MKT 3010: FINAL EXAM
139 Cards in this Set
| Front | Back |
|---|---|
|
Product Placement
|
Putting brands throughout the world
|
|
✔Visual
✔Audible
✔Use
✔Integrated: The most effective
✔Virtual placements
|
Types of Product Placement
|
|
Permanence
|
Placement is forever
|
|
✔Occurs in many settings
✔Helps create value
✔About satisfying the customer's needs and wants
✔Entails an exchange
✔Requires the 4 P's
✔Can be performed by individuals and organizations
|
What is marketing?
|
|
Marketing
|
The activity, set of institutions, and processes for creating, capturing, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large
|
|
✔Product
✔Price
✔Place
✔Promotion
|
Marketing Mix, or 4 P's
|
|
Product
|
"Creating" value
|
|
Price
|
"Capturing" value
|
|
Place
|
"Delivering" the value proposition
|
|
Promotion
|
"Communicating" the value proposition
|
|
Value
|
The fundamental purpose of marketing: what you get for what you give
|
|
CRM (Customer Relationship Management)
|
A business philosophy and set of strategies, programs, and systems that focuses on identifying and building loyalty among the firm's most valued customers
|
|
✔Expands global presence
✔Pervasive across market channel members
✔Enriches society
✔Can be entrepreneurial
|
Why is marketing important?
|
|
Marketing Strategy
|
Identifies a firm's target market, related marking mix (4 P's), and the bases on which the firm plans to build a sustainable competitive advantage
|
|
✔Customer Excellence
✔Operational Excellence
✔Product Excellence
✔Locational Excellence
|
How to deliver sustainable competitive advantage
|
|
1) Define the business mission
2) SWOT analysis
3) Identify opportunities (Segmentation, Targeting, Positioning)
4) Implement marketing mix
5) Evaluate performance
|
The marketing plan
|
|
Marketing Myopia
|
Defining a business in terms of goods and services rather in terms of the benefits that customers seek
|
|
✔Company Capabilities
✔Competition (competitive intelligence)
✔Corporate Partners
|
Micro Environment
|
|
✔Culture
✔Demographics
✔Social Issues/Trends
✔Technological advances
✔Economic situation
✔Political/regulatory environment
|
Macro Environment
|
|
✔Need Recognition
✔Info Search
✔Alternative Evaluation
✔Purchase
✔Post Purchase
|
The Consumer Decision Process
|
|
✔Psychological Needs
✔Functional Needs
|
Need Recognition
|
|
✔Internal Information Search
✔External Information Search
|
Search for Information
|
|
✔Performance Risk
✔Financial Risk
✔Psychological Risk
✔Social Risk
✔Physiological Risk
|
Actual vs. Perceived Risk
|
|
✔Universal (Can be bought anywhere)
✔Retrieval (Everywhere that can be thought of)
✔Evoked (of retrieval sets, the group that you consider)
|
Evaluation of Alternatives: Attribute Sets
|
|
The act of buying
|
Purchase and Consumption
|
|
✔Customer Satisfaction
✔Cognitive Dissonance
✔Customer Loyalty
✔Undesirable Consumer Behavior
|
Postpurchase
|
|
✔Marketing Mix
✔Psychological Factors
✔Social Factors
✔Situational Factors
|
Factors influencing the consumer decision process
|
|
Involvement
|
Consumer's interest in a product or service
|
|
✔Extended Problem Solving
✔Limited Problem Solving
✔Impulse Buying
✔Habitual Decision Making
|
4 main types of buying process
|
|
✔Manufacturers and Service Providers
✔Resellers
✔Institutions
✔Government
|
B2B Organizations
|
|
Need Recognition
|
B2B Process: Step 1
|
|
Product Specifications
|
B2B: Step 2
|
|
RFP Process
|
B2B: Step 3
|
|
Proposal Analysis, Vendor Negotiation and Selection
|
B2B: Step 4
|
|
Order Specification
|
B2B: Step 5
|
|
Vendor Analysis
|
B2B: Step 6
|
|
