Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
48 Cards in this Set
- Front
- Back
What is Primary Data?
|
-Information or statistics originated by the researcher for the purpose of the investigation at hand
|
|
What are the 2 limitations on secondary data?
|
-Fit
-Accuracy |
|
What is Secondary Data?
|
-Information or statistics not gathered for the immediate study at hand
|
|
What are examples of Secondary Data?
|
Books, Company Files, Trade Associations, Periodicals
|
|
What are the 3 sources of Secondary Data?
|
-Libraries
-Nonlibrary sources -The Internet |
|
What is Fit?
|
since data were originally collected for another project or purpose, data may or may not suit current needs
|
|
What is Accuracy?
|
varies depending on the expertise of the organization that originally collected the data
|
|
What are problems with Primary Data?
|
May be costly and time consuming
|
|
What are the 6 ways to gather primary data?
|
-Observation of consumers
-Consumer surveys -Focus groups -Experiments -Test markets -Consumer panels |
|
What are the 2 types of experiments used?
|
-Lab Experiments
-Field Experiments |
|
What is the difference between natural and contrived observation?
|
Natural is an actual setting
Contrived is an artificial setting |
|
What is the difference between disguised and undisguised observation?
|
Disguised the subject is unaware
Undisguised the subject is aware |
|
What are some issues with test markets?
|
-Number and characteristics of test markets to use
-Duration of the test -Competitors’ reaction to the test -Cost of test marketing |
|
Where are test markets usually used in?
|
medium-size cities in order to gauge its sales or profit potential
|
|
What are the 2 types of panels?
|
-True panels
-Omnibus panels |
|
What is a true panel?
|
-members provide repeated measurements of the same variable or behavior over time (e.g., TV viewership habits)
|
|
What is an Omnibus panel?
|
-members provide their views or evaluations on a one-time basis of new products, services, or ads
|
|
What are some ethical issues in consumer research?
|
-Protecting participants
-Avoiding deception -Informing participants -Honoring promises of confidentiality |
|
Why segment a market?
|
-To promote customer satisfaction
-To promote efficient use of resources -To promote effective competition |
|
What is Undifferentiated Marketing?
|
-a market coverage strategy whereby differences within a market are ignored.
--Everyone is assumed the same. --The company attempts to appeal to the whole market with a single product (line) or service (line) and marketing strategy. |
|
What is Segmentation?
|
Act of dissecting the marketplace into submarkets that require different marketing mixes
|
|
What variables are used to segment consumer markets?
|
-Geographic
-Demographic -Geodemographic -Psychographic -Behavioral |
|
What is Geodemographic Segmentation?
|
Partitions the market by considering data on small units of geography, such as neighborhoods, zip codes, or census tracts
|
|
What is PRIZM and how is it used?
|
-PRIZM reveals to clients, such as BMW and AOL, who their customers are and where they reside by zip code, census tracts, and city blocks.
-It provides consumption indices (potential) for a variety of product categories in various market regions. |
|
How is Undifferentiated Strategy viewed?
|
The market is viewed as a single large homogeneous domain where a single marketing mix suffices.
|
|
What is Concentration Strategy?
|
Focusing marketing effort on a single segment.
|
|
What is Customization Strategy?
|
Personalizing marketing effort to suit individual customers’ needs.
|
|
What is Multi-Segment Strategy?
|
The market is viewed as two or more segments requiring different marketing mixes.
|
|
What is Perceptual mapping?
|
a graphics technique used by asset marketers that attempts to visually display the perceptions of customers or potential customers. Typically the position of a product, product line, brand, or company is displayed relative to their competition.
|
|
What are some categories of psychographic factors used in market segmentation?
|
-Activity, Interest, Opinion (AIO)
-Attitudes -Values |
|
How did shifting roles of men and women influence consumer behavior?
|
-Changes are brought about by women’s educational attainments, professional positions, mobility, and independence
-A redefinition of buying decision centers within the family -Products traditionally targeted to women are being targeted to men, and vice versa |
|
How did diversity influence consumer behavior?
|
Policies of racial and ethnic inclusion characterize our society
-An effort by firms to accommodate the values and beliefs of a diverse workforce -Products and promotional appeals are adjusted in response to the demands of diversity |
|
How did focus in Health, fitness and beauty influence consumer behavior?
|
Golden opportunities are created for many products ranging from fat-free foods to vitamins, as well as for services ranging from plastic surgery to hair implants, and from face-lifts to liposuction
|
|
How did Growth of the Information Superhighway influence consumer behavior?
|
-We have reviews now, when before we only could rely on the sales person
-Businesses can locate smaller target markets -reduce marketing costs -shop anywhere, anytime |
|
How did personalized economy influence consumer behavior?
|
-In search of individuality, consumers now expect companies to custom-tailor their products and services
--Many companies aspire to provide custom-designed products marketed to ever-smaller niches of consumers --Customers are often willing to pay the premium price to acquire such personalized products |
|
How does concern of personal safety influence consumer behavior?
|
-Public pressure on government to secure borders, inspect imports, revisit immigration laws, and stiffen penalties for criminal behavior
-Public pressure on businesses (e.g., airlines) to adopt protective policies and procedures -Increase in demand for personal-defense related items |
|
How did the focus on ethics influence consumer behavior?
|
-Public outrage highlights the need to adapt higher standards of ethical behavior for both business and government
-The number of advocate groups that act as watchdogs for fraudulent and deceptive business practices has risen -Both government and business have tightened up regulations to ensure the adoption of fair business practices |
|
How did telecommuting influence consumer behavior?
|
-Rise in demand for state-of-the-art communication technology devices
-Decline in demand for gasoline, cars, auto insurance, car repair, child care, and baby-sitting services |
|
How does the public concern on the environment influence consumer behavior?
|
-A positive shift in publicattitudes toward theenvironment
-Firms race to create and market environmentally-sound products and services -Major changes in public policy aim to protect the fragile environment -An emerging global awareness and concern for environmental issues |
|
How did the Rise of the Global Village influence consumer behavior?
|
Businesses today operate in an interdependent global environment
-An increasing acceptance of the free market system in many foreign countries -Growth of major regional free-trade areas such as NAFTA and the EU -An increasing commonality of needs among consumers in different countries |
|
What is the difference between a rational decision and a nonrational decision?
|
Rational is buying what you usually do and nonrational is the opposite of what you usually do
|
|
What disciplines contribute to consumer behavior?
|
-Psychology
-Social psychology -Sociology -Economics -Anthropology |
|
What is the customer lifecycle?
|
The customer lifecycle entails the creation and delivery by the firm of lifetime value to consumers during every stage of the relationship
|
|
What is the marketing concept?
|
1. A consumer orientation
2. Achievement of organizational goals 3. Integration of all marketing activities 4. A real sensitivity to changes in society |
|
What is A consumer orientation?
|
Chief goal is consumer satisfaction. This is the basic guideline.
|
|
What is achievement of organizational goals?
|
Survival through profit and not sales volume. Profit is the reward of delivering customer value.
|
|
What is integration of all marketing activities?
|
Integration of all marketing activities to work together in a single operating system. Develop distinctive competencies
|
|
What is a real sensitivity to changes in society?
|
A future orientation. Product innovation.
|