Marketing Fundamentals
108 flashcards by MentisLibrary
The 4 Ps, segmentation, positioning, pricing strategy, and the lifetime value maths behind every acquisition decision. Includes where the classic frameworks came from and where the research says they are wrong.
- What is marketing?
- The activity of identifying, creating, communicating, and delivering value to customers, and managing customer relationships profitably
- What is the marketing concept?
- The philosophy that organizational success comes from determining the needs of target markets and satisfying them better than competitors
- What is marketing myopia?
- Defining your business by the product you make rather than the customer need you serve, which blinds you to substitutes
- What are the 4 Ps of marketing?
- Product, Price, Place, and Promotion: the controllable elements of the marketing mix
- What is Product in the marketing mix?
- Everything the customer receives: features, quality, design, packaging, branding, warranty, and support
- What is Price in the marketing mix?
- What the customer pays and how, including list price, discounts, allowances, payment terms, and credit
- What is Place in the marketing mix?
- How and where the product reaches the customer: channels, coverage, logistics, and inventory location
- What is Promotion in the marketing mix?
- How the company communicates value: advertising, public relations, sales promotion, personal selling, and direct marketing
- What are the 7 Ps of the extended services marketing mix?
- The 4 Ps plus People, Process, and Physical evidence
- What are the 4 Cs as an alternative to the 4 Ps?
- Customer value, Cost to the customer, Convenience, and Communication: the same mix restated from the buyer's point of view
- What is a market?
- The set of all actual and potential buyers of a product or service
- What is market segmentation?
- Dividing a market into distinct groups of buyers with different needs, characteristics, or behavior who may require different offers
- What are the main bases for consumer segmentation?
- Demographic, geographic, psychographic, and behavioral
- What is behavioral segmentation?
- Grouping customers by how they act: usage occasion, benefits sought, usage rate, loyalty status, and buyer readiness
- What is psychographic segmentation?
- Grouping customers by personality, values, attitudes, interests, and lifestyle
- What is firmographic segmentation?
- Segmenting business markets by organizational characteristics such as industry, company size, revenue, location, and technology stack
- What makes a segment useful?
- It should be measurable, substantial, accessible, differentiable, and actionable
- What is targeting in marketing?
- Evaluating segments and selecting which ones to serve
- What are the main targeting strategies?
- Undifferentiated mass marketing, differentiated marketing across several segments, concentrated or niche marketing, and micromarketing
- What is positioning?
- The place a brand occupies in the customer's mind relative to competitors, defined by the distinctive value it stands for
- What is a positioning statement?
- A structured internal statement of who the product is for, what category it competes in, what benefit it delivers, and why that claim is believable
- What is a point of difference versus a point of parity?
- A point of difference is a benefit customers associate strongly with your brand and not competitors; a point of parity is where you must simply be good enough to be considered
- What is a unique selling proposition, or USP?
- A single distinctive benefit claim, not made by competitors, strong enough to move buyers
- What is a value proposition?
- A clear statement of the benefit a specific customer gets from an offer and why it is better than alternatives
- What is a perceptual map?
- A visual plot of how customers perceive competing brands along two or more attributes
- What is STP in marketing strategy?
- Segmentation, Targeting, and Positioning: the sequence of choosing who to serve and how to be seen
- What is a target persona or buyer persona?
- A research based composite profile of a typical customer, covering goals, context, decision criteria, and objections
- What is jobs to be done?
- A framework holding that customers hire a product to make progress on a job in a specific circumstance, so the job, not the demographic, defines the market
- What is the product life cycle?
- The stages a product passes through: introduction, growth, maturity, and decline, each with different marketing priorities
- What are marketing priorities at each product life cycle stage?
- Introduction focuses on awareness and trial, growth on preference and distribution, maturity on differentiation and defense, decline on cost reduction or harvest