Marketing strategy

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Which concept relies on aggressive promotion and selling efforts?

Market-Value Concept
Marketing Concept
Selling Concept (correct)
Societal Concept

What type of goods are often sold using the 'selling concept'?

Unsought Goods (correct)
Fast Moving Consumer Goods
Luxury Goods
Essential Goods

Which concept focuses on understanding and meeting the needs of the target market?

Production Concept
Marketing Concept (correct)
Selling Concept
Product Concept

In the context of marketing, what does the Market-Value concept emphasize?

Ensuring every aspect of the company focuses on delivering customer value. (D) Signup and view all the answers

What is the primary focus of the marketing concept?

Developing the right product for your customers. (A) Signup and view all the answers

Considering the Market-Value concept, how should a business define itself?

In terms of the benefits provided to customers (D) Signup and view all the answers

In a functional organization, how are marketers typically grouped?

By specialized functions (C) Signup and view all the answers

Which of the following is NOT a key element of brand storytelling?

Financial Statements (C) Signup and view all the answers

What capability has the Digital Age provided to consumers, regarding prices?

The power to compare thousands of vendor prices instantly (A) Signup and view all the answers

Which of the following describes a 'Cost-Plus Mindset' pricing mistake?

Adding a standard markup to production costs without considering market conditions. (D) Signup and view all the answers

What role does price play as a 'positioning tool'?

It signals various qualities of the product, and supports the brand's image. (B) Signup and view all the answers

Why is it important to align pricing decisions with product, promotion, and distribution strategies?

To deliver a cohesive customer experience. (A) Signup and view all the answers

Which of the following is the first stage that offerings must achieve to be considered by customers?

Being added to the 'short list' (A) Signup and view all the answers

Which of the following is considered a psychographic factor?

Lifestyle (A) Signup and view all the answers

What is the primary activity that customers undertake in the 'Ask' stage?

Seeking more details and comparing options (B) Signup and view all the answers

In the customer journey, which stage involves the actual purchase and usage experience?

'Act' stage (D) Signup and view all the answers

What do personas represent in marketing?

Key traits of a target segment (A) Signup and view all the answers

What is the primary goal of the effectiveness principle in marketing?

Reaching all strategically valuable customers (A) Signup and view all the answers

What do satisfied customers potentially become in the 'Advocate' stage?

Enthusiastic promoters or 'evangelists' (B) Signup and view all the answers

Why is it important for a company to measure the percentage of customers moving through each phase of the customer journey?

To spot bottlenecks and decide if more investment is needed (B) Signup and view all the answers

What is the focus of the cost-efficiency principle in marketing?

Avoiding wasted resources on unlikely buyers (B) Signup and view all the answers

What is a common characteristic of 'deal-driven' customers?

They tend to be less loyal (C) Signup and view all the answers

Which of the following is an observable indicator used to identify potential customers?

Purchase of luggage (B) Signup and view all the answers

What is the main reason a company might target multiple market segments?

To match offerings to various customer requirements (B) Signup and view all the answers

What is the potential impact on profits of reducing the customer defection rate by just 5%?

Profits can increase by 25% to 85% in certain industries (A) Signup and view all the answers

Which of the following is a factor within a company's control that can cause customer defection?

Poor service (A) Signup and view all the answers

What is often included in a persona profile?

Name and photo (B) Signup and view all the answers

What should marketing messages highlight to resonate with the target's interests?

Travel perks and exclusive destinations (D) Signup and view all the answers

What is one strategy companies can use to re-attract former customers?

Lost-customer surveys and exit interviews (C) Signup and view all the answers

For a digital product, which platforms should be focused on?

Platforms aligning with the segment's online behavior (C) Signup and view all the answers

What is the first step when moving from needs to target profiles?

Choose a segment (A) Signup and view all the answers

What is the primary goal of targeting in marketing?

To align company resources with customer needs that can be profitably fulfilled. (A) Signup and view all the answers

Which of the following describes mass marketing?

Selling a single offering to the broadest possible market. (D) Signup and view all the answers

What is a key characteristic of targeted marketing?

Developing different offerings for multiple segments. (C) Signup and view all the answers

What is the ultimate level of targeted marketing?

One-to-one marketing. (C) Signup and view all the answers

What is the primary benefit of targeting when customers have diverse needs?

Each segment gets an offering closely aligned with its specific requirements. (B) Signup and view all the answers

What does strategic targeting primarily aim to do?

Select customers who will generate the greatest mutual value with the company. (B) Signup and view all the answers

What is a deliberate action a company may take in strategic targeting?

Excluding some customers to deliver a superior solution to others. (A) Signup and view all the answers

What is the first key principle of strategic targeting?

Can we create superior value for these customers? (D) Signup and view all the answers

What is a crucial aspect of target compatibility?

The company's ability to fulfill a group's needs better than the competition. (A) Signup and view all the answers

Which of the following is a key resource that drives compatibility?

Business Infrastructure. (D) Signup and view all the answers

What does a company's competitive position primarily consider?

Market share and core competencies (A) Signup and view all the answers

Which of the following is an example of a portfolio model?

