Term
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Definition
| Dividing a market into smaller groups of buyers with distinct needs, characteristics, or behaviors that might require separate marketing strategies or mixes. |
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Definition
| Evaluating each market segment's attractiveness and selecting one or more market segments to enter. |
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Definition
| Actually differentiating the firm's market offering to create superior customer value. |
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Definition
| Arranging for a market offering to occupy a clear, distinctive and desirable place relative to competing products in the minds of target consumers. |
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Definition
| Dividing market into different geographical units such as nations, regions, states, counties, cities, and neighborhoods. |
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Definition
| Divides the market into groups based on age, gender, family siz, life cycle, income, occupation, education, religion, race, generation, and nationality. |
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Term
| Age and life-cycle segmentation |
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Definition
| Dividinga market into different age and life-cycle groups. |
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Term
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Definition
| Dividing a market into differnt groups based on gender |
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Term
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Definition
| Dividing a market into different income groups. |
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Term
| Psychographic Segmentation |
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Definition
| divides buyers into different groups based on social class, lifestyle, or personality. |
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Term
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Definition
| Divides buyers into groups based on their knowledge, attitudes, uses or responses to a product. |
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Term
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Definition
| Dividing the market into groups according to occasions when buyers get idea to buy, actually make their purchase, or use the purchased item. |
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Term
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Definition
| Dividing the market into groups according to the different benefits that consumers seek from the product. |
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Term
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Definition
| Forming segments of consumers who havesimilar needs and buying behavior eve nthough they are located in differente countries. |
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Term
| What are the 4 major steps in designing a customer-driven marketing strategy? |
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Definition
1) Market segmentation
2) Market targeting
3) Differentiation
4) Positioning |
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Term
| Ways for Effective Segmentation? |
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Definition
1) Measurable
2) Accessible (can you reach it?)
3) Substantial (Big enough to be profitable?)
4) Differentiable (come up with a program to reach segment)
5) Actionable |
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Term
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Definition
| A set of buyers sharing common needs or characteristics that hte company decides to serve. |
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Term
| Undifferentiated Marketing (Mass M.) |
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Definition
| A market coverage strategy in which a firm decides to ignore market segment differences and go after the whole market with one offer. |
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Term
| Differentiated Marketing (Segmented M.) |
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Definition
| A market coverage strategy in which a firm decides to target several market segments and designs separate offers for each. |
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Term
| Concentrated Marketing (Niche M.) |
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Definition
| A market coverage strategy in which a firm goes after a large share of one or a few segments or niches. |
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Term
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Definition
| Tailoring products and marketing programes to the needs and wants of specific individuals and local customer groups ---> Local marketing and Individual Marketing |
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Term
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Definition
| Way the product is defined by consumers on important attributes, the place the product occupies in consumer's minds relative to competing products. |
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Term
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Definition
| An advantage over competitors gained by offering great customer value. |
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Term
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Definition
| The full positioning of a brand- the full mix of benefits it offers |
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Term
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Definition
| A statement that summarizes company or brand positioning: To (target segment and need) our (brand) is (concept) that (point-of-difference). |
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Term
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Definition
| Anything that can be offeredto a market for attention, acquisition, use, or consumption that might satisfy a want or need. |
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Term
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Definition
| Any activity or benefit that one party can offer to another that is essentially intangible and does not result in ownership of anything. |
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Term
| What are the steps in Marget Segmentation? |
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Definition
1) Identify bases for segmenting the market.
2) Develop profiles of resulting segments |
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Term
| What are the steps in Target Marketing? |
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Definition
1) Develop measures of segment attractivness.
2) Select Target Segments |
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Term
| What are the steps of positioning? |
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Definition
1) Develop positioning for each target segment.
2) Develop marketing mix for each target segment |
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Term
| What are the basis for segmenting consumer markets? |
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Definition
| Psychographic (social class, lifestyle), Geographic, Demograpic, and Behavioral. |
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Term
| What are the three levels of product? |
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Definition
1) Core customer value (what is the buyer really buying?)
