• Customer
equity - is the discounted lifetime values of all the company’s current and
potential customers.
• Customer
expectations - are based on past buying experiences, the opinions of
friends, and market information.
• Customer
relationship management (CRM) - involves managing detailed information
about individual customers and carefully managing customer “touch points” in
order to maximise customer loyalty.
• Customer
touch point - is any occasion on which a customer encounters the
brand and product—from actual experience to personal or mass communications to
casual observation.
• Customer
value - the difference between benefits that the customer gains from owning
and/or using a product and the costs of obtaining the product.
• Demands -
Human wants that are backed by buying power, want or need. It includes
physical objects, services, persons, places, organisations, and ideas.
• Exchange - The act of obtaining a desired object from someone by offering
something in return.
• Hospitality industry - Made up of those businesses that
offer one or more of the following: accommodation, prepared food and
beverage service, and/or entertainment.
• Human need - A state of felt deprivation in a
person.
• Human want - The form that a human need takes
when shaped by culture and individual personality.
• Lifetime value - The lifetime value of a customer
is the stream of profits a customer will create over the life of his or her
relationship to a business.
• Market - A set of actual and potential
buyers of
a product.
• Marketing - The art and science of finding,
retaining, and growing profitable customers.
• Marketing concept - The marketing management
philosophy that holds that achieving organizational goals depends on
determining the needs and wants of target markets and delivering desired
satisfactions more effectively and efficiently than competitors.
• Marketing management - The art and science of choosing
target markets and building profitable relationships with them.
• Marketing manager - A person who is involved in
marketing analysis, planning, implementation, and control activities.
• Marketing
mix - Elements include product, price, promotion, and distribution. Sometimes
distribution is called place and the marketing situation facing a company.
• Product -
Anything that can be offered to a market for attention, acquisition,
use, or consumption that might satisfy a need. It includes physical objects,
services, persons, places, organisations, and ideas.
• Product
concept - The idea that consumers will favour products that offer the most
quality, performance, and features, and therefore the organisation should
devote its energy to making continuous product improvements.
• Production
concept - Holds that customers will favour products that are available and highly
affordable, and therefore management should focus on production and
distribution efficiency.
• Purpose
of a business - To create and maintain satisfied, profitable
customers.
• Relationship
marketing - Involves creating, maintaining, and enhancing strong
relationships with customers and other stakeholders.
• Selling
concept - The idea that consumers will not buy enough of an organisation’s
products unless the organisation undertakes a large selling and promotion
effort.
• Societal
marketing concept - The idea that an organisation should determine the
needs, wants, and interests of target markets and deliver the desired
satisfactions more effectively and efficiently than competitors in a way that
maintains or improves the consumer’s and society’s well-being.
• Transaction
- Consists of a trade of values between two parties; marketing’s unit of
measurement.
• Value
proposition - The full positioning of brand—the full mix of benefits upon which it
is positioned.
• Interactive
marketing - Marketing by a service firm that recognises perceived
service quality depends heavily on the quality of the buyer–seller interaction.
• Internal
marketing - Marketing by a service firm to train effectively and
motivate its customer-contact employees and all the supporting service people
to work as a team to provide customer satisfaction.
• Organisation
image - The way a person or group views an organisation.
• Physical
evidence - Tangible clues such as promotional material, employees
of the firm,
and the physical environment of the firm.
• Revenue
management - A pricing method using price as a means of matching
demand with capacity.
• Service
culture - A system of values and beliefs in an organisation that reinforces the
idea that providing the customer with quality service is the principal concern
of the business.
• Service inseparability - A major characteristic of
services; they are produced and consumed at the same time and cannot be
separated from their providers, whether the providers are people or machines.
• Service intangibility - A major characteristic of
services; they cannot be seen, tasted, felt, heard,
or smelled before they are bought.
• Service perishability - A major characteristic of
services; they cannot be stored for later use.
• Service-profit chain - A model that shows the
relationships between employee satisfaction, customer satisfaction, customer
retention, value creation, and profitability.
• Service variability - A major characteristic of
services; their quality may vary greatly, depending on who provides them and
when, where, and how they are provided.
• Ansoff
product–market expansion grid - A matrix developed by cell, plotting new
products and existing products with new & existing products.
