Unit 2A Glossary
BTEC Level 3 Business Studies. Unit 2: Research and Plan a Marketing Campaign
7 Ps - Product, price, place, promotion, people, physical evidence, process
Advertising - Promotion using paid for media. This may include on TV, cinemas, billboards and website pop ups
Behavioural segmentation - Grouping consumers into segments based on consumer knowledge, attitudes, uses of a product, or responses to a product.
Brand awareness - How familiar people are with a brand's image and characteristics.
Budgeting constraints - The limitations on marketing strategies that can be used based on the amount of money available to spend.
Business strategy - Leadership plans to achieve the organisations long term goals.
Competitor analysis - Exploring the activities of competitors to analyse their strengths and weakness, uncover trends in the market and find gaps in the market where a strong USP can be developed.
Contact management - Methods to store and retrieve information about individual customers.
Coordination of the salesforce - The management of sales people to ensure that each client is developing good relationships with the firm.
Customer loyalty - When customers return to purchase from the same seller again due to preference over rivals.
Customer relationship management (CRM) - The strategies used by businesses to optimise their relationships with their customers such as by tracking interactions to understand their needs better.
Customer retention - The practice building long term relationships with customers so they keep coming back.
Decline - The stage in which sales begin to fall. Firms need to make a decision to withdraw their products before they begin to make a loss or to use extension strategies to maintain high levels of sales.
Demand - The number of people willing and able to buy a good or service
Demographic segmentation - Grouping consumers by age, gender, income, ethnic background, and family life cycle.
Development - The stage before the launch. This is the stage where the product is being designed, prototyped and tested before a final product is decided upon.
Direct marketing - When businesses communicate directly with their customers without the use of middlemen. E.g. phone calls, email, text messages, flyers, brochures and coupons.
Email client integration - Features of CRM software that allows a business to store and organise customer emails to track them.
External secondary research - Information that already exists in the external environment such as competitor websites and news articles.
Focus groups - Gathering a group of people to discuss a brand, its products or other strategies and observing the outcome of that conversation.
Geographic segmentation - Grouping consumers on the basis of where they live such as different countries or regions.
Growth - The stage where sales begin to increase more rapidly. People are more aware of the product at this stage so promotional activities may switch to reminder rather than informative.
Internal secondary research - Information that already exists within the business such as sales reports and financial data.
Interview - A face-to-face, telephone or online conversation to gather information from a respondent.
Introduction - The initial stage when the product is launched. Promotional activities are high at this stage as customers need to be informed of the existence and benefits of the products.
Market conditions - The features of a product market, such as the number of rivals and the rate of expansion.
Market size - The total value of sales of all producers within a market.
Market structure - The nature and degree of competition among firms operating in the same industry.
Marketing - Researching, analysing and anticipating customer wants and needs to promote a product or service in a profitable manner.
Marketing aims and objectives - Targets set to the marketing function to support the overall organisation's objectives. Marketing budget - The amount of money the marketing department is allowed to spend on their activities.
Marketing campaign - The set of measures taken to promote a new or changed product or service, or to experiment with new marketing channels and tactics.
Marketing Mix - The combination of strategies to market a product including having the right product, at the right price, in the right place with the right promotion.
Mass market - A large population of customers that have similar needs from the same product.
Maturity - The stage when sales are at their highest and growth slows down. At this stage there will be a lot of other competitors on the market.
Niche market - A smaller group of customers who have specific wants and needs that require a differentiated product.
Non-financial objectives - Non-monetary objectives, such as brand image, innovation, and customer satisfaction.
Observation - Gathering information about consumer preferences and behaviour by watching how they behave in situations.
People - The staff that interact with customers in the delivery of the service who can have a large impact on customer experience in receiving the service.
Personal selling - Any face-to-face interaction between a sales person and a customer in order to generate a sale.
Physical environment - The space in which a service in received. This may be a hotel lobby, a branch of a bank or a hairdressing salon.
Place strategy - The ways in which a business gets their product from manufacture to their customers
Porter's Five Forces - A framework to support an investigation of the competitive environment of a business. These are the threat of new entrants, supplier bargaining power, the threat of substitutes, customer bargaining power and industry rivalry.
Pricing strategies - Penetration, skimming, competitor-based, cost-plus, loss leader, psychological..
Primary research - Collection of information first-hand for a specific purpose
Processes - The systems used to support the delivery of a service. Examples include queuing systems and payments systems.
Product development - The steps involved in making new products or improving existing products.
Product innovation - The creation and integration of new ideas to improve existing products or to create new ones.
Product Life Cycle - The stages a product goes through from its development and launch to withdrawal from the market.
Product positioning - Creating and maintaining a certain image of a product in customers' minds.
Product strategies - Plans of what product to make, what features to add, how to package it, what branding to use etc
Promotion - Techniques used to communicate an organisations brand and products to potential and existing consumers.
Promotional Mix - The combination of methods used to communicate products to customers and persuade them to buy including advertising, public relations, personal selling, sales promotion, and social media
Psychographic segmentation - Grouping consumers into different segments based on social class, lifestyle, or personality characteristics
Public relations - Activities an organisation does to communicate a positive brand image to the public. This may include hosting events, involvement with charities, giving press releases and creating a positive presence on social media.
Publicity - Creating a positive brand image through activities that the press will choose to report in a positive manner.
Qualitative data - Data that is collected that more descriptive and detailed and cannot be analysed statistically. An example of this is the answers received in an interview.
Quantitative data - Data that can be measured and counted. This data can be expressed through numbers which can be converted into charts for quick analysis.
Research plan - The steps a business intends to make in the collection market research data. Sales - The number of purchases of a product.
Sales analytics - Gathering sales data in order to analyse performance and make predictions.
Sales promotion - Short-term incentives to encourage the purchase or sale of a product or service, e.g. discounts
Secondary research - Past research which has already been performed and often already published
STEEPLE model - A tool used to examine the social, technological, economic, environmental, political, legal and ethical factors in the external environment and analysis how they will have an impact on marketing decisions they might make.
Target market - Groups of customers and potential customers that a business aims to sell its products to.
Territory management - Activities of a salesperson to manage all customers and potential customers in an area.
