| A | B |
|---|
| Marketing | The total process by which a business or an organisation plans, produces, prices, promotes and distributes a product to the consumer. |
| Product | Any item that is designed, produced and offered to a target market. |
| Marketing mix | Product, place, price and promotion. |
| Market | All the potential consumers with the need and ability to purchase. |
| Market segment | A relatively homogeneous group of consumers who are likely to react in similar ways to a company’s marketing mix. |
| Undifferentiated marketing | Where a business decides not to break the market up into different segments. |
| Niche marketing | Where a business will produce a product for only one market segment. |
| Stimulus | That thing in the consumer’s environment that stimulates in him or her a response of some sort. |
| Drive | The force that directs the behaviour of a consumer. |
| Response | The consumer’s reaction to the stimulus and the drive. |
| Reinforcement | The positive or negative outcome of a purchase. |
| Market research | Finding out about and clarifying customer needs and market trends. |
| Business products | Products used in the production of other products. |
| The total product | The combination of tangible and intangible elements of a product. |
| Product line | A group of closely related products. |
| Product breadth | The number of different product lines in the product mix of a business. |
| Product depth | The number of items within each product line. |
| Generic branding | Using a general brand name rather than a specific one on a product. |
| Product management | A process whereby each of the stages of a product is properly managed. |
| Rough screening | Reviewing the ideas for a product to see if they fit with the organisation’s overall strategy plan. |
| Prototype | A model or sample of a proposed new product. |
| Fixed cost | The costs of running a business that do not change as the quantity produced changes. |
| Variable cost | The costs that change as the quantity varies, such as packaging and contract labour. |
| Break-even | A pricing method whereby the set price aims to cover costs only. |
| Price skimming | Where suppliers aim to sell to the top end of the market when introducing the product and then gradually reduce the price over time. |
| Discounts | Reductions in the basic list price or recommended retail price of products. |
| Distribution | The way products are moved to consumers through a series of organisations or individuals in a chain or distribution channel. |
| Wholesalers | Businesses that purchase goods from producers and then sell them to retailers. |
| Intermediaries | Connect the producer with the consumer, usually for a commission. |
| Retailers | Those individuals or businesses that sell to the end customer. |
| Penetration pricing | Where suppliers aim to sell at a low price to begin with to gain market share, and then gradually raise their prices over time. |
| Retail sales | Direct selling to the final consumer at a shop or door-to-door. |
| Personal selling | Using very direct interpersonal communication techniques to get the sales message across. |
| Advertising | Paid non-personal communication about products and services. |
| Direct marketing | Combining advertising, selling and distribution to get the message directly to the consumer. |
| Telemarketing | The form of personal selling that makes use of the telephone to achieve a sale. |
| Sponsorship | Providing finance for an activity in return for the right to advertise a product at the activity. |
| Endorsement | Where a famous person indicates his or her confidence in the value or quality of a product. |
| Strategic plan | Analysis of the market, the customers and the environmental factors external to the organisation. |
| Market penetration | Increasing the penetration of current products in current markets. |
| Product development | Producing new products for current markets. |
| Market development | Finding and targeting new markets for current products. |
| Diversification | Finding new markets and targeting these with new products. |
| Marketing plan | A document that identifies a process for achieving the goals, tasks and people responsible within a business, and preparing a business timeline. |
| Sales analysis | Measuring success or identifying a problem area through a detailed breakdown of the sales records of the business. |
| Performance analysis | Comparing actual sales with planned or budgeted sales. |
| Marketing cost analysis | Working out how effectively a business is spending its marketing dollars. |
