Glossary

A set of criteria used to assess market segments, which stands for Accessible, Differentiable, Actionable, Measurable, and Substantial. This framework helps marketers evaluate the viability of different segments for targeting.

Classifications of consumers based on when they adopt new products, including innovators, early adopters, early majority, late majority, and laggards.

A paid, non-personal form of communication that promotes products, services, or ideas to a broad audience through various media channels, such as TV, radio, print, or digital platforms.

A performance-based marketing strategy where affiliates earn commissions by promoting a company’s products or services through unique links that track conversions.

Agents and brokers facilitate transactions without taking ownership of products or services.

A framework outlining the stages a consumer goes through in the purchasing process: Attention, Interest, Desire, and Action.

Strategic partnerships or collaborations with foreign companies without creating a separate entity, allowing for flexibility and access to partner resources.

Consumers who prioritize social and environmental factors in their purchasing decisions. They tend to be more community-oriented and value experiences that benefit others.

The professional association that provides the widely accepted definition of marketing.

A psychological pricing technique where a reference price is provided to influence consumers' perception of value, making the actual price seem more attractive.

A strategic framework for identifying growth opportunities by categorizing strategies into market penetration, market development, product development, and diversification.

The use of computer systems to simulate human intelligence, enabling tasks such as data analysis, predictive modeling, and automation in marketing research.

Additional services and benefits that enhance the product's value, such as warranties, customer service, and delivery options.

A type of transaction or business model where businesses sell products or services to other businesses.

A type of transaction where businesses sell products or services directly to consumers.

A framework created by Boston Consulting Group to evaluate the strategic position of a business brand portfolio and its potential. It classifies business units or products into four categories based on market growth and market share: Stars, Cash Cows, Question Marks, and Dogs.

The division of the market based on consumer behaviours, such as purchasing habits, brand interactions, and product usage rates. This approach helps businesses target consumers based on their actions with the brand.

A systematic error in data collection that can distort research findings, such as selection bias (non-representative sampling) or response bias (inaccurate participant responses).

A distinctive feature like a name, term, design, or symbol that identifies goods or services and represents a company's reputation as perceived by the public.

Individuals who represent and promote a brand in a positive light, often leveraging their personal networks and social media presence to increase brand awareness and influence consumer perceptions.

The extent to which consumers are familiar with and recognize a brand, increasing the likelihood of consumers choosing the brand over competitors.

The value a brand adds to a product or service beyond its functional attributes, derived from consumer perceptions, experiences, and associations.

The perception of attributes that consumers have of a brand, such as quality, reliability, and uniqueness.

The tendency of consumers to consistently choose a specific brand over others, contributing to stable sales and brand advocacy.

A branding strategy where a company uses a single master brand across all its products and services.

Detailed, semi-fictional representations of individual customers within market segments. They are created using data and research to embody specific traits, behaviours, needs, and goals of ideal customers.

A group of individuals within an organization who are involved in making purchasing decisions for the company.

A planned, coordinated series of marketing communication efforts built around a single theme or idea, designed to achieve specific goals such as increasing awareness, engagement, or sales.

The number of intermediary levels in a distribution channel between the producer and the end consumer.

A pricing strategy that uses prices ending in odd numbers (e.g., $199 instead of $200) to create the perception of a lower cost and better value.

The mediums used to deliver marketing messages to target audiences, including social media, email, television, print media, and in-person events.

The structured approach to delivering marketing messages effectively. It includes identifying the target audience, setting objectives, designing the message, selecting channels and sources, and measuring results.

A condition or circumstance that puts a company in a favorable or superior business position relative to its competitors.

Approaches organizations use to gain a market advantage, including cost leadership, differentiation, operational effectiveness, and customer relationship management.

A strategy where prices are set based on competitors’ pricing, either matching, pricing above, or pricing below competitors.

The series of steps consumers go through when deciding to purchase a product or service, typically including need recognition, information search, evaluation of alternatives, purchase decision, and post-purchase evaluation.

Creating and sharing valuable, relevant content (e.g., blogs, videos, infographics) to attract and engage a target audience, ultimately driving customer actions.

Low-cost, frequently purchased items that require minimal effort for consumers to acquire.

A type of intellectual property that provides legal protection, granting creators exclusive rights to their original works, such as literature, music, art, software, logos, and marketing materials.

The fundamental benefit or value that the consumer receives from the product, addressing the primary need or problem the product solves.

