Setting marketing objectives:

Question 1

What are marketing objectives?

Answer 1

Clear, measurable targets that guide a business’s marketing efforts.

Question 2

How can marketing objectives help a business?

Answer 2

1. Give direction
2. Allow measurement and learning
3. Help win budget and support

Question 3

How can marketing objectives help give direction to the business?

Answer 3

Teams know exactly what to aim for, avoiding untargeted campaigns that have little chance for success.

Question 4

How can marketing objectives help allow measurement and learning in a business?

Answer 4

The results of marketing activities can be compared with the objective and improved next time.

Question 5

How can marketing objectives help win budget and support in a business?

Answer 5

Clear, data backed objectives can reassure senior managers and investors and motivate employees.

Question 6

What are marketing objectives likely to be about (6)?

Answer 6

1. Sales volume
2. Sales value
3. Sales growth
4. Market growth
5. Market share
6. Brand loyalty

Question 7

What is sales volume?

Answer 7

The number of units sold in a business.

Question 8

What is sales value?

Answer 8

The money earned from sale of units.

Question 9

What is sales growth?

Answer 9

The percentage rise in sales volume or value over time.

Question 10

What is market growth?

Answer 10

The increase in the size of a market as a whole.

Question 11

What is market share?

Answer 11

The portion of a market controlled by a particular company, brand or product.

Question 12

What is brand loyalty?

Answer 12

The share of customers who rebuy and recommend a business, brand or product.

Question 13

How do you calculate sales value?

Answer 13

selling price x number of units sold

Question 14

How do you calculate sales growth?

Answer 14

(new sales - old sales)/old sales x 100

Question 15

Why does brand loyalty matter?

Answer 15

1. Reliable repeat sales
2. Lower marketing costs
3. Ability to charge premium prices
4. Protection against tough competition

Question 16

How does brand loyalty give the business reliable repeat sales?

Answer 16

Loyal customers come back again and again, giving a steady stream of income

Question 17

How does brand loyalty give the business lower marketing costs?

Answer 17

• When people already trust a brand, a business may spend less on advertising
• It also gains free word of mouth recommendations

Question 18

How does brand loyalty give the business the ability to charge premium prices?

Answer 18

Customers who feel attached to a brand are less price sensitive, so the business can achieve high profit margins

Question 19

How does brand loyalty give the business protection against tough competition?

Answer 19

In crowded markets, loyal customers stick with a brand, even when rivals discount or copy ideas.