marketing Flashcards
(19 cards)
the 4 P’s??
- product
- place
-promotion
-price
what does a business need to do in every market?
identify and satisfy customer needs
what is included in a market?
- all the sales of particular groups of goods or services
- for example, grocery market, housing market, stock market etc
what does identifying and satisfying customer needs do?
- provide a product or service that satisfy customer needs and cause them to buy the product or service
- select the correct marketing mix
- avoid costly mistakes
- be competitive and increase sales
market segmentation?
- allows business to focus on individual groups
- for example, men/women, age groups, levels of income etc
advantages of market segmentation?
- allows business to focus on customers
- allows business to design better products or services
- allows business to maximise profits from products or services
disadvantages of market segmentation?
- detailed research will be required- this can be expensive
- very difficult to accurately predict what a customer will like or dislike
- competitors will be aiming to do the same thing, meaning if the business doesn’t do well then the other business will have an advantage over them
what does market research collect information about?
- demand
- competition
- target market
- primary
- secondary
- quantitative
- qualitative
methods of market research?
- questionnaires and surveys
- interview
- focus group
- internet research and printed media
marketing mix: place
refers to the different channels of distribution a business uses to get their products to the customers
- producer
- agent
- retailer
- consumer
ways to sell to the buyer?
- traditional- shop/office
- modern retail- using technology to improve the process (self scan/checkout)
- telesales- sales made via the phone direct to the customer
- e-commerce/m-commerce- sales via a website or app
marketing mix: promotion
- advertising
- public relations (eg charity)
- sales promotion (special offers)
- sponsorship (sponsoring sports events)
- social media (interacting with customers via social media)
marketing mix: price
- skimming= setting a higher price when a product is released
- penetration= setting a lower price than the competition for a short time
- competitive= pricing alongside or similarly to the competition
- loss leader= setting a price for a product means a loss is made on each sale
- cost plus= adding a percentage profit to the cost of producing/ selling a product
marketing mix: product
- have a unique selling point
- product lifecycle= shows the stage that a product is likely to go through during its lifetime, shows how cash flow falls initially due to high costs of research and development
- extension strategies= adding new features could maintain a products popularity
- boston matrix= tool for analysing a business’ product portfolio- collection of products they offer (when a product appears in the matrix it might help us to decide what to do next to improve our profitability)
primary research?
- when a business carries out research by themselves
- for example, interviews, surveys, questionnaires, books
secondary research?
- when a business gets information from research that already exists
- for example, websites, magazines
promotional mix?
how customers become aware of a product or service
- for example, advertising, digital marketing, personal selling etc
private limited company?
(ltd)- shares only traded privately usually between family and friends
limited liability
public limited company?
(plc)- shares traded to the public on the stock market
limited liability
