Marketing Notes Part- III

Basic Marketing Terminology

Marketing- Marketing is used to create the customer, to keep the customer and to satisfy the customer. With the customer as the focus of its activities, it can be concluded that marketing management is one of the major components of business management.

Goods- Physical goods that may be manufactured, produced in farms or mined.


Services-These are intangible products that involve performing some service for the customers.
This may be service performed on the customer, like a haircut, on customer’s possessions, like
servicing of car, or for the customer, like screening of a movie. Services account the maximum
marketing effort after products in most of the countries

SWOT Analysis-SWOT analysis (alternatively SWOT Matrix) also sometimes known as TOWS, is a structured planning method used to evaluate the Strengths, Weaknesses, Opportunities, and Threats involved in a project or in a business venture. A SWOT analysis can be carried out for a product, place, industry or person. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieving that objective.
Strengths: characteristics of the business or project that give it an advantage over others
Weaknesses: are characteristics that place the team at a disadvantage relative to others
 Opportunities: elements that the project could exploit to its advantage
Threats: elements in the environment that could cause trouble for the business or project

Marketing Research- Marketing research is “the process or set of processes that links the consumers, customers, and
end users to the marketer through information — information used to identify and define marketing
opportunities and problems; generate, refine, and evaluate marketing actions; monitor marketing
performance; and improve understanding of marketing as a process. Marketing research specifies
the information required to address these issues, designs the method for collecting information,
manages and implements the data collection process, analyzes the results, and communicates
the findings and their implications.”

CRM-Customer relationship management solutions provide you with the customer business data to help you provide services or products that your customers want, provide better customer service, cross-sell and up sell more effectively, close deals, retain current customers and understand who the customer is.

Consumer Behaviour-Consumer behaviour is the study of individuals, groups, or organizations and the processes they use to select, secure, and dispose of products, services, experiences, or ideas to satisfy needs and the impacts that these processes have on the consumer and society.

Market Segmentation- Market segmentation is done to target specific customers according to the products.
Types
Mass Marketing: In mass marketing the seller or the marketer of the product targets the mass
market or the entire consumer base. Here the seller engages in mass production and uses the
mass distribution system to reach all the customers in the market. The promotional and
advertisements are very much generic in nature attract the entire consumer base

Segment Marketing: In Segment marketing, the seller or marketer divides the market into different
segments depending on the consumers’ buying behavior, requirements, purchasing power, location
and age level. Segment marketing helps the marketer to connect to each type of customers in the
best possible way.

Niche Marketing: In Niche marketing, the seller caters to a very specific market segment which
requires more attention and very high quality of services. Here the market segment size is very
small which enables the seller to provide the niche area of services.

Local Marketing: In Local marketing, the seller or the marketer only concentrates in the local
market

Individual Marketing: It is almost same as Direct Marketing where the marketers target the
individual customers separately either through direct communication channels or salesmen

Brand- Brand is the “name, term, design, symbol, or any other feature that identifies one seller’s product distinct from those of other sellers”.

Brand awareness- refers to customers’ ability to recall and recognize the brand under different
conditions and link to the brand name, logo, jingles and so on to certain associations in memory.

The brand name -is quite often used interchangeably with “brand”, although it is more correctly
used to specifically denote written or spoken linguistic elements of any product. In this context a
“brand name” constitutes a type of trademark, if the brand name exclusively identifies the brand
owner as the commercial source of products or services.

Brand Positioning- is the process by which marketers try to create an image or identity in the minds of their target market for its product, brand, or organization.
Re-positioning- involves changing the identity of a product, relative to the identity of competing
products.
De-positioning- involves attempting to change the identity of competing products, relative to the
identity of your own product.

Packaging: Packaging is the science, art, and technology of enclosing or protecting products for
distribution, storage, sale, and use. Packaging also refers to the process of design, evaluation,
and production of packages. Packaging can be described as a coordinated system of preparing
goods for transport, warehousing, logistics, sale, and end use. Packaging contains, protects,
preserves, transports, informs, and sells.

Labeling: It is Display of information about a product on its container, packaging, or the product
itself.

7P’s of Service Marketing
The first four elements in the services marketing mix are the same as those in the traditional
marketing mix. .
 Product: In case of services, the ‘product’ is intangible, heterogeneous and perishable.
 Pricing: Pricing of services is tougher than pricing of goods.
Place: Since service delivery is concurrent with its production and cannot be stored or transported,
the location of the service product assumes importance.
 Promotion: Since a service offering can be easily replicated promotion becomes crucial in
differentiating a service offering in the mind of the consumer.
 People: People are a defining factor in a service delivery process, since a service is inseparable
from the person providing it.
 Process: The process of service delivery is crucial since it ensures that the same standard of
service is repeatedly delivered to the customers.
Physical Evidence: Since services are intangible in nature most service providers strive to incorporate certain tangible elements into their offering to enhance customer experience.

Advertising- Advertising is a form of communication that typically attempts to persuade potential customers to purchase or to consume more of a particular brand of product or service

Business-to-business- Business-to-business (B2B) describes commerce transactions between businesses, such as between a manufacturer and a wholesaler, or between a wholesaler and a retailer

Mergers and Acquisitions- The phrase mergers and acquisitions (abbreviated M&A) refers to the aspect of corporate strategy, corporate finance and management dealing with the buying, selling and combining of different companies that can aid, finance, or help a growing company in a given industry grow rapidly without having to create another business entity. A merger is a tool used by
companies for the purpose of expanding their operations often aiming at an increase of their
long term profitability. An acquisition, also known as a takeover, is the buying of one company
(the ‘target’) by another.