2) Actual Product (Brand name, features, design, pacakaging, quality level)
3) Augmented Product (after-sale service, warranty, product support, delivery and credit) |
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Term
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Definition
| Product bought by final consumer for personal consumption. |
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Term
| What are included in consumer products (classifications)? |
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Definition
1) Convenience Products- product that customers usually buy frequently, immediately (ex: toilet paper)
-Low price
-Mass promotion by producer
2) Shopping Product - In the process of selection and purchase, characteristically compare on such bases as suitability, quality, price, and style. (ex: cars)
-Higher price
-Advertising and personal selling
3) Specialty Product- Product with unique characteristics or brand identification for which a significant group of buyers is willing to make a special purchase effort (ex: Vera Wang Dress, Van Gough painting)
-High Price
-More carefully targeted promotion
4) Unsought Product- product that the consumer either does not know about or know about but does not normally think of buying (ex: snow chains, preplanned funneral services)
-price varies
-Aggressive advertising and personal selling. |
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Term
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Definition
| Product bought by individuals and organizations for further processing or for use in conducting a business (ex: lawn mower for landscaping business rather than for the home). |
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Term
| What are three groups of industrial product (classifications)? |
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Definition
1) Materials and parts (raw materials)
2) Capital Items (building)
3) Supplies and services (paperclips) |
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Term
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Definition
| The use of commerical marketing concepts and tools in programs designed to influence individual's behavior to improve their well being and that of society (ex: family planning, clean air, human rights, conservation). |
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Term
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Definition
| The characteristics of a product or service that bear on its ability to satisfy stated or implied customer needs. |
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Term
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Definition
| A name, term, sign, symbol, or design or combination of these that identifies the products/services of one seller or group of sellers and differentiates them from competitors. |
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Term
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Definition
| The activities of designing and producing the container or wrapper for a product. |
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Term
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Definition
| Group of products that are closely related because they function in a similar manner, are sold to the same customer group, or fall within given price ranges. (Ex: P&G's line of Tide, Era, Cheer,and Ivory) |
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Term
| What does it mean to stretch downward? |
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Definition
| In product line, to stretch downwards means to add a lower price item to the line such as Tiffany's lesser price jewlery) |
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Term
| What does it mean to stretch upward? |
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Definition
| TO stretch upward, you add a higher price item to the line (add prestige) |
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Term
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Definition
| The set of all product lines and items that a particular seller offers for sale. (Ex: P&G's toothpaste, toilet paper, coffee, deoderant) |
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Term
| What is a product mix's four important dimensions? |
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Definition
1) Length (Number of items the company carries within its product lines)
2) Depth (Number of versions offered..ex for toothbrush: whitening, kids, flavor...etc.
3) Width ( Number of different product lines company carries)
4) Consistency |
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Term
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Definition
| The positive differential effect that knowing the brand name has on customer response |
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Term
| What are the major brand strategy decisions? |
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Definition
1) Brand positioning
2) Brand name selection
3) Brand sponsorship
4) Brand development |
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Term
| What are types of brand sponsors? |
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Definition
1) Manufacturer's Brand (ex: L'oreal)
2) Private Brand - one's owned by retail/reseller (ex: Kirkland, Gap)
3)Licensed Brand- fee to use the name (Washington, Disney) |
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Term
| What are 6 branding things to consider (desirable qualities)? |
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Definition
1) It should suggest something abou the product's benefits (ex: Mr. Clean)
2)Should be easy to pronounce and remember (GAP, MAC)
3. Should be distinctive (Starbucks, Zappos)
4. It should translate easy into foreign language (Exxon)
5. Eligible for registration and legal protection (you need to protect your brand)
6) Extendable (put a different name on a product and it will fit ex: Q-tips = cotton swaps). |
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Term
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Definition
| The practice of using the established brand names of two different companies on a product. (ex: Nike Ipod kit) |
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Term
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Definition
| Extending an existing brandname to new forms, colors, sizes, ingredients, or flavors of an existing product. (16 variety of coke) |
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Term
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Definition
| Extending an existing brand name to new product categories (P&G extended Mr. Clean to Magic Eraser, Magic Reach, Mr. Clean AutoDry) |
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Term
| What are 4 SERVICE characteristics? |
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Definition
1) Service intangibility- cannot be seen, tasted, felt, heard, or smelled before they are bought.
2)Service Inseperability- produced and consumed at the same time and cannot be separated from their providers
3)Service Variability- quality may vary greatly
4) Service perishability - cannot be stored for later sale/use. |
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Term
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Definition
| the chain that links service firm profits with employee and customer satisfaction. |
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Term
| What are 3 types of service marketing? |
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Definition
1) Internal Marketing - motivating customer contact employees and supporting service ppl. to work as a team to provide customer satisfaction.
2) Interactive Marketing- training service employees in the art of interacting with customers to satisfy their needs.
3) Exernal Marketing |
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Term
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Definition
| Fresh understandings of customers and the marketplace derived from marketing information. |
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Term
| Marketing information systems (MIS) |
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Definition
| People and procedures for assessing information needs...use the info to generate and validate actionable customer and market insights. |
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Term
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Definition
| electronic collections of consumer and market information (quick, cheap but may be incomplete) |
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Term
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Definition
| Systematic collection and analysis ofpublicly available information about consumers, competitors, and developments in the marketing environ. |
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Term
| What is the Marketing Research Process? |
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Definition
1) Define the problem and research objectives.
2) Developing the research plan for collecting info.
3) Implementing the research plan
4) Interpreting and reporting the findings |
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Term
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Definition
| The systematic design, collection, analysis, and reporting of data relevant to a specific marketing situating facing an org. |
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Term
Research Objectives:
1)Exploratory Research
2)Descriptive Research
3)Casual Research |
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Definition
1) Exploratory Research- MR to gather preliminary info that will help define problems and suggest hypotheses.
