Chapter 11: Marketing Processes Overview

The perceived worth or value of a product, calculated as the ratio of benefits gained to the costs incurred.

The ability of a product to satisfy a person's need or want. It can be categorized into four types: form, time, place, and possession.

Refers to the tangible products purchased by individuals for personal use.

Products used by businesses in the production of other goods.

Intangible (non-physical) products that offer services, professional advice, or assistance.

Building and maintaining long-term relationships with customers to foster loyalty and repeat business.

A systematic approach for managing customer data and interactions to enhance relationships and provide personalized experiences.

The combination of external factors that influence a business's marketing efforts, including political, legal, sociocultural, technological, economic, and competitive forces.

Government regulations and laws that affect business operations and marketing practices.

Social trends, cultural values, and demographic changes that influence consumer preferences and behaviors.

The rapid pace of technological advancements that impact product development, marketing strategies, and consumer behavior.

Economic factors that affect consumer spending, pricing strategies, and overall business activity.

The competitive landscape in which businesses strive to attract customers and gain market share.

A detailed plan that outlines marketing objectives, strategies, and tactics for reaching target customers.

Specific goals that marketing efforts aim to achieve, often defined in terms of sales, market share, or customer loyalty.

A set of actions and resources used to reach target customers and achieve marketing objectives, often involving product development, pricing, distribution, and promotion.

A combination of personal and nonpersonal selling methods, including advertising, sales promotions, public relations, and direct or interactive marketing, all aimed at influencing potential buyers.

Any form of paid nonpersonal communication used by an identified sponsor to persuade or inform potential buyers about a product.

Person-to-person sales interaction, frequently used in B2B marketing but also in retail settings.

One-time, direct inducements to encourage buying, like premiums, coupons, or package inserts designed for short-term impact.

Communication efforts aimed at building goodwill and positive public perception.

A group of individuals or organizations targeted by a company's marketing efforts.

Dividing a market into categories based on similar wants and needs, allowing for focused marketing strategies.

Identifying the key characteristics and traits shared by individuals within a specific market segment.

Geographic variables that influence marketing strategies by targeting regions with unique buying patterns.

Demographic factors like age, gender, income, ethnicity, or marital status that can be used to define distinct market segments.

Using geographic and demographic factors to group customers, leading to more effective marketing.

Lifestyle, personality, interests, and attitudes that influence purchasing decisions.

Analyzing customer behaviors like usage rate, purchase situations, and product preferences for effective marketing.

A systematic process to understand customer needs and wants, and how to best meet them.

The process of collecting, analyzing, and interpreting data about customers and the market.

Collecting and analyzing data that already exists, such as sales records or industry reports.

Collecting new data specifically for a research project.

Observing and recording consumer behavior to gain insights.

A research technique involving asking questions to obtain customer feedback.

A research method involving in-depth discussions with consumers to understand their thoughts and feelings.

Businesses buy products to create other goods or services. These goods are either used up in the process (like raw materials) or transformed into something new.

These intermediaries buy finished goods from producers to sell them to consumers. Examples are wholesalers and retailers.

Government and non-profit organizations (like hospitals, museums) also buy products and services to operate.

Business buyers are skilled in evaluating products and focus on long-term relationships with suppliers.

Organizational buying behavior is influenced by factors such as technical specifications, price, and delivery terms. It's not always driven by emotions like personal preferences.