Chapter 3

Question 1

Targeting: selecting the T.M.S (target market segment)

Answer 1

1) Define measure of segment attractiveness
2) Evaluate attractiveness of market segments (​- right size, growth, profitable, compeition, accessible, actionable, risk)
3) Select T.M.S

Question 2

Positioning

Answer 2

• creating the offer to 4P’s satisfy the demands of the TMS perfectly/ better than the comp
• all P’s support, consistment message, sustainable, defensible

Question 3

1) PRODUCT - analysis before creating product

Answer 3

• innovation & new product development
• product life cycle
• branding
• Fast moving consumer goods vs durables, Consumer vs industrial, tangible vs intangible services

Question 4

2) PRICE: Non-marketing views

Answer 4

• Economics: demand supply eq
• cost based: break even analysis
• company financial obj: short run vs long run
• competitor based: going rate, me too, premium, penetration pricing
  1) Value based: dont buy cheap, buy best value
  2) Price not source of rev: coveys message
  3) Price not an afterthought: viewed logical strategicaly
• R&D

Question 5

3) PLACE/PHYSICAL DISTRIBUTION - key facts

Answer 5

• where/ how customers buy, Profiling: TMS shopping habits (weekend), may not be under your control (supermarket)
  1) Shops
  2) Non-shop shopping - mail order/catalogue, teleshopping, internet shopping advantage: distribution shops refuse, access geo demand dispersed TMS, lower cost middle man, full control
  3) Direct (normaly industrial - industrial)

Question 6

4) PROMOTION (communicating and creating value, tells what greater offer better than others)

Answer 6

1) Advertising: (Tv Radio) Paying
2) Internet advertising (social media)
3) Direct marketing: (mailshots) spread find TA real database, junk spam
4) Direct selling: (communicate with customer)
5) Point of purchase: (PoP) razour new product
6) Packaging
7) Sales promotion: (free products, money off) indorsing, direct bribe
8) Publicity: without paying, effective
9) Sponership & Product placement

Question 7

Extend Markting Mix & Repositioning

Answer 7

• 5: People (workers of organisation look nice)
• 7: Process & physical evidence (quality and customers part of process, in services)
  WHY - Markets change, markets mature (PLC), competitors react, Macro-environment (PEST) changes
  NEED - constant monitoring and analysis
• new segmentation/TMS new positioning, Marketing mix- repositioning