B2B Marketing Quiz

Marketing Principles & Practice

• Marketing is a social and managerial process where individuals and groups obtain what they need and want by creating and exchanging products and value with others.
• Exchange is obtaining a desired object from someone by offering something in return.
• Customer value is how much a product or service is worth to a customer; it considers benefits and costs.
• Marketing applies to physical products, services, retail, experiences, events, places, ideas, and people (such as charities).

Difference Between Customers and Consumers

• Consumers have different buying roles (initiator, influencer, decider, buyer, payer, user, gatekeeper).
• Market orientation is identifying consumer needs and desires to create new products (e.g., cars instead of faster horses).

Marketing's Intellectual Roots

• Marketing is influenced by industrial economics (supply and demand, competition, etc), consumer behavior, and sociological influences (demographics, culture, etc), psychological influences (consumer behavior).

Marketing Differences Between Sales and Marketing

• Marketing emphasizes long-term satisfaction and greater input into customer design; it focuses on stimulating demand.
• Sales emphasizes short-term satisfaction, less input into customer design, and meeting existing demand.

What Do Marketers Do?

• Marketing competencies include being creative, influencing, commercially aware, entrepreneurial, and collaborative.
• An organization's departments have a role in creating, delivering, and satisfying customers.
• Exchange involves the marketer, organization, economic goods and services, monetary payment, value, customer, and stakeholders

The Marketing Mix and the 4Ps

• This is a way of evaluating product categories: Product Price Place Promotion
• Customer Cost Convenience Communication
• Additional notes: physical evidence, process, and people are also important to evaluate.

Relationship Marketing, Service-Dominant Logic and Co-Creation

• Relationship marketing focuses on building, maintaining, and enhancing relationships between companies and stakeholders (loyal customers, etc).
• Customer relationship management (CRM) is acquiring detailed customer information and carefully building these relationships to deliver superior value.
• Marketing automation is technology that allows companies to streamline, automate, and measure tasks in order to increase operational efficiency and faster revenue generation.

The Marketing Environment (Macro and Micro)

• The marketing environment includes external factors which shape the way companies work.
• The external environment has demographic (population characteristics), economic, socio-cultural, and technological factors that affect consumer buyers.
• The internal environment is focused on the company itself with characteristics like competitors, advertising agencies, and other related entities.

Disruptive Innovation and Crowdsourcing

• Disruptive innovation creates a new market and value network, displacing established firms.
• Crowdsourcing is gaining information or input, enlisting many people, either paid or unpaid.
• Ecological influences involve natural resources needed as inputs and those that are affected by marketing activities such as climate change and government intervention.
• The political-legal environment influences organizations and individuals in society with the presence or absence of laws, government agencies, pressure groups, and the presence or absence of societal pressure groups.
• Environmental scanning involves gathering information that aids top management in making decisions and creating a course of action.

Understanding the Performance Environment

• Intermediaries are resellers, logistic service providers, and financial intermediaries.
• Stakeholders are any individual or group (financial audience, media, government, interest groups, internal audience, general public) that has an interest in or impact on the organization.
• Partnership strategies involve two or more people who share the ownership, income, or losses of the business, and is a form of business ownership.
• Analyzing industries is recognizing the suppliers of a certain product.
• Understand Porter's Five Forces to analyze industries (bargaining power of suppliers, bargaining power of buyers, threats of substitutes, threats of new market entrants and internal competition).

Understanding the Internal Environment

• Strategic Business Units (SBUs) are a segment of an organization with a unique mission and objectives. This can include a division of a company, or line of products.
• The Boston Box is used to evaluate the different products offered by an organization considering market growth and market share.
• An Environmental Audit looks at the macro and mesoenvironments.
• A Marketing Strategy Audit looks at the organization's mission, goals, and strategies.
• A Marketing System Audit looks at information planning and control, as well as the organization.
• A Marketing Function Audit looks at the company's products, services, price, distribution, and promotional methods.
• Marketing performance metrics provide quantifiable insights on the effectiveness of marketing campaigns for adjusting future plans.

Consumer Buying Behavior

• Consumer Behavior has two systems of operations (System 1 and System 2); system 1 is fast and unconscious, while system 2 is slower and conscious with more complex decisions.
• Confirmation bias is when a consumer interprets information without necessarily thinking about how valid that information is.
• Consumers can make use of heuristics when making decisions (availability, and likeability heuristics).
• The endowment effect is when a customer overvalues something they own.

Present Bias, Sunk Cost Fallacy, and Blind Spot Bias

• Present bias is where people prefer a smaller reward now instead of a larger reward later
• Sunk cost fallacy is when people continue investing (money, effort or time) in something even if it's not worth it.
• Blind spot bias is failing to recognize your own bias.

Proposition Acquisition, Customer Evaluation, and Value

• The stages of buying behavior follow the purchase process through motive development, information search, proposition evaluation, and proposition selection → re-evaluation and purchasing.
• Zero Moment Of Truth (ZMOT) is the research consumers do online before making a purchase, and the First Moment Of Truth (FMOT) is their very first experience with a product in a retail space (e.g., in-store shopping.)

