Shared Flashcard Set

Details

Marketing 330
Chapter 11, 12
53
Marketing
Undergraduate 3
03/23/2014

Additional Marketing Flashcards

 


 

Cards

Term
Term: Process by which ideas get transformed into new offerings, including products, services, processes, and branding concepts that will help firms grow.
Definition
Innovation
Term
Term: Process in which innovation speeds throughout a market group over time.
Definition
Process of innovation
Term
What are 5 different reasons firms create new products?
Definition
1. Changing customer needs
2. Market saturation
3. Managing risk through diversity
4. Fashion cycles
5. Improving business relationships
Term
Term: New products that create new markets
Definition
Pioneers/Breakthroughs
Term
Term: First to create the market/product category.
Definition
First movers
Term
What are the groups to move through the diffusion of innovation?
Definition
1. Innovators
2. Early adopters
3. Early majority
4. Late majority
5. Laggards
Term
Term: Buyers who want to be the first on the block to have a new product/service.
Definition
Innovators
Term
Term: Buyers that don't take as much risk as innovators; wait for careful review
Definition
Early adopter
Term
Term: New products don't become popular until this group purchases (34%)
Definition
Early majority
Term
Term: Market has reached full potential once this group buys; sales tend to level off/decrease when these purchase
Definition
Late majority
Term
Term: Group of consumers that avoid change and rely on traditional products until they are no longer available (16%)
Definition
Laggards
Term
What are the four conditions for quicker diffusion?
Definition
-Relative advantage
-Compatibility
-Observability
-Complexity and trialability
Term
What are the 6 steps in developing new products?
Definition
1. Idea generation
2. Concept testing
3. Product development
4. Market testing
5. Product launch
6. Evaluation of results
Term
How can ideas be generated?
Definition
-Internal R&D
-Consortia R&D
-Licensing
-Brainstorming
-Outsourcing
-Competitor's products
-Customer input
Term
Term: Medical study that tests the safety/effectiveness of a drug/treatment
Definition
Clinical trial
Term
Term: Taking apart a product, analyzing it, and creating a new product that does not infringe any patents
Definition
Reverse engineering
Term
Term: Brief written descriptions of a product, its technology, working principles, forms, and what customer needs it would satisfy
Definition
Concepts
Term
Term: Process in which a concept statement is presented to potential buyers/users to obtain their reaction
Definition
Concept testing
Term
Term: Product design; process of balancing various engineering, marketing, manufacturing, and economic considerations to develop a product's form and features
Definition
Product development
Term
Term: First physical form or service description of a new product
Definition
Prototype
Term
Term: Firm attempts to determine whether the product will perform according to its design and whether it satisfies the need for which it was intended
Definition
Alpha testing
Term
Term: Uses potential customers to examine prototype in a "real use" setting to determine its fuctionality, performance, potential problems, and other issues
Definition
Beta testing
Term
Term: Determines how many customers will try and continue to use a product/service using a sample
Definition
Premarket tests
Term
Term: Introduces offering to a limited geographic area prior to a national launch
Definition
Test marketing
Term
Term: Promotions to wholesalers/retailers to get them to purchase the new product
Definition
Trade promotions
Term
Term: Limited-duration, lower-than-normal prices used as an incentive to try
Definition
Introductory price promotions
Term
Term: Temporary concentration of manufacturers that provide retailers with a chance to see what's new and available
Definition
Trade show
Term
Term: Manufacturer's Suggested Retail Price
Definition
MSRP
Term
Term: Fee paid simply to get new products into stores or to gain more/better shelf space
Definition
Slotting allowance
Term
Term: Defines stages that products move through during life in the marketplace
Definition
Product life cycle
Term
What are the stages of the product life cycle?
Definition
1. Introduction stage
2. Growth stage
3. Maturity stage
4. Decline stage
Term
Term: Life cycle stage of a freshly-launched product
Definition
Introduction stage
Term
Term: Life cycle stage in which product gains acceptance, demand and sales increase, and more competitors emerge
Definition
Growth stage
Term
Term: Life cycle stage where industry sales reach their peak and firms try to enhance products
Definition
Maturity stage
Term
Term: Product life cycle stage when enhancing the product fails, so product declines and eventually exits market
Definition
Decline stage
Term
True/False: Laggards may never purchase a product.
Definition
True
Term
Term: Any intangible offering that involves a deed, performance, or effort that cannot be physically possessed
Definition
Service
Term
Term: Human/mechanical activities firms undertake to help satisfy their customers' needs and wants
Definition
Customer service
Term
What are the four characteristics that make a service distinguishable from a product?
Definition
-Intangible
-Inseparable
-Variability
-Perishable
Term
What are the four types of service gaps?
Definition
-Knowledge gap
-Standards gap
-Delivery gap
-Communication gap
Term
Term: When the delivery of service fails to meet expectations
Definition
Service gap
Term
Term: Difference between customer's expectations and the firm's perception of those expectations
Definition
Knowledge gap
Term
Term: Difference between firm's perception of customers' expectations and the standards it sets
Definition
Standards gap
Term
Term: Difference between firm's service standards and the actual service provided
Definition
Delivery gap
Term
Term: Difference between actual service provided and the service the firm promised
Definition
Communication gap
Term
Term: Customer's perceptions on how well a service meets/exceeds their expectations
Definition
Service quality
Term
Term: Collects customers' inputs and integrates them into managerial decisions
Definition
VOC program
Term
Term: Area between customers' expectations regarding their desired service and the minimum level of acceptable service
Definition
Zone of tolerance
Term
Term: Allowing employees to make decisions about how service gets provided to customers
Definition
Empowerment
Term
What are the three steps to service recovery?
Definition
1. Listen to the customer
2. Find a fair solution
3. Resolve the problem quickly
Term
Term: Customer's perception of the benefits received compared with the costs
Definition
Distributive fairness
Term
Term: Perceived fairness of the process used to resolve complaints
Definition
Procedural fairness
Term
What are the five service quality dimensions?
Definition
-Reliability
-Responsiveness
-Assurance
-Tangibles
-Empathy
Supporting users have an ad free experience!