Market Economy
List the 3 economic benefits of marketing and explain each in detail
New and improved products: this can satisfy customers and attract more due to more options and better versions of products giving more money
lower Prices: Lower prices can lead to higher income because customers always want something that is affordable and made which will attract more people
Economic utility: This gives more value to a product which if people like also helps gain more money
What is a market and what are the two types of markets
Consumer market, Business market
explain the difference between a customer and a consumer
A customer is the one that is being sold the product, the consumer is the one selling the product
Identify the four ways to segment a market; and define each classification.
Demographic: includes characteristics such as age, geographic location, education level, occupation, income, etc. that are used to create groups and segment a market
psychographic: focus on understanding the consumer's emotions and values so that you can market more accurately
behavioral: a set of actions aimed at promotion and selling products based on user's interactions with your brand's ads website emails social media pages chatboxes etc.
geographic: Geographical segmentation is a marketing strategy that divides a market into different segments based on geographic characteristics, such as geographic area, population densities, and climate.
Explain the process of constructing a customer profile and what the customer profile is used for
customer profile: a document that contains key information about your ideal customer
this is used to best know the customer's wants and what they are most interested in
What is a market economy?
A market economy is a system in which decisions relating to the production, pricing, and consumption of goods and services are determined by supply and demand. This system is also known as a free market or free enterprise economy.
What are the 4 types of markets?
Perfect competition, monopolistic competition, oligopoly, and monopoly.
what do the consumers gain from the customer?
They gain profit for there business
What is a market?
All potential customers who share common needs and wants, AND?have the ability and willingness to buy the product
What are the 4 types of customer profiling?
what is the best explanation of a market economy in the real world?
An economy with minimal government intervention and private individuals own most of the recourses
What is perfect competition?
In economics, specifically general equilibrium theory, a perfect market, also known as an atomistic market, is defined by several idealizing conditions, collectively called perfect competition, or atomistic competition
What does the customer gain from the consumer?
it is tied to the customer's needs therefore they gain satisfaction from what they need
what us a way of analyzing a market by specific characteristics in order to create a target market
Market Segmentation
What should be included in a customer profile?
customers' names, addresses, and length of relationship with your business,
Freedom of the press
why are the 4 types of market important?
it affects market outcomes through its impact on the motivations, opportunities and decisions of economic actors participating in the market.
What roles do customers and consumers play in marketing?
the Initiator, Influencer, Decider, Buyer, and User
What is the process of grouping customers based on where they live and where they shop?
Geographic segmentation
what is the ideal profile activity?
a template of companies likely to benefit the most from your product and, in turn, are also the most lucrative customer for your business
Burger King and McDonalds keep their prices low because of
Competition
to satisfy target consumers and still meet the objectives of the business
What is the process of getting products to you're customers?
Distribution
what type of market segmentation divides your whole audience based on the previous behavior that they've exhibited with you're brand
behavioral segmentation
what is the difference between a customer profile and a persona?