Topic 3: Marketing

• Marketing


  is the achievement of corporate goals through meeting and exceeding customer needs better than the competition
• Marketing Objective

  is a target/goal of the marketing function in an organisation to be achieved in a given period of time.
• Sales Value


  measures the financial worth of items sold or amount spent on the product
• Sales volume


  Measures the number of items sold or produced
• market size


  is the total number of sales in the market over a period of time
• market growth


  the percentage increase in the size of the market in terms of either value or volume
• sales growth


  The percentage change in sales volume or value over a given period
• market share


  the percentage of total sales of a product or service achieved by a business or brand
• brand loyalty


  when customers become committed to a particular brand and make repeat purchase over time
• Market Research


  involves gathering and analysing data relevant to the marketing process
• Primary Research


  is where a business gathers new data for the first time that is specific for their needs and purpose
• Secondary Research


  data that already exist and which has been collected for a different purpose
• Quantitative Research


  research that collects and reports data primarily in numerical form
• Qualitative Research


  research that relies on opinions, thoughts, and experiences
• Market Mapping


  a diagram that identifies that position of its product in the market using price and quality
• Random Sampling


  names are picked randomly from a list
• Stratified Sampling


  the population is divided into groups and people are selected randomly from each group
• Quota Sampling


  people are picked who fit into a category
• Confidence Interval


  a range of values that you're fairly sure that the values for the population will lie within
• Confidence level


  the probability that research finding are correct
• Correlation


  measures closely on how the 2 data are related
• Extrapolation


  when business use previous patterns of numerical data in order to predict values in the future
• price elasticity of demand


  how responsive the quantity demanded of a good is to a change in its price
• Price inelasticity of demand


  where the demand for a product doesn't change much when its price changes.
• income elasticity of demand


  how the quantity demanded of a good changes when people's incomes change
• income inelasticity of demand


  demand for a product doesn't change much when people's income changes
• Mass Market


  when a firm targets the whole of a market rather than a particular segment
• Niche Market


  when a firm targets a small subsection of the mass market who have similar needs and characteristics
• Marketing Mix


  The 7P's: the combination of marketing elements used by a business to enable it to meet the needs and expectations of customers
• Integrated Marketing Mix


  what we aim for... all the 7P's working together to achieve objectives and meet customer needs
• Convenience Product


  product that are purchased frequently and with minimum thought and effort by consumers
• Shopping Product


  product that consumer want to be readily accessible, but which involve thought and planning before purchases
• Speciality Product


  products were the customers has been thinking about buying these for months or even years
• The Blake Mouton Grid


  is a model that highlights there different management or leadership style used within an organisation based on 2 dimensions: concern for people, concern for task/production
• Boston Matrix


  is a model which helps analyse a firm's product range in terms of market share and market growth
• Question Mark


  low market share, high market growth
• Stars


  high growth, high market share
• Dogs


  low growth, low market share
• Cash Cows


  low growth, high market share
• The Product Life Cycle


  a model that shows the sales of a product over its life