Marketing Concepts Quiz
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Questions and Answers

Which of the following best describes a 'service'?

  • A commodity used to create other goods
  • An intangible action or labor for which the customer pays (correct)
  • A physical item delivered to a purchaser
  • A product that can only be purchased through subscription

What type of product is characterized by being widely available and purchased frequently with minimal effort?

  • Specialty product
  • Convenience product (correct)
  • Shopping product
  • Unsought product

Which product category involves items that are purchased rarely and are deliberately sought after?

  • Shopping products
  • Unsought products
  • Specialty products (correct)
  • Convenience products

In the goods-service continuum, which type of offering involves no tangible goods whatsoever?

<p>Pure service (A)</p> Signup and view all the answers

Which factor is especially important for marketers of shopping products?

<p>Effective messaging and product differentiation (D)</p> Signup and view all the answers

What is the primary focus of the core product level in the Total Product Concept?

<p>Fundamental benefits of the product (C)</p> Signup and view all the answers

How does value-based pricing determine the price of a product?

<p>Based on customer perceptions of value (A)</p> Signup and view all the answers

What is a characteristic of penetration pricing?

<p>Low initial price followed by price increases (C)</p> Signup and view all the answers

Which pricing strategy involves setting a product price high to signal quality and exclusivity?

<p>Prestige Pricing (A)</p> Signup and view all the answers

What type of utility focuses on making products available when they are needed?

<p>Time Utility (B)</p> Signup and view all the answers

What is the primary function of sales promotion?

<p>Providing short-term incentives to boost sales (B)</p> Signup and view all the answers

What characterizes independent retailers compared to corporate chains?

<p>Fewer retail locations (D)</p> Signup and view all the answers

Public relations activities are meant primarily to:

<p>Build and maintain a positive image (A)</p> Signup and view all the answers

Which pricing method creates the perception of a bargain by setting prices just below a whole number?

<p>Odd-Even Pricing (A)</p> Signup and view all the answers

What is the difference between actual products and augmented products?

<p>Augmented products include extra services to enhance customer experience. (C)</p> Signup and view all the answers

What is the primary aim of the Promotion Mix?

<p>To persuade customers and build relationships (B)</p> Signup and view all the answers

Which of the following is NOT a major promotion tool?

<p>Product Development (C)</p> Signup and view all the answers

Which stage of the Purchase Decision Process involves gathering information about potential products?

<p>Information Search (C)</p> Signup and view all the answers

What distinguishes a Pull Strategy from a Push Strategy?

<p>Encouraging consumers to create demand for the product (B)</p> Signup and view all the answers

What does post-purchase cognitive dissonance often lead to?

<p>Reduction in future product purchases (C)</p> Signup and view all the answers

What defines high involvement in the purchase decision process?

<p>Significant impact on social image and expense (D)</p> Signup and view all the answers

What is the main purpose of Public Relations in the Promotion Mix?

<p>To manage communications and relationships with the company's publics (B)</p> Signup and view all the answers

What is typically involved in the Evaluation of Alternatives stage?

<p>Comparing products based on key attributes (B)</p> Signup and view all the answers

Which factor does NOT usually impact consumer behavior?

<p>Brand popularity only (B)</p> Signup and view all the answers

What are deficiency needs classified as in Maslow's hierarchy?

<p>D-needs (B)</p> Signup and view all the answers

Which component of self-concept refers to who we truly are?

<p>Real Self (D)</p> Signup and view all the answers

What is the key element in the Choice Overload Hypothesis?

<p>Increased options can lead to consumer dissatisfaction (D)</p> Signup and view all the answers

What does stimulation generalization relate to in the behavioral learning process?

<p>Response to similar cues (C)</p> Signup and view all the answers

Which of the following is NOT one of the major approaches to attitude change?

<p>Change behavior directly (C)</p> Signup and view all the answers

Which of the following best describes neuromarketing?

