Questions and Answers
What is the definition of marketing according to the American Marketing Association?
Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.
What are the twofold goals of marketing?
What is the primary focus of Marketing Management?
The DESTEP model consists of Demographic, Economic, Political, Ecological, Socio-Cultural, and _____ forces.
Signup and view all the answers
What are the four characteristics of services?
Signup and view all the answers
What stage follows the introduction phase in the Product Life Cycle?
Signup and view all the answers
Which of these describes the STP process in marketing?
Signup and view all the answers
The main objective of sponsorship is exposure.
Signup and view all the answers
What does MVC stand for in the context of market segmentation?
Signup and view all the answers
Study Notes
Definition of Marketing
- Marketing is defined as the activity, institutions, and processes that create, communicate, deliver, and exchange value offerings for customers, clients, partners, and society.
- Key essence of marketing is "meeting needs profitably."
- Managing profitable customer relationships is a core focus.
Goals of Marketing
- Attract new customers by promising superior value.
- Retain and grow existing customers through satisfaction.
- Marketer's role involves customer attraction and retention.
Marketing Management
- Defined as the art and science of selecting target markets and building customer relationships by delivering superior customer value.
Complex Marketing Environment
- Comprises various influences categorized under DESTEP model:
- Demographic, Economic, Political, Ecological, Socio-Cultural, Technological forces impacting marketing.
Elements of Marketing
- The core elements, traditionally known as the 4Ps, include:
- Product
- Price
- Place
- Promotion
- Additional elements include:
- People
- Process
- Physical Evidence
- Productivity & Quality
Promotion Mix Tools
- Personal selling tends to be more expensive than advertising.
- Sales promotion is designed to encourage immediate buying decisions.
- Sponsorship's main objective is to increase exposure.
- Public Relations (PR) focuses on enhancing the company's image.
Characteristics of Services
- Intangibility: Services cannot be seen or touched.
- Perishability: Some services are time-sensitive (e.g. air tickets).
- Variability: Service quality can vary.
- Inseparability: Services cannot be separated from their providers.
- Judgment on services is often subjective.
Awareness Levels
- Various levels of customer awareness include:
- Negative Awareness
- Unaware
- Aware
- Preferred
- Loyal
- Ad hoc
Product Life Cycle (PLC)
- Stages of a product’s life include:
- Development
- Introduction
- Growth
- Maturity
- Decline
STP Model
- Segmentation: Breaking down the market into distinct segments.
- Targeting: Selecting one or more segments based on opportunity.
- Positioning: Creating a perception in the customer’s mind.
Product Positioning Strategy
- Conduct market segmentation and define target markets.
- Identify relevant product attributes through data collection.
- Determine ideal product placement in the market.
- Focus on aligning positioning strategy with differentiation.
Unique Marketing Insights
- Captive products illustrate pricing strategies, such as low-priced printers with expensive cartridges.
- Market segments should be measurable, substantial, accessible, differentiable, and actionable.
- Most Valuable Customer (MVC) identified to focus marketing efforts.
Demand States
- Customer perceptions and attitudes can influence demand, e.g., vegetarians’ negative attitudes toward meat products.
Studying That Suits You
Use AI to generate personalized quizzes and flashcards to suit your learning preferences.
Description
Explore the fundamental principles of marketing as defined by the American Marketing Association. This quiz will cover insights on how marketing activities create value for various stakeholders and the essence of meeting needs profitably.
