2.2 Making Marketing Decisions

• Design Mix - the three questions which identify the purpose of a product.
• Design Mix, Function - what the product achieves or the purose of it.
• Design Mix, Aesthetics/Design - How the product looks or feels.
• The Design Mix, Cost - determin a cost effetive method to balance function and aesthetics at a profitable price.
• Product lifestyle Cycle - the sales over a set time period of a product

  
• Product Life Cycle, introduction - the start of the product life cylce where the sales are low because customers aren't aware of the product.
• Product Life Cycle, Growth - The product is growing in sales, market share and profit.
• Product Life Cycle, Maturity - The point where sales aren't increaseing anymore as competitors have similar products.
• Product Life Cycle, Decline - the point in time where sales fall of possible falling into obscurity.
• Pricing strategies - different ways of pricing products or services
• Skimming Pricing - Pricing that is set at a low price to attract customers.
• Penetration Pricing - A strategy where a firm sets a low price to gain market share and then increases the price as sales increase.
• Cost Plus Pricing - A pricing strategy that sets a price that covers the cost of production plus a profit margin.
• Competitor Pricing - pricing your product similarly to your competitors. meaning customers will favour quality over price.
• Promotion Pricing - A method of pricing that involves offering a lower price for a product or service for a limited time.
• technology can be used to product products more efficiently increasing profit margins
• Competiting can influence prices as you're competing with competitors for the most appealing deal
• in mass markets competitive pricing will be more common than in niche markets
• Product Trail - A trail that is designed to demonstrate the product's capabilities and features. this allows the customer to have a hands on experience with the product e.g. Apple stores.
• Target Advertising - Advertising that is directed to a specific group of people using collected data.
• Viral Marketing - a marketing strategy where customers will pass on recommendations to others about the product after seeing the advertisment.
• Retailers - a business that sells goods from a physical shop.
• the retailer may have bought products from a wholesaler to sell to customers.
• retailers selling niche products tend to sell products at a higher price as there is less market competition.
• Etailer - A business that sells goods and services over the internet.