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Unit 4 Review - Coggle Diagram

- - - - Current information that is collected
        and analyzed for a specific purpose
        
        Surveys, test marketing, observation
    - - Information collected by others
        
        Websites, databases, reports
- - - - Visual symbol
        
        Represents something
      - Abstract symbol
        
        Not representative of actual things
      - Monogram
        
        Stylized writing
    - - Helps people remember the business
      - Increases the company image
      - Represents the business’ name
      - Helps people who can’t read
      - Helps people when travelling abroad
      - Can show what the product is
      - Ties together packaging/advertising/promotions
- - - - Growth
        
        Sales increase as word spreads, competitors enter the market and fight for consumer attention, marketers manage products carefully to gain more consumers and not push them away
      - Maturity
        
        Constant sales, brand equity at its highest point, the company is making the most profit and is now able to pay off early costs. Advertising must be continued to keep consumer attention
      - Introduction
        
        Product launch, where curious/adventurous consumers buy the product first (make them the target market)
      - Decline
        
        Inevitably, sales start to slow down and profits decrease
      - Decision point
        
        Reposition the brand to revitalize interest, e.g. reformulate, re-package products, new promotion and pricing
        
        Or choose to discontinue product
    - - Fads
        
        An extremely popular product with a certain market
        for a short period of time (big introduction, fast decline)
      - Niches
        
        Very specific market with loyal consumers; few competitors (flat line)
      - Seasonal
        
        Products that are popular during a specific time/season; inventory management is important (waves of popularity)
- - - - Product/service
        
        Must satisfy a consumer’s need/want (better than an existing product or service)
        
        Consider innovation and improvement; how do you get your product into a position where people will want/need it?
        
        Brand names, trademarks, packaging, and labeling all need to be given thought
      - Price
        
        Consumers must feel that it is a reasonable price taking into account the quality and price of same or similar products/services
        
        Must cover the cost of production and allow for profit
        
        Need to find a balance between what price the consumers are willing to pay and your profitability
      - Promotion
        
        The methods by which businesses inform potential customers about the availability and benefits of the product/service
        
        The goal is to convince people that your goods/services are superior to others
        
        Examples: personal selling (door-to-door), sales promotion (discount coupons), publicity (news), public relations (good reputation), advertising (paid use by sponsor, internet)
      - Place
        
        Where and how it is sold
        
        Direct
        
        Producer to consumer (e.g. farmer's market)
        
        Indirect
        
        Intermediaries (e.g. wholesalers, retailers)
        
        Specialty
        
        Places that do not fall into direct or indirect distribution (e.g. vending machines, online shopping)
    - - Competition
        
        The competitive market - who are you up against?
        
        Market share - percentage of the market that a
        company’s brand has (brand equity)
      - Consumer
        
        Businesses study and target potential users of a product/service to figure out how to be as successful as possible
        
        Consumers can be identified by:
        
        Demographics (age, gender, religion, culture, income (stereotyping))
        
        Lifestyle (the way people live, values, beliefs and motivations)
- - - - To sell what a business makes
      - To manage the brand
  - - - A tool that can influence the buying behavior of customers
      - Examples: TV, social media, billboards, posters, etc.
    - - The process of advertising with a persuasive message about products and/or services
      - Push/pull strategies
      - Consider location, size, types of ads
    - - How the product/service will be distributed to consumers
    - - Activities related to selling or the number of goods sold in a targeted period of time
      - Supply and demand
    - - Bringing a product/service from concept/idea to market release
      - Invention or innovation/improvement
    - - The process of determining the viability of a new service/product by conducting research directly with potential customers
      - Different kinds of research:
        
        Competitive
        
        Pricing
        
        Motivation
        
        Product
        
        Market
        
        Advertising
        
        Consumer
- - - - Offers special pricing
      - Manufacturer pays a retailer to stock a product ("shelf allowance"); this covers the cost of rearranging the shelf
      - Displays flashy items "shelf talkers", point of sales materials
  - - - Make the customers ask for it
      - Lots of advertising and media promotion, word of mouth referrals
      - Customer relationship management