Mass vs Niche marketing

Question 1

NICHE

Answer 1

When a business. targets a sub section of the market

Question 2

Product proliferation

Answer 2

Larger businesses may offer niches within product ranges - best of both worlds (Mass and niche)

Question 3

Advantages of niche marketing

Answer 3

Better meet customer needs

Brand loyalty

Small production volumes = better compete

Question 4

Disadvantaes of niche marketing

Answer 4

Limited opportunities for market growth

Reliant on specific niches

Inability to gain economics of scale

Question 5

Mass marketing

Answer 5

Business Markets to the whole market with its products (known as undifferentiated marketing)

High sales low prices = economies of scale

Question 6

Benfits of mass marketing

Answer 6

Less need for marketing research

Focused on a high volume of sales = economies of scale and marketing economies of scale

Smaller the product range = operational efficiency, lower cost per unit, increase profit margins

Question 7

Negatives of mass marketing

Answer 7

Avoided segments = can meet every needs, less added value which may mean reduced lower prices

Requires function to implement mass production = terrifically expensive

Mass marketing is dead = digital marketing