Marketing - Strategies Flashcards
Market Segmentation
Market Segmentation
total market is subdivided into groups of people who share one or more common characteristics
* demographic
* geographic
* psychographic
* behavioural
Market Segmentation
Product Differentiation
process of developing + promoting differences between the business’s products/services + those of its competitors.
Market Segmentation
Product Positioning
the technique where marketers try to create an image/identity for a product compared w/ the image of competing products.
Products
Products
Branding
Packaging
Labelling
Price
Price
Methods
* cost-based
* market-based
* comp-based
Strategies
* price skimming
* price penetration
* loss leader
* price points
Price
Methods
Cost-Based
* Cost+(Cost × Markup percentage)=Price
Market-Based
* price set according to level of supply and demand
Comp-Based
* price covers costs and is comparable to competitors
* below, equal to, or above competitors
Price
Stratgies
Price Skimming
* highest price is charged during introduction stage
* objective = recover start-up costs
Price Penetration
* lowest price is charged
* objective = sell large quantity + discourage competitors entering market
Loss Leader
* product is sold at or below cost price
* psych = customer will buy cheap product and be enticed to buy more
Price Points
* selling products only at certain predetermined prices
Promotion Mix
Promotion Mix
Promotion methods businesses use in promotional campaigns
* advertising
* advertising media
* personal selling
* relationship marketing
* sales promotion
* publicity and public relations
Promotion Mix
Methods
Advertising
* paid, non-personal message communicated through a mass medium
* advantage = flexible + can reach large audience
Advertising Media
* term for forms of electronic + print comm to reach an audience. e.g. TV, mail, window display, etc
Personal Selling
* activities of sales consultant directed to a customer in an attempt to make a sale
* increases customer satisfaction
Promotion Mix
Methods
cont’d
Relationship Marketing
* aim = customer loyalty by meeting their needs
* E.g. loyalty programs
Sales Promotion
* inducement to customers in an attempt to sell mor products
* used primarily to increase effectiveness of other promotion activities
* E.g. limited time offers, samples, contests + giveaways
Publicity + Public Relations
* any free news story about business’s products
* aims = enhance product image, raise awareness
Communication Process
Communication Process
A channel is any method used for carrying a message
* Opinion Leader - someone who influences others
* Word of Mouth - when people speak about a brand/product during convo
Place
Place
Distribution Channels
* how the product gets to the customer
Channel Choice
* market coverage = no. of outlets a firm chooses for product
* Intensive, Selective, and Exclusive
Physical Distribution Issues
* all the activities concerned with the movement of the products from the producer to the consumer
* Transport, Warehousing, Inventory
E-Marketing
E-Marketing
The use of the internet to perform marketing activities
* Social-Media Marketing - form on online advertising using social media platforms to deliver target commercial messages to potential customers
People, Processes, and Physical Evidence
People, Processes, and Physical Evidence
People
* the quality of interaction between cutsomer and those w/in the business who will deliver the service
Processes
* the flow of activities that a business follows in the delivery of its service
Physical Evidence
* the environment the service will be delivered
Global Marketing
Global Marketing
- Global Branding
- Standardisation
- Customisation
- Global Pricing
- Competitive Positioning
