Marketing

Question 1

What is marketing?

Answer 1

finding the needs of customers and then meeting their needs.

Question 2

What is the target market?

Answer 2

a group of customers who the business aims to sell to.

Question 3

what are the key objectives of marketing?

Answer 3

1. understanding customer needs
2. informing customers
3. increasing sales

Question 4

what is market research?

Answer 4

the collection of data on customer habits to help decisions.

Question 5

What is primary research?

Answer 5

research nobody else has.

Question 6

What is secondary research.

Answer 6

research that another organisation has already collected.

Question 7

What are examples of primary research?

Answer 7

1. questionnaires
2. interviews
3. focus groups
4. trials

Question 8

What are advantages of questionnaires?

Answer 8

1. lots of data collected
2. easy to analyse
3. can easily be targeted

Question 9

What are disadvantages questionnaires?

Answer 9

1. not all question answers
2. low response rates
3. lowers validity

Question 10

What are advantages of interviews?

Answer 10

1. richer data
2. open questions

Question 11

What are advantages of focus groups?

Answer 11

1. in-depth answers
2. more opinions

Question 12

What are advantages of trials?

Answer 12

1. reduces risks
2. beneficial long term

Question 13

What are advantages of UK census data?

Answer 13

1. information from lots of people
2. it is already collected and analysed

Question 14

What are advantages of websites?

Answer 14

1. cheap to collect
2. ready available

Question 15

What are advantages of internal data

Answer 15

1. cheap to collect

Question 16

What are advantages of Newspapers/ Magazine?

Answer 16

1. cheap
2. up to date

Question 17

What are examples of Secondary Research?

Answer 17

1. UK census data
2. Websites
3. Internal data
4. Newspapers/ magazine

Question 18

What is quantitative data?

Answer 18

data that’s numerical or can be turned into numerical data.

Question 19

What is qualitative data?

Answer 19

data that evolves thoughts, feelings and opinions.

Question 20

What is market segmentation?

Answer 20

splitting the market for a product into separate parts for different audiences

Question 21

What are benefits of market segmentation?

Answer 21

1. Cheaper to target a group of people
2. better meets customer needs
3. if you try target everyone you aren’t targeting anyone.

Question 22

What is the marketing mix?

Answer 22

1. Price
2. Place
3. Promotion
4. Product

Question 23

What are the pricing strategies?

Answer 23

1. Cost plus pricing
2. Competitor pricing
3. penetration pricing
4. skimming
5. promotional pricing

Question 24

What is cost plus pricing?

Answer 24

Adding a percentage to the cost of making the product to give selling price

cost item x (1.0%/ 20) = selling price

Question 25

What are the advantages of cost plus pricing?

Answer 25

1. Easy to calculate 2. ensures profits are made

Question 26

What is competitive pricing?

Answer 26

a price is based on what a competitors have charged for a similar product.

Question 27

What are the advantages of competitive pricing!

Answer 27

1. can help grow market share 2. Useful in competitive markets 3. Important to price sensitive customers

Question 28

What is promotional pricing?

Answer 28

a reduction in price to attract customers to sell off old products.

Question 29

What are the advantages of promotional pricing?

Answer 29

1. attracts customers into shop 2. customers buy more 3. breaks brand loyalty with other shops.

Question 30

What is price skimming?

Answer 30

a price is set high for a period of time until the price is reduced.

Question 31

What are advantages of price skimming?

Answer 31

1. helps build reputation 2. high quality products 3. potential high sales revenue

Question 32

What is penetration pricing?

Answer 32

when a price is set lower that competitors for a short term to break customer loyalty

Question 33

What are benefits of penetration pricing?

Answer 33

1. breaks customer loyalty 2. can be a promotional tool

Question 34

What are features of products?

Answer 34

the attributes a product offers that aim to meet customer wants

Question 35

What is quality of products?

Answer 35

meeting the needs and expectations of customers.

Question 36

What is invention?

Answer 36

the introduction of something totally NEW

Question 37

What is innovation?

Answer 37

this is the improvement of an original idea

Question 38

What is the product life cycle?

Answer 38

the stages a product goes through from when it starts on market to when it finishes.

Question 39

What are the sections of the product life cycle?

Answer 39

1.introduction 2. growth 3. maturity 4. decline 5. extension strategy (depends)

Question 40

What is digital distribution?

Answer 40

involves no physical products, the good/service are downloaded digitally.

Question 41

What are examples of digital distribution?

Answer 41

1. audio books 2. insurance 3. music 4. banking

Question 42

What are the advantages of digital distribution?

Answer 42

1. 24/7 access 2. available quickly 3. cost saving to business

Question 43

What are the disadvantages of digital distribution?

Answer 43

1. not all good are suitable 2. good can be sold illegally 3. not everyone has access to internet.

Question 44

What is physical distribution?

Answer 44

getting the product to the consumer.