<p>Understanding consumer behavior through brain activity (B)</p> Signup and view all the answers

What is the ideal self shaped by according to the self-concept model?

<p>Life experiences and role models (D)</p> Signup and view all the answers

What does the cognitive learning process primarily involve?

<p>Information processing through one's own experiences (D)</p> Signup and view all the answers

In the context of perception, which is an example of a study conducted to measure individual preferences?

<p>Taste test with soda brands (B)</p> Signup and view all the answers

What aspect of marketing research uses physiological measures such as eye tracking?

<p>Neuromarketing (D)</p> Signup and view all the answers

What do esteem needs in Maslow's hierarchy entail?

<p>Need for recognition and positive self-image (C)</p> Signup and view all the answers

What is the primary aim of engagement marketing?

<p>To foster an interactive experience with customers (C)</p> Signup and view all the answers

Which of the following is a characteristic of advertising?

<p>It allows for controlled messaging (A)</p> Signup and view all the answers

What is a potential negative outcome of using shock appeals in advertising?

<p>A detrimental impact on brand image (D)</p> Signup and view all the answers

What does a meta-analysis regarding sexual appeals in advertising indicate?

<p>Sexual appeals have no significant effect on brand recognition (B)</p> Signup and view all the answers

Which dimension of product quality refers to the product's ability to perform its intended functions?

<p>Performance quality (A)</p> Signup and view all the answers

What aspect of branding focuses on how consumers perceive and differentiate a product from competitors?

<p>Brand differentiation (C)</p> Signup and view all the answers

Which of the following is NOT a level at which brands can be positioned?

<p>Customer demographics (A)</p> Signup and view all the answers

What is a key benefit of product support services?

<p>Enhancing post-sale customer satisfaction (C)</p> Signup and view all the answers

What do the four consumer perception dimensions of brand strength include?

<p>Differentiation, relevance, knowledge, esteem (D)</p> Signup and view all the answers

Which of the following represents a private brand?

<p>Loblaw's President's Choice (D)</p> Signup and view all the answers

What is the main goal of co-branding?

<p>To extend brand reach through partnership (C)</p> Signup and view all the answers

What type of appeal utilizes provocative content to capture audience attention?

<p>Shock appeals (B)</p> Signup and view all the answers

Which of the following is NOT a dimension of quality consistency?

<p>Performance quality (B)</p> Signup and view all the answers

What aspect of branding emphasizes the emotional connection to a brand?

<p>Brand values (A)</p> Signup and view all the answers

What is the term for a group of people with common interests that influence an individual's attitudes and behaviors?

<p>Reference Group (D)</p> Signup and view all the answers

Which phase of the family life cycle typically involves joint decision-making among couples?

<p>Newly Married (D)</p> Signup and view all the answers

Which of the following best describes individualistic cultures?

<p>Focus on individual style and customization (A)</p> Signup and view all the answers

What type of culture is characterized by greater openness to product recommendations from close others?

<p>Collectivist Culture (C)</p> Signup and view all the answers

What is the process by which individuals acquire the skills, knowledge, and attitudes necessary to function as consumers?

<p>Consumer Socialization (B)</p> Signup and view all the answers

In the context of psychological factors influencing buying behavior, what does 'motivation' refer to?

<p>A need that compels a person to seek satisfaction (D)</p> Signup and view all the answers

What influence does an opinion leader exert within a reference group?

<p>They exert social influence due to specific traits (D)</p> Signup and view all the answers

Which stage of the family life cycle is most likely to involve savings for education and retirement?

<p>Full Nest (D)</p> Signup and view all the answers

What is defined as a descriptive thought that a person holds about something?

<p>Belief (A)</p> Signup and view all the answers

What does the term 'dissociative group' refer to in socio-cultural influences?

<p>A group individuals actively distance themselves from (A)</p> Signup and view all the answers

What effect does extensive choice typically have on consumer behavior?

<p>Reduces satisfaction with the chosen option (A)</p> Signup and view all the answers

Which situation may lead to the results of the Choice Overload Hypothesis not holding true?

