Marketing Mid Term

Entering an agreement with a larger company to provided needed services in exchange for the products it desires.
Barter – Direct exchange of goods and services between two parties
Experiencing rapid overall economic growth due to unprecedented growth in manufacturing. There is a new wealthy populace as well as a growing middle class.
Emerging Economy – Fast growth in manufacturing results in rapid overall economic growth. Industrialisation typically creates a new rich class and a small but growing middle class, both demanding new types of imported goods.
Simply Soup is an American company that produces soup and soup mixes. It has decided to branch out and enter into foreign markets, selling its signature soup with very little modification.
Exporting – The practice of entering foreign markets by selling goods produced in the company’s home country, often with little modification, is known as exporting
The development of foriegn based assembly or manufacturing facilities
Direct Investment
A company making agreements with manufacturers in the foreign market to produce a product or provide a service
Contract Marketing
Practice of entering foreign markets by joining foreign companies to produce or market a product or service
Joint Venturing
An international marketing strategy that uses the same marketing strategy and mix in all of the company’s international markets
Standardised global marketing
A global communication strategy to fully adapting advertising messages to local markets
Communication Adaptation
Takes time to create and maintain different product mixes and unique marketing strategies for each of the 28 countries in which it does business
Adapted global marketing
Markets a product in a foreign country without making any changes to its recipe
Straight product extension
Selling a product in a foreign market – which should be considered before planning any marketing program
Cultural Differences
A group of nations organised to work toward common goals in the regulation of international trade
Economic Communities/Free trade zones
Deciding to go global
Ability to navigate a foreign market
Channal design that takes the entire global supply chain and marketing channal into account in order to forge an effective global value delivery network
Whole Channel View
Selling and advertising are part of a larger set of marketing tools that work together to satisfy customer needs and build customer relationships known as
-Customer Equity
-Marketing Mix
-The marketing concept
-Market Offerings
-Customer-engagement marketing
The Marketing Mix
Bertram’s Beer Structure its company in such a way as to encourage its most profitable older customers to remain loyal while also targeting a new generation of customers
Customer Equity
Marketing
The process by which companies create value for customers and build strong customer relationships in order to capture value from customers in return
Marketing Myopia
Mistake of paying more attention to the specific products a company offers than to the benefits and experiences produced by these products
How has the internet most affected companies and customers
The Internet has allowed consumers to take marketing content and share it
The idea that a company’s marketing decisions should consider consumer wants, the company’s requirements, consumer long run interests, and society’s long run interests
Societal marketing concept
ex. Attempting to make its pottery in a way that satisfies customers but is also environmentally friendly and sustainable over the long term
The idea that consumers will favor products that are available and highly affordable; therefore, the organisation should focus on improving production and distribution efficiency
Production Concept
The idea that consumers will favor products that will offer the most quality, performance, and features; therefore, the organisation should devote its energy to making continuos product improvements
Product Concept
The idea that consumers will not buy enough of the firm’s products unless the firm undertakes a large-scale selling and promotion effort
Typically practiced with goods that buyers do not normally think of buying
Selling concept
A philosophy in which archiving organisational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than competitors do.
Marketing concept
Aspects of sustainable marketing
Seek ways to profit by serving long run interests of customers and communities
Deliver value in a socially and environmentally responsible way
Practise caring capitalism by being civic and responsible
Help protect the natural enviroment
NOT – OBSERVE ENVIROMENTAL LEGISLATION AS IT IS INSTITUTED
Current trend in businesses in relationships with customers
Hand-pick the most profitable customers and allow them more input
Which marketing philosophy that consumers will favor products that offer the most in quality, performance, and innovative features
Product concept
Act of obtaining a desired object from someone by offering something in return is known as
an Exchange
Julie’s Jump Rope Emporium is a brand new company, from a marketing stand point, what is the first thing Julie’s company needs to do
Determine who in the community wants or needs a jump rope
1. Understanding the marketplace and customer needs and wants
How does the new concept of marketing differ from the old concept of marketing?
It focuses on the experience of the customer
How do market demands relate to needs and wants
Needs are satisfied by wants, and buying power converts wants into demand
Why is good marketing critical
To ensure the company serves as many customers as it can as and as well as it can
What is the main problem that sellers suffering from marketing myopia face
The focus more on products than to the customer’s underlying need
Make and sell philosophy that focuses on improving their product
Product Concept
Customer oriented and find the right products for their customers
Marketing concept
What is the ultimate aim of customer relationship management
Product high customer equity
How has the Great Recession of 2008-2009 affected consumers’ attitudes
Consumers are showing an enthusiasm for frugality(cautious in spending)
Loyalty rewards program that rewards customers with seat upgrades and free miles fro their continued patronage
Frequency Marketing program
Four Ps of the marketing mix
Product – create a need-satisfying market offering
Price – How much it will charge for the offering
Place – How it will make the offering available to target consumers
Promotion – communicate with target customers about the offering and persuade them of its merits
A local drama club wants to increase the membership and attendance at its performances. To do so, it hosts free shows, starts poetry reading nights, and sends volunteers to the local high school. What is the drama club engaging in
Market Exchange
Barnacle
Going to diner for 20 years, he only purchases a cup of coffee
What is the most likely to cause a variation in customer perceived value
The customer’s opinion of what constitutes value
When a company chooses a group of customers to serve, it is engaging in
Target marketing
The ultimate goal of the marketing process
Receive value from customers
Not for profit marketing
In recent years marketing for non-profits have increased.

