Market Share
This represents the percentage of an industry's total sales that a particular company has earned over a period of time.
Market Growth
This represents an increase in demand for the industry's product/service over a period of time.
Market Size
This refers to the volume/value of sales generated by individual firms who make up the industry as a whole.
Monopoly
A market structure in which only one firm supplies the entire output, there is no competition and there are barriers to entry.
Oligopoly
A market structure that has a small number of firms who dominate the market by producing heavily branded products. There are some barriers to entry.
Perfect Competition
A market structure where there is perfect knowledge, many buyers and sellers, freedom of entry and exit and a homogeneous product.
Office of Fair Trading
A Government body that has responsibility for overseeing all policy relating to competition and consumer protection. It can refer specific cases to the Competition Commission for investigation.
Competition Commission
It will investigate and report on any monopoly, proposed merger or anti-competitive practices that are referred to it by the Office of Fair Trading or Regulators of privatised industries that are deemed not to be in consumer's interests.
Regulators of Private Utilities
Agencies set up to regulate prices in the provision of water, gas, electricity etc. to the general public.
Marketing Research
The collection, collation and analysis of data relating to the marketing and consumption of goods and services.
Primary Research
Information collected by a business through field research e.g. survey. It involves the collection of data that does not already exist.
Secondary Research
Using existing sources of information to research the market e.g. past sales data.
Focus Groups
A range of individuals who are deemed to be representative of the customers in a particular segment who are brought together to answer and discuss questions prepared by market researchers.
Consumer Panels
A group of consumers who are consulted about their views on a particular product over a period of time.
Test Marketing
Selling a product in a restricted section of the market in order to assess consumer's reaction to it.
Surveys
These are used to obtain views about a firm's product/service from existing or potential customers. The data can be collected via telephone, online and postal questionnaires.
Observation
Watching and recording how people react to the firm's product/service displays and interact with staff without their knowledge.
Questionnaire
A range of questions designed by the business to collect both quantitative and qualitative from consumers about their products/services.
Store Loyalty Cards
Given to customers as a reward for shopping in a particular store. The data collected provides the business with an opportunity to identify the spending patterns of consumers leading to targeted promotions that will increase sales.
Sample
A group of consumers selected from the population.
Random sample
Everyone is given an equal chance of being chosen.
Cluster sample
The population is divided into 'clusters' usually geographic areas and then a random sample is chosen.
Quota sample
The population is segmented into a number of groups who share specific characteristics e.g. age, gender. Interviewers are given targets for the number out of each segment.
Stratified sample
The population is divided into mutually exclusively strata or layers with random sampling taking place within each stratum.
Quantitative research data
Data collected by the organisation which can be analysed and easily presented in tables and charts. This data can provide answers to questions such as 'how many', 'who' and 'how often'.
Qualitative research data
Data collected by an organisation which helps them choose a particular strategy. This data provides answers to questions such as 'why' or 'how' potential consumers react to specific goods/services.
Marketing Mix
The elements of an organisation's marketing plan that are designed to meet the needs of its customer
Price
The amount charged by the business for providing a product to the consumer.
Product
This represents the nature of the item provided by the business to the consumer.
Promotion
The efforts made by the business to retain and attract consumers by drawing attention to its product.
Place
The means by which the product will be distributed at a time and location convenient to the consumer.
People
The behaviour and attitude of staff who determine the level of customer satisfaction in business transactions.
Processes
The systems employed by the firm to ensure their services are successfully delivered to customers.
Physical Environment
This applies to the store, office and company website where business transactions occur.
E-Commerce
The selling, marketing and servicing of products or services over electronic systems such as the internet.
Price Elasticity of Demand
A measure used to show the responsiveness, or elasticity, of the quantity demanded of a product/service to a change in its price.
Income Elasticity of demand
A measure used to show the responsiveness, or elasticity, of the quantity demanded of a product/service to a change in consumer income.
Product Life Cycle
This shows the different stages in the life of a product and the sales that can be expected at each stage.
Extension Strategies
The methods used by a business to extend the life of a product.
Product Portfolio
The particular mix of products which a firm is marketing.
Marketing Positioning
The perception that consumers have of the quality, value for money and image of the product relative to those of competitors.
Market Segmentation
Breaking down a market into sub-groups which share similar characteristics e.g. age, gender, income.
SWOT
Assessment of the internal strengths and weaknesses of a business and the external opportunities and threats that the business needs to consider.
E-Business
This refers to business activity conducted using online information systems and applications.
Digital Marketing
This is an umbrella term used to describe the marketing of products/services via mobile technology and the internet.
Social Media
This refers to a range of online communication channels that provides opportunities for individual and community interaction, collaboration and sharing of information.
Mobile Technology
This technology is portable and used by businesses to promote products/services via electronic channels.
Mobile Ticketing
A process that allows customers to order, pay for or validate tickets by using their mobile phones or other mobile handsets.
Mobile Marketing
This is a form of advertising/promotion delivered to consumers via mobile/smart phones and other handheld devices. It can be in the form of text, images and voice messages.