Brand positioning

The distinction of value and status that a brand carries within its category. This positioning ensures that customers and prospects from the brand’s target market can distinguish it from its competitors. The successful strategy for Brand positioning should involve varied and well studied elements, integrated in accordance with the image of the brand and the company’s business objectives.

See also: Brand competition, Product positioning

Brand attributes (Brand associations)

Rational and/or emotional associations entailed to a brand by its customers and potential buyers. They can be favourable or unfavorable; tangible or intangible; positive or negative and also can have varying extends of relevance and significance within the different consumer groups and customer segments. Brand attributes originate from customer experiences and should correspond to the specifics of brand positioning and differentiation in a category.

See also: Brand pyramid, Brand architecture, Brand equity

Customer value model (CVM)

CVM combines qualitative with quantitative approaches to researching how customers from targeted segments on the market rank among quality, image and price of a brand. This kind of analysis weighs the significance of each of the above separately according the consumers’ expectations and should guide marketers’ through splitting their efforts efficiently before launching/ developing new products (or services) and setting sales tools.

Customer selectivity

One component of market share analysis measuring the portion of purchases by an average customer from the company under scope, compared identically to the portion of purchases from an average company. This size is being expressed into percentages.

Customer Lifetime Value (CLV)

Forecast on the profits expected to result from establishing relationship with a customer. It is significant in order to determine maximum limits of budgets to be spent in acquiring new customers.

Baby busters (Baby Buster Generation)

The youths born between 1965 and 1976 in US, representing 47-50 million consumers. It is also known as generation Xers. Demographic term deliniating the generation that was born in the United States between 1965 and 1976 - the first decade of the so-called X-generation. The birth rate then was extremely low, especially compared to the baby-boomers between 1946 and 1964.

Customer experience (CX)

Customer experience assembles all interactions between a customer and a company, including awareness, purchase, usage, maintenance, loyalty, etc. Regarding CX, special attention is being paid to subconscious perceptions during contacts with company’s good or services, i.e. how a customer would feel like.

Substitute goal

Secondary goal that dispels tension when primary goal fails achievement. It impels one as a consumer to replace the actual primary goal in the course of time. Otherwise, continuous failures to attain certain goals may result in frustrations over time.

Traffic building premium

A sales incentive given to the retailers to encourage the customers to come to a store where a sale can be closed.

Monopolistic competition

Market in which several competitors offer products that are relatively heterogeneous to the consumer.

Action close

One of the sales closing techniques that is suggestive of the sales representative taking an action, which may lead to getting the sales order from the prospective customer.

Inflation

A general rise in price level that reduces consumer purchasing power. Inflation is a dimension of the economic environment that affects the interest rates, exchange rates, the cost of living, and the general confidence in a country’s political and economic system.

Customer database

An organized collection of comprehensive data about individual customers or prospects, including geographic, demographic, psychographic, and behavioral data.

Auction enabler

A type of online service, which helps an auction house to run an effective physical auction.

Total customer value

It is the perceived monetary value of the bundle of economic, functional, and psychological benefits customers expect from a given product or service.

Acquisition activities

This refers to all those activities and methods that a business uses to acquire new customers.

Store saturation of a market

A condition under which existing store facilities are utilized efficiently and meet customer needs.

Customer survey process for attributes

One of the methods that can be used by a company to discover new attributes of a product, which may be relevant to the consumers. The company asks consumers what benefits they would like added to the product and their desire level for each. The company also examines the cost of developing each new attribute and likely competitive responses.

Threshold

(1) In the context of retailing it refers to the minimum amount of consumer demand that must exist in an area for a store to be economically viable.
(2) In the context of consumer behavior it refers to the level of sensory discrimination or the ability to discriminate between stimuli.

Reilly's law of retail gravitation

Two cities attract trade from an intermediate place in direct proportion to the population of the two cities, and in inverse proportion to the square of the distance from the two cities to the intermediate place.