Consumer: The final user of a product. Not necessarily the same person that buys the product. End of the distributing channel.
Costumer: the person that buys the good or service from a business
Sampling: When a small group of people is researched to draw conclusions about the population as a whole.
Product life cycle: A theory which predicts the stages a product goes through from introduction to withdrawal from a market.
Advertising: paid-for communication, aimed at informing or persuading.
Goods: tangible products that can be touched and consumed.
Market share: the proportion of a market that is owned by a specific business, product or brand.
Brand: any recognizable name, logo or symbol that identifies a product.
Distribution channel: how a business gets its products to the end consumer
Questionnaire: used in a market research, a list of questions aimed at gathering information.
Market segment: a group of customers within the overall market characteristics and needs.
Retailer: buys a product from manufacturers and wholesalers and sells onto consumers
Demand: created when customers want a product and are prepared to pay for it
Product orientated: care more about the product
Consumer orientated: Care about why the consumer wants to buy.
Marketing mix: 4 P’s; Price, Product, Place, Promotion
Price: determines how much money the customer will be charged when they buy the good or service.
Place: focuses on where a firm’s product is sold.
Promotion: the range of methods by which a business makes its products known to costumers.
4 C’s: Cost, Communication, Costumer, Conventions (how easy it is to get)
Niche: small target market, limited number of costumers
Mass: large market
Loss leader: no profit, sold for less than its cost in order to attract customers into a store.
Internal: in the company (internt)
External: market and the world outside
The buying process: AIDA (Awareness, Interest, Desire, Action)
Penetration pricing: a price strategy which set the entry price of a product much lower
than the normal market price to attract new customers.
Price skimming: a price strategy which set the entry price of a product much higher than the normal market price, for then to lower the price over time.
Lesson 2 and 3
SMART: Specific, Measurable, Achievable, Realistic, Time bound
Ansoff matrix: Marketing strategies
Boston matrix: Product portfolio
Consumer market: Selling to public
International market: selling away from domestic market
Business (B2B): business selling to other business
Sub-cultures: Smaller group of people who have similar type of views. E.g. students
Cultural shift: when the culture changes or reaching a new class.
Census: every 10 years (2011)
Remote working: software/technological advances.
Customer’s drivers: costumers are demanding your product abroad, and there’s a market for it.
Competitive forces: too strong competition where you’re at.
PESTLE: Political, Economic, Social, Technological, Legal , Environmental
Gap market: see a gap that no one has filled. New target segment.
Segmentation: The process of dividing up customers into groups based on their different needs or wants.
Residential: Geographical location and demographics.
The 5 C’s: Climate, Customers, Company, Competitors, Collaborator
Macro: All the things that influence your company. Things you cannot control, anything that’s happening in the world.
SWOT: Strengths, Weaknesses, Opportunities, Threats
Micro: things closer to your business, things you can do something about.
Product line: range of products
Monopoly: is in theory a single producer in a market, but in practice a firm with a market share of 25% or more.
Oligopoly: is a market dominated by a small number of large businesses, known as oligopolists.
Cartel: a group of firms that come together to agree price and output levels in an industry. It is Illegal in the UK, but they’re often difficult to detect.
Monopolistic competition: where a large number of firms are competing in a market, each having enough product differentiation to achieve a degree of monopoly power and therefore some control over the price they charge.
Perfect competition: where there is a large number of sellers and buyers, all of which are too small to influence the price of the product.
Lesson 7, 8and 9
Quantitative: data (how old are you, how often, how much etc.).
Qualitative: opinion (would you, why, how is that?)
Stakeholders: people who have interest in the company
Point of sale: consumer makes contact with the product
Merchandising: how the product is sold to you – Desire
Word of mouth: viral
Personal selling: occurs where an individual salesperson sells a product, service or solution to a client. Involves the development of longstanding client relationships.
Retailing: the selling of goods to consumers on which retail margins are earned and performance bonuses gained.
Direct selling: person-to-person, seller to costumer rather than costumer to shop.
The national trade association: direct selling company you’re joining that, if you are buying something from a company that belongs to this, you know it’s good and reliable.
Retail strategy: Their plan for getting their products in the right stores and reaching. Place price and promotion in marketing mix.
Pyramid selling: Illegal scheme where you sell to someone for profit, and then they sell it onwards to someone else. Selling on, usually a rubbish product to a large amount of people.
Suggested retail price: The price which is suggested or recommended to have in the store. SRP in a bracket, quite high, allows retailers to discount and make customers believe they’re saving.
Mission statement: Goals and aims. Objectives. This needs to be SMART.
Patent: product – cant patent something that is too general
TM: for the brand name
Inelastic: put the price up and people will still buy it
Elastic: put the price up and people won’t buy it
Unit elastic: stay same