Unit 3: Key Words

Unit 3: Key Words

Marketing- identifying and meeting the needs of customers Customer loyalty- the willingness of customers to continue to buy the same product from the same business Customer relationships- communicating with customers to encourage the to become loyal to the business and it's products Market share- the percentage of total market sales held by one brand or business Mass market- where there is a very large number of sales of a product Niche market- a small, usually specialised, segment of a much larger market Market segment- an identifiable sub-group of a whole market in which consumers have similar characteristics or preferences Product-orientated- business is one whose main focus of activity is on product itself  Market orientated- business is one which carries out market research to find our consumer wants before a product is developed and produces Marketing budget- a financial plan for the marketing of a product or product range for some specified period of time Market research- the process of gathering, analyzing and interpreting information about a market Primary research- is the collection and collation of original data via direct contact with potential or existing customers. Also called field research Secondary research- is information that has already been collected and is available for use by others. Also called desk research Questionnaire- is a set of questions to be answered as a means of collecting data for market research Sample- is the group of people who are selected to respond to a market research exercise, like a questionnaire Random sample- is when people are selected at random as a source of information for market research Quota sample- is when people are selected on the basis of certain characteristics as a source of information of  market research Focus group- is a group of people who are representative of the target market Marketing mix- a term which is  used to describe all the activities which go into marketing a product or service USP- special feature of a product that differentiates it from the products of competitors Brand name- the unique name of a product that distinguishes it from another brands Brand loyalty- when consumers keep buying the same brand again and again instead of choosing a competitor's brand Brand image- an image or identity given to a product which gives it a personality of its own and distinguishes it from its competitors brands Packaging- he physical container or wrapping for a product. It is also used for promotion and selling appeal Product life cycle- describes the stages a product will pass through from its introduction, through its growth until it is mature an then finally its decline Extension strategy- a way of keeping a product at the maturity stage of the life cycle and extending the cycle Cost-plus pricing- the cost of manufacturing the product plus a profit mark-up Competitive pricing- when the product is priced in line with or just below competitors prices to try to capture more of the market Penetrating pricing- when the price is set lower than the competitors prices in order to be able to enter a new market Price skimming- where a high price is set for a new product on the market Promotional pricing- when a product is sold at a very low price for a short period of time  Psychological pricing- when the price is set to match the consumers expectations and perceptions of the product Price elasticity- measure of the responsiveness of demand to a change in price Promotion- where marketing activities aim to raise customer awareness of a product or brand, generating sales and helping to create brand loyalty Informative advertising-where the emphasis of advertising or sales promotion is to give full information about the product Persuasive advertising- is advertising or promotion which is trying to persuade the consumer that they really need the product and should buy it  Target audience- refers to people who are potential buyers of a product or service Sales promotion- incentives such as special offers or special deals aimed at consumers to achieve short-term increases in sales Marketing budget: a financial plan for the marketing of a product or product range for a specified period of time Distribution channel: is the mans which a product is passed from the place of production to the customer or retailer Agent- is an independent person or business that is appointed to deal with the sales and distribution of a product or range of products E-commerce- is the buying and selling of goods and services using computer systems linked to the internet