
Segmenting markets by age, gender, income, ethnic background, and family life cycle.
Geographic Segmentation
Segmenting markets by region of a country or the world, market size, market density, or climate.
Geodemographic Segmentation
Segmenting potential customers into neighborhood lifestyles categories.
Divest
Sell off something or get rid. (dog or problem child)
Hold
Stick to what you are doing (stay cash cow)
marketing
The activity, set of institutions and processes for creating, communicating, delivering and exchanging offerings that have value for customers, clients, partners and society at large.
Position
The place a product, brand or group of products occupies in consumers minds relative to competing offerings.
Market Segmentation
The process of dividing a market into meaningful, relatively similar, and identifiable segments or groups.
Benefit Segmentation
The process of grouping customers into market segments according to the benefits they seek from the product.
customer value
The relationship between two benefits and the sacrifice necessary to obtain those benefits.
80/20 Principle
Twenty percent of all customer generate eighty percent of the demand.
Competitive advantage
Unique aspects for a company and its products that are perceived by the target market as being significant and superior to the competition.
Market Development
finds new markets, Attract new customers to existing products.
Marketing strategy
a way of approaching something. the process of creating a fit between your company's resources and objectives the overall evolving market opportunities.
Sources of sustainable competitive Advantage
copyright, history, location, geography, personalities.
Societal orientation
customer needs are satisfied along with focusing on long term societal issues.
Market orientation
focusing on customer needs/wants and differentiating from a competitors offering.
customer perceived value
function, influenced by two big factors. the two are benefits and cost.
market penetration
existing products in existing markets. increase market share among existing customers.
individual factors
gender, lifestyle, personality
between segments
heterogenity
within segments
homogenity
consumer decision making process
recognizing needs, information search, evaluation of alternatives, purchase, post purchase behavior.
psychological factors
selective exposure, selective retention, selective distortion
Criteria for segmentation
substantial, identifiable, accessible, responsive
importance of market segmentation
techniques to attract customers. can give a firm a temporary commercial advantage.
Factors in the external environment are
uncontrollable