<p>High self-efficacy in decision making (A)</p> Signup and view all the answers

What is a critical factor influencing purchase decisions according to situational influences?

<p>Physical surroundings (C)</p> Signup and view all the answers

Which psychological factor is directly linked to the energetic force that drives behavior?

<p>Motivation (B)</p> Signup and view all the answers

What does the concept of 'antecedent states' refer to in the context of consumer behavior?

<p>Momentary emotional and physical conditions influencing decisions (B)</p> Signup and view all the answers

How does sensory marketing primarily engage consumers?

<p>By appealing to all five senses (A)</p> Signup and view all the answers

Which factor is most likely to increase impulse buying during a shopping trip?

<p>Availability of embarrassment-inducing products (C)</p> Signup and view all the answers

What aspect of a consumer's profile might affect their likelihood of purchasing rugged work clothes?

<p>Occupation (B)</p> Signup and view all the answers

What element of atmospherics is likely to create a positive shopping experience?

<p>Ambient scents that attract customers (A)</p> Signup and view all the answers

What is the primary outcome of a consumer experiencing positive affect during shopping?

<p>More successful decision making (B)</p> Signup and view all the answers

Which of these is NOT considered a source of information in the consumer buying process?

<p>Experiential sources through handling products (D)</p> Signup and view all the answers

What can be a result of having too many choices according to the Choice Overload Hypothesis?

<p>Lower quality of selected items (B)</p> Signup and view all the answers

What does Maslow's Hierarchy of Needs illustrate?

<p>The different levels of human needs and their priority (A)</p> Signup and view all the answers

Which characteristic is essential to understand a consumer's buying behavior?

<p>Demographics such as age and income (D)</p> Signup and view all the answers

Flashcards

What is a product?

A product is something that offers value to a customer, either a tangible good or an intangible service. It satisfies a need or want.

Difference between goods and services

Goods are physical items you can touch, like a phone or a book. Services are actions or skills you pay for, like a haircut or a consultation.

Goods-Service Continuum

This spectrum shows how products can range from purely tangible goods (like salt) to purely intangible services (like legal advice). Products with a mix of goods and services exist in between.

Convenience Products

These are everyday items bought often with little effort, like groceries or toothpaste. They are readily available and inexpensive.

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Shopping Products

These require more effort to buy, involve comparison and research, and are less frequently purchased. Examples include clothing, furniture, or appliances.

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Total Product Concept

A framework for developing a product by identifying its core benefits, actual product features, and augmented services.

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Core Product

The fundamental benefits a customer receives from using a product.

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Actual Product

The tangible product sold to customers, including its design, features, quality, packaging, and labeling.

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Augmented Product

Non-tangible, service-related features that enhance the customer experience.

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Cost-Based Pricing

Setting prices based on the costs of production, distribution, and marketing.

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Value-Based Pricing

Setting prices based on what customers perceive the product's value to be.

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Competition-Based Pricing

Setting prices based on the pricing strategies of competitors.

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Penetration Pricing

Setting a low initial price to attract customers and generate interest, then gradually increasing the price over time.

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Skimming Pricing

Setting a high initial price for early adopters, then lowering the price once demand is met.

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Place Utility

Making products easily accessible to customers through convenient locations, online options, and wide product availability.

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What is the Promotion Mix?

A strategic blend of marketing tools (advertising, sales promotion, personal selling, public relations, and direct/digital marketing) used by companies to communicate customer value and build relationships.

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What is Advertising?

Any paid form of non-personal communication, like TV commercials or print ads, used by identified sponsors to promote ideas, goods, or services.

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What is Sales Promotion?

Short-term incentives, like coupons or discounts, designed to encourage immediate purchase or sale of a product or service.

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What is Personal Selling?

Direct, face-to-face interactions between a company's sales force and customers to engage them, make sales, and build relationships.

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What is Public Relations (PR)?

