Advertisement Upgrade to remove ads

marketing research

process of defining a marketing problem and oppurtunity, systematically collecting and analyzing info, and recommending actions.

explaratory research

provides ideas about a vague problem

descriptive research

finding the frequency that something occurs or the extent of a relationship between two factors

causal research

tries to determine the extent to which the change in one factor changes another one

primary research

facts and figures newly collected for the project; observational, questionnaire, & (other: social networks, panels and experiments, info technology and data mining)

secondary research

facts and figures that have already been recorded before the project at hand; internal and external

open-ended questions

allows respondents to express opinions, ideas, or behaviors in their own words without choosing alternatives that have been predetermined

semantic differential scale

five-point scale in which the opposite ends have one- or two-word adjectives that have opposite meanings

dichotomous question

simplest form of a fixed alternative question that allows only a "yes" or "no" response

closed-end (fixed alternative questions)

requires resopndents to select one or more response options from a set of predetermined choices

ways to segment the market

*behavioral
*psychographic
*geographic
*demographic

market segmentation

aggregating prospective buyers into groups that (1) have common needs and (2) will respond similarly to a marketing action

criteria used to select target segments

market size
expected growth
competitive position
cost of reaching the segment
compatibility with the organization's objectives and resources

perceptual map

way to display or graph in two dimesions the location of products or brands in the minds of comsumers to enable a manager to see how consumers perceive competing products or brands, as well as its own product or brand.

product positioning

the place a product occupies in comsumer's minds on important attributes relative to competitive products

four types of consumer products

convenience
shopping
specialty
unsought

convenience products

items that the consumer purchases frequently, conveniently, and with a minimum shopping effort

shopping products

items for which the consumer compares several alternatives on criteria such as price, quality, or style

specialty products

items that the consumer makes a special effort to search out and buy

unsought products

items that the consumer does not know about or knows about but does not initially want

derived demand

sales of business products frequently result from the sale of consumer products

U.S. Federal Trade Commission definition of new

use with a product upto six months after it enters regular distribution

Marketing reasons for New-Product failure

(1) Insignificant point of difference
(2) Incomplete market and product protocol before product development starts
(3) Not satisfying customer needs on critical factors
(4)Bad timing
(5) Too little market attractiveness
(6) Poor products quality
(7) Poor execution of the marketing mix: brand name, package, price, promotion, distribution
(8) No economical access to buyers

Organizational Problems in New-Product failure

(1) Not really listening to the "voice of the consumer"
(2) Skipping stages in the new-product process
(3) Pushing a poorly conceived product into the market to generate quick revenue
(4) Encountering "groupthink" in task force and committe meeting
(5) Not learning critical takeaway lessons from past failures

product life cycle

(1) introduction stage
(2)growth
(3)maturity
(4)decline

fashion products

style of the times, are introduced then decline and then return once again ex's women's sheer hosiery( out of style now but may return)

fad products

experience rapid sales on introduction and then an equally rapid decline; short life cycles. Ex's car tattoos, vinyl dresses

product adopters

(1)innovators
(2) early adopters
(3)early majority
(4) late majority
(5)laggards

branding

an organization uses a name, phrase, design, symbols, or combination of these to identify its products and distinguish them from those of competitors

trademark

a firm has legally registered its brand name or trade name s the firm has its exclusive use, thereby preventing others from using it

brand equity

the added value a brand name gives to a product beyond the functional benefits provided

Pricing Objectives

Profit
sales
market share
unit volume
survival
social responsibilty

demand curve

graph relating to the quantity sold and price

demand factors

price
consumer tastes
price and availability of similar products
consumer income

elasticity of demand

the percentage change in quantity demanded relative to a percentage change in price

break even analysis

technique that analyzes the relationship between total revenue and total cost to determine profitabilty at various levels of output

skimming

setting the highest initial price that customers really desiring the product are willing to pay

penetration

setting a low initial price on a new product to appeal immediately to the mass market

prestige pricing

setting a high price so that quality- or status-conscious consumers will be attracted to the product and buy it

bundling

the marketing of two or more products in a single package price

discounts

quantity
seasonal
trade
cash

middleman

intermediary between manufacturer and end-user markets

agent(broker)

intermediary with legal authority to act on behalf of the manufacturer

wholesaler

intermediary who sells to other intermediaries( usually to retailers); term usually applies to consumer markets

retailer

intermediary who sells to consumers

distributor

imprecise, intermediaries who perform a variety of distribution functions, including selling, maintaining inventories, extending credit, and so on

dealer

more imprecise term that can mean the same as distributor, retailer, wholesaler, and so on...

dual distribution

a firm reaches different buyers by employing two or more different types of channels for the same basic product (Ex: Apple: can buy directly from Apple or go to Best Buy)

strategic channel alliances

one firm's marketing channel is used to sell another firm's products

limited-service wholesalers

rack jobbers
cash and carry wholesalers
dop shippers/desk jobbers
truck jobbers

rack jobbers

furnish the racks or shelves of retail stores, retain title to products displayed and bill retailers only for the merchandise sold

cash and carry wholesalers

take title to merchandise but sell only to buyers who call on them, pay cash for merchandise, and furnish their own transportation for merchandise. Do not make delieveries Ex Sam's & Costco

drop shippers/ desk jobbers

own merchandise they sell but dont physically handle, stock, or deliever it. They solicit orders. Ex's coal, lumber, and chemicals

truck jobbers

small wholeslers that have a small wharehouse from which they stock their trucks for distribution to retailers

vertical marketing system

professionally managed and centrally coordianated marketing channels designed to achieve channel economies and maximum marketing impact

forward intergration

Manufacturer first, then buys a retail outlet

backward intergration

retailer first, then buy a manufacturer

target market coverage

intensive distribution
exclusive distribution
selective distribution

intensive distribution

a firm tries to place its product and services in as many outlets as possible Ex Coca-cola

exclusive distribution

only one retailer in a specified geographical area carries the firm's products. Ex specialty products, Gucci, yachts

selective distribution

a firm selects a few retailers in a specific geographical area to carry its products. Ex Dell

Sherman Act

horizontal price fixing
predatory pricing

Federal Trade Commission Act

deceptive pricing
Predatory Pricing
geographical pricing

Robinson-Patman Act

geographical pricing
price discrimination

consumer goods pricing act

vertical price fixing

Please allow access to your computer’s microphone to use Voice Recording.

Having trouble? Click here for help.

We can’t access your microphone!

Click the icon above to update your browser permissions above and try again

Example:

Reload the page to try again!

Reload

Press Cmd-0 to reset your zoom

Press Ctrl-0 to reset your zoom

It looks like your browser might be zoomed in or out. Your browser needs to be zoomed to a normal size to record audio.

Please upgrade Flash or install Chrome
to use Voice Recording.

For more help, see our troubleshooting page.

Your microphone is muted

For help fixing this issue, see this FAQ.

Star this term

You can study starred terms together

NEW! Voice Recording

Create Set