• Backward
integration - A growth strategy by which companies acquire
businesses supplying them with products or services
• Concentric
diversification strategy - A growth strategy whereby a company seeks new products
that have technological or marketing synergies with existing product lines.
• Conglomerate
diversification strategy - A product growth strategy in which a company seeks new
businesses that have no relationship to the company’s current product line or
markets.
• Corporate
mission statement - A guide to provide all the publics of a company with a
shared sense of purpose, direction, and opportunity.
• Forward
integration - A growth strategy by which companies acquire
businesses that are closer to the ultimate consumer, such as a hotel acquiring
a chain of travel agents.
• Horizontal
diversification strategy - A product growth strategy whereby a company looks for
new products that could appeal to current customers that are technologically
unrelated to its current line.
• Horizontal
integration - A growth strategy by which companies acquire
competitors.
• Macroenvironmental
forces - Demographic, economic, technological, political, legal, social,
and cultural factors.
• Market
development strategy - Finding and developing new markets for your current
products.
• Market
segmentation - The process of dividing a market into distinct groups
of buyers who have different needs, characteristics, or behaviour who might
require separate products or marketing programmes.
• Marketing
opportunity - An area of need in which a company can perform
profitably.
• Marketing
strategy - The marketing logic by which the company hopes to
create this customer value and achieve these profitable relationships.
• Microenvironmental
forces - Customers, competitors, distribution channels, and suppliers.
• Product
development - Offering modified or new products to current markets.
• Strategic
alliances - Relationships between independent parties that agree
to cooperate but still retain separate identities.
• Strategic
business units (SBUs) - A single business or collection of related businesses
that can be planned separately from the rest of the company.
• Strategic
planning - The process of developing and maintaining a strategic
fit between an organisation’s goals and capabilities and its changing marketing
opportunities.
• SWOT
analysis - Evaluates the company’s overall strengths(S),
weaknesses (W), opportunities (O), and threats (T).
• Baby
boomers - The 78 million people born between 1946 -1964.
• Demography
- Study of human populations in terms of size, density, location, age,
sex, race & other data.
• Disintermediation
- The elimination of intermediaries.
• Echo
boomers - See Millenials. Born between 1977 and1994, these children of the
baby boomers now number 72 million, dwarfing the Gen Xers and almost equal in
size to the baby boomer segment. Also known as Generation Y.
• Economic
environment - Factors that affect consumer purchasing power and
spending patterns.
• Environmental
management perspective - A management perspective in which a firm takes
aggressive actions to affect the publics and forces in its marketing
environment rather than simply watching and reacting to it.
• Financial
intermediaries - Banks, credit companies, insurance companies, and
other businesses that help finance transactions or insure against the risks
associated with the buying and selling of goods.
• Generation
X - A generation of 45 million people born between1965 and 1976; so named
because they lie in the shadow of the boomers and lack obvious distinguishing
characteristics.
• Generation
Y - See Millennials.
• Macroenvironment
- The larger societal forces that affect the whole microenvironment:
competitive, demographic, economic, natural, technological, political, and
cultural forces.
• Marketing
environment - The actors and forces outside marketing that affect
marketing management’s ability to develop and maintain successful transactions
with its target customers.
• Marketing
intermediaries - Firms that help the company to promote, sell, and
distribute its goods to final buyers.
• Marketing
services agencies - Marketing research firms, advertising agencies, media
firms, marketing consulting firms, and other service providers.
• Microenvironment
- The forces close to a company that affect its ability to serve its
customers: the company, market channel firms, customer markets, competitors,
and the public.
• Millennials
(also called Generation Y or the echo boomers) - Born
between 1977 and 2000, these children of the babyboomers number 83 million,
dwarfing the Gen Xers and larger even than the baby boomer segment. This group
includes several age cohorts: tweens (ages 8 to 12), teens(13
to 18), and young adults (the twenty-somethings).
• Political
environment - Laws, government agencies, and pressure groups that
influence and limit the activities of various organisations and individuals in
society.
• Public - Any group
that has an actual or potential interest in or impact on an organisation’s
ability to achieve its objectives.
• Suppliers
- Firms and individuals that provide the resources needed by a company and
its competitors to produce goods and services.
