| A | B |
|---|
| Agents | do not take ownership but instead represent a business and assist in the sales transaction. For example, real estate agents or insurance agents represent the company. |
| Behavioral Segmentation | segmenting a market base on the way customers use a product or behave toward a product. (product benefits) |
| Demographic Segmentation | statistics that describe a population by personal characteristics such as age, gender, income, marital status, ethnicity, education, & occupation. |
| Direct disgribution | when a product/service goes from the manufacturer directly to the consumer. For example, doctors, hair stylist, nail stylist, massage therapist, fresh produce stand on the farmland. |
| Geographic Segmentaiton | markets divided by where the customer lives. |
| Goals | objectives set to achieve a specified purpose that should have measurability and a deadline established. (Stated achievement) |
| Indirect distribution | when a product/service goes through an intermediary or middlemen. |
| intermediary/middlemen | wholesalers, agents, or retailers. |
| Market | a group of potential customers. |
| Market Segment | a subgroup of a larger market that share one or more characteristics. |
| Market Segmentation | the process of dividing a larger market into smaller parts. |
| Marketing Mix | includes four basic strategies called the 4 P’s or elements of marketing. For each strategy, decisions have to be made for each product the business offers to best reach their target market. |
| Mass Marketing | when the group is considered as a whole with all the marketing activities; using a single marketing plan. For example, chewing gum would be marketed as a mass market. |
| Place decisions | include where the customer can obtain the products. Many businesses utilize multiple channels of distribution. For example, store locations, website, and catalogs are the standard for most retailers today. Decisions of direct distribution or indirect distribution (intermediaries/middlemen) must be made. |
| Price decisions | include determining what a customer is willing to pay, what competition is charging, determining seasonal discounts and allowances, and credit terms. |
| Product decisions | include what to make or obtain as the business’s product mix. Level of quality, features, branding, packaging, service, and warranty are items to decide and develop for each product. |
| Promotion Decisions | include the promotional mix (advertising, sales promotion, selling, and publicity). These decisions are based on the budget a business sets for the promotional mix. |
| Psychographic Segmentation | markets divided by social and psychological characteristics. (Lifestyles, morals, values, & interests) |
| Retailers | buy their products from manufacturers or wholesalers and sell directly to the consumer. For example, Target, Belks, Macys, or Kohls are retailers. |
| Strategies | are plans of action used to achieve the goals. (What to do) |
| Tactics | specific actions for carrying out strategies and ultimately the goal. (How to do it) |
| Target Markets | identified segments of the market that a business wants to have as their customers. For example, teenagers, mothers-to-be, single mothers, American Family, men .vs. women, or college freshman. Each example has wants and needs that can be targeted and utilized to develop effective strategies to reach existing and/or potential customers. |
| Wholesalers | buy products from the manufacturer taking ownership and then reselling to other wholesalers or retailers. |