Ex. military, Hospitals, schools

What is the importance of selling and advertising in marketing
The work in order in developing good customer relations
Marketing Process
Market – understanding the needs and wants of consumers
Strategy – Create a customer driven strategy
Plan/program – Develop marketing program that delivers superior value
Build – build profitable and customer delight
Capture – capture value from customers to create profits and customer equity
Market Offering
Some combination of products, services, information or experiences offered to a market to satisfy a need or a want
When customers come to Queso’s, we want them to breathe cheese, eat cheese, and absorb cheese through their very pores
Brand Experience
We will turn your child into ninja’s
The raised customer expectations too high
Customer Equity
Total combined customer lifetime values of all of the company’s current and potential customers
After examining the market and determining which segments
Determine on a value proposition – differentiation and positioning
It endeavours at all times to improve its eyewear, but it also is adamant about keeping production costs low and providing a low cost product to the consumer
Production and Product
Frieda’s fries is in the process of finalizing its marketing strategy. The marketing manager has already examined the market, determinded which segments would be the best fit for the company’s fries, and decided how to differentiate Frieda’d Fries from the competition.
Choose a marketing philosophy to guide company practice
Customer Perceived value
Based upon the customer’s opinion of value, not on the actual cost of the merchandise
Customer Lifetime value
value of the entire stream of purchases that a customer makes over a lifetime of patronage
Customer Satisfaction
based upon a product’s perceived performance measured against the customer’s expectations
Share of customer
Portion of the customer’s purchasing that a company gets in its product categories
Consumer Generated marketing
Consumers themselves are playing a bigger role in shaping their own brand experiences and those of others
Companies invite consumers to play a more active role in shaping products and brand messages
ex A soda company holds a contest to determine the new flavor for its soda
Great recession
Marketers have begun to focus on the value for the money in their sale pitches
Socially and environmentally responsible marketing that meets the present needs of consumers and businesses while also preserving or enhancing the ability of future generations to meet their needs
Sustainable Marketing
Not for profit companies are looking ways to raise money or cut costs
Use social marketing campaigns to raise money
Pure Marketing concept overlooks possible conflicts between consumer short run wants and consumer long run welfare.
Societal Marketing Concept
Marketing Management
Art and Science of choosing target markets and building profitable relationships with them
Designing a customer-driven marketing strategy
Selecting customers to serve – Market Segmentations and target marketing
Choosing a value proposition – how it will serve targeted customers – how it will differentiate and position itself in the market place; set of benefits or values it promises to deliver to consumers to satisfy their needs
Fiver marketing strategies
Production – favor products that are available and highly affordable
Product – Most in quality, performance and innovative features
Selling – consumers will not buy enough of the firm’s product unless it undertakes large scale promotion

Marketing – archiving organisational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than competitors do. Customer focus and value are the paths to sales and profits
Societal marketing concept – pure marketing concept overlooks possible conflicts between consumer short run wants and consumer long run welfare

Sustainable marketing
socially and environmentally responsible marketing that meets the present needs of consumers and business while also preserving or enhancing the ability of future generations to meet their needs
Shared value
focuses on creating economic value in a way that also creates value for society
Customer relationship management
Overall process of building and maintaining profitable customer relationships by delivering superior customer value and satisfaction
Customer perceived value
The customer’s evaluation of the difference between all the benfits and all the cots of a market offering relative to thos eof competing offers
Customer engagement marketing
Making the brand a meaningful part of consumers’ conversations and lives by fostering direct and continuos customer involvement in shaping brand conversations, experiences and community
Partner relationship management
Working closely with others inside and outside the company to jointly bring more value to customers