• Sustainable
Development - meeting the needs and aspirations of the present
generation without compromising the ability of future generations to meet their
needs (Brundtland, 1987)
• Causal research - Marketing research to test
hypotheses about cause-and-effect relationships.
• Data warehouses - collect data from a variety of
sources and store it in a one accessible location.
• Descriptive research - Marketing research to better
describe marketing problems, situations, or markets, such as the market potential
for a product or the demographics and attitudes of consumers.
• Ethnographic research - Trained observers interact with
and/or observe consumers in their natural habitat.
• Experimental research - The gathering of primary data by
selecting matched groups of subjects, giving them different treatments,
controlling related factors, and checking for differences in group responses.
• Exploratory research - Marketing research to gather
preliminary information that will help to better define problems and suggest
hypotheses.
· Generalisability
- To what extent conclusions can be generalised to the population
• Internal data - Internal data consist of
electronic databases and non-electronic information and records of consumer and
market information obtained from within the company.
• Marketing
dashboards - are like the instrument panel in a car or plane,
visually displaying real-
time indicators to ensure proper functioning.
• Marketing
information system (MIS) - A structure of people, equipment, and procedures to
gather, sort, analyse, evaluate, and distribute needed, timely, and accurate
information to marketing decision makers.
• Marketing
intelligence - Everyday information about developments in the
marketing environment that help managers to prepare and adjust marketing plans.
• Marketing research - The systematic design,
collection, analysis, and reporting of data and findings relevant to a specific
marketing situation facing a company.
• Mystery shoppers - Hospitality companies often hire
disguised or mystery shoppers to pose as customers and report back on their
experience.
• Observational research - The gathering of primary data by
observing relevant people, actions, and situations.
• Primary
data - Information collected for the specific purpose at hand.
• Sample - (1) A
segment of a population selected for marketing research to represent the
population. (2) Offer of a trial amount of a product to consumers.
• Secondary
data - Information that already exists somewhere, having been collected for
another purpose.
Survey research - The
gathering of primary data by asking people questions about their knowledge,
attitudes, preferences, and buying behaviour.
equity - is the discounted lifetime values of all the company’s current and
potential customers.
• Customer
expectations - are based on past buying experiences, the opinions of
friends, and market information.
• Customer
relationship management (CRM) - involves managing detailed information
about individual customers and carefully managing customer “touch points” in
order to maximise customer loyalty.
• Customer
touch point - is any occasion on which a customer encounters the
brand and product—from actual experience to personal or mass communications to
casual observation.
• Customer
value - the difference between benefits that the customer gains from owning
and/or using a product and the costs of obtaining the product.
• Demands -
Human wants that are backed by buying power, want or need. It includes
physical objects, services, persons, places, organisations, and ideas.
• Exchange - The act of obtaining a desired object from someone by offering
something in return.
• Hospitality industry - Made up of those businesses that
offer one or more of the following: accommodation, prepared food and
beverage service, and/or entertainment.
• Human need - A state of felt deprivation in a
person.
• Human want - The form that a human need takes
when shaped by culture and individual personality.
• Lifetime value - The lifetime value of a customer
is the stream of profits a customer will create over the life of his or her
relationship to a business.
• Market - A set of actual and potential
buyers of
a product.
• Marketing - The art and science of finding,
retaining, and growing profitable customers.
• Marketing concept - The marketing management
philosophy that holds that achieving organizational goals depends on
determining the needs and wants of target markets and delivering desired
satisfactions more effectively and efficiently than competitors.
• Marketing management - The art and science of choosing
target markets and building profitable relationships with them.
• Marketing manager - A person who is involved in
marketing analysis, planning, implementation, and control activities.
• Marketing
mix - Elements include product, price, promotion, and distribution. Sometimes
distribution is called place and the marketing situation facing a company.
• Product -
Anything that can be offered to a market for attention, acquisition,
use, or consumption that might satisfy a need. It includes physical objects,
services, persons, places, organisations, and ideas.
• Product
concept - The idea that consumers will favour products that offer the most
quality, performance, and features, and therefore the organisation should
devote its energy to making continuous product improvements.
• Production
concept - Holds that customers will favour products that are available and highly
affordable, and therefore management should focus on production and
distribution efficiency.