✔Organization Culture
✔Buying Situation
✔The Buying Center
|
Factors Affecting the Buying Process
|
|
✔Initiator
✔Gatekeeper
✔User
✔Buyer
✔Decider
✔Influencer
|
Components of the Buying Center
|
|
✔Autocratic
✔Democratic
✔Consultative
✔Consensus
|
Organizational Buying Culture
|
|
Reflects the set of values, traditions, and customs that guide its employees' behavior
|
Organizational Culture
|
|
✔New Buy (never been bought)
✔Straight Rebuy (additional units of previous purchase)
✔Modified Rebuy (similar to previous purchase)
|
Buying Situations
|
|
Globalization
|
Creation of a global culture, a global economy, and erasing borders
|
|
✔GATT
✔IMF
✔WTO
✔World Bank Group
|
Organizations Involved in World Trade
|
|
✔Quota (max limit)
✔Tariffs
✔Exchange control
✔Trade agreement
|
Government Actions
|
|
✔EU
✔NAFTA
✔CAFTA
|
Trade Agreements
|
|
✔Power Distance
✔Uncertainty Avoidance
✔Individualism
✔Masculinity
✔Time Orientation
|
Sociocultural factors (Hofestede's Dimensions)
|
|
✔Strong Dollar: hurts us when we try to export, it is much easier for us to import goods
✔Weak Dollar: helps us when we export, but it is harder to import goods
|
Strong Dollar vs Weak Dollar
|
|
✔Target Market: STP
✔The Global Marketing Mix (4 P's)
|
Choosing a Global Marketing Strategy
|
|
✔Strategy or Objectives
✔Segmentation Methods
|
STP Process: Segmentation
|
|
✔Evaluate Segment Attractiveness
✔Select Target Market
|
STP Process: Targeting
|
|
✔Identify and Develop Positioning Strategy
|
STP Process: Positioning
|
|
✔Geographic
✔Demographic
✔Psychographic
✔Benefits
✔Behavioral (Loyalty)
|
Segmentation Methods
|
|
✔Identifiable
✔Substantial
✔Reachable
✔Responsive
✔Profitable
|
Segment Attractiveness
|
|
✔Undifferentiated or Mass Marketing: everyone
✔Differentiated: several market segments with different offerings for each
✔Concentrated: single, primary target market
✔One-to-one (Micro) Marketing: Personalized for an individual
|
Segmentation Targeting Strategies
|
|
Positioning
|
The place that the product occupies in a consumer's mind relative to competing products (Tied to competitive advantage)
|
|
Repositioning
|
You as the brand are trying to change the position
|
|
Decision Making
|
Collecting, recording, analyzing, and interpreting data
|
|
✔Define the objectives and research needs
✔Designing the research
✔Data collection process
✔Analyzing data and developing insights
✔Action plan and implementation
|
Marketing Research Process
|
|
✔External Secondary Data (Syndicated, Scanner and Panel Research)
✔Internal Secondary Data (Data Mining)
✔Qualitative and Quantitative Data
✔Ethnographic Research
✔Survey Research
✔Questionnaire Design
✔Web Surveying
✔Experimental Research
|
Types of Data
|
|
Product
|
Everything favorable/unfavorable that a person receives in an exchange (Tangible Good/Service/Idea)
|
|
✔Breadth (number of product lines)
✔Depth (number of categories within a product line)
|
Product Assortments and Product Line Decisions
|
|
Brand
|
A name, logo, or symbol that evokes in customers a perception of added value for which they will pay a premium price
|
|
✔A desired level of quality
✔Psychological rewards from ownership
✔A means of distinguishing one brand from another
|
What does branding offer?
|
|
✔Brand Name
✔Logo and Symbols
✔URLs/Domain Names
✔Characters
✔Slogans
✔Jingles/Singles
|
Components of a Brand
|
|
✔Brand Awareness (who all knows about it)
✔Brand Equity (value)
✔Brand Associations (mental links)
✔Brand Personality (characteristics)
✔Brand Loyalty (degree of consumer attachment)
|
How do we know how good a brand is?