Voluntary efforts by companies to integrate ethical, sustainable, and socially responsible practices into their operations and strategic goals.

The overall scope and direction of an organization and the way in which its various business operations work together to achieve particular goals.

A competitive strategy where a company aims to become the lowest-cost producer in its industry while maintaining acceptable quality standards.

The capability to understand, adapt, and function effectively across various cultural contexts and environments.

The shared beliefs, values, customs, and behaviours of a group or society that influence consumer behaviour.

The process of improving service quality and customer satisfaction through cohesive brand interactions.

A system or strategy for managing interactions with current and potential customers, enhancing relationships across the customer lifecycle.

A strategy focusing on the customer's perceived value and willingness to pay rather than solely on costs or competitors’ prices.

Raw, unorganized facts and figures without context, such as numbers, symbols, or text.

Wants that are backed by the ability and willingness to purchase.

The process of dividing the market based on demographic factors such as age, gender, income, education, occupation, and family size.

The demand for a product or service that results from the demand for another product or service.

A targeting strategy that involves targeting several market segments with a different offer for each.

A marketing strategy that aims to distinguish a company's products or services from others available in the market to make it more attractive to a particular target market.

The use of internet-based platforms and technologies to promote products or services. Key components include social media marketing, search engine optimization (SEO), content marketing, and email marketing.

An online platform where organizations provide press releases, multimedia content, and other resources for journalists and the public to access up-to-date information about the brand.

The use of online tools and platforms to collect qualitative data, such as virtual focus groups or social media analytics.

A distribution channel where a producer sells directly to the end consumer without any intermediaries.

Establishing wholly owned subsidiaries or acquiring existing businesses in foreign markets, providing full operational control but requiring substantial capital investment.

A promotional method involving direct communication with targeted consumers to generate a response or transaction. Examples include email campaigns, personalized mailers, and telemarketing.

Methods such as seasonal discounts, quantity discounts, and bundling used to attract customers or clear inventory while maintaining profitability.

The path through which products or services move from the producer to the end consumer.

The extent to which a product is made available in the market, ranging from intensive (widely available) to selective or exclusive (limited availability).

The overall plan for how a company will make its products or services available to customers.

A growth strategy involving entering new markets with new products or services.

Real-time price adjustments based on factors like demand, competition, and customer behavior — often leveraging big data and AI technologies.

An early model of consumer decision-making based on principles of economics, assuming consumers are rational and self-interested individuals.

Sending targeted emails to nurture relationships with customers, promote products, or provide updates, often personalized to enhance engagement.

Complete bans on trade with specific countries or on certain goods, imposed by governments as a form of trade restriction.

The continuous monitoring of the business environment to identify trends, opportunities, and competitive actions.

Marketing practices that adhere to moral principles and values, considering the broader impact on society and stakeholders.

Ensuring compliance with laws and ethical standards by avoiding practices like price discrimination, predatory pricing, deceptive pricing, and unfair dynamic pricing mechanisms.

The act of obtaining a desired object from someone by offering something in return.

The act of obtaining a desired object from someone by offering something of value in return.

A research method where variables are controlled and manipulated to test cause-and-effect relationships in marketing scenarios.

Selling products or services to foreign markets from a domestic base, offering low initial investment but limited control over foreign operations.

Factors outside a company that it cannot control but must adapt to, divided into microenvironment and macroenvironment.

A movement promoting ethical and sustainable trade practices, ensuring fair prices, better working conditions, and support for producers in developing regions.

The segmentation of business markets based on characteristics such as company size, industry, location, and organizational structure.

Stable expenses like rent and salaries that do not vary with production levels. Pricing strategies must account for recovering these costs over time.

A qualitative research method where a moderator leads a small group discussion to gather insights about products, services, or concepts.

A business model where a franchisor (the original business owner) grants a franchisee (the buyer) the right to use their business name, branding, and systems in exchange for a fee and ongoing royalties, allowing for rapid expansion with local market knowledge but potential loss of brand control.

A framework that identifies gaps between customer expectations and perceptions of service quality.

Dividing the market based on location, such as countries, regions, cities, or neighbourhoods. This method is particularly useful for businesses that need to cater to regional preferences or climate conditions.

The process of planning and executing the conception, pricing, promotion, and distribution of goods and services to create exchanges that satisfy individual and organizational objectives on a worldwide scale.

