Flashcards in Topic 2-Marketing Deck (30)
What is marketing?
The management process for identifying, anticipating and satisfying customer requirements profitably.
What is the role of marketing?
-Identify the customer needs.
-To inform customers.
What is Market research?
It is how the business collects information on whether products or services will be bought.
What is primary research?
The process of collecting and analysing original information that has been planned and collected first hand.
What are some examples of how a business could carry out primary research?
What is secondary research?
The collection and use of information which has already been collected.
What are some examples of how a business could carry out secondary research?
What is qualitative data?
Data collected on the opinion of the customers.
What is quantitative data?
Data that is collected relating to facts and numbers.
What are the advantages to questionnaires?
-Cheaper than interviews.
-They easily target particular customers.
What are the disadvantages to questionnaires?
-Difficult to predict how many questionnaires would be completed.
-May not understand the question being asked.
What are the advantages to interviews?
-Can explain questions that are misunderstood.
-Customers are targeted easily.
What are the disadvantages to interviews?
-Customers May feel uncomfortable.
-Expensive because they have to pay for an interviewer.
What is the advantage to trials?
-Conducted in a small area.
What is the disadvantage to trails?
-Costly to set up and sometimes money is wasted.
What is the advantage to focus groups?
The data from them is very accurate and can be relied on to make important decisions.
What is the disadvantage to focus groups?
They are more expensive per person than interviews and questionnaires.
What are the advantages to secondary research?
Why is secondary research quicker?
The research was already carried out by another business.
What are the disadvantages to secondary research?
-May be not what the business wants exactly.
-May be our of date.
What is Market segmentation?
When a business separates their market to make it easier to target their products or services.
Why do businesses segment a market?
-To target particular groups of customers.
-So that the product, price and promotion can match what particular groups want.
What can a market be segmented by?
What are the four “p”s for the ways a business should market their products?
What can affect the price a business charges for their device or product?
-Competition selling similar products.
-Cost to make the product.
What is skimming?
When a product is more advanced the business sets the product at a higher price.
What is cost plus pricing?
A pricing method that adds a percentage for profit to the total costs of making the product.
What is penetration pricing?
Setting the price lower to competitors.
What is competitor pricing?
Setting the price based on competition.