Section 3 Marketing

Question 1

MARKETING

Answer 1

Identifying customer wants and satisfying them profitably

Question 2

CUSTOMER

Answer 2

A person, business or other organization which buys goods or services from a business

Question 3

CUSTOMER LOYALTY

Answer 3

When existing customers continually buy products from the same business

Question 4

CUSTOMER RELATIONSHIPS

Answer 4

Communicating with customers to encourage them to become loyal to the business and its products

Question 5

MARKET SHARE

Answer 5

The percentage of total market sales held by one brand or business

Question 6

CONSUMER

Answer 6

A person who buys goods or services for personal use - not to re-sell

Question 7

MASS MARKET

Answer 7

This is where there is a very large number of sales of a product

Question 8

NICHE MARKET

Answer 8

A small usually specialized segment of a much larger market

Question 9

MARKET SEGMENT

Answer 9

An identifiable sub-group of a whole market in which consumers have similar characteristics or preferences

Question 10

MARKET RESEARCH

Answer 10

The process of gathering, analyzing, and interpreting information about a market

Question 11

PRODUCT-ORIENTATED BUSINESS

Answer 11

A business is whose main focus of activity is on the product itself

Question 12

MARKET-ORIENTATED BUSINESS

Answer 12

A business is one which carries out market research to find out consumer wants before a product is developed and produced

Question 13

MARKETING BUDGET

Answer 13

A financial plan for the marketing of a product or product range for some specified period of time

Question 14

PRIMARY RESEARCH

Answer 14

The collection and collation of original data via direct contact with potential or existing customers

Question 15

SECONDARY RESEARCH

Answer 15

Uses information that has already been collected and is available for use by others

Question 16

QUESTIONNAIRE

Answer 16

A set of questions to be answered as a means of collecting data for market research

Question 17

ONLINE SURVEYS

Answer 17

Requires the target sample to answer a series of questions over the internet

Question 18

INTERVIEWS

Answer 18

Asking individuals a series of questions, often face-to-face, or over the phone

Question 19

FOCUS GROUP

Answer 19

A group of people who are representative of the target market

Question 20

SAMPLE

Answer 20

The group of people who are selected at random as a source of information for market research

Question 21

RANDOM SAMPLE

Answer 21

When people are selected at random as a source of information for market research

Question 22

QUOTA SAMPLE

Answer 22

When people are selected on the basis of certain characteristics (such as age, gender, or income) for market research

Question 23

MARKETING MIX

Answer 23

A term used to describe all the activities which go into marketing a product or service. These activities are often summarized as the four Ps - product, price, place, and promotion

Question 24

USP (UNIQUE SELLING POINT)

Answer 24

The special feature of a product that differentiates it from the products of competitors

Question 25

BRAND NAME

Answer 25

The unique name of a product that distinguishes it from other brands

Question 26

BRAND LOYALTY

Answer 26

When consumers keep buying the same brand again and again instead of choosing a competitor’s brand

Question 27

BRAND IMAGE

Answer 27

An image or identity given to a product which gives it a personality of its own and distinguishes it from its competitors’ brands

Question 28

PACKAGING

Answer 28

The physical container or wrapping for a product. It is also used for promotion and selling appeal

Question 29

PRODUCT LIFE CYCLE

Answer 29

Describes the stages a product will pass through from its introduction, through its growth until it is mature, and then finally its decline

Question 30

EXTENSION STRATEGY

Answer 30

A way of keeping a product at the maturity stage of the life cycle and extending the cycle

Question 31

COST-PLUS PRICING

Answer 31

The cost of manufacturing the product plus a profit mark-up

Question 32

COMPETITIVE PRICING

Answer 32

When the product is priced in line with competitors’ prices to try to capture more of the market

Question 33

PENETRATION PRICING

Answer 33

When the price is set lower than the competitors’ prices in order to be able to enter a new market

Question 34

PRICE SKIMMING

Answer 34

Where a high price is set for a new product on the market

Question 35

PROMOTIONAL PRICING

Answer 35

When a product is sold at a very low price for a short period of time

Question 36

DYNAMIC PRICING

Answer 36

When businesses change product prices, usually when selling online, depending on the level of demand

Question 37

DISTRIBUTION CHANNEL

Answer 37

The means by which a product is passed from the place of production to the customer

Question 38

AGENT

Answer 38

An independent person or business that is appointed to deal with the sales and distribution of a product or range of products

Question 39

PROMOTION

Answer 39

Where marketing activities aim to raise customer awareness of a product or brand, generating sales and helping to create brand loyalty

Question 40

ADVERTISING

Answer 40

A payment towards communication with potential customers about a product to encouraging them to buy it

Question 41

INFORMATIVE ADVERTISING

Answer 41

Where the emphasis of advertising or sales promotion is to give full information about the product

Question 42

PERSUASIVE ADVERTISING

Answer 42

Advertising or promotion which is trying to persuade the consumer that they really need the product and should buy it

Question 43

TARGET AUDIENCE

Answer 43

People who are potential buyers of a product or service

Question 44

SALES PROMOTIONS

Answer 44

Incentives such as special offers or special deals aimed at consumers to achieve short-term increase in sales

Question 45

SOCIAL MEDIA MARKETING

Answer 45

A form of internet marketing that involves creating and sharing content on social media networks in order to achieve marketing and branding goals

Question 46

VIRAL MARKETING

Answer 46

When consumers are encouraged to share information online about the products of a business

Question 47

E-COMMERCE

Answer 47

The online buying and selling of goods and services using computer systems linked to the internet and apps on mobile cellphones

Question 48

MARKETING STRATEGY

Answer 48

A plan to combine the right combination of the four elements of the marketing mix for a product or service to achieve particular marketing objectives