A theory distinguishing between dissatisfiers (hygiene factors) and satisfiers (motivators) in consumer behaviour.

Organizations that consistently outperform their competitors by excelling in areas such as strategic focus, operational efficiency, customer satisfaction, and employee empowerment.

A framework for understanding cultural differences across countries and their impact on behaviour and values.

A branding strategy where a company maintains separate and distinct brands for different products or services.

A distribution approach that combines both direct and indirect channels to reach consumers.

Purchasing goods or services from foreign markets for domestic use, allowing access to products or resources not available locally.

A distribution channel that includes one or more intermediaries between the producer and the end consumer.

Data that has been processed and organized to provide meaning and insights for decision-making.

A characteristic of services where production and consumption occur simultaneously.

A characteristic of services where they cannot be seen, touched, or physically experienced before purchase.

A strategic approach that unifies all marketing communication tools and channels to deliver a consistent and persuasive message to the target audience.

An individual or organization that acts as a link between producers and consumers in the distribution channel, facilitating the movement of goods or services.

Factors within a company that can be controlled and managed, including company culture, resources, capabilities, and processes.

Data generated within an organization, such as sales data, customer interactions, and financial records.

A qualitative research method involving one-on-one conversations to gather detailed information about opinions, experiences, and preferences.

Partnerships between domestic and foreign companies to create a new entity in the target market, sharing financial risk and local knowledge but potentially facing conflicts with partners.

Quantifiable metrics used to evaluate the success of an organization, employee, or project in meeting objectives for performance.

A framework to understand the different layers of value a product offers to customers, including core, tangible, augmented, and promised benefits.

Granting a foreign company the right to use intellectual property, such as patents, trademarks, or technology, in exchange for royalties or fees, with lower investment but potential risks to quality and control.

A person's pattern of living as expressed through their activities, interests, and opinions (AIOs).

Marketing strategies designed to encourage repeat business by rewarding customers for their continued patronage. Examples include points systems or exclusive member benefits.

Broader external factors affecting a business, often referred to by acronyms like PEST, PESTE, PESTEL, or STEEPLE.

A pricing method where profit is expressed as a percentage of the selling price, calculated as:
Margin=(Selling Price−Cost)/Selling Price.

A growth strategy that involves selling existing products to new markets or customer segments.

A growth strategy focused on selling existing products to existing markets, often through increased marketing efforts or competitive pricing.

A strategy involving high initial prices for new products to maximize profits from early adopters before gradually lowering prices.

The activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.

Tools that assist marketing managers in analyzing data through statistical analysis, modeling, and simulations to make informed decisions.

An organized framework for collecting, analyzing, interpreting, storing, and disseminating marketing data to support decision-making.

A component of MIS used to monitor external environments for trends, opportunities, and threats.

The four key elements of marketing strategy, also known as the 4Ps: Product, Price, Place, and Promotion.

Specific, measurable goals that a company aims to achieve through its marketing efforts, typically aligned with broader organizational goals.

The evolution of an organization's approach to marketing, progressing from production-centric to customer-centric and societal-focused approaches.

The process of creating a detailed roadmap for an organization's marketing activities, typically including situation analysis, goal setting, strategy formulation, and tactics development.

A systematic process of collecting, analyzing, and interpreting data to address specific marketing challenges or opportunities.

A subset of strategic planning focused on identifying and executing initiatives to attract and retain customers, support organizational goals, and establish a competitive edge

Sets of actual or potential customers who might transact with a seller.

A pricing method where profit is expressed as a percentage of the cost, calculated as:
Markup=(Selling Price−Cost)/Cost

A theory explaining why people are driven by particular needs at specific times, arranged in a hierarchy from physiological needs to self-actualization.

Organized events where journalists are invited to experience a product or service firsthand. These tours aim to generate positive media coverage by providing journalists with in-depth knowledge and experiences related to the brand.

Ensuring that all communication efforts align with brand values and deliver a unified message across all channels.

External factors closely linked to a company, including customers, suppliers, competitors, and intermediaries.

A targeting strategy that tailors products and marketing programs to suit the tastes of specific individuals and locations.

Basic human requirements such as food, water, shelter, and safety.

A targeting strategy that focuses on a small but well-defined segment of the population.

A method of collecting data by watching and recording behaviour in natural settings without direct interaction.

A digital platform that allows consumers to book travel services such as accommodations, flights, and activities.

