MKT 300 EATON ASU EXAM 1
Describe the purpose of marketing - Answer-Marketing is a process designed to plan for, create, communicate, and deliver value to customers. Builds effective customer relationships that benefit an organization.Marketing mix - Answer-Product, Price, Place, Promotion are all utilized in different ways to target specific markets.Demographics - Answer-The characteristics of a population with respect to age, race, and gender. Not sufficient to make a connection with the audience.Psychographics - Answer-the study and classification of people according to their attitudes, aspirations, and other psychological criteria Marketing Management Philosophies - Answer-Production (focus on operations) Sales (focus on overcoming customer resistance) Marketing (focus on satisfying customer needs) Societal (enhancing societal well-being while focusing on customer needs) Evolution of the Marketing Concept - Answer-Production ==> Sales ==> Marketing ==> Societal Explain and examine the different facets of the market orientation construct - Answer-1. Gathering market intelligence
- Disseminating knowledge
- Coordinated response
Apply the marketing concept to real-world business situations - Answer-A consumer-oriented philosophy dedicated to understanding and fulfilling consumer needs through the creation of value, customer relationships, and customer loyalty
STP Process - Answer-Segmenting: Divide market based on needs/benefits,
demographics, lifestyles, behavioral measures
Targeting: select the most appropriate market(s)
Positioning: target marketing messages through 4Ps
Product Price Promotion Place (Distribution) Compare and contrast the four different segmentation bases (Demographic, 1 / 2
Psychographic, Behavioral and Needs) - Answer-Demographics: age, gender, ethnicity, gender, income Psychographics: values, lifestyles, personality, activities, interests, opinions Behavioral: Dividing a market by the amount of product bought or consumed. 80/20 Pareto principle
Needs: The process of grouping customers into market segments according to the
benefits they seek from the product.Undifferentiated - Answer-Marketing approach that views the market as one big market with no individual segments
pros: Potential savings on production
and marketing costs cons: Unimaginative product offerings, the company more susceptible to competition Differentiated - Answer-Chooses two or more well-defined market segments and develops a distinct marketing mix for each
pros: Greater financial success, Economies of scale
cons: High costs, cannibalization(eating up their own profits)
Concentrated - Answer-A concentrated strategy of focusing on a narrow market pros: Concentration of resources, Meets narrowly defined segment, Small firms can compete, Strong positioning
cons: Segments too small, or changing, Large competitors may market to a niche
segment Micromarketing - Answer-One-to-one marketing that is individualized, information- intensive, with a long-term perspective Describe the value proposition - Answer-The brand's full mix of benefits on which a brand is differentiated and positioned Positioning statement concept - Answer-The Point of Differentiation (POD) describes how your brand or product benefits customers in ways that set you apart from your competitors "Why should I buy your brand?" Perceptual mapping - Answer-A means of displaying or graphing, in two or more dimensions, the location of products, brands, or groups of products in customers' minds Zeigernik effect - Answer-A person beginning a task to complete it
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