Marketing 360 exam one online PDF

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Blank Slides Chapter 1:  Marketing is… an organizational function and a collection of processes designed to plan for, create, communicate, and deliver value to customers and to build effective customer relationships in ways that benefit the organization and its stakeholders.  The Marketing Mix: Product, Price, Place, and Promotion  Marketing Management Philosophies: o Production: Focus on efficiency of internal operations (sheet metal supplier)  What can we make or do best? o Sales: Focus on aggressive techniques for overcoming customer resistance (auto dealerships)  How can we sell more aggressively? o Market: Focus on satisfying customer needs and wants (Nike…build custom shoes)  What do customers want and need? o Societal: Focus on satisfying customer needs and wants while enhancing individual and societal well-being (Toms shoes…)  What do customers want and need, and how can we benefit society?  Market Orientation: An organizational perspective - Puts the philosophy of the marketing concept into practice 1. Gathering market intelligence 2. Dissemination knowledge 3. Coordination response o Obtain information about customers, competitors, and markets o Determine how to deliver superior customer value o Implement actions to provide value to customers o Establish and maintain mutually rewarding customers relationships  Market Orientation: o Stakeholder Orientation: Develop a sufficient understanding of relational partners to be able to create superior value for them o Competitor Orientation: Understand strengths, weaknesses, and capabilities of both key current and key potential competitors o Interfunctional Coordination: The coordinated utilization of company resources to create value  Marketing Concept: A consumer - oriented philosophy that suggests that satisfaction of consumer needs provides the focus for product development and marketing strategy to enable the firm to meet its own goals Chapter 2:  A market is…

1. (1) People or organizations with (2) Needs or wants, and with (3) the ability and (4) the willingness to buy A group of people that lacks any one of these characteristics is not a market.  STP Marketing 1. Segmenting: Divide market based on needs/benefits, demographics, lifestyles, behavioral measures 2. Targeting: Select most appropriate market(s) 3. Positioning: Target marketing messages through 4P’s  STP Marketing: Market segmentation is the division of consumer markets into meaningful and distinct groups  The segmentation base is a group of characteristics that is used to assign segment numbers  Bases for Segmentation: 1. Demographic 2. Psychographic 3. Behavioral 4. Needs 1. Demographic Segmentation - Age - Family Size - Family Life Cycle - Occupation - Ethnicity 2. Psychographic Segmentation - Values - Lifestyle - Personality - Activities - Interests - Opinions 3. Behavioral Segmentation - Dividing a market by the amount of product bought or consumed - 80/20 principle: 20 percent of all customers generate 80 percent of the demand 4. Needs Segmentation: The process of grouping customers into market segments according to the benefits they seek from the product.  

Targeting: The process of evaluating the various segments and then selecting the most viable segment or segments for your product Four Targeting Strategies o Undifferentiated

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o Differentiated o Niche o Micro Undifferentiated: Marketing approach that views the market as one big market with no individual segments and thus requires a single marketing mix. a. Advantages: i. Potential savings on production and marketing costs b. Disadvantages: i. Unimaginative product offerings ii. Company more susceptible to competition Differentiated: A strategy that chooses two or more well-defined market segments and develops a distinct marketing mix for each. a. Advantages: i. Greater financial success ii. Economies of scale b. Disadvantages: i. High costs ii. Cannibalization Niche Marketing: A strategy used to select one segment of a market for targeting marketing efforts. a. Advantages i. Concentration of resources ii. Meets narrowly defined segment iii. Small firms can compete iv. Strong positioning b. Disadvantages i. Segments too small, or changing ii. Large competitors may market to niche segment Micro Marketing: One-to-one marketing which is individualized, information intensive, with a long-term perspective and goal of increasing customer loyalty. - Goal is to increase share of the customer a. One-size-fits all marketing no longer effective as direct and personal marketing will grow to meet needs of busy consumers b. Consumers will be loyal to companies that have earned—and reinforced—their loyalty c. Mass-media approaches will decline as technology allows better customer tracking STP Marketing: Positioning is the placement of a product or service offering in the minds of a selected target market Perceptual Mapping (Check Chapter 2, slide 29): A means of displaying or graphing, in two or more dimensions, the location of products, brands, or groups of products in customers’ minds Repositioning: Changing consumers’ perceptions of a brand in relation to competing brands

Chapter 3:  The Marketing Environment is a set of forces, some controllable and some uncontrollable, that influence the ability of a business to create value and attract and serve customers.  Porter’s Five Forces o Bargaining power of consumers o Threat of substitute products o Threat of new entrants o Bargaining power of suppliers o Competitive rivalry within an industry  Levels of Competition o Generic Competition o Form Competition o Industry Competition o Brand Competition  Generic Competition: - e.g. Honda against trip to Australia for the same consumer dollars  Form Competition: e.g. Toyota against manufacturers of other vehicles that provide the same service (transportation) such as Yamaha motorcycles  Industry competition—e.g. Honda against Mercedes, Lexus etc who make the same products or class of products (different prices)  Brand competition—e.g. Honda against Toyota, Nissan etc. who offer similar products and service to the same customers at similar prices  Business vs. Consumer Markets table (Chapter 3, slide 36)  Evaluative Criteria for Business Buyers (Pyramid) o Price o Service o Quality  Demand is… o Derived: Demand for business products results from demand for consumer products o Inelastic: A change in price will not significantly affect the demand for product o Joint: Multiple items are used together in final product. Demand for one item affects all o Fluctuating: Demand for business products is more volatile than for consumer products  Buying Situations o Straight Rebuy: Original product is reordered o Modified Rebuy: Changes are desired in the original product o New Task: Product is purchased for the first time Chapter 4:

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Consumer Insight: is perceived meanings of data collected from the study of consumer behavior Marketing Research: The systemic design, collection, analysis, and reporting of information to help marketers solve specific marketing problems or take advantage of marketing opportunities Marketing Information Systems: is a series of steps that include collection, analysis, and presentation of information for use in making marketing decisions. Marketing Research: a. Descriptive: Gathering and presenting factual statements b. Diagnostic: Explaining data c. Predictive: Attempting to estimate the results of a planned marketing decision The Market Research Process 1. Define the Problem 2. Design the Research 3. Conduct the Research 4. Analyze the Data 5. Address the Problem Design the Research (Step 2): o Secondary Data:  Information previously collected  Census data, internet sources o Primary Data:  Information collected first-hand specific to your purpose  Surveys, interviews, experiments Design the Research (Step 2): Research Design Categories o Exploratory: Sheds light on problem – suggest solutions or new ideas (focus groups)  Why do consumers purchase brand X?  Observation o Descriptive: Determines magnitude  How often do consumers shop for groceries and where do they shop?  Interviews, surveys o Explanatory: Tests hypotheses about cause-and-effect relationships  What happens if we increase price?  Experiments (field/natural, lab) Design the Research (Step 2: Research Types o Qualitative:  Observation  Focus Groups  Interviews  Ethnographic o Quantitative:  Surveys

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 Experimentation Ethnographic Research: The study of human behavior in its natural context; involves observation of behavior and physical setting Measurements Scales: Chapter 4, Slide 17 o Nominal: Labeling Variable (no quantitative variable)  Yes-No; Male-Female o Ordinal: In the order of what is important, but the differences between each aren’t known  Indicate level of education; High school, Some college, Bachelors, Graduate degree o Interval: In order of what is important, and we know the exact differences between values  Temperature: is 80 degrees twice as hot as 40 degrees? o Ratio: Provides order of what is important, we know exact differences between values, AND zero has some meaning  Measurement of distance/length Open-ended questions o unstructured, word association, sentence completion Closed-ended questions o Dichotomous (e.g. true/false; yes/no) o Multiple choice o Scaled response questions  Likert scale  Semantic differential scale  Importance and rating scales Semantic Differential Scales example (Chapter 4, Slide 20) Random Assignment (“blind” conditions). o Eliminates individual differences effect on outcomes across those two groups. Probability – Random o Each element in the population has an equal probability of selection AND each combination of elements has an equal probability of selection o Names drawn out of a hat o Random numbers to select elements from an ordered list Probability – Stratified o Divide population into groups that differ in important ways o Basis for grouping must be known before sampling o Select random sample from within each group Probability – Cluster o Done correctly, this is a form of random sampling o Population is divided into groups, usually geographic or organizational o Some of the groups are randomly chosen  In pure cluster sampling, whole cluster is sampled.

In simple multistage cluster, there is random sampling within each randomly chosen cluster Probability – Systematic o Each element has an equal probability of selection, but combinations of elements have different probabilities. o Phonebook use. Non-Probability o Convenience sampling, the samples are selected because they are accessible to the researcher. o Subjects are chosen simply because they are easy to recruit. This technique is considered easiest, cheapest and least time consuming. o Purposive sampling, subjects are chosen to be part of the sample with a specific purpose in mind. o The researcher believes that some subjects are more fit for the research compared to other individuals. o Quota sampling, the researcher ensures equal or proportionate representation of subjects depending on which trait is considered as basis of the quota. o Snowball sampling, the researcher asks the initial subject to identify another potential subject who also meets the criteria of the research. Analyze the Research: Tests o T-Test o ANOVA o Linear Regression Test: Logistic Regression o When your dependent variable is either a 0 or 1 (such as a choice) Negative Binomial Regression example (Chapter 4, Slide 32) 

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Chapter 5:  A channel strategy involves the decisions a manufacturer makes to effectively and efficiently move its products to the customer.  Distribution and Supply Chain activities are behind the Place in the 4 Ps  Direct Marketing Channel: Where the manufacturer sells directly to the end customer  Indirect Marketing Channel: Where the manufacturer sells to the end customer THROUGH at least one intermediary  Multi-Marketing Channel: Selling directly AND indirectly to the end customer  Channel Strategies: Intensity of Distribution o Intensive : Achieve mass market selling. Convenience goods.  Many intermediaries o Selective: Work with selected intermediaries. Shopping and some specialty goods.  rSeveral intermediaries o Exclusive: Work with single intermediary. Specialty goods and industrial equipment.

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 One intermediary Pull Strategy: Advertising and promotional strategies toward consumers to increase desire for the product Push Strategy: Advertising and promotional strategies geared toward your distribution partners to encourage them to promote your product...