Markets consisting of businesses, governments, and institutions that purchase goods and services for use in their operations or to resell to others.

A model where businesses pay a fee each time their ad is clicked, commonly used in search engines and social media platforms for immediate visibility.

A strategy where low initial prices are set to quickly gain market share and discourage competitors from entering the market.

A visual representation of how consumers perceive a brand in relation to competitors. It helps identify positioning opportunities by showing where brands are located in consumers' minds.

A characteristic of services where they cannot be stored for later use.

A promotional method involving face-to-face interaction between a salesperson and a customer to build relationships and close sales.

The process of designing a product or service to occupy a distinct and valued place in the target customer's mind relative to competing products.

Interactions that occur after a customer has made a purchase. Examples include follow-up emails, customer service interactions, and loyalty program communications.

Customer interactions before making a purchase decision. Examples include social media posts, online reviews, and advertisements.

Employing data, statistical algorithms, and machine learning techniques to forecast future trends or behaviours based on historical data.

Public events organized by companies or organizations where they announce significant news or developments. These events are attended by journalists who report on the announcements made during the conference.

An official statement issued by an organization to the media with the aim of generating news coverage. Press releases typically announce new products, services, events, or other noteworthy developments within an organization.

Setting high prices to create a perception of superior quality, exclusivity, or luxury.

A technique where multiple products or services are sold together at a combined price that is typically lower than if purchased separately, increasing perceived value.

A measure of how sensitive consumers are to price changes. Elastic demand occurs when small price changes lead to significant changes in quantity demanded, while inelastic demand sees little change in demand despite price shifts.

A competitive situation where businesses continually lower their prices to undercut each other, potentially leading to unsustainable profitability levels.

Original data collected specifically for a research project through methods like surveys, interviews, or experiments.

Anything that can be offered to a market that might satisfy a need, want, or demand — encompassing physical goods, services, experiences, and ideas.

A model showing how different consumer groups adopt new products over time.

A growth strategy that involves creating new products or services for existing markets.

Anything that can be offered to a market that might satisfy a need, want, or demand, including physical goods, services, experiences, and ideas.

A strategy focused on maximizing profits by setting prices above total production and selling costs, often calculated using margin or markup methods.

The long-term benefits and experiences associated with the product, including brand reputation and customer satisfaction.

The combination of six key promotional tools: advertising, public relations, personal selling, sales promotions, direct marketing, and digital marketing.

Consumers who prefer familiar destinations and experiences. They tend to be risk-averse and seek comfort in known environments.

Segmenting the market based on psychological characteristics, including lifestyle, values, interests, and personality traits.

Techniques that influence consumer perceptions, such as anchoring (using reference prices), charm pricing (e.g., $199 instead of $200), and bundling (offering multiple products at a combined price).

Efforts to manage an organization's reputation by generating positive publicity and handling communication during crises or events.

The act of attracting public attention or interest through media coverage. Unlike advertising, publicity is not paid for directly but is earned through newsworthy activities or events that capture media interest.

A promotional strategy aimed at creating demand directly among consumers through advertising or influencer partnerships so they actively seek out the product or service.

A promotional strategy focused on encouraging intermediaries (e.g., retailers or travel agents) to promote products or services to end consumers.

Non-numerical information that explores motivations and attitudes through methods like interviews or focus groups.

The degree to which a product consistently meets or exceeds customer expectations.

Numerical information that can be measured and analyzed statistically to identify patterns and trends.

Government-imposed limits on the quantity or value of goods that can be imported or exported during a specific period, used as a form of trade restriction.

A tool for measuring service quality through Reliability, Assurance, Tangibles, Empathy, and Responsiveness.

Groups of people that an individual looks to for guidance on social norms, values, and behaviours.

Strong, enduring connections with customers built through repeated exchanges and transactions.

A business that sells products or services directly to end consumers.

An evolved form of yield management that incorporates broader data points and advanced forecasting techniques to optimize total customer value.

Short-term incentives designed to encourage immediate purchases or actions. Examples include discounts, contests, or limited-time offers.

The extent to which a product's perceived performance matches a buyer's expectations.

The process of optimizing website content and structure to improve visibility and rankings in organic (unpaid) search engine results, driving more traffic to the site.

Pre-existing data collected for another purpose but repurposed for current research needs. Examples include government reports or industry publications.