• Purpose
of a business - To create and maintain satisfied, profitable
customers.
• Relationship
marketing - Involves creating, maintaining, and enhancing strong
relationships with customers and other stakeholders.
• Selling
concept - The idea that consumers will not buy enough of an organisation’s
products unless the organisation undertakes a large selling and promotion
effort.
• Societal
marketing concept - The idea that an organisation should determine the
needs, wants, and interests of target markets and deliver the desired
satisfactions more effectively and efficiently than competitors in a way that
maintains or improves the consumer’s and society’s well-being.
• Transaction
- Consists of a trade of values between two parties; marketing’s unit of
measurement.
• Value
proposition - The full positioning of brand—the full mix of benefits upon which it
is positioned.
• Interactive
marketing - Marketing by a service firm that recognises perceived
service quality depends heavily on the quality of the buyer–seller interaction.
• Internal
marketing - Marketing by a service firm to train effectively and
motivate its customer-contact employees and all the supporting service people
to work as a team to provide customer satisfaction.
• Organisation
image - The way a person or group views an organisation.
• Physical
evidence - Tangible clues such as promotional material, employees
of the firm,
and the physical environment of the firm.
• Revenue
management - A pricing method using price as a means of matching
demand with capacity.
• Service
culture - A system of values and beliefs in an organisation that reinforces the
idea that providing the customer with quality service is the principal concern
of the business.
• Service inseparability - A major characteristic of
services; they are produced and consumed at the same time and cannot be
separated from their providers, whether the providers are people or machines.
• Service intangibility - A major characteristic of
services; they cannot be seen, tasted, felt, heard,
or smelled before they are bought.
• Service perishability - A major characteristic of
services; they cannot be stored for later use.
• Service-profit chain - A model that shows the
relationships between employee satisfaction, customer satisfaction, customer
retention, value creation, and profitability.
• Service variability - A major characteristic of
services; their quality may vary greatly, depending on who provides them and
when, where, and how they are provided.
• Ansoff
product–market expansion grid - A matrix developed by cell, plotting new
products and existing products with new & existing products.
• Backward
integration - A growth strategy by which companies acquire
businesses supplying them with products or services
• Concentric
diversification strategy - A growth strategy whereby a company seeks new products
that have technological or marketing synergies with existing product lines.
• Conglomerate
diversification strategy - A product growth strategy in which a company seeks new
businesses that have no relationship to the company’s current product line or
markets.
• Corporate
mission statement - A guide to provide all the publics of a company with a
shared sense of purpose, direction, and opportunity.
• Forward
integration - A growth strategy by which companies acquire
businesses that are closer to the ultimate consumer, such as a hotel acquiring
a chain of travel agents.
• Horizontal
diversification strategy - A product growth strategy whereby a company looks for
new products that could appeal to current customers that are technologically
unrelated to its current line.
• Horizontal
integration - A growth strategy by which companies acquire
competitors.
• Macroenvironmental
forces - Demographic, economic, technological, political, legal, social,
and cultural factors.
• Market
development strategy - Finding and developing new markets for your current
products.
• Market
segmentation - The process of dividing a market into distinct groups
of buyers who have different needs, characteristics, or behaviour who might
require separate products or marketing programmes.
• Marketing
opportunity - An area of need in which a company can perform
profitably.
• Marketing
strategy - The marketing logic by which the company hopes to
create this customer value and achieve these profitable relationships.
• Microenvironmental
forces - Customers, competitors, distribution channels, and suppliers.
• Product
development - Offering modified or new products to current markets.
• Strategic
alliances - Relationships between independent parties that agree
to cooperate but still retain separate identities.
• Strategic
business units (SBUs) - A single business or collection of related businesses
that can be planned separately from the rest of the company.
• Strategic
planning - The process of developing and maintaining a strategic
fit between an organisation’s goals and capabilities and its changing marketing
opportunities.
• SWOT
analysis - Evaluates the company’s overall strengths(S),
weaknesses (W), opportunities (O), and threats (T).
• Baby
boomers - The 78 million people born between 1946 -1964.
• Demography
- Study of human populations in terms of size, density, location, age,
sex, race & other data.
