Marketing Management Test 2

All of these (they limit the number of vendors in a given buying process)
Gatekeepers are important in the B2B buying process because…
They make the ultimate purchase decision
Deciders are an important group for the salesperson to be able to identify because…
Users
In the buying process there is one group that can play a critical role. This group is often the first to recognize the problem based on a need and they help define the product specifications. This group is called…
The market has an expected return on investment that is positive
When Walter, the brand manager for a consumer packaged good, says that a segment has sufficient size, he means…
Market has to be bigger than 10,000 people
There are conditions necessary that a market needs to be able to segment properly. The item below that is not necessary is…
All of these (market can be reached by transportation, language, technology, and communication)
When it is said that a market can be reached, it means that…
Sensitivity of Population
Approaches to geographic segmentation include all except…
More than 1 life cycle- industry and brand life cycles
The product life cycle (PLC) for a particular product has…
No (or loses)
It is not uncommon to see…profits in the introduction phase of the product life cycle for an industry
Build market awareness for the product, leading to trial purchase
The objective in the introduction phase of the product life cycle (PLC) is to…
Differentiate the product from those of new competitors
The essential marketing objective in the growth phase of the PLC is to…
Maturity
In the…phase of PLC, sales continue to increase but at a decreasing rate
Costs and Benefits
Recently, Mercedes-Benz quietly reduced its warranty coverage by eliminating some few scheduled maintenance because the expense for the firm was too high. At the same time, Hyundai and others have expanded their warranties to build consumer confidence in their cars. They realize that extending the period of warranty coverage demonstrates they are making better cars in a very tangible way. These are examples of firms considering the…of the product warranty.
Warranty
Victorinox, maker of the Swiss Army knife, warrants its knives to be “fee from defects in material and workmanship for the entire life of the knife.” This is an example of a…
Brand
The American Marketing Association defines…as “a name, term, sign, symbol, or design, or a combination of them, intended to identify the goods or services of one seller or groups of sellers and to differentiate them from those of competitors.”
changes in demand are not significantly affected by changes in price
Inelastic Demand
-Nature of the purchase
-Number of people involved in the decision
-Understanding of the product being purchased
-Time frame for the decision
Buying Decisions
Reorder products that are used on a consistent basis
Straight Rebuy
Familiar with product and supplier but still seek additional information
Modified Rebuy
First-time purchase of product or service
New Purchase
-Analyze market segments
-Develop profiles of each potential target market
-Select a target marketing approach
Three steps in target marketing
-Demographic
-Operating Variables
-Purchasing Approaches
-Situational Factors
-Personal Characteristics
Key Business Market Segmentation Variables
-Primary Target Markets
-Secondary Target Markets
-Tertiary Target Markets
-Target Markets to Abandon for Future Development
Four Basic Levels of Priority for Development
those segments that clearly have the best chance of meeting ROI goals and the other attractiveness factors
Primary target markets
those segments that have reasonable potential but for one reason or another are not best suited for development immediately
Secondary target markets
those segments that may develop emerging attractiveness for investment in the future but that do not appear attractive at present
Tertiary target markets
Very Broad: Undifferentiated target marketing, Differentiated target marketing, Concentrated target marketing, Customized target marketing: Very Narrow
Continuum of Target Marketing Approaches
how long it takes a product to move from first purchase to last purchase
Innovation Diffusion Process
Know of the product, but insufficient information to move forward through the adoption process
1. Awareness
Receive additional information (advertising, word of mouth) and motivated to seek out added information for further evaluation
2. Interest
Combine all information (word of mouth, reviews, advertising) and evaluate the product for trial purchase
3. Evaluation
Purchase the product for the purpose of making a value decision
4. Trial
Purchase the product with the intent of becoming a dependable user
5. Adoption
Innovators, Early Adopters, Early Majority, Late Majority, Laggards
Consumer Product Adoption Chart
a summary of unique qualities attributed to the brand
Brand Identity
a set of assets (and liabilities) linked to a brand’s name and symbol that adds to (or subtracts from) the value provided by a product or service to a firm or that firm’s customers
Brand Equity
the most basic form of brand equity is simply being aware of the brand
Brand Awareness
the strongest form of brand equity and reflects a commitment to repeat purchases
Brand Loyalty
brands convey a perception of quality that is either positive or negative
Perceived Quality
customers develop a number of emotional, psychological, and performance associations with a brand
Brand Association
trademarks and patents that represent a significant competitive advantage
Brand Assets