|
|
✔Protect the product
✔Market the product
✔Provide convenience to distributors and consumers
|
Roles of Packaging
|
|
The package that the consumer uses (Toothpaste tube)
|
Primary Package
|
|
The wrapper or exterior carton
|
Secondary Package
|
|
Provides information the consumer needs for his or her purchase decision and consumption of the product
|
Labeling
|
|
✔Changing customer needs
✔Market saturation
✔Managing Risk through Diversity
✔Fashion Cycles
✔Improving Business Relationships
|
Why to create new products and add value
|
|
Diffusion of Innovation
|
The process by which the use of an innovation - whether a product, a service, or a process - spreads throughout a market group, over time and across various categories of adopters
|
|
✔Compatibility
✔Observability
✔Trialibilaity
✔Relative Advantage
|
Factors Affecting Product Diffusion
|
|
1. Idea Generation
2. Concept Testing
3. Product Development (Alpha and Beta testing)
4. Market Testing (premarket and test marketing)
5. Product Launch
6. Evaluation of Results
|
How Firms Develop New Products
|
|
✔Internal Research and Development
✔R&D Consortia
✔Licensing
✔Brainstorming
✔Outsourcing
✔Competitor's products
✔Customer input
|
Sources of ideas
|
|
✔Intro Phase
✔Growth Phase
✔Maturity Phase
✔Decline Phase
|
PLC (Product Life Cycle)
|
|
Service
|
Intangible offering that involves a deed
|
|
✔Heterogeneous
✔Perishable
✔Inseparable
✔Intangible
|
Factors differentiating services from goods
|
|
✔Core Service (basic benefit being bought)
✔Supplementary Service (support the core service)
|
The Service Offering
|
|
✔Search Quality
✔Experience Quality
✔Credence Quality
|
When are services assessed?
|
|
✔People Processing
✔Possession Processing
✔Mental Stimulus Planning
✔Information Processing
|
Service as a process
|
|
✔Reliability
✔Responsiveness
✔Assurance
✔Empathy
✔Tangibles
|
Building Blocks of Service Quality
|
|
Zone of Tolerance
|
Refers to the area between customers' expectations regarding their desired service and the minimum level of acceptable service
|
|
✔Understanding Customer Expectations
✔Understanding Customers
✔Evaluating Service Quality
|
Knowledge Gap
|
|
The difference between the standards that are set and the services that are provided
|
Delivery Gap
|
|
Setting service standards for quality
|
Standards Gap
|
|
The Difference between the actual service provided and the service that the firm's promotion program promises
|
Communications Gap
|
|
✔Empowering Employees
✔Reduce Delivery Gaps
✔Use of Technology
|
How to increase service recovery?
|
|
Pertains to a customer's perception of the benefits he or she received compared with the costs
|
Distributive fairness
|
|
1. Company Objectives
2. Customers
3. Costs
4. Competition
5. Channel Members
|
The Five C's of Pricing
|
|
✔Profit Orientation
✔Sales Orientation
✔Competitor Orientation
✔Customer Orientation
|
Company Objectives
|
|
✔Demand increases as price decreases
✔Demand
✔Supply
✔Demand Curves and Pricing
✔Price Elasticity of Demand
|
Customers
|
|
✔Availability of Substitutes (Substitution Effect)
✔Price Relative to purchasing power (Cross-Price Elasticity)
✔Product durability
✔A product's other uses
✔Rate of inflation
|
Factors Influencing Price Elasticity of Demand
|
|
✔Variable Costs
✔Fixed Costs
✔Total Cost
|
Cost
|
|
✔Monopoly
✔Monopolistic Competition
✔Oligopoly
✔Pure Competition
|
Competition
|
|
✔Manufacturers, retailers, and wholesalers can have different perspectives on pricing strategies
|
Channel Members
|
|
✔Demand
✔Cost
✔Profit
✔Competition
|
Methods used to set prices
|
|
✔Price Fixing (Vertical and Horizontal)
✔Price Discrimination
✔Predatory Pricing
✔Bait & Switch (Deceptive)
|
Legal and Ethical Aspects of Pricing
|
|
Supply Chain
|
✔Connected chain of business entities
✔Internal/External
✔Can be a Competitive Advantage
✔Supports the logistics function
|
|
✔Lower inventory and costs
✔Greater flexibility
✔Improved customer service
✔Higher revenues
✔Increased profitability
|
Benefits of Supply Chain Management (Effective Supply Chain Management)