Building positive relationships with various audiences for the company (media, customers, employees) by managing publicity, creating a positive image, and handling negative situations.

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What is Direct & Digital Marketing?

Engaging directly with specific customers or communities to obtain an immediate response and build long-term relationships.

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What is a Push Strategy?

A promotion strategy where the company emphasizes pushing its product through distribution channels (wholesalers, retailers) towards final consumers.

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What is a Pull Strategy?

A promotion strategy where the company focuses on creating consumer demand through advertising and promotions, pulling the product through the distribution channels.

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What is Consumer Behaviour?

Describes the actions consumers take when buying and using products, encompassing purchase activities, consumption activities, and the decision-making process.

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What is the Purchase Decision Process?

A series of steps consumers take to make a purchase decision, starting with problem recognition and ending with post-purchase evaluation.

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Engagement Marketing

Creating interactive experiences that connect customers with a product or brand. It goes beyond just sending messages, aiming to build emotional connections and loyalty.

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Advertising

A paid method of communication to tell consumers about a product or brand. It takes many forms, from billboards to online ads. It offers controlled messaging, but can be seen as intrusive.

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Shock Appeals in Advertising

Using startling or offensive words, images, or actions to grab attention. It can be controversial and intended to jolt the audience.

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Sexual Appeals in Advertising

Employing suggestive words, images, or actions to evoke sexual thoughts or feelings in the target audience. They can be explicit or subtle.

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Product Quality

Characteristics of a product or service that meet or exceed customer needs. It covers performance and consistency.

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Quality Level (Performance Quality)

How well a product fulfills its intended purpose.

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Quality Consistency (Conformance Quality)

The product's ability to consistently deliver the same level of performance without defects.

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Product Features

Different aspects or functionalities that a product offers, ranging from basic to more advanced.

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Product Style

The visual appearance or aesthetics of a product.

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Product Design

Shaping the user experience of a product by understanding customer needs and how they interact with it.

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Brand

A distinctive name, symbol, or design that identifies a seller's products and differentiates them from competitors.

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Brand Equity

The extra value a brand brings to a product due to its reputation, recognition, and customer loyalty.

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Brand Positioning

How a brand aims to be viewed by its target customers, emphasizing its unique benefits or values.

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Brand Sponsorship

Different ways a manufacturer can choose to brand their products, from private labels to national brands.

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Co-branding

Two established brands from different companies collaborate to put their names on the same product.

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Reference Group

A group of people who share similar interests, influencing your attitudes and behaviors. Marketers often target these groups.

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Membership Group

A reference group you belong to, like your family or friends. Marketers know these groups well.

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Aspiration Group

A reference group you wish to belong to, even if you're not currently a member. Think influencers or celebrities.

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Dissociative Group

A reference group you actively distance yourself from, because you don't identify with their values.

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Consumer Socialization

The process of learning how to be a consumer, including how to purchase, use, and dispose of products.

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Family Life Cycle

The stages a family progresses through, from formation to retirement, with each stage having different needs and purchasing patterns.

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Individualistic Culture

A culture emphasizing individual needs and values, prioritizing freedom and personal choice.

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Collectivist Culture

A culture prioritizing group needs and values, emphasizing cooperation and tradition.

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Subculture

A smaller group within a larger culture that shares common values, experiences, and situations.

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Social Class

Permanent divisions in society based on similar values, interests, and behaviors, impacting purchasing decisions.

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What are Maslow's Hierarchy of Needs?

Maslow's Hierarchy of Needs is a theory that suggests human needs are arranged in a pyramid, with basic physiological needs at the bottom and self-actualization at the top. Needs at the lower level must be fulfilled before higher-level needs can be addressed.

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What are Deficiency Needs (D-needs)?

Deficiency needs are the basic needs that must be met for survival and well-being. They include physiological needs (like food, water), safety needs (like security), social needs (like belonging), and esteem needs (like self-worth).

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What is Self-Actualization (B-needs)?

