Marketing 305 Midterm 2

descriptive research
understanding your customer
diagnostic research
functionality of product – how these use the data
predictive research
plans for future product, guess consumer behavior
steps to preparing data
1) collecting
2) preparing – divide into segments
3) analyzing
4) following up
competitive intelligence
what you try to find out what the competition is doing
– trade shows
– internet
– patent office
– industry experts: pick 1 expert to make decisions
– consultants: not as much of an expert
– sales rep
indication that a product is durable
# of returns
new product line
– lower price: to gain more consumers, lots of materials become cheaper
– improvement: lowered the sugar content in their frappuccinos
– addition: added almond milk
– revisions: adding protein powder to smoothies
– reposition: added a social toaster that doesn’t ruin the coffee aroma
idea generation
– research & development
– employees
– experts: specialize in one specific thing
– competitors
– customers
– consultants: hires expert
– distributors/sales reps
Why products fail?
– bad for environment
– low quality
– unnecessary
– not positioned
– too expensive
Why products succeed?
– pay attention to customers and what they want
– differentiate from the competitor
new product life cycle
idea generation –> introduction –> growth –> maturity –> decline
non-profit organization
fulfill needs in the market that the government doesn’t cover, not taxed by the government

priorities: social, financial, environmental

– churches
– museums
– hospitals

service involves:
– deeds
– performances
– efforts
service offering:
American Express card is green for the base service and the black card is the supplemental/additional service
service process
– people: getting to the customer
– possession: customer receives
– mental stimulation: how happy you are with the product
– information: information given to you with the product
what you get for free/what you pay for
Cappuccino and cappuccino with half and half
price strategy
– unit of service consumption
– bundles ($8 lunch from Starbucks – entree, water, bag of chips, dessert)
What are services?
– Starbucks: customizing coffee, mobile paying, convenience, drive-thru
service characteristics
– heterogenous: employee defendant
– intangible: differentiates a service from a product
– inseparable: produced, consumed simultaneously (massage)
– inconsistent: never going to send the same service twice
– perishable: if service is there then it expires
benefits of supply chain
– lower inventory
– transportation
– warehousing
– packaging
– increases performance
– improve customer service
– higher revenues/profits
– promotes growth
5 steps of supply chain
1) plan
2) find resources
3) manufacture
4) distribute
5) return
customer relationship management
– to prioritize marketing focus
– ask for customer feedback in order to improve
reason to change supply chain
to have more control
Starbucks supply chain
1) Buy the farms
2) Grow the beans in the farms
3) Transport the beans to the roasting factory
4) Ship the beans to the warehouse
5) Distribute to the stores
6) Human resource – get employees
Human resource supply chain
1) humans
2) training
3) benefits: come from insurance companies and banks
marketing channels
the distance between the company and customer

Starbucks: use the internet to tell the customer that Starbucks exists (the app), positioning itself into the area, the gold card program, press releases

marketing trends
– enable customer experience
– VR and 3-D (virtual reality)
– social media/digital channels
– omnichannel
– m-commerce (mobile devices)
– videos (YouTube)
factors affect channel choices
– market factors (segmentation): geographic, demographic, psychographic
– product factors: price, lifecycle, complexity
– producer factors: resources, product line mix
purchase for self – taxed
wholesale price
manufacturer knows you will take the merchandise and sell it a retail price
vending machines, direct marketing (sending info to customers), online
retail marketing strategy (RMS)
define segment (target market) + choose mix

Starbucks RMS = 25-40 business professionals + everything
*** Starbucks doend’t have home delivery

new to the world
self-driving cars
promotion mix
1) advertising – product placement
2) public relations – allowed employees to show tattoos and piercings
3) sales promotions – to get rid of stuff, excess inventory
4) personal selling – the barista at the register who didn’t close the sale
5) social media

Get access to
knowledge base

MOney Back
No Hidden
Knowledge base
Become a Member