Theme 1.1 Flashcards
(15 cards)
Marketing objectives
The targets the marketing department must achieve, such as increasing sales by 15 per cent within 12 months
Market segmentation
Dividing a market up by customers’ age, gender or income to find areas that are under-served
Marketing strategy
The medium to long term plan for meeting the marketing objectives, delivered through the marketing mix
Economies of scale
Factors that cause costs per unit to fall when a firm operates at a higher level of production
Franchise
A business that sells the rights to use of its name and trading methods to local businesses
Generic Brands
Brands that are so well known that customers say the brand when they mean the product
Product differentiation
The extent to which consumers perceive your brand as being different from others
Bias
A factor that causes research findings to be unrepresentative of the whole population
Primary research
Finding out the information first hand
Secondary research
Finding out information that has already been gathered
Sample size
The number of people interviewed; this should be large enough to give confidence that the findings are representative of the whole population
Market map
A grid plotting where each existing brand sits on scales based on two important features of a market
Price elasticity
A measurement of the extent to which a product’s demand changes when its price is changed
Unique selling point
A consumer benefit that no rival can match, perhaps because it is protected by a strong patent
Marketing Mix
The plan for getting the right blend of product, price, promotion and place
