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71 Cards in this Set

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behavioristic segmentation  
Method of determining market segments by grouping consumers into product-related groups based on their purchase behavior.
benefit segmentation  
Method of segmenting consumers based on the benefits being sought.
The particular product attributes offered to customers, such as high quality, low price, status, speed, sex appeal, good taste, and so on.
That combination of name, words, symbols, or design that identifies the product and its source and distinguishes it from competing products--the fundamental differentiating device for all products.
brand equity  
The totality of what consumers, distributors, dealers, and competitors feel and think about a brand over an extended period of time; in short, it is the value of the brand's capital.
business markets  
Organizations that buy natural resources, component products, and services that they resell, use to conduct their business, or use to manufacture another product.
collateral material  
All the accessory nonmedia advertising materials prepared by manufacturers to help dealers sell a product-- booklets, catalogs, brochures, films, trade-show exhibits, sales kits, and so on.
communication element  
Includes all marketing-related communications between the seller and the buyer.
communications mix  
A variety of marketing communications tools, grouped into personal and nonpersonal selling activities.
cooperative (co-op) advertising  
The sharing of advertising costs by the manufacturer and the distributor or retailer. The manufacturer may repay 50 or 100 percent of the dealer's advertising costs or some other amount based on sales.
copy points  
Copywriting themes in a product's advertising.
decline stage  
The stage in the product life cycle when sales begin to decline due to obsolescence, new technology, or changing consumer tastes.
demographic segmentation  
Based on a population's statistical characteristics such as sex, age, ethnicity, education, occupation, income, or other quantifiable factors.
direct distribution  
The method of marketing in which the manufacturer sells directly to customers without the use of retailers.
direct marketing  
A system of marketing in which companies build their own database of customers and use a variety of media to communicate with them directly such as through ads and catalogs.
distribution channel  
The network of all the firms and individuals that take title, or assist in taking title, to the product as it moves from the producer to the consumer.
distribution element  
How and where customers will buy a company's product; either direct or indirect distribution.
equipment-based service  
A service business that relies mainly on the use of specialized equipment.
exclusive distribution  
The strategy of limiting the number of wholesalers or retailers who can sell a product in order to gain a prestige image, maintain premium prices, or protect other dealers in a geographic region.
family brand  
The marketing of various products under the same umbrella name.
four Ps  
See marketing mix.
A type of vertical marketing system in which dealers pay a fee to operate under the guidelines and direction of the manufacturer.
geodemographic segmentation  
Combining demographics with geographic segmentation to select target markets in advertising.
geodemographic segmentation  
Combining demographics with geographic segmentation to select target markets in advertising.
geographic segmentation  
A method of segmenting markets by geographic regions based on the shared characteristics, needs, or wants of people within the region.
growth stage  
The period in a product life cycle that is marked by market expansion as more and more customers make their first purchases while others are already making their second and third purchases.
hidden differences  
Imperceptible but existing differences that may greatly affect the desirability of a product.
individual brand  
Assigning a unique name to each product a manufacturer produces.
induced differences  
Distinguishing characteristics of products effected through unique branding, packaging, distribution, merchandising, and advertising.
intensive distribution  
A distribution strategy based on making the product available to consumers at every possible location so that consumers can buy with a minimum of effort.
introductory phase  
The initial phase of the product life cycle (also called the pioneering phase) when a new product is introduced, costs are highest, and profits are lowest.
licensed brands  
Brand names that other companies can buy the right to use.
market segmentation  
Strategy of identifying groups of people or organizations with certain shared needs and characteristics within the broad markets for consumer or business products and aggregating these groups into larger market segments according to their mutual interest in the product's utility.
marketing mix  
Four elements, called the 4Ps (product, price, place, and promotion), that every company has the option of adding, subtracting, or modifying in order to create a desired marketing strategy.
maturity stage  
That point in the product life cycle when the market has become saturated with products, the number of new customers has dwindled, and competition is most intense.
national brands  
Product brands that are marketed in several regions of the country.
network marketing  
A method of direct distribution in which individuals act as independent distributors for a manufacturer or private-label marketer.
nonpersonal communication  
Marketing activities that use some medium as an intermediary for communication, including advertising, direct marketing, public relations, collateral materials, and sales promotion.