Basic Marketing Terminology

Marketing- Marketing is used to create the customer, to keep the customer and to satisfy the customer. With the customer as the focus of its activities, it can be concluded that marketing management is one of the major components of business management.

Goods- Physical goods that may be manufactured, produced in farms or mined.


Services-These are intangible products that involve performing some service for the customers.
This may be service performed on the customer, like a haircut, on customer’s possessions, like
servicing of car, or for the customer, like screening of a movie. Services account the maximum
marketing effort after products in most of the countries

SWOT Analysis-SWOT analysis (alternatively SWOT Matrix) also sometimes known as TOWS, is a structured planning method used to evaluate the Strengths, Weaknesses, Opportunities, and Threats involved in a project or in a business venture. A SWOT analysis can be carried out for a product, place, industry or person. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieving that objective.
Strengths: characteristics of the business or project that give it an advantage over others
Weaknesses: are characteristics that place the team at a disadvantage relative to others
 Opportunities: elements that the project could exploit to its advantage
Threats: elements in the environment that could cause trouble for the business or project

Marketing Research- Marketing research is “the process or set of processes that links the consumers, customers, and
end users to the marketer through information — information used to identify and define marketing
opportunities and problems; generate, refine, and evaluate marketing actions; monitor marketing
performance; and improve understanding of marketing as a process. Marketing research specifies
the information required to address these issues, designs the method for collecting information,
manages and implements the data collection process, analyzes the results, and communicates
the findings and their implications.”

CRM-Customer relationship management solutions provide you with the customer business data to help you provide services or products that your customers want, provide better customer service, cross-sell and up sell more effectively, close deals, retain current customers and understand who the customer is.

Consumer Behaviour-Consumer behaviour is the study of individuals, groups, or organizations and the processes they use to select, secure, and dispose of products, services, experiences, or ideas to satisfy needs and the impacts that these processes have on the consumer and society.

Market Segmentation- Market segmentation is done to target specific customers according to the products.
Types
Mass Marketing: In mass marketing the seller or the marketer of the product targets the mass
market or the entire consumer base. Here the seller engages in mass production and uses the
mass distribution system to reach all the customers in the market. The promotional and
advertisements are very much generic in nature attract the entire consumer base

Segment Marketing: In Segment marketing, the seller or marketer divides the market into different
segments depending on the consumers’ buying behavior, requirements, purchasing power, location
and age level. Segment marketing helps the marketer to connect to each type of customers in the
best possible way.

Niche Marketing: In Niche marketing, the seller caters to a very specific market segment which
requires more attention and very high quality of services. Here the market segment size is very
small which enables the seller to provide the niche area of services.

Local Marketing: In Local marketing, the seller or the marketer only concentrates in the local
market

Individual Marketing: It is almost same as Direct Marketing where the marketers target the
individual customers separately either through direct communication channels or salesmen

Brand- Brand is the “name, term, design, symbol, or any other feature that identifies one seller’s product distinct from those of other sellers”.

Brand awareness- refers to customers’ ability to recall and recognize the brand under different
conditions and link to the brand name, logo, jingles and so on to certain associations in memory.

The brand name -is quite often used interchangeably with “brand”, although it is more correctly
used to specifically denote written or spoken linguistic elements of any product. In this context a
“brand name” constitutes a type of trademark, if the brand name exclusively identifies the brand
owner as the commercial source of products or services.

Brand Positioning- is the process by which marketers try to create an image or identity in the minds of their target market for its product, brand, or organization.
Re-positioning- involves changing the identity of a product, relative to the identity of competing
products.
De-positioning- involves attempting to change the identity of competing products, relative to the
identity of your own product.

Packaging: Packaging is the science, art, and technology of enclosing or protecting products for
distribution, storage, sale, and use. Packaging also refers to the process of design, evaluation,
and production of packages. Packaging can be described as a coordinated system of preparing
goods for transport, warehousing, logistics, sale, and end use. Packaging contains, protects,
preserves, transports, informs, and sells.

Labeling: It is Display of information about a product on its container, packaging, or the product
itself.

7P’s of Service Marketing
The first four elements in the services marketing mix are the same as those in the traditional
marketing mix. .
 Product: In case of services, the ‘product’ is intangible, heterogeneous and perishable.
 Pricing: Pricing of services is tougher than pricing of goods.
Place: Since service delivery is concurrent with its production and cannot be stored or transported,
the location of the service product assumes importance.
 Promotion: Since a service offering can be easily replicated promotion becomes crucial in
differentiating a service offering in the mind of the consumer.
 People: People are a defining factor in a service delivery process, since a service is inseparable
from the person providing it.
 Process: The process of service delivery is crucial since it ensures that the same standard of
service is repeatedly delivered to the customers.
Physical Evidence: Since services are intangible in nature most service providers strive to incorporate certain tangible elements into their offering to enhance customer experience.

Advertising- Advertising is a form of communication that typically attempts to persuade potential customers to purchase or to consume more of a particular brand of product or service

Business-to-business- Business-to-business (B2B) describes commerce transactions between businesses, such as between a manufacturer and a wholesaler, or between a wholesaler and a retailer

Mergers and Acquisitions- The phrase mergers and acquisitions (abbreviated M&A) refers to the aspect of corporate strategy, corporate finance and management dealing with the buying, selling and combining of different companies that can aid, finance, or help a growing company in a given industry grow rapidly without having to create another business entity. A merger is a tool used by
companies for the purpose of expanding their operations often aiming at an increase of their
long term profitability. An acquisition, also known as a takeover, is the buying of one company
(the ‘target’) by another.


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