3.5 Marketing - Simle Defintions

Question 1

Marketing

Answer 1

A scientific process that focuses on meeting the needs and wants of the customer profitably.

Question 2

4 marketing processes

Answer 2

Research
Segmentation
Development of a product or service
Devising a marketing mix

Question 3

Market research

Answer 3

The process of gathering, analysing and processing data to find out the needs and wants of potential customers

Question 4

Primary research
Defintion

Answer 4

Business collects original first-hand information. Involves creating new information.
(Field)

Question 5

Primary research methods

Answer 5

Test marketing
Observations
Surveys/questionnaires
Consumer panels/Focus groups

Question 6

Secondary research
Definition

Answer 6

Business uses data that already exists.

Question 7

Secondary research methods

Answer 7

Past sales data
Written word (internet, books, magazines, newspapers)
Government statistics
Market intelligence reports

Question 8

Qualitative

Answer 8

Descriptive opinions
Open questions

Question 9

Quantitative

Answer 9

Numerical data
Closed questions

Question 10

Survey types of questions

Answer 10

1. Closed questions
2. Multiple choice
3. Semantic differential - Express a degree of opinion
4. Open ended

Question 11

Segmentation

Answer 11

Grouping customers into subsections of the market with similar characteristics.

Question 12

Segmentation methods

Answer 12

Gender
Age
Location
Income

Question 13

Market size

Answer 13

Total size of the market (All the businesses/sales in a market)

Question 14

Market size
Calculation

Answer 14

Total number of units sold X Price per unit

Question 15

Market share

Answer 15

The percentage of sales that any one business controls in the market.

Question 16

Market share
Calculation

Answer 16

Sales of one company / total sales X 100

Question 17

Design features of a Product

Answer 17

Design
Image
Needs of the target market

Question 18

Product differentiation

Answer 18

Methods that a business uses to make their product distinct from rivals.

Question 19

Product differentiation methods

Answer 19

Quality
Design
Promotion
Branding
Packaging

Question 20

Stages of product development

Answer 20

Generate an idea
Check the idea
Develop the product
Trial the product
Launch it

Question 21

Product life cycle

Answer 21

A model showing the lifespan of a products sales from launch to being taken of the market.

Question 22

Extension strategy

Answer 22

Ways in which a business modifies a product to appeal to more customers and maintain sales.

Question 23

Extension strategies methods

Answer 23

Reduce prices
Change the package
Change image
Change name

Question 24

Price

Answer 24

The amount charged to a consumer for a good or service

Question 25

Factors influencing prices

Answer 25

Competitors pricing Economy Cost Demand Business objectives Nature of the market/brand strength Stage of product lifecycle Rest of the marketing mix

Question 26

Product portfolio

Answer 26

The range of products that business sells

Question 27

Boston matrix

Answer 27

A tool to analyse a products share and growth within a market.

Question 28

Promotion

Answer 28

The different ways in which a business tries to communicate with its customers.

Question 29

Sales promotion

Answer 29

A short term incentive used by businesses to encourage customers to make a purchase. Money off vouchers, price reductions, free samples and competitions

Question 30

Forms of promotion

Answer 30

Social media Sponsorship Public relations

Question 31

Public relations

Answer 31

Communicating with the media and other interested parties to enhance the image of the business and its products, and therefore improve sales.

Question 32

Sponsorship

Answer 32

A business will sponsor an individual or event to raise its profile.

Question 33

Factors affecting choice of promotion

Answer 33

Finance Competitors actions Nature of the product or service Nature of the market (how the rest of the market promotes) Target market

Question 34

Place

Answer 34

Where the product is sold Also involves the method of distribution used to get the product to the consumer.

Question 35

Channel of distribution

Answer 35

How the ownership of a reduction passes from the producer to the final customer.

Question 36

Factors influencing choice of channel

Answer 36

Choice of intermediary - negotiate with a retailer? Desired control over channel Size of the business Infrastructure available

Question 37

E commerce

Answer 37

Buying and selling of goods and services online.

Question 38

M commerce

Answer 38

Buying and selling of goods and services online through a mobile device, often through a mobile app or a website accessible on a mobile phone.

Question 39

Marketing mix

Answer 39

All the activities/elements that influence wether or not a customer buys a product.

Question 40

Factors influencing choice of marketing mix

Answer 40

Product Competitions Target market Business approach