The BCG matrix (A) Signup and view all the answers

What does 'strategy' primarily specify?

The target market and value proposition (A) Signup and view all the answers

What are 'tactics' also known as?

The 7 Ts (Marketing Mix) (B) Signup and view all the answers

What does the 'Customers' aspect of the Five Cs framework address?

Whose needs are you trying to address (C) Signup and view all the answers

In the Five Cs, what role do collaborators play?

They help create, deliver or promote the offering (D) Signup and view all the answers

In the Five Cs framework, what is the primary focus when analyzing competitors?

Identifying those targeting the same customers (B) Signup and view all the answers

What is an example of a synergy among SBUs?

Shared R&D (D) Signup and view all the answers

During which phase of the customer acquisition process do customers become informed about an offering?

Awareness (B) Signup and view all the answers

What is the term for customers recommending an offering to others?

Advocate (B) Signup and view all the answers

What is the main activity that customers undertake in the 'Appeal' stage?

Filtering out many options to create a short list (B) Signup and view all the answers

Which phase involves the customer's direct interaction with the product or service?

Act (D) Signup and view all the answers

What is the potential result of a seamless purchase and usage experience?

Fostering satisfaction and laying groundwork for loyalty (C) Signup and view all the answers

What do customers do in the "Ask" phase of the customer acquisition process?

Seek more details and compare options (C) Signup and view all the answers

What can be extremely powerful in driving new awareness and fueling future growth?

Word-of-mouth advocacy (C) Signup and view all the answers

Why is clear and compelling information important in the 'Ask' stage?

It helps move prospects from interest to action. (C) Signup and view all the answers

What approach does a firm take in mass marketing?

Selling a single offering to the broadest possible market. (A) Signup and view all the answers

Tactical targeting is about:

Deciding how to reach customers effectively and efficiently. (C) Signup and view all the answers

What is the primary focus of behavioral segmentation?

Grouping customers by observed actions. (D) Signup and view all the answers

Which of the following is an example of user status within behavioral segmentation?

Potential user (D) Signup and view all the answers

How are customers classified based on usage rate?

Light, medium, or heavy users. (C) Signup and view all the answers

What does the 'buyer-readiness stage' refer to?

Customer awareness and willingness to purchase (C) Signup and view all the answers

Which of the following describes 'hard-core loyal' customers?

Customers loyal to a single brand. (C) Signup and view all the answers

What does psychographic segmentation focus on?

Lifestyle, personality, or values (B) Signup and view all the answers

What does the VALS framework classify consumers by?

Primary motivation and resources (C) Signup and view all the answers

What is one key aspect of occasion-based segmentation?

When or why consumers use a product (C) Signup and view all the answers

What is the primary goal of customization in marketing?

To adapt products and services to individual customer preferences. (D) Signup and view all the answers

What is a potential downside of over-personalization?

It can irritate customers with irrelevant recommendations. (D) Signup and view all the answers

What does 'permission marketing' primarily address?

Acknowledging privacy concerns and obtaining explicit customer consent. (A) Signup and view all the answers

What is one way companies can empower customers to strengthen relationships?

Involving customers directly in product naming or design. (D) Signup and view all the answers

Why might some customers only engage with a brand when empowered?

They only engage for tangible value like discounts or coupons. (C) Signup and view all the answers

What is a primary way word of mouth impacts purchase decisions?

Recommendations from others shape purchase decisions. (C) Signup and view all the answers

Why is it important to monitor online reviews?

To identify and address fake or misleading content. (A) Signup and view all the answers

Why is a rapid response important in handling customer complaints?

Faster response leads to lower dissatisfaction and less negative word of mouth. (C) Signup and view all the answers

What is the primary purpose of 'screening out' unprofitable customers?

To focus resources on more profitable customer segments. (B) Signup and view all the answers

What does 'elevating customer touch points' primarily aim to do?

Build loyalty and increase customer lifetime value. (D) Signup and view all the answers

Which of the following is a key element in building customer trust?

Competence in delivering on promises. (B) Signup and view all the answers

Which action demonstrates benevolence in building customer trust?

Showing genuine concern for customer interests. (A) Signup and view all the answers

Which of the following is a factor in Customer Lifetime Value (CLV) calculations?

Revenues per customer over time. (D) Signup and view all the answers

What does the discount rate in CLV calculations primarily reflect?

The cost of capital and risk. (D) Signup and view all the answers

What is the Net Present Value (NPV) approach used for in the context of Customer Lifetime Value?

Summing and discounting future profit streams from a customer. (C) Signup and view all the answers

In the context of building customer trust, what does 'honesty' primarily involve?

Aligning company statements and actions. (B) Signup and view all the answers

Selling Concept

Focuses on convincing consumers to buy products through aggressive promotion and selling, regardless of need.

Marketing Concept

Focuses on understanding and meeting the needs and wants of a specific target market to deliver superior value.

Market-Value (Holistic Marketing) Concept

Recognizes that all aspects of a business should focus on creating value for customers, the company, and its partners; emphasizes that "everything matters".

Functional Organization (Marketing)

A traditional organizational structure where marketers are grouped based on their specific functions (e.g., advertising, market research).