Chapter 1 Marketing: The Art and Science of Satisfying Cusotmers Flashcards
(43 cards)
Define marketing?
The activity, set of institutions and processes for creating, communicating, delivering and exchanging offerings that have value for customers, clients, partners and society
Types of utility?
Form, time, place, ownership (possession)
Define form utility? Provide an example.
Conversion of raw material and components into finished goods and services
Example: iPod
Define time utility? Provide an example.
Availability of goods and services when customers want them
Example: Dental appointment, digital photogrphs
Define place utility? Provide and example.
Availability of goods and services at convenient locations
Example: Banks in grocery stores
Define ownership utility? Provide an example.
Ability to transfer title to goods and services from marketer to buyer
Example: Retail sales in exchange for credit card payment
4P’s of the Marketing Mix
Product:
- Brand name
- Packaging
- Sizes
- Features
4 P’s of the Marketing Mix
Price:
- Discounts
- Allowances
- Credit terms
- Payment period
4 P’s of the Marketing Mix
Place:
- Distribution channels
- Inventory
- Transport
- Locations
4 P’s of the Marketing Mix
Promotion:
- Advertising
- Sales promotions
- Public relations
- Direct marketing
7 P’s of the Marketing Mix
- Product
- Price
- Place
- Promotion
- Physical environment
- Process
- People
Five eras in the history of marketing
Production Era (prior to 1920's) Sales Era (prior to 1950's) Marketing Era (since 1950's) Relationship Era (since 1990's) Social Era (since 2000's)
Describe the Production Era
Product Orientation - Stressing efficiency in producing a quality product
“ A good product will sell itself”
Production shortages and intense consumer demand
Describe the Sales Era
Sales Orientation - Customers will resist purchasing nonessential items
Personal selling and creative advertising to persuade them to buy
Describe the Marketing Era
Emergence of Marketing Concept - A company wide consumer orientation to achieve long term success
A strong market orientation improves market success and overall performance
Describe the Relationship Era
Relationship Marketing - Developing long term, value added relationships over time with customers and suppliers
Describe the Social Era
Social Era - Accessibility to the internet and the creation of social media sites
High-End Marketing vs Low-End Marketing
High-End Market: Die hard fans and high image consumers
Enhanced brand equity
Low-End Market: New and budget oriented younger segment
Emerging markets
Define Marketing Myopia. Provide an example.
Marketing Myopia - Management’s failure to recognize the scope of its business
A narrow understanding of what business they are in
Example: Kodak lost much of its hare to Sony cameras when digital cameras boomed
Non-Traditional marketing types
- Person Marketing
- Place Marketing
- Cause Marketing
- Event Marketing
- Organizational Marketing
Describe Personal Marketing. Provide an example.
Person Marketing - Focus on marketing of a fictional character, celebrity or political candidate to cultivate the attention of a target market
Example: Drake, the rapper
Describe Place Marketing. Provide an example.
Place Marketing - Focus on marketing places as tourist attraction
Example: Saskatchewan - Land of living skies
Describe Cause Marketing. Provide an example.
Cause Marketing - Marketing of a social issue, cause or idea to selected target markets
Example: “Smoke, stink, die”
Describe Event Marketing. Provide an example.
Event Marketing - Market of sporting, cultural and charitable activities to selected target markets
Example: Grey Cup, Rogers Cup