|
|
Marketing Channel
|
When the good is finished, to the point of consumption
|
|
Logistics Channel
|
Point of origin to point of consumption
|
|
Direct Marketing Channel
|
No intermediaries between the buyer and the seller
|
|
Indirect Marketing Channel
|
One or more intermediaries work with manufacturers to provide goods and services to customers
|
|
✔Reward
✔Coercive
✔Referent
✔Expertise
✔Information
✔Legitimate
|
Types of Power
|
|
Push Marketing Channel
|
Merchandise is allocated to stores based on forecast, good for steady demand items
|
|
Pull Marketing Channel
|
The amount of merchandise sent to the store is determined based on sales data captured by POS terminals, better when demand is uncertain
|
|
✔Cycle time
✔Quality of communications
✔Easily analyzed and used
|
EDI (Electronic Data Interchange/Exchange)
|
|
Vendor-Managed Inventory
|
An approach for improving supply chain efficiency in which the manufacturer is responsible for maintaining the retailer's inventory levels in each of its stores
|
|
Collaborative Planning, Forecasting, and Replenishment
|
CPFR
|
|
To keep inventory levels as low as possible while maintaining an adequate supply of goods to meet customer demand
|
Goal of Inventory Control
|
|
RFID (Radio frequency identification) tags
|
Computer chips that automatically transmit to a special scanner all the information about a container's contents or individual products
|
|
Cross-docking
|
Prepared palette for a specific store/retailer
|
|
JIT Systems
|
Get the inventory just in time to make the product
|
|
QR (Quick Response)
|
Getting goods in time to sell
|
|
Retailing
|
Selling, renting, and providing products and services to the final consumer for personal, family, or household use
|
|
✔Choosing retailing partners
✔Identifying types of retailers
✔Developing a retail strategy
✔Managing a a multichannel strategy
|
Factors for establishing a relationship with retailers
|
|
✔Customer Expectations
✔Channel Member Characteristics
✔Distribution Intensity (Intensive and Extensive)
|
Choosing Retail Partners
|
|
✔Food Retailers
✔General Merchandise Retailers
✔Services Retailers
|
Types of Retailers
|
|
How people act in stores
|
Paco Underhill "American Shopper"
|
|
Grocery Store Secrets
|
Bigger shopping carts, create a mirage, meandering walkways and displays, half aisles for noncommittal, sensory environment, most expensive items at eye level, free food
|
|
Science of Spending
|
How customer's act: Shopping gets you high, you move predictably, you can't resist shiny things
|
|
Scrambled Merchandising
|
Offering several unrelated product lines in a single store
|
|
Place
|
Convenience is a key ingredient to success (4 P's)
|
|
✔Choosing a community
✔Choosing a site
|
The proper location
|
|
IMC (Integrated Marketing Communications)
|
Communicate value to target market
|
|
Advertising Schedules
|
Continuos, flighting, and pulsing
|
|
✔Sex
✔Convenience
✔Profit
✔Fear
✔Humor
|
Advertising appeals
|
|
✔Deeper and Broader Selection
✔Personalization
✔Expand Marketing Presence
|
Benefits of the Internet and Multichannel Retailing
|
|
✔Integrated CRM
✔Brand Image
✔Pricing
✔Supply Chain
|
Effective Multichannel Retailing
|
|
Awareness, Interest, Desire, Action
|
AIDA Model
|
|
Personal Selling
|
Two-way flow of communication between a buyer and a seller:
✔Face-to-face
✔Video teleconferencing
✔Telephone
✔Over the internet
|
|
Direct Marketing
|
Marketing that communicates directly with target customers:
✔Mail
✔Email
✔Mobile marketing
|
|
Online Marketing
|
✔Websites
✔Blogs
✔Social Media
|
|
✔Inform
✔Persuade
✔Remind
|
Push Strategy
|
|
Ex: Nike - Just Do It
|
Unique Selling Proposition
|
|
Generate excitement
|
Sales Promotions
|
|
✔Educate
✔Provide advice
✔Save time
✔Simplify buying
✔Provide sales support
|
Value Added by Personal Selling
|
|
✔Recruit
✔Evaluate
✔Structure
✔Train
✔Motivate
|
Managing the sales force
|
|
✔Reliability
✔Responsiveness
✔Assurance
✔Empath
✔Tangibles
|
Five Service Quality Dimensions
|
MKT 3010:Exam 4