Unit 2 -AOS 2

Cards (101)

  • Marketing
    The process of implementing strategies to price, promote, and distribute products to current and potential customers
  • Customer base
    A group of consumers who continuously purchase goods and services from a business
  • Business objectives

    The goals a business intends to achieve
  • Marketing
    A process to develop, promote, distribute and price a product appropriately
  • Marketing strategies
    1. Developing a product
    2. Promoting a product
    3. Distributing a product
    4. Pricing a product
  • Developing a product
    1. Market research practices
    2. Identification of target market attributes
  • Promoting a product
    1. Advertising
    2. Sales promotion
    3. Public relations
    4. Product placement
    5. Building brand awareness
  • Distributing a product
    1. Managing distribution channels
    2. Managing intermediaries
  • Pricing a product
    Determining pricing strategies
  • It is essential to identify the customer base
  • Identifying the customer base involves market research and developing a clear idea of potential customers
  • Customer profile
    A basic description of who the ideal customer might be
  • Demographic characteristics
    • Age
    • Gender
    • Profession
    • Education
    • Income level
    • Marital status
  • Psychographic characteristics
    • Lifestyle
    • Personality
    • Attitudes
    • Hobbies
    • Interests
  • Geographic characteristics
    • Where the customer lives
    • Where the customer shops
  • Once a business has identified its customer base, it should
    1. Ensure product suits customer needs
    2. Focus marketing on targeting individuals
    3. Develop strategies for repeat purchases
  • 80% of sales come from 20% of the customer base
  • This 20% of the customer base contributes to the majority of a business’s sales and is made up of its most loyal customers
  • Business objectives
    • Increasing sales
    • Increasing market share
    • Improving levels of customer satisfaction
    • Increasing profit
  • Internal environment
    Factors within a business that a business has control over
  • Corporate culture
    The shared values and beliefs of a business and its employees
  • Owners and managers are responsible for improving business performance
  • Owners and managers require skills to implement and lead new marketing strategies
  • To establish a business’s marketing strategy, owners and managers should

    1. Create customer profiles
    2. Target marketing practices
    3. Develop brand identity
    4. Adapt marketing strategies
  • Good customer service can enhance a business’s brand identity and expand its customer base
  • Poor customer service can negatively affect how customers perceive the business
  • Corporate culture aim

    To develop workforce culture that values customers and promotes positive experiences
  • All businesses should aim to be Customer Focused
  • Businesses with customer focused values are likely to have a strong customer base and enhance brand identity
  • Businesses without a customer focused culture may result in disengaged staff and poor customer service
  • Operating environment
    Refers to specific outside stakeholders with whom a business interacts
  • Operating factors

    The immediate external factors impacting a business which a business has some control over
  • Customers are a key component of the marketing process
  • What is the role of employees in relation to customer service and brand identity?
    Employees have direct face-to-face time with customers and are responsible for customer service, influencing brand identity.
  • How can employee customer service influence a customer base?
    Employee customer service can attract or repel customers, influencing the customer base.
  • What is corporate culture?
    Corporate culture is the shared values and beliefs of a business and its employees.
  • How does corporate culture influence customer base and brand identity?
    Corporate culture influences customer base and brand identity by being customer-focused.
  • What are operating factors in a business context?
    Operating factors are primary external factors impacting a business which it has some control over.
  • How can a business develop a loyal customer base and create a positive brand identity?

    By ensuring that customer needs and preferences are met and providing a high customer experience.
  • What is the relationship between customer experience and brand perception?
    A positive customer experience leads to better brand perception among customers.