1.2 Flashcards
Choice:
giving customers options and increasing
the chance that the product will be perfect for
the tastes/habits of one type of customer.
Convenience:
making life easier for customers,
perhaps by a great location (next to the bus stop) or a product that saves time in preparation or
consumption.
Identifying customers:
finding out who they are: their age, gender, incomes, where they live and what they want.
Quality:
to a customer quality means getting
what they want, or perhaps better than
expected; some companies use the term
‘customer delight’.
Understanding customers:
learning why
customers do what they do, making it easier
to see how to make a product that better
suits them.
Primary research:
research conducted
first-hand; it is tailored to a company’s specific needs, for example a quantitative sales
estimate for a brand new chocolate bar.
Quantitative data:
factual research among a large enough sample of people to provide
statistically reliable results, for example a
survey of 500 people aged 15–24 years.
Secondary research:
when a company uses research that has already been carried out for general purposes.
Qualitative data:
in-depth research into the
opinions and views of a small group of potential or actual customers; it can provide insight into why consumers buy what they buy.
Location:
the extent to which consumers identify with the place where they were born or grew up.
Demographics:
the study of the statistical
differences that exist within a population, both now and in the future.
Market segments:
the subsets within a market
that have been identified as a result of market segmentation.
Gap in the market:
an area on a market map
where few or no existing brands operate,
implying a business opportunity to fill an unmet consumer need.
Market map:
measuring where existing brands sit on a two-factor grid, for example young/old compared with high price/low price.
Competitive environment:
the strength of competition between companies in the same market.
Innovative:
a new, perhaps original, product or
process.
