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72 Cards in this Set
- Front
- Back
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services
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intangible activities or benefits that an organization provides to satisfy consumers needs in exchange for money
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generic approach to services
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no difference between physical product and intangible service because you look for same effects of product. marketers dont believe it, economists do
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business approach to services
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act or performance provided by people, intangible, no lasting result. majority of marketers believe it
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continuum approach to services
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combo of physical product/service
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characteristics of services
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intangible, inseparability, perishability, variability
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intangible characteristic of services
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biggest characteristic, have to try to tangibilize the intangible, physical symbols of quality
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inseparability characteristic of services
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cant separate service rendered from service provider
technical: how good/bad was it functional: attitude of deliverer of service |
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perishability characteristic of services
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service cant be physically stored. give people incentive through lower price to control demand
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variability characteristic of services
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harder to achieve consistent quality of services
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internal marketing
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boss treats you well youre more likely to do well, dont assume people know how to offer good service
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product life cycle
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how do you manage and market product differently over time? majority of products dont go through all 4 stages. prices get lower as they move through stages. most products go straight to 3rd stage
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plc: introduction
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new to the world product is being introduced. people dont understand it so stimulate primary demand (inform/educate people about product) make no money usually. little to no competition. most new products fail
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plc: growth
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sales increasing at an increasing rate, some competition starts to enter, people understand product, stimulate selective demand (how brand is better) most profitable stage because little competition, demand > supply
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plc: maturity
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sales increasing at a decreasing rate, most expensive stage. "new and improved" supply>demand. lots of competition. no growth industry. brand grows if you steal sales from other brand. very aggressive marketing. can try to create new use for product
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plc: decline
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sales decreasing at an increasing rate. can still be profitable. if you have a loyal following and say its not gonna be offered anymore people will buy alot (sponge example)
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how to extend plc
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can keep product in maturity forever, take dying product and push it back into maturity
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limitations of plc
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better suited to explain characteristics of product, not brand
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steps in new product development
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half of new products fail, get rid of bad ideas before step 4
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new product development: generate ideas
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dont get rid of any ideas yet so people feel comfortable speaking up. brainstorm step
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new product development: screen ideas
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start getting rid of bad ideas, be objective as possible. prioritize success factors, give scores to ideas, see how they fit
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new product development: product development
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much more expensive than step 3. make product- make one/ just a few first (prototype) to see how it is. use test, package, brand name, target market, marketing strategy
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new product development: test marketing
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only step you can skip, majority fail
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new product development: commercialization
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most expensive stage, widescale manufacturing/ distribution advertising
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branding strategy
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can attach monetary value to element of brand
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brand mark
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symbol of brand, logos, slogan
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value of branding
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what is brand worth
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brand equity equation
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value of branding-brand awareness+brand loyalty+quality/value+brand associations+other brand assets
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legal protection for branding elements
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trademark, lanham act of 1946, trademark dilution act of 1995
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speculative presentation
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put together best work and present it for them to hire you
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presentation reel
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dvd of past radio/television work youve done, most proud of, shows range of what you can do, narrate on how successful it was
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putting our account up for review
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nice way of saying theyre firing you. theyll make a list of replacements and call them to compete then to #1 also sends formal request for proposal
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request for proposal
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barebones outline of what company is looking for in promotion
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primary demand
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desire for product class rather than specific brand since there are few competitors with the same product
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selective demand
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preference for specific brand
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prestige pricing
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setting a high price so status consumers will buy it
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penetration pricing
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opposite of skimming, set a low price. do it if demand is elastic and barrier entries are low. supply>demand
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skimming
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setting a high price for a product. use when production capacity is limited. demand>supply. demand is inelastic, barriers to entry are high
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one price strategy
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set one price for all buyers
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variable pricing
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flexible price
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price lining
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based on marketer, focuses on total profitability over a group of products over individual profitability (fashion)
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2nd market discounting
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offer discount to some target markets and not to others. if you can sell everything at full price then do that. excess capacity should be a requirement
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leader pricing
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inexpensive product you buy a lot, you know how much it costs so you know the deals when you see them
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low leader
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price is low, still make some profit
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loss leader
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lose money because price is so low
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odd numbered pricing
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ends in 9 or 5, typically lower priced items
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bait and switch
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type of leader pricing, lure people to store with a good deal on product then upsell them
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captive pricing
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complimentary products, give a deal on one then mark up the one that is bought more (razor and blades)
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price bundling
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sell a differentiated group of products at one price that would be cheaper than buying them all separately
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multiple unit pricing
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same group of products sold as a bundle
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defenses against illegal price discrimination
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cost-differential, leading the competition with good faith defense
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meeting the competition
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match price
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personal selling
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communication between buyer and seller
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public relations
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influence feelings opinions, beliefs held by consumers about product
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publicity
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nonpersonal, indirectly paid presentation of product
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sales promotion
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immediate, more bang for your buck. companies spend more on it than on advertising. coupons, sweepstakes, etc
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sales promotional trap/spiral
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offer goods for free, people expect it and get pissed when it stops
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consumer
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offered to customers
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trade
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offered to retailers
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push strategy
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promoting to retailers
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pull strategy
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promoting to consumers
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integrated marketing communications
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which combo of promotional elements to use, goal is to create consistent, memorable, creative campaign
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channeling
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group of businesses that enable distribution of products to buyers
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direct channeling
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producer to consumer
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indirect channeling
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products go through more people than just producer and consumer
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electronic marketing
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over computer
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dual distribution
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2+ target markets, use a different channel to reach each of them
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vertical channels
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companies at different levels of the channel are mad at each other
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disintermediation
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one channel member cuts another member out
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horizontal channel
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2 businesses on same level mad at each other
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intensive distribution intensity
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wherever type of product is sold you want to have a presence there (lower cost items)
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exclusive distribution intensity
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expensive product, not sold a lot of places
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selective distribution intensity
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selectively decide where to sell product
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