Topic 2.2 Making marketing decisions Flashcards
What is the 3 parts of the design mix?
- Function
- Cost
- Aesthetics
What are the stages of the product life cycle
Research and development introduction growth maturity decline
At what stage are extension strategies used?
Maturity stage
What are the types of extension strategies?
segments
price
advertisement
markets
what is the importance of product differentiation
By making the product different from they rivals the business is able to:
- increase sales revenue
- avoid competitive pricing
- gain a competitive advantage
Promotion strategies
advertising sponsorship product trials special offers public relations
Advantages of using promotional strategies
- Increase band recognition
- mostly directed to their target market
- boost sales
- creates a strong brand image
What are the disadvantage of using promotional strategies
- Can be expensive
- Adverts can be risky to see a positive outcome eg. Kendall Jenner Pepsi ad
Technology in promotion
Through technology, businesses are bale to reach a wider variety of customers at a lower cost than most traditional forms of promotion. Some forms of technology also allow businesses to deliver a personal message specific to individual customers.
what are 2 types of retailers
retailor (physical shop)
e-tailor
What is the benefit of being a retailor?
- customers are able to try and browse products
- can provide help and advice
- experience of shopping
What is the benefits of e-tailing?
- No rent (reduce cost)
- customers can buy an item at any time
- can access customers from around the world
How can the marketing mix provide an competitive advantage?
Product - Unique features and strong brand can be highly desirable
price- setting the price lower than its competitors to be more competitive
promotion - can create a unique brand image
place - can be with competitors or without at a convenient location.