Self-actualization is the highest level of need in Maslow's hierarchy. It involves fulfilling one's full potential, personal growth, and self-awareness.

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What is the 'Real Self'?

The real self is the authentic core of who we are. It includes our genuine personality, traits, and values.

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What is 'Self-Image'?

Self-image is how we perceive ourselves. It can be influenced by factors like our experiences, beliefs, and the opinions of others.

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What is 'Looking-Glass Self'?

The looking-glass self refers to how we believe others perceive us. It's shaped by our interpretations of their reactions and feedback.

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What is 'Ideal Self'?

The ideal self is the person we aspire to be. It's shaped by our goals, values, and role models.

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What is 'Perception'?

Perception is the process of how we select, organize, interpret, and respond to information from the world around us.

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What is 'Neuromarketing'?

Neuromarketing uses brain imaging techniques and physiological measures to understand consumer behavior and predict purchasing decisions.

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What is 'Stimulus Generalization'?

Stimulus generalization occurs when a learned response to one stimulus is triggered by another similar stimulus.

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Paradox of Choice

The idea that having too many options can lead to feelings of overwhelm and make it harder to make a decision, ultimately hindering motivation.

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Choice Overload Hypothesis

The theory that an excessive number of options can lead to negative outcomes, like less satisfaction with the chosen option, more difficult decision-making, and potentially even a lower likelihood of making a decision at all.

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Decision-Making Self-Efficacy

A person's belief in their ability to make sound decisions successfully.

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Situational Influences

Factors related to the context, time, and location of a purchase that can impact a person's decision-making process.

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Atmospherics

Controllable factors that create the ambiance or mood of a retail space, influencing customer experiences.

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Social Surroundings

The impact of other people on purchasing behaviour, including interactions like social shopping versus solitary shopping.

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Temporal Effects

The impact of time on consumer behaviour, including considerations like the time of day, the time of year, and the amount of time available for shopping.

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Antecedent States

Momentary conditions, like emotional state, energy level, or cash on hand, that influence a person's purchasing decisions.

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Sensory Marketing

A marketing approach that engages the senses to influence consumer perception and create a desired emotional response.

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Congruence (in Sensory Marketing)

A match between the sensory experience and the overall environment, creating a cohesive and impactful experience.

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Occupation

The type of work a person does, which can influence their purchasing decisions, especially for workwear or related products.

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Age & Life Stage

The stage of life a person is in can affect their purchasing habits, as their needs and preferences change over time.

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Economic Situation

A person's financial status can influence their store and product choices, making them more conscious of value and affordability.

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Lifestyle

A person's pattern of living as expressed through their activities, interests, and opinions, which can influence their purchasing decisions.

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Personality & Self-concept

The unique psychological characteristics of a person, including their values, beliefs, and self-image, which can influence their brand preferences.

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Study Notes

Product

  • Product Definition: A good or service offering tangible and intangible attributes to fulfill needs or wants.
  • Goods: Physical or digital items delivered to the buyer.
  • Services: Actions, abilities, knowledge, and work the customer pays for.
  • Tangible Attributes: Observable qualities detected by senses (e.g., smell, taste).
  • Intangible Attributes: Subjective qualities (e.g., style, reliability).
  • Goods-Service Continuum: A spectrum from goods-dominated to service-dominated offerings.
  • Goods Dominated: From pure commodities (e.g., salt) to pure goods (e.g., soft drinks) and balanced combinations (e.g., fast food).
  • Service Dominated: Pure services offer no tangible good (e.g., consulting).
  • Product Types: Classified by effort and frequency of purchase.
    • Convenience: Frequently purchased, readily available, low effort (e.g., groceries).
    • Shopping: Moderate effort, comparison-based (e.g., clothing).
    • Specialty: Rare purchase, deliberate search (e.g., high-end items).
    • Unsought: Unknown or unwanted (e.g., insurance).
  • Total Product Concept: Focuses on the core, actual, and augmented product levels to offer benefits beyond the basic item.

