Complete missing blanks where necessary.

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Key Terms: What is Marketing?
1.1
Term

Text Definition

marketing

Planning, distributing, pricing, promoting and selling of goods and

services to satisfy needs and wants.

Consumer
market

Everyone who might buy a product

Raw materials

Unfinished goods, usually marketed to businesses that process

them or use them in manufacturing.

Processed
goods

Sold as finished goods or semi-finished goods.

Target market

Any group of consumers to whom marketers want to sell to

Who markets? 5

Manufacturers
Politicians
Service business
Non-profit
Individuals

Types of Products-2

Goods
Services

Types of Goods or services-2

Industrial
Consumer

Raw Materials are:

Unfinished goods, usually marketed to

businesses that process them or use them in
manufacturing

Processed Goods are:

Sold as finished goods or semi-finished goods.

Finished Goods are:

Products that no longer require processing

The difference between industrial

and consumer goods and
services:

Consumer goods are non-industrial products

intended for personal use by the public.

A target Market is:

Any group of consumers to whom marketers

want to sell to

1.2
3 major steps of the Marketing Concept:
o Identify an opportunity in a specific consumer or industrial market.
o Ensure the opportunity has not been met
o Use marketing to sell it
The importance of marketing activities changes with supply and demand. When
the demand is greater then the supply of goods, excessive marketing is redundant
because the product sells itself.
When there is more supply than demand, marketing becomes a major factor in
success.
The industrial revolution (mass production)changed the balance of supply and
demand because before mass production, demand was usually greater than
supply!!!
The internet has connected buyers and sellers globally.
1.3
Regional
organization

Definition: can be within a city, province or area

Example & Website:

Crest, Colgate in Quebec
International
organization

Definition: sets up marketing and distribution centers in

foreign markets.
Example & Website: golf retailers, Nike

Brand
management

Definition: assigns their specific brands to different managers

to be treated separately-most popular
Example & Website: Proctor & Gamble

Distribution
management

Definition: organizes marketing around the way product or

service is delivered.
Example & Website: Coke & Pepsi-Stores, schools, vending
machines

Marketing divisions can be organized by:

region
country
brand
distribution
Combination

Research

Conducting surveys gathers:

Preferences
habits
lifestyle
competition

Product Development

3 concerns of the product and development team:

Make a product that meets needs
Can be delivered effectively
Competitively priced

Packaging
Pricing
Branding

Includes a products:
name
logo
slogan
Package design
Trademark

Sale
Physical distribution
Inventory management

A company tries to have:

Enough to satisfy demand

Not more than they can sell

advertising
publicity

Storage
Promotion

1.5 Consumer and Competitive Markets

Complete as you read 19-20
A consumer
market is

All of those consumers who are or may become interested in

a product or service and who have the means of buying it

A competitive
market is

All of the products or services that compete for customers

within a specific category

An aggregate
market is

A market that includes everybody

A differentiated
market is

One which targets consumers by some type of demographic

profile

Provide a specific example of the organization on the left and their target market
Org.

Example

Target

Clothing

Le Chateau

Young, fashion conscious, aged 14-25. Early

adopters, leading edge image

Shoe retailer

Payless

Everyone, good fashion, aged 2-65. Good shoes

for any occasion

Fast food

McDonalds

Aged 2+, Good for anyone in a rush, as well as

anyone who wants to each in the restaurant.

Recording artist

Lana Del
Ray

Teens to Young adults,

Indie Pop Music

Non-profit
organization

Hope
Centre

Anyone. If you need food and shelter it will be

provided for you by volunteers

Cosmetics

Balmshell

Suitable for all ages.

Automobile

Mazda

Cars for all families. Driving age 16+

1.6 Marketing Mix

4 Elements of the Marketing Mix

1. Product
1. develop
2. package
3. Brand
2.Promotion
1. advertise
2. Sales promotion
3. publicity
3.Price
4.Place
1. distribution
2. storage
3. channel

Use the following table to compare the marketing mix of the following companies. Explain
your answer in as much detail as possible. Use a Google search if possible to obtain more
information.
Product
Quality

Place or
places
Location

Price
(higher/low
er)

Pizza
Pizza vs.