• Disintermediation
- The elimination of intermediaries.
• Echo
boomers - See Millenials. Born between 1977 and1994, these children of the
baby boomers now number 72 million, dwarfing the Gen Xers and almost equal in
size to the baby boomer segment. Also known as Generation Y.
• Economic
environment - Factors that affect consumer purchasing power and
spending patterns.
• Environmental
management perspective - A management perspective in which a firm takes
aggressive actions to affect the publics and forces in its marketing
environment rather than simply watching and reacting to it.
• Financial
intermediaries - Banks, credit companies, insurance companies, and
other businesses that help finance transactions or insure against the risks
associated with the buying and selling of goods.
• Generation
X - A generation of 45 million people born between1965 and 1976; so named
because they lie in the shadow of the boomers and lack obvious distinguishing
characteristics.
• Generation
Y - See Millennials.
• Macroenvironment
- The larger societal forces that affect the whole microenvironment:
competitive, demographic, economic, natural, technological, political, and
cultural forces.
• Marketing
environment - The actors and forces outside marketing that affect
marketing management’s ability to develop and maintain successful transactions
with its target customers.
• Marketing
intermediaries - Firms that help the company to promote, sell, and
distribute its goods to final buyers.
• Marketing
services agencies - Marketing research firms, advertising agencies, media
firms, marketing consulting firms, and other service providers.
• Microenvironment
- The forces close to a company that affect its ability to serve its
customers: the company, market channel firms, customer markets, competitors,
and the public.
• Millennials
(also called Generation Y or the echo boomers) - Born
between 1977 and 2000, these children of the babyboomers number 83 million,
dwarfing the Gen Xers and larger even than the baby boomer segment. This group
includes several age cohorts: tweens (ages 8 to 12), teens(13
to 18), and young adults (the twenty-somethings).
• Political
environment - Laws, government agencies, and pressure groups that
influence and limit the activities of various organisations and individuals in
society.
• Public - Any group
that has an actual or potential interest in or impact on an organisation’s
ability to achieve its objectives.
• Suppliers
- Firms and individuals that provide the resources needed by a company and
its competitors to produce goods and services.
• Sustainable
Development - meeting the needs and aspirations of the present
generation without compromising the ability of future generations to meet their
needs (Brundtland, 1987)
• Causal research - Marketing research to test
hypotheses about cause-and-effect relationships.
• Data warehouses - collect data from a variety of
sources and store it in a one accessible location.
• Descriptive research - Marketing research to better
describe marketing problems, situations, or markets, such as the market potential
for a product or the demographics and attitudes of consumers.
• Ethnographic research - Trained observers interact with
and/or observe consumers in their natural habitat.
• Experimental research - The gathering of primary data by
selecting matched groups of subjects, giving them different treatments,
controlling related factors, and checking for differences in group responses.
• Exploratory research - Marketing research to gather
preliminary information that will help to better define problems and suggest
hypotheses.
· Generalisability
- To what extent conclusions can be generalised to the population
• Internal data - Internal data consist of
electronic databases and non-electronic information and records of consumer and
market information obtained from within the company.
• Marketing
dashboards - are like the instrument panel in a car or plane,
visually displaying real-
time indicators to ensure proper functioning.
• Marketing
information system (MIS) - A structure of people, equipment, and procedures to
gather, sort, analyse, evaluate, and distribute needed, timely, and accurate
information to marketing decision makers.
• Marketing
intelligence - Everyday information about developments in the
marketing environment that help managers to prepare and adjust marketing plans.
• Marketing research - The systematic design,
collection, analysis, and reporting of data and findings relevant to a specific
marketing situation facing a company.
• Mystery shoppers - Hospitality companies often hire
disguised or mystery shoppers to pose as customers and report back on their
experience.
• Observational research - The gathering of primary data by
observing relevant people, actions, and situations.
• Primary
data - Information collected for the specific purpose at hand.
• Sample - (1) A
segment of a population selected for marketing research to represent the
population. (2) Offer of a trial amount of a product to consumers.
• Secondary
data - Information that already exists somewhere, having been collected for
another purpose.
Survey research - The
gathering of primary data by asking people questions about their knowledge,
attitudes, preferences, and buying behaviour.
