Exam 2 (ch. 8,9,10,11,12,14) Flashcards Preview

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Flashcards in Exam 2 (ch. 8,9,10,11,12,14) Deck (200)
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1

people or organizations with needs or wants and the ability and willingness to buy

market

2

a subgroup of people or organizations sharing one or more characteristics that cause them to have similar product needs

market segment

3

the process of dividing a market into meaningful, relatively similar, and identifiable segments or groups

market segmentation

4

characteristics of individuals, groups, or organizations

segmentation bases (variables)

5

segmenting markets by region of a country or the world, market size, market density, or climate

geographic segmentation

6

segmenting markets by age, gender, income, ethnic background, and family life cycle

demographic segmentation

7

series of stages determined by a combination of age, marital status, and he presence or absence of children

family life cycle (FLC)

8

segmenting markets on the basis of personality, motives, lifestyles, and geodemographics

psychographic segmentation

9

segmenting potential customers into neighborhood lifestyle categories

geodemographic segmentation

10

the process of grouping customers into market segments according to the benefits they seek from the product

benefit segmentation

11

dividing a market by the amount of product bought or consumed

usage-rate segmentation

12

principle holding that 20 percent of all customers generate 80 percent of the demand

80/20 principle

13

4 basic criteria of a market segment

1. be substantial and have enough potential customers
2. be identifiable and measurable
3. be accessible to marketing efforts
4. respond to particular marketing efforts in a way that distinguished it from other segments

14

5 bases commonly used for segmenting consumer markets

1. geographic segmentation
2. demographic segmentation
3. psychographic segmentation
4. benefit segmentation
5. usage-rate segmentation

15

bases for segmenting business markets

1. company characteristics
2. customer buying processes

16

business customers who place an order with the first familiar supplier to satisfy product and delivery requirements

satisficer

17

business customers who consider numerous suppliers (both familiar and unfamiliar), solicit bids, and study all proposals carefully before selecting one

optimizers

18

6 steps involved in segmenting markets

1. select market/product category for study
2. choose basis/bases for segmenting market
3. selecting segmentation descriptors
4. profile and evaluate segments
5. select target markets
6. design, implement, and maintain appropriate marketing mixes

19

strategies for selecting target markets

undifferentiated targeting strategy, concentrated targeting strategy, and multisegment targeting strategy

20

why would companies reposition?

to sustain growth in a slow market or correct positioning mistakes

21

a group of people or organizations for which an organization design, implements, and maintains a marketing mix intended to meet the needs of that group, resulting in mutually satisfying exchanges

target market

22

a marketing approach that views the market as one big market with no individual segments and thus uses a single marketing mix

undifferentiated targeting strategy

23

a strategy used to select one segment of a market for targeting marketing efforts

concentrated targeting strategy

24

one segment of a market

niche

25

strategy that chooses two or more well-defined market segments and develops a distinct marketing mix for each

multisegment targeting strategy

26

a situation that occurs when sales of a new product cut into sales of a firm's existing products

cannibalization

27

developing a specific marketing mix to influence potential customers' overall perception of a brand, product line, or organization in general

positioning

28

the place a product, brand, or group of products occupies in consumers' minds relative to competing offerings

position

29

a positioning strategy that some firms use to distinguish their products from those of competitors

product differentiation

30

a means of displaying or graphing, in two or more dimensions, the location of products, brands, or groups of products in customers' minds

perceptual mapping