Business Chapter 13
Card Set Information
Business Chapter 13
13 business marketing
based upon the review sheet from Elizabeth
Four Eras of U.S. Marketing(list)
Marketing Concept Era
Customer Relationship era
Marketing involves helping the buyer buy through:
Websites that help buyers find best price, identify product features, and question sellers.
Blogs and social networking sites that cultivate consumer relationships.
Production Era (define)
The general philosophy was "Produce what you can because the market is limitless."
Selling Era (Define)
After mass production, the focus turned from production to persuasion.
Marketing Concept Era (Define)
After WWII, a consumer spending boom developed. Businesses knew they needed to be responsive to consumers if they wanted their business.
Customer Relationship Era (define)
Organizations seek to enhance customer satisfaction building long-term relationships.
The Marketing Concept (three steps)
: finding out what customers want and then providing it.
: Making sure everyone in an organization is committed to customer satisfaction.
: Focusing on the goods and services that will earn the most profit.
Customer Relationship Management (CRM)
Learning as much as you can about customers and doing what you can to satisfy or exceed their expectations.
How to keep customers:
emphasize the long term
treat them like stars
Employees are customers, too.
Nonprofit marketing tactics:
changing public opinions and attitudes
increasing organizational membership
Nonprofit marketing strategies:
Determine firm's goals and objectives
focus on long-term marketing
find competent board of directors
exercise strategic planning
train and develop long-term volunteers
segment the target market carefully
the four P's
: good, service, or idea that satisfies a consumer's want or need
Pricing and Placing a Product
: depends on competitors'prices, production costs, distribution, high/low price strategies
: All the techniques sellers use to inform people about their products and motivate them to purchase those products.
promotion includes (list):
word of mouth
Marketing Research (define)
Analyzing markets to determine challenges and opportunities, and finding the information needed to make good decisions
identifies products consumers have used in the past and what they want in the future
uncovers market trends and attitudes held by company insiders and stakeholders
Market research process (steps)
defining problem or opportunity and determining the present situation
Collecting research data
analyzing the data
choosing the best solution and implementing it
in-depth information gathered by marketers from their own research
Telephone/online/mail surveys, personal interviews, focus groups
existing data that has previously been collected by sources like the government
Benefits of market research (list):
analyze customer needs and satisfaction
analyze current markets and opportunities
analyze effectiveness of marketing strategies
Analyze marketing process and tactics currently used
Analyze the reasons for goal achievement or failure
Ways to find out how consumers think:
Conduct informal consumer surveys
host customer focus group
listen to competitors' customers
survey your sales force
become a "phantom" customer
the process of identifying factors that affect marketing success.
: global, technological, sociocultural, competitive, economic
All individuals or households that want goods and services for personal use and have the resources to buy them
Individuals and organizations that buy goods and services to use in production or to sell, rent, or supply to others.
The size and diversity of the consumer market forces marketers to decide which groups they want to serve. B2B marketers:
wholesales and retailers
hospitals, schools and charities
Products are often sold and resold several times before reaching final consumers.
fewer customers; larger purchases
buyers are geographically located; selling is direct
Divides the total market into groups with similar characteristics
Selecting which segments an organization can serve profitably.
Dividing market by cities, counties, states, regions
Dividing the market by age, income, education
dividing the market by group values, attitudes, interests
Dividing the market according to product benefits the customer prefers
Volume (Usage) Segmentation
Dividing the market by volume of product use
Identifies small but profitable market segments and designs or finds products for them
Developing a unique mix of goods and services for each individual consumer
Developing products and promotions to please large groups of people
rejects the idea of mass production and focuses toward custom-made goods and services for customers
Building Effective Relationships:
open communication; consistently reliable service
Staying in contact with customers
Trust, honesty, and ethical behavior
Key factors in Consumer decision making:
Purchase decision/or no purchase
Postpurchase evaluation (cognitive dissonance)