Marketing and Selling Your Products Flashcards
What is the definition of Technology Marketing?
Technology marketing- process of making decisions in a totally interrelated, changing business environment, or the activities that facilitate exchange satisfying the targeted customer while achieving the objectives of the company.
What is the Market mix and what are the four elements of Market mix?
The controllable marketing activities - marketing mix- are used in some combination to facilitate exchange.
They are best classified in the four areas: product mix, price mix, placement
(distribution) mix, and promotion mix
What is the Product mix - core and enhancements?
Product mix - decisions by the technical entrepreneur regarding ,quality, breadth and depth of line, guarantee, service, and package.
A product or service - anything both tangible and intangible (activities, benefits, or satisfaction) offered for consumption or use.
Technical entrepreneurs need to think of their products at different levels: core product and enhancement.
Core product - solves the problem of the customer, needs to provide the benefits, products’ unique selling propositions.
Enhancement- includes some aspects of design, level of quality, features, brand name, and packaging.
Branding- creating a name, design, logo, symbol, or a combination that identifies your company as the source of the product or service. One goal of a successful company is to turn that brand into a protectable trademark, not already registered. Brand needs to have the attributes pronunciation (easy to say), connotation (related to the product), memorability (easy to remember).
Packaging involves designing and producing the wrapper or container for the package (often 2 packages - for the final product and shipping). When designed for sales, a package needs to have the following features:
1. Apparent size (given the perception of size without being deceptive)
2. Attitude (capture and hold the attention of a customer)
3. Quality (convey the feeling of quality)
4. Readability (the name and logo should be easily read)
5. Aesthetically appealing (should have a good appearance)
Additional features can then be added to the final product - guarantee delivery, credit,
installation, and after sales service.
What are the fundamental aspects of Pricing?
Three fundamental aspects of pricing:
1. Cost– floor, the foundation, take two forms: **fixed (overhead, should be very low) and variable (cost of goods sold, economies of scale)
2. Competition– establishes the boundary for the price, unless there is something radically different, establish a benchmark for pricing.
3. Consumer- determines whether the price / product offering is the right one; exchange of value (the price) for value (the benefits)
Define Pricing strategies skimming and penetration?
Two overall general pricing strategies when introducing new products:
1. Market-skimming pricing–higher price is set so that more revenues can initially be skimmed from the market - appropriate when the image and quality of the product supports the price (iPhone)
2. Market-penetration pricing- low price in order to capture more quickly a larger market share, work best when a higher price would cause buyers not to purchase; volume production will lower the costs.
What are two distinct areas of Distribution?
Composed of two rather distinct areas:
1. Channels of distribution- a group of independent organizations involved in making a technology product or service available for purchase in the market
2. Physical distribution- physical movement of the technology product or service to the customer, storage, inventory, transportation, and warehousing (stock-out problem)
The management of the distribution mix is called supply chain management– the importance of integration and info share
What are Five areas of Promotion?
Promotion involves managing and integrating five areas:
1. Advertising (paid-for communication of the technology product or service)
- Personal selling (personal presentation of the technology product or service)
- Publicity (nonpaid presentation of the technology product or service)
- Sales promotion (non securing activities promoting the technology product or service)
- Social media (promotion in the Internet age)
