Flashcards in 1 Deck (147)
What is Marketing?
A customer focus that is geared towards making value promises, enabling fulfillment of expectations due to these promises --> value creation in firm, customers and stakeholders
ideally result should be product that sells itself
What is Marketing not?
Advertising & Selling
Why is Marketing important?
Shaping products and services
Building strong brands
Identifying target groups
Buying a product means more than becoming the owner of a tangible item. often added with services -> service dominant logic
What is Marketing's Role in the market?
needs: basic human requirements
wants: directed towards objects that satisfy needs
demands: wants for products with ability to pay
What is a Marketplace?
Physical (eg Store)
What is a Marketspace?
Digital (eg Internet)
What is a Metamarket?
complentary products (eg car market and financing)
What are Metamediaries?
Bring together collections and people (autotrader.com)
What are Marketing realities and challenges?
- major societal forces (economic, technological, industrial)
- changing consumption patterns
How have consumption patterns and consumers changed?
- consumer sophistication
- hybrid consumption behavior (income does not predict well what people will buy)
- importance of health and sustainablity
- local (vs global) values
- aging consumers
What is the Marketing philosophy?
goal is to be ore effective than competitors in understanding target group needs
What is the marketing mix and what are its dimensions?
Product/service, Price, Promotion, Place, Physical evidence, Process, People
What is marketing management?
Goal directed process:
Increase organization wide commitment to put customer first
often includes external suppliers
What steps does the Value-Delivering Process have (Kotler)?
Developing suitable customer offering
What are planning activities on corporate level?
Assigning resources to business units
Assessing growth opportunities
What should a mission statement answer?
What is our business?
Who are our customers?
What is the value to our customers?
What will our business be?
What should our business be?
How to define a companies' business?
Product definition to Market definition
(companies should take marketing perspective)
eg BP selling fuels -> delivering energy
What are strategic business units?
Sub-units of a business that can be managed independently
Each business unit has own set of competitors
Own Manager is responsible for each BU
What are the four categories of the BCG Growth-Market Share Matrix?
High growth + low market share = Question Marks
Low Market Growth + Low Market Share = Dogs
High Market Growth + High Market Share = Stars
Low Market Growth + High Market Share = Cash Cows
Assessing Growth Opportunities through Ansoff's Product-market expansion grid, what strategies can be taken and when?
current market + current products = market penetration
current market + new product = product development
new market + current product = market development
new market + new product = diversification
What is essential when developing BU strategy?
Goal formulation (BU are managed by objectives)
Objectives mus be arranged hierachically, quantified, realistic, consistent
What generic strategies does Porter propose?
Differentiation (focus on quality)
Cost leadership (focus on cost)
work in both broad and narrow market scopes
BU: Program formulation & implementation, what are the 7 S?
Strategy, Systems, Structure
Skills, Style, Staff, Shared values
What are the contents of a marketing plan?
Executive summary and table of contents
introduction of company
What is customer-perceived value?
Difference between total customer benefit minus Total customer cost and perceived alternatives
What is customer satisfaction?
Perception of actual outcome minus pre-purchase expectations
Why is customer satisfaction important?
Satisfied customers are more loyal, promote, pay more
What is customer loyalty?
Deeply held commitment to re-buy/re-patronize a preferred product in future despite influences having the potential to cause switching behavior
What is the relation of customer-perceived value, customer satisfaction and customer loyalty?
benefits and costs -> perceived value -> satisfaction -> loyalty