terminology paper 1

• Mass market


  A large unsegmented market where mass appeal products are on sale
• Niche market


  A subset of a larger mass market that focusses on a segment of the population where consumers have specific needs and wants
• Market size


  The total amount of sales or customers in a market measured by value or volume
• Market share


  The percentage of sales in a market that is controlled by a business or a product
• Brand


  A name, logo, design, or symbol that distinguishes a business/ product or a service from competitors
• Online retailing


  The sales of goods and services using the internet
• Product innovation


  The development or creation of products that were not previously available
• Market growth


  The increase in demand or sales for a particular product/ service
• Change is important to a business in a dynamic market

  It can keep up with the competition
• Competition


  The rivalry among sellers trying to achieve goals such as increasing profits, market share, and sales volume
• Risk


  The probability of a person experiencing loss, such as a financial loss or risks taken that might cause losing possessions/ assets if the business had failed
• Uncertainty


  The lack of knowledge about future events and outcomes that are unable to be predicted
• Primary Market Research


  New research, new data is collected and it is specific to the business needs. It's referred to as a field research
• Survey

  A primary market research method that have a set of written questions that a consumer have to answer, sometimes can be as a (multiple choice form)
• Face-to-face survey


  A primary market research method used where the interviewer communicates directly with the respondent using a questionnaire
• Questionnaire


  A primary market research method used to collect new data from consumers by giving them a set of printed or written questions
• Focus group/consumer panel


  A group of people who participate in a discussion as a part of market research to give feedback about a product or service
• Face-to-face interview


  A type of primary research and should provide a new and specific data for the business about its products. This data can be used to ensure that the business meets customer needs (in which the interviewer communicates and gathers information directly from the respondent)
• Telephone interview


  A type of a primary research method that provides new and specific data for the business about its products. This data can be used to ensure that the business meets customer needs in which the interviewer communicates and gathers information from the respondent using a telephone communication or telephone line
• Product trials/ test marketing


  Trialing the product in a small area or to a limited number of users to assess the suitability of a product
• Random sampling


  One of the methods researchers use to choose a sample from a larger populations
• Quota sampling


  One of the methods researchers use to choose a sample. It involves the target population being segmented into a number of groups that share the same specific characteristics for example age or gender
• Stratified sampling


  One of the methods researchers use to choose a sample, it's a random sampling method where the sample is divided into segments based on previous knowledge about how the population is divided up
• Product orientation


  Where the business develops products based on what it is good at producing rather than researching the market to find out what a consumer wants
• Market orientation


  An approach in which a business researches the market and reacts to consumer feedback and develops products on what consumers want (The business finds out the needs and wants of the consumer and responds to them and creates products that meet customer requirements)
• Market mapping

  A form of market positioning. It's the use of a 2-dimentional diagram that plots products or services in a market using two key variables. A "Simple visual tool that utilizes a variety of variables to help a business understand its position in the market in relation to its competitors
• Market segmentation


  Dividing the market into groups of people with similar attributes or common characteristics
• Competitive advantage


  A feature of a business or a product that helps it stand out compared to its rivals
• Product differentiation


  The process of adding features or aspects to a product to distinguish it from its competitors to achieve a competitive advantage and make it look more attractive to a target market
• Adding value/ added value


  The increase in value that a business creates when producing a product/ service. It's the difference between the price of a product and the cost of the inputs involved in providing it (Difference between the price the customer pays and the cost of inputs) (Difference between the selling price and the cost of inputs)
• Demand


  The amount of goods and services consumers are willing and able to buy at a given price at a given time
• Consumer trends


  The habits or behaviors of consumers that determine the goods and services they buy
• Consumer income

  The amount of income remaining after taxes and expenses have been deducted from wages
• Demographics

  Data relating to the population or particular groups within it
• External shocks


  Unexpected events that change and affect the economy (uncertainty)
• Seasonality


  When a business offers limited time products and services at specific season
• Supply


  The quantity of goods and services sellers are willing and able to supply at a given price
• Price elasticity of demand (PED)

  The responsiveness of quantity demand to a change in price
• Income elasticity of demand (YED)

  The responsiveness of quantity demanded to a change in consumer income
• Marketing objective


  A goal the business aims to achieve through its marketing activities