Product
What is a product?
Something that a business sells.
What is price?
The amount of money you pay for a good or service
What is place?
Place concerns how a business gets and makes its products available to consumers
What is promotion?
How a business informs customers of their products and persuades them to buy
What are the 4 different product categories?
Consumer goods and services, producer goods and services
Why might a business change the price of their product?
To reflect supply and demand for the product or competitors prices
How many channels of distribution are there?
4. Direct, retail, wholesaler, agent
What are the two main forms of promotion?
Sales promotion and advertising
What are the different stages of the product life cycle?
Introduction, growth, maturity, decline
What is price skimming? Extra points if you can give an example!
When a firm charges an initial high price and gradually reduces it over time.
What is the difference between a direct and indirect channel?
Indirect channels use intermediaries whereas direct is straight to the consumer
What are two different forms of advertising?
Social media, television, radio etc
Give an example of a consumer service
Dentistry, education, dog walking etc
What is penetration pricing? Extra points if you can give an example!
When the pricing strategy is initially set very low to attract a wide range of customers.
Producer, wholesaler, retailer, consumer
What are two different forms of sales promotion?
Price reductions, POS displays, competitions, free samples
What stage in the product life cycle is Apple Vision Pro?
Introduction
What is dynamic pricing? Extra points if you can give an example!
When businesses change price depending on demand
What are the pros and cons of using a direct channel of distribution?
Control over pricing, branding, product
Limit your reach and require more investment
What is the difference between promotional pricing and sales promotion?
Sales promotion is a form of marketing communication designed to create awareness about a product, service, or brand. Promotional pricing is a business strategy aimed at increasing demand for a product or service when the customer is ready to buy the product.