Term
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Definition
1) Segmentation
2)Targeting
3)Positioning
go through this process to identify the group of customers whose similarities make them good predictors of how the marketing mix can best be tailored to result in an exchange where they ultimartely purchase the product. |
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Term
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Definition
| divides larger markets into smaller pieces based on one or more meaningful shared characteristics. Can be done with deomographics, psychographics, and behavior. |
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Term
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Definition
| Attempts to create a brand personality for a product, a distinctive image that captures its character and benefits, which sets it apart from the competitors products. |
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Term
| Customer Relationship Management (CRM) |
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Definition
| A strategy that allows a company to identify its best customers,stay on top of their needs, and increase their satisfaction |
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Term
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Definition
1) Core Product- what it is/does
2)Actual Product- Features and performance specs
3)Augmented Product- Additional benefits |
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Term
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Definition
| Development of the correct product attributes to profitabe meet the needs of the target market |
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Term
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Definition
1) Products can be categorized into services(intangible deeds performed by one party for another) and goods (tangible items).
2)Products are defined by how customers buy the product |
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Term
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Definition
1) Durable Goods- Long Lasting
2)Non-Durable Goods- Disposible or short lived products |
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Term
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Definition
| Necessities that consumers do not spend much time or effort shopping for (food/clothes) |
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Term
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Definition
| Goods that require deliberation that involves financing |
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Term
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Definition
| Goods that consumers make a special effor to seek out (Rolex, Fine Art, Yacht) |
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Term
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Definition
| Goods consumers do not yet know they want (life insurance, retirement plan) |
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Term
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Definition
| Goods purchased by a business, the demand for which is generally derived from ultimate consumer deman (steel-auto, buttons-clothing) |
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Term
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Definition
| Significant Captial items (buildings, machinery, equipment) |
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Term
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Definition
| Short term capital items(hand tools, replacement parts, office equipment) |
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Term
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Definition
| Expense items that are not used in finished products(MRO-Maitenance repair and operating items, computer paper, etc) |
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Term
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Definition
| Accounting, engineering, legal and other outsourced activities(payroll, auditing, SEC Reporting) |
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Term
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Definition
| New products must be entirely new or changed significantly and can only be legally called new for six months |
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Term
| Phases in New Product Development |
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Definition
1) Idea Generation
2)Product Development
3)Concept and Screening
4) Marketing Strategy Development
5) Business Analysis
6)Technical Development
7)Test Marketing
8Commercialization |
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Term
| Product Adoption Categories |
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Definition
1)Awareness
2)Interest
3)Evaluation
4)Trial
5)Adoption
6)Confirmation |
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Term
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Definition
| shows that inovators are the first purchasers of new goods and services and represent 2.5% of all purchasers. Early Adopters represent 13.5%. The Early Majority represents 34%. The Late Majority represents 34% and the LAggards represent 16% of all purchasers. |
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Term
| Product Factors Affecting the rate of Adoption |
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Definition
1) Relative Advantage- Better than existing alternatives
2)Compatibility-Fits into a persons way o doing things
3)Complexity-the more complex, the more slowly it is adopted
4)Trialability-using another's(friend/relative) product to get confortable with it before buying ones own
5)Observability-Seeing how others use of the product has benefited them.
6)Price |
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Term
| Steps in Managing Products |
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Definition
1)Develop Product objectives for both the individual products and for the product lines and mixes
2)Design a product strategy
3)Make Tactical product deisions for branding and packaging and labeling design |
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Term
| Total Quality Management (TQM) |
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Definition
| A management philosophy that focuses on satisfying customers through empowring all employees to become active participants in continuous quality improvement in all aspects of company operations |
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Term
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Definition
1)Packeging must be functional
2) Can also be a promotional tool if it attractively provides product information and specifications
3) Must provide all information required by various governmental and consumer agencies
4)Packeging should be designed to provide all the above as cost efficient as possible |
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Term
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Definition
| Intangible Products which are exchanged directly from a producer to a customer. |
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Term
| Characteristics of Services |
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Definition
1) Perishability ( cannot be saved for a later time)
2)Capacity Management- Adjust avaiability in an attempt to just meet demand (United Airlines)
3) Variability- THe same service performed by the same person for the same customer can vary(barber doesnt cut hair identically each visit)
4)Inseparability- Means that it is impossible to separate the production of a service from the consumption of that service(Education- teacher is a no show=no class) |
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Term
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Definition
| Atual Interaction between the customer and the service provider |
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Term
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Definition
| the elimination of interaction between customers and salespeople so as to minimize negative service encounters(ATM Machines, Salad BArs, Self Check-Out) |
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Term
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Definition
| THe basic benefit received from having a service performed |
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Term
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Definition
| Additional Serivces or activities provided to enhance value (Car Dealers provide mechanical serivce) |
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Term
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Definition
| The actual physical facility where a sevice is performed, delivered or consumed. |
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