The process of dividing a larger market into smaller segments based on shared characteristics such as demographics, behaviour, or geography. This allows businesses to tailor their products, services, and marketing strategies to meet the specific needs of each segment.

Charging different prices for the same product or service based on customer segments, timing, or purchase volume to maximize revenue.

The tendency of consumers to notice stimuli that relate to their current needs or interests.

The tendency of people to interpret information in a way that supports their existing beliefs.

The tendency of individuals to remember information that aligns with their attitudes and beliefs.

A model linking employee satisfaction to customer satisfaction and ultimately to profitability.

A framework showing the relationships between company, employees, and customers in service delivery.

Products purchased less frequently that involve more planning and comparison.

A comprehensive examination of an organization's internal and external environment to inform strategic decision-making.

A framework for setting goals that are Specific, Measurable, Achievable, Relevant, and Time-bound.

Using social media platforms to promote products or services, engage with audiences, and build brand awareness through both organic posts and paid advertisements.

A marketing orientation that balances customer satisfaction, company profits, and societal well-being.

Unique items that consumers specifically seek out and are willing to make a special effort to purchase.

A framework used to understand how consumers make purchasing decisions, assuming that consumer behaviour is a response to various stimuli.

A comprehensive process that defines an organization’s long-term goals and outlines the steps to achieve them, aligning resources and efforts across all levels.

The network of all individuals, organizations, resources, activities, and technology involved in creating and selling a product, from the supplier to the end customer.

A research method using structured questions to collect data from a sample of respondents.

The unique, long-term advantage a company holds over its competitors, built on distinctive resources or capabilities that are difficult to replicate.

Marketing practices that consider long-term environmental and social impacts, aiming to meet present needs without compromising future generations.

A framework for assessing an organization’s Strengths, Weaknesses, Opportunities, and Threats to inform strategic decision-making.

Artificially generated data that mimics real-world responses while addressing privacy concerns and data scarcity.

The physical attributes and features of the product that can be seen, touched, or measured.

Selecting one or more market segments to focus marketing efforts on. The goal is to reach the most attractive segments that align with the company's objectives and resources.

Taxes imposed on imported goods, making them more expensive and less competitive against domestic products, used as a form of trade restriction.

The process of segmenting consumers based on their technology usage patterns and preferences. This includes factors like device ownership and online behaviour.

A visual tool illustrating customer interactions across three stages: pre-purchase (e.g., social media), purchase (e.g., booking systems), and post-purchase (e.g., loyalty programs).

The network of tourism organizations engaged in different activities ranging from the supply of tourism components to the delivery of tourism products and services in a tourism destination.

Intergovernmental agreements that reduce barriers to trade among member countries, promoting economic integration and cooperation.

Is a type of intellectual property providing legal protection for brand names, symbols, and other distinctive brand elements. It includes any word, name, symbol, or design to distinguish the goods or services of one organization from those of others.

The basic units of exchange, involving at least two things of value, agreed-upon conditions, a time of agreement, and a place of agreement.

Classifications of consumer buying behaviours based on involvement level and perceived brand differences, including complex, dissonance-reducing, habitual, and variety-seeking behaviours.

Classification of products based on consumer buying behavior, including convenience, shopping, specialty, and unsought products.

A targeting strategy that ignores segmentation differences and aims at the entire market with one offer or strategy.

A marketing concept that defines what makes a product or service unique compared to competitors. It highlights specific benefits that set it apart in the marketplace.

Similar to USP but focuses more on the overall value offered to customers rather than just unique features. It emphasizes how a product meets customer needs better than alternatives.

Products that consumers do not actively seek out until a specific need arises.

The value or benefit a customer receives from consuming a product or service, including form, place, time, and possession utility.

The customer's perception of a product's overall capacity to satisfy their needs against the costs of acquiring it.

A characteristic of services where quality can vary depending on who provides them, when, and where.

Costs that change with production volume, such as raw materials and labor. Prices must be set above these costs to ensure profitability.

Desires for specific products or services that satisfy needs, influenced by culture, personality, and societal factors.

The second stage of development of the internet, characterized by the change from static webpages to dynamic or user-generated content and the growth of social media.

Tools and methods used to measure and analyze website traffic and user behaviour.

A business that buys products in bulk from manufacturers and sells them to retailers or other businesses.

A pricing approach used in industries like airlines and hotels to maximize revenue by adjusting prices based on demand forecasts and inventory availability.