The Importance of Social Context: Attitudes and Values

• Opinions are quick, not held with strong conviction and are used in opinion polls.
• Attitudes are held more strongly than opinions and greatly affect behavior.
• Values often drive attitudes and underpin behavior.
• Group influences such as reference groups (direct, indirect), associative groups and brand communities affects behavior and attitudes.
• Opinion leaders greatly influence others within a reference group.

Motivation

• Maslow's Hierarchy of Needs describes the stages of human needs (physiological, security, social, esteem, and self-actualization).
• Marketing strategies are based on recognizing how a product can fulfill a customer's needs.
• Intrinsic motivation comes from within; extrinsic comes from outside.
• Extrinsic motivations for purchase are economic (money, time), technical (quality, performance), social (belongingness, identity) and legalistic (society expectations).

Developing a Customer Portfolio Matrix

• Use Pareto analysis (80/20 rule) to acknowledge the most important customers.
• Customer portfolio matrix is used for understanding the attractiveness and current relationship between buyer and seller.
• Use segments to allocate resources better (must-have, good-to-have, need-to-have, etc).
• KAM is a strategic relationship approach to improve relationships with key accounts over time.

Corporate Social Responsibility

• CSR involves practices related to ethical environmental considerations.
• Communication mixes for businesses (symbolic, organizational, behavioral).

Services and Relationship Marketing

• Services are intangible, perishable, variable, and inseparable from their providers.
• Core, embodied, and augmented propositions are necessary for service businesses to support their actions.
• Service encounters are interactions with customers directly, such as with call center personnel or service providers.

Service Quality & Performance

• Assessing how customers perceive service quality and whether expectations are met.
• Importance of assessing gaps between management perceptions, service specifications, service delivery, and external communications for improving service quality.

The Process of Adoption

• Relative advantage, compatibility, complexity, trialability, and observability influence a potential customer's decision to adopt a new product or service.
• Diffusion theory classifies consumers (innovators, early adopters, early majority, late majority, and laggards) according to their speed of innovativeness.

Place, Channels, and Retailing

• Supply Chain comprises organizations directly involved in the upstream and/or downstream flows of product, services, and finances.
• Channel Management focuses on the downstream aspects to maximize marketing returns.
• Value delivery network is used for analyzing the organizations (suppliers, intermediaries, customers) and how these work together to improve overall product/service performance.
• How channel members reduce uncertainty; there needs to be less complexity, and the goal is to reduce these costs.
• Types of intermediaries exist: agent/brokers; merchant, dealers, franchisees, wholesalers, and retailers.
• Omnichannel marketing approach combines all types of channels available to customers. - Channel intensity can be intensive, selective or exclusive.

Pricing

• Price elasticity of demand explains how much the quantity demanded of a product or service will change when the price changes.
• Perceived value is influenced by features, experiences, and perceived quality of an offering, and relative to the price.
• Pricing approaches include cost-oriented (e.g., mark-up), demand-oriented (e.g, value), and competitor-oriented prices (e.g., high-low).

Marketing communications

• Marketing Communication is a management process where an organization connects with its audience, conveying significant messages, to elicit attitudinal or behavioral responses.
• AIDA and Hierarchy of Effects model are used to help understand the impact of communication on customers.
• Two step and interaction model determine how messages move from mass media to opinion leaders to customer in a two-way exchange.
• Communication is done using various tools (advertising, public relations, sales promotion, and direct marketing).
• Several types of communication methods exist, including the traditional/linear and the current (interaction/two-step) model.
• Several mediums are used to support messaging (media types, message types).
• The marketing mix will blend different promotional approaches depending on the organization.

Market Segmentation and Positioning

• Market Segmentation breaks down the market into different segments of consumers with similar needs, as determined through geographic, demographic, behavioral, and psychographic segmentation criteria.
• Positioning and Value Proposition Canvas determine who the target audience is and how to satisfy a set of requirements for that market.

International Market Development

• International markets require a different approach than local or domestic ones.
• Social, technological, economic, and political factors influence international marketing efforts.
• There are different channels for implementing international markets e.g., direct investment, joint ventures, and indirect exporting
• Different types of marketing strategies exist, to tailor to differing markets, e.g., internationalization, standardization, and adaptation.

Product Range, Line, and Mix

• Product items are individual units within a product line.
• Product lines are groups of closely related products.
• Product mix is the total number of products offered by an organization.
• Product life cycles follow different developments in stages: introduction, growth, maturity, and decline.

Developing New Propositions

• The process of identifying customer problems, creating solutions, and testing for customer feedback is a way to come up with new products and service offerings.
• Different steps involved in developing new propositions include concept testing, business planning, product development, and selection, test marketing and commercialization.

Not-for-Profit Marketing

• Nonprofits such as charities or NGO's do marketing for fundraising, greater collaborations with private sector companies, and public-private partnerships are integral to their marketing efforts.
• Characteristics that differentiate nonprofits from businesses include multiple stakeholders, multiple objectives, market orientation, and customer perceptions.

Test your knowledge on B2B marketing strategies and concepts. This quiz covers topics such as the types of goods involved in business markets, characteristics of demand, decision-making roles in organizational buying behavior, and key account management importance. Perfect for students of business marketing!