Price

  • Pricing Approaches:
    • Cost-based pricing: Prices determined by manufacturing, distribution, and promotion costs.
    • Value-based pricing: Prices set based on a customer's perceived value.
    • Competition-based pricing: Prices based on competitors' activities.
  • Pricing Strategies:
    • Penetration pricing: Low initial price to gain interest and attract customers.
    • Skimming: High initial price with price reductions once initial demand is met.
    • Prestige pricing: High price to establish status and quality perception.
    • Odd-even pricing: A few cents below a round-number to evoke bargains.
    • Loss leader pricing: Subset of products priced below cost to stimulate sales of profitable goods.

Place

  • Retailer Classification:
    • Independent Retailers: Single ownership, fewer locations.
    • Corporate Chains: Multiple outlets under shared ownership.
    • Contractual Systems (Franchises): Agreements allowing retail locations to operate using resources.
  • Retailing Utilities: Utility/usefulness provided by retailers.
    • Place Utility: Easy product accessibility.
    • Possession Utility: Ease of having/owning a product.
    • Form Utility: Product design meeting needs.
    • Time Utility: Product availability when needed.

Promotion

  • Promotion Definition: Communication activities to communicate product merits.
  • Sales Promotion: Short-term incentives for purchase (e.g., coupons, contests).
  • Public Relations: Activities to build a brand image (e.g., press releases).
  • Experiential Marketing: Interactive experiences with products to increase engagement.
  • Advertising: Paid media for product/brand communication.
  • Shock Appeals: Controversial content used to grab attention.
  • Sexual Appeals: Appeals with sexual connotations to evoke response, but may backfire.

Consumer Behaviour

  • Consumer Behavior Definition: Actions consumers take when purchasing and using a product.
  • Purchase Decision Process: Steps consumers take to decide on a purchase.
    • Problem Recognition: Difference in actual and ideal state.
    • Information Search: Gather information about products.
    • Evaluation of Alternatives: Evaluate products on desired features.
    • Purchase Decision: Determining what, from whom, and when to buy.
    • Post-Purchase Evaluation: Assessing satisfaction and impacting future behavior.
  • Cognitive Dissonance: Conflict between beliefs and actions.
  • Consumer Involvement: Interest or importance of a purchase.
  • The Problem With Choice: Extensive choice can be demotivating, especially when self-efficacy is low.
  • Situational Influences: Impact of surrounding circumstances on purchase decisions (physical, social, temporal, antecedent states).
  • Sensory Marketing: Using senses to affect customer perception.

Psychological Influences

  • Motivation: Driving force to fulfill unmet needs.
  • Maslow's Hierarchy of Needs: Motivational framework with five need levels ranking in order from physiological to self-actualization.
  • Self-Concept: Ideas and beliefs about oneself (real self, self-image, ideal self).
  • Perception: Selecting, organizing, and interpreting information to create a meaningful world (example: Coke vs. Pepsi).
  • Neuromarketing: Using neuroscience tools to understand consumer responses.
  • Learning: Acquiring knowledge through experience (behavioral and cognitive).
  • Attitudes: Evaluations of ideas, events, objects, or people.

Socio-Cultural Influences

  • Reference Groups: Groups influencing consumer attitudes and behavior.
  • Consumer Socialization: Learning consumer skills, knowledge, and attitudes.
  • Family Life Cycle: Stages of family life with distinct purchasing patterns.
  • Culture: Shared values, ideas, and behaviors influencing purchasing.
  • Subculture: Smaller groups with shared values within a larger culture.
  • Social Class: Socially ranked groups in a society.
  • Opinion Leaders: Influential individuals within a group.
  • Word-of-Mouth Influence: Impact of recommendations from peers and associates.

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Test your knowledge on key marketing concepts including service descriptions, product categories, pricing strategies, and more. This quiz covers various aspects of the marketing mix and product offerings, helping you understand how they impact consumer behavior.

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