Marketing Basics Quiz

Product Concept and Classification

• Product is anything—goods, services, or ideas—that motivates and satisfies a buyer's needs.
• Products are bought for the value/solution they provide, not just their physical attributes.
• Products can satisfy the same need in different ways.
• Tangible products include bread, computers, cars;
• Intangible products include ideas, family planning, and political programs;
• "In the middle" products include food in restaurants, repairs, and banking services.

Product Attributes

• Tangible products are defined by technical qualities, brand, style, design, physical characteristics, packaging, and addtional services such as installation and repairs and warranties.

Product Levels

• Basic level: core customer value (functional, emotional, aesthetic, ethical, and cultural trends)
• Actual product: physical characteristics, brand name, quality levels, packaging, design, features (consumer perspective)
• Augmented product: adds additional services like delivery, credit, after-sale service, product support, and warranty.

Brand, Packaging, and Labelling

• Brands identify goods/services of one seller and differentiate them from competitors.
• They represent consumer perceptions, feelings, and emotions.
• Signs, including words, drawings, letters, figures, colors, product shapes, packaging shapes, and sounds, can be trademarks if appropriate to distinguish a company's offerings from others.
• Advantages of using a brand: differentiation from competitors, freedom to decide prices, supporting the commercial strategy, loyalty improvement, quality warranty, identification facility, product identification facility, and creation of emotional connections.

Brand Name Characteristics

• Short, evocative, easy to pronounce/recognize/remember, distinctive, translatable, capable of legal registration, simple, representative, scalable, original, registrable, and durable.

Brand Colors

• Colors in brand design convey feelings, emotions, and associations.
• Yellow: optimism, clarity, and warmth
• Orange: friendly, cheerful, and confidence
• Red: excitement, youthful, and bold
• Purple: creative, imaginative, and wise
• Blue: trust, dependable, and strength
• Green: peaceful, growth, and health
• White: balance, neutral, and calm

Types of Brands

• Word mark: consists of words, letters, or numbers.
• Figurative mark: uses stylized or graphic features, color, or layout.
• Shape mark: three-dimensional shape of the product.
• Pattern mark: repeated design elements.
• Color mark: uses a single color or combination.
• Sound mark: a sound or combination of sounds.
• Motion mark: involves movement or elements change of position.
• Multimedia mark: a combination of images and sound.
• Holographic mark: uses holographic characteristics.

Packaging

• Packaging: primary (containing the product), secondary (containing one or more primary packages).
• Labelling: individualizes the product and creates a distinct identity.

Codification

• A unique identification system like GTIN—Global Trade Item Number
• Codes change with attribute changes (color, smell, size/weight, etc.)

Benefits of Coding

• Improves intermediary effectiveness
• Reduces costs for manufacturers and intermediaries
• Provides detailed sales information.
• Reduces time at cash register

Promotion, Communication Decisions, and Tools

• In marketing, communication transmits messages to influence consumer attitudes/behavior.
• Key questions for communication decisions include the communicator, objective, what message to convey, to whom to communicate, and what media/tools to use.
• A "brief" from a marketing agency explains what a company wants regarding its objectives for its marketing.

Advertising

• One-sided, impersonal, and controlled communication, through which advertisers use paid messages to target audiences with the aim of persuasion.

Direct Marketing

• Communication tools engage individuals and obtain measurable responses (interaction/engagement)

Sales Promotion

• Temporary promotional additions for products/services to enhance marketing and communication objectives.

Public Relations (PR)

• Information strategy to increase credibility, trust, and acceptance of a product/organization/individual. Aims for acceptance, among various audiences.

Personal Selling

• Face-to-face, personal, interactive communication for tangible outcomes with measurable outcomes.

Communication Mix

• A combination of tools to communicate customer value and build customer relationships.
• An integrated approach (IMC) links different channels.
• Models like the POEM model group different channels (paid, owned, and earned)for communication campaigns (online and offline).

Owned Media

• Communication channels a company controls.
• Examples: websites, blogs, social media accounts, apps, ads, letters, commercial letters, facility visits, contests, events, reports, letters, internal communications.

Paid Media

• Third-party channels where a company pays for communications.
• Examples: TV, film, cinema, radio, newspapers, magazines, outdoor advertising (billboards), internet advertising.

Earned Media

• External channels not owned by the organization.
• Examples: online reviews, social media shares, press coverage, influencer collaborations.

Place (Distribution Channels)

• Distribution Channels are networks for making items accessible.
• Direct marketing: A producer selling items directly to consumers.
• Indirect marketing: A producer using intermediaries like wholesalers to reach customers.
• Retail: Intermediaries that buy products and sell them to final consumers.
• Wholesalers: Intermediaries who buy from manufacturers and sell to other businesses or retailers.
• Different distribution types exist (intensive, selective, exclusive).

Price

• Price is the monetary value of perceived product satisfaction.
• Factors influencing price include consumer demand, competitors' pricing, internal business objectives, marketing strategies, and external factors (economic).
• Pricing methods include cost-plus pricing (based on cost) and methods based on competitor pricing (setting prices relative to competitors).