North American Industry Classification System (NAICS) codes  
Method used by the U.S. Department of Commerce to classify all businesses. The NAICS codes are based on broad industry groups, subgroups, and detailed groups of firms in similar lines of business.
people-based service  
A service that relies on the talents and skills of individuals rather than on highly technical or specialized equipment.
perceptible differences  
Differences between products that are visibly apparent to the consumer.
personal communication  
Marketing activities that include all person-to-person contact with customers.
The way in which a product is ranked in the consumer's mind by the benefits it offers, by the way it is classified or differentiated from the competition, or by its relationship to certain target markets.
price element  
In the marketing mix, the amount charged for the good or service--including deals, discounts, terms, warranties, and so on. The factors affecting price are market demand, cost of production and distribution, competition, and corporate objectives.
primary demand  
Consumer demand for a whole product category.
primary demand trend  
The projection of future consumer demand for a whole product category based on past demand and other market influences.
primary motivation  
The pattern of attitudes and activities that help people reinforce, sustain, or modify their social and self-image. An understanding of the primary motivation of individuals helps advertisers promote and sell goods and services.
private labels  
Personalized brands applied by distributors or dealers to products supplied by manufacturers. _______- are typically sold at lower prices in large retail chain stores.
product concept  
The consumer's perception of a product as a "bundle" of utilitarian and symbolic values that satisfy functional, social, psychological, and other wants and needs. Also, as an element of the creative mix used by advertisers to develop advertising strategy, it is the bundle of product values the advertiser presents to the consumer.
product element  
The most important element of the marketing mix: the good or service being offered and the values associated with it--including the way the product is designed and classified, positioned, branded, and packaged.
product life cycle  
Progressive stages in the life of a product-- including introduction, growth, maturity, and decline--that affect the way a product is marketed and advertised.
psychographic segmentation  
Method of defining consumer markets based on psychological variables including values, attitudes, personality, and lifestyle.
The grouping of consumers into market segments on the basis of psychological makeup--values, attitudes, personality, and lifestyle.
The generation of news about a person, product, or service that appears in broadcast or print media.
pull strategy  
Marketing, advertising, and sales promotion activities aimed at inducing trial purchase and repurchase by consumers.
purchase occasion  
A method of segmenting markets on the basis of when consumers buy and use a good or service.
push strategy  
Marketing, advertising, and sales promotion activities aimed at getting products into the dealer pipeline and accelerating sales by offering inducements to dealers, retailers, and salespeople. Inducements might include introductory price allowances, distribution allowances, and advertising dollar allowances to stock the product and set up displays.
Businesses that buy products from manufacturers or wholesalers and then resell the merchandise to consumers or other buyers; also called middlemen. These businesses do not change or modify the goods before they resell them. Resellers make their profits by selling the goods they buy for more than they paid. The most common examples of resellers are retail stores and catalog retailers. Internet retailers comprise a growing portion of the reseller business segment.
resources axis  
A term in the Values and Lifestyles (VALS) typology relating to the range of psychological, physical, demographic, and material capacities that consumers can draw upon. The resource axis includes education, income, self-confidence, health, eagerness to buy, and energy level.
sales promotion  
A direct inducement offering extra incentives all along the marketing route--from manufacturers through distribution channels to customers--to accelerate the movement of the product from the producer to the consumer.
selective demand  
Consumer demand for the particular advantages of one brand over another.
selective distribution  
Strategy of limiting the distribution of a product to select outlets in order to reduce distribution and promotion costs.
A bundle of benefits that may or may not be physical, that are temporary in nature, and that come from the completion of a task.
special events  
Scheduled meetings, parties, and demonstrations aimed at creating awareness and understanding for a product or company.
target market  
The market segment or group within the market segment toward which all marketing activities will be directed.
target marketing process  
The sequence of activities aimed at assessing various market segments, designating certain ones as the focus of marketing activities, and designing marketing mixes to communicate with and make sales to these targets.
Selling products and services by using the telephone to contact prospective customers.
usage rates  
The extent to which consumers use a product: light, medium, or heavy.
user status  
Six categories into which consumers can be placed, which reflect varying degrees of loyalties to certain brands and products. The categories are sole users, semisole users, discount users, aware nontriers, trial/rejectors, and repertoire users.
vertical marketing system (VMS)  
A centrally programmed and managed system that supplies or otherwise serves a group of stores or other businesses.
volume segmentation  
Defining consumers as light, medium, or heavy users of products.