Satisfactor
y

Many
locations
in every
region

Lower;
$0.75- $25

6 cans of coke, 3
medium pizzas,
and two toppings
you can also find
these ads on T.V
and on the Radio

Local
pizza
place

Amazing

Most likely
only 1 or 2
locations
in a region

Higher;
$2-$26

Menus can be
available in local
newspapers

Unsatisfacto
ry

Available
in almost
all grocery
stores

Lower;
$4-$9

McCains
Frozen
Pizza

Promotion
What kind?

Ads on T.Vs and

radios bring
attention to the
product as an
easy family
dinner

YMCA
vs.

Good

Many
locations
everywher
e, easily
assessabl
e

Higher;
$29.50$141.50

ads in
newspapers
and/or on the t.v
or radio

local gym

Excellent

Usually
only 1
Location

Lower;
$49
enrollment
fee, than
$10 a
month

No Ads

Local
Sports
store vs.

Good

Only one
location

LowHigher

Local
Newspapers

Sportche
ck

Excellent

Many
locations
everywher
e, always
easily
accessible

Higher

Commercially
advertised
everywhere

Used car
lot vs.

Excellent

2-3 Per
city,
different
lots to
choose
from

LowMedium

Advertised in
local
newspapers

Chevrolet
dealership

Excellent

1 per city,

High

Commercially
advertised

Magic
Cuts vs

Satisfactor
y

1 Per city,
and easily
accessible

LowMedium

Commercially
Advertised

Local
Hairstylis
t

Excellant

1 Per city
(A.K.A my
mom)

LowMedium

Through word of
mouth or could
be advertised in
your local
newspaper

GNC vs.

Excellant

1-2 per
city

High

Social Media,
Radio

Local
health
store

Excellant

1 per city

MediumHigh

Newspaper, or
mall
advertisments

Best Buy
vs.

Good

One- two
per city,
depending
on the city

MediumHigh

Flyers,
Commercials,
T.v ads

Future
Shop vs.

Excellant

One-two
per city

MediumHigh

Flyers,
Commercials, T.v
ads

The
Source

Satisfactor
y

One per
city,
Usually in
a mall

Medium

Flyers

7 UP vs.

Excellant

Found at
most
stores on
display

Low

Commercials/Fly
ers

Mountain
Dew

Excellant

Found at
most
stores
in/on
displays

Low

Commercials/flye
rs

Coke vs.

Excellant

Found at
most
stores
in/on
displays

Low

Commercials/flye
rs

Red Bull
vs.

Excellant

Found at
most
stores

MediumHigh

Sporting Events/
Commercials

Found at
most
stores

Medium

Sporting events/
Commercials

Gatorade

Good

Marketing Plan=Goals+target market+4ps

Brand Strategy To communicate the value of a product or service to the
consumer
Value

Difference between perceived cost and perceived satisfaction

Value
Equation

Total Benefits Total costs

A rule of
marketing

In your words, explain what Perception is reality means. (Not in

Book)
Once a person believes something to be true it is very difficult to
change their minds, regardless of the facts or truth.

Distribution
Strategies

1. Push
2. Pull
3. Combo

Push Strategy

Products purchased as bargain, gift or impulse. Sell, market to

retailers, importers or wholesalers, not to end user. If they see it,
theyll buy it. In your face!

Pull Strategy

Attempts to increase consumer demand directly rather than rely

on retailers. Requires major advertising and promotion. Create
need or want by talking about benefits. Softer approach.

Combination

Pull strategy needs to combine with push, but push does not
need pull!

1. Classify the following marketing as being a push, pull or combination strategy.

2. Explain your answer.
Activity

Push,
Pull,
Combo

Explain

New packaging

Pull

New packaging is appealing to clients, so it is more

likely for them to buy the product on instinct. It may
not be a big change the the packaging but it will
intrigue customers, and will also more than likely be
advertised.

Point of
purchase

Pull

Trying to pull you to their location through advertising

materials
Billboard
Advertising

Pull

Usually if you see something on a billboard you want

to go/do/ try the thing you see

Taking a client
golfing

Combo

Pulling the client in to get them on board and like the

product and then pushing them to do so.

Coupons

Pull

Using advertisment for customers to buy their

product at a lower price so if they like it theyll buy it
at full price

In StoreDiscounts

Pull

Reducing the price to get business from customers

Moving the
product closer
to the cash
register

Push

If a product is closer to the cash register they will

most likely just pick it up and buy it right away
without thinking about it. Usually you will see an
arrangement of pops/gum/candy/chips closest to the
cash register.