2) Descriptive Research- MR to better describe marketing problems, situations, or markets.
3) Casual Research- MR to test hypotheses about cause and effect relationships. |
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Term
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Definition
| info that already exists somewhere, having been collected for another purpose. ----> Researcher must evaluate secondary info to make sure its (relevant, current, and impartial) |
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Term
| Primary Data (and what are the types) |
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Definition
Info collected for the specific purpose at hand.
1) Observational Research-observing relevant ppl, actions, and situations.
2)Ethnographic research- observational research that involves sending trained observers to watch and interact with consumers in their natural habitat.
3) Survey Research- gathering data by asking ppl questions about thier knowledge, attitudes, preferences, and buying behavior.
4) Experimental research- selecting matched groups of subjects giving them different treatments, controlling related factors, and checking for differences.
5) Focus group interviewing
6) Online Market Research- Collecting primary data online throught internet surveys, online focus groups, webbased experiments, or tracking consumers online |
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Term
| Commerical online databases |
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Definition
| Computerized collections of information available from online commericial sources or via the internet. |
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Term
| Strengths and Weaknesses of Contact Methods for Market Research? |
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Definition
1) Flexibility- Mail (poor), Personal (Excellent)
2) Cost- Personal (poor) and Online (excellent) |
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Term
| Focus group interviewing vs. online focus groups |
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Definition
1)Personal interviewing that involves inviting 6-10 ppl to gather info on products, service, and org.
2) Gathering small group of ppl online with a trained moderator to chat about product, service, or org. (primary qualitiative Webbased research approach) |
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Term
| New-Product Development Strategy |
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Definition
| The development of original products, product improvements, modifications. and new brands through the firms own product development efforts. |
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Term
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Definition
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Term
| Requirements for packaging and labeling? |
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Definition
1)Identify
2)Describes
3)Promotes |
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Term
Color indicates?
1)Green
2)Red/Orange
3)Red/Yellow/Black
4)Black/Red/Silver |
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Definition
1)Green-healthy & Earthy
2)Red/Orange- Makes you hungry
3) Red/Yell/Black- Easily identified
4)Black/Red/Silver- Masculine colors |
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Term
| 6 reasons for new product failure: |
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Definition
1)Overestimating market size
2)Poor design
3)Wrong timing
4)Ineffective Promotion
5)Management influence
6)High development costs |
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Term
| What are the 8 New-Product Development Process and their definitions? |
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Definition
1) Idea generation- systematic search for new product ideas (employees, customers, competitors)
2) Idea screening (screening out the bad and spotting good ideas)
3)Concept development and Testing (test the prototype or idea of product)
4)Marketing Strategy Development-designing an initial marketing strategy for a new product based on the product concept. (target market, budget, longterm goals)
5)Business Analysis- Review of sales, costs, and profit (doesit fit with our business?)
6) Product Development-developing the product concept into a physical product.
7) Test Marketing - product and marketing program tested in realistic market settings.
-Standardized test marketing
-Simulated (focus groups,surveys0
-Control (designated shelf-space)
8) Commercialization- Introducing a new product into the market |
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Term
| What are the stages of product life cycle and definitons? |
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Definition
1) Product Development- co. find and develops new product, sales are zero and investment costs are high
-Price skimming (chrge high price to recouperate RND costs.)
-Penetration(go in and grab as much as you can, opposite of skimming)
2)Introduction- Primary demand (slow sales growth, profit nonexistent, and heavy expenses due to product develop.)
3) Growth- Selective demand (rapid market acceptance and increasing profits)
4) Maturity- extend as much as possible (profits level off or decline)
5) Decline (sales fall, profits drop)
What can companies do during this time?
1. Maintain the brand
2. Harvest
3. Delete completely |
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Term
| Customer-centered new-product development |
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Definition
| focuses on finding new ways to solve customer problems and create more satisfying experiences. |
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Term
| Team-based new-product development |
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Definition
| various company departments work closely together, overlapping the steps in the product develop. process to save time and increase effectiveness. |
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Term
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Definition
| Basic and distinctive mode of expression |
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Term
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Definition
| currently accepted popular style |
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Term
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Definition
| temporary period of unusually high sales driven by consumer enthusiasm and popularity and then sinks. |
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Term
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Definition
1) Introduction Stage - INNOVATORS (2.5%)
2) Growth Stage-EARLY ADOPTERS (13.5%)
3) Maturity Stage- EARLY MAJORITY/LATE MAJORITY (34%)
4) Decline stage- LAGGARDS(16%) |
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Term
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Definition
1)more for more
2)more for the same
3)more for less
4)same for less
5)less for much less |
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Term
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Definition
1)Quality
2)Functional
3)Asthestics |
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