1. promotion mix
    • aka marketing communications mix
    • specific blend of advertising, public relations, personal selling, sales promotion and direct-marketing tools that the company uses to persuasively communicate customer value and build customer relationships
  2. five major promotion tools
    • advertiing
    • sales promotion
    • personal selling
    • public relations
    • direct marketing
  3. advertising
    • any paid form of nonpersonal persentation and promotion of ideas, goods, or services by an identified sponsor
    • i.e. commercials, newspaper ads, billboards, etc
  4. sales promotion
    short-term incentives to encourage the purchase or sale of a product or service
  5. personal selling
    • personal presentattion by the firm's sales force for the purpose of making sales and building customer relationships
    • generally used for products that are too large or too technical to be sold without a representative of the company
  6. public relations
    • building good relations with the company's various publics by obtaining favorable publicity, building up a good corporate image, and handling or heading off unfavorable rumors, stories, or events
    • i.e. Tide's 'loads of hope' or Toyota's recent Prius problem
  7. direct marketing
    • direct connections with carefully targeted individual consumers to both obtain an immediate response and cultivate lasting customer relationships
    • i.e direct mail, telemarketers, direct-response television, e-mail, etc
  8. integrated marketing communications
    integrating a company's many communications channels to deliver a clear, consistent, and compelling message about the organization and its brands
  9. push strategy
    producer directs its marketing activities toward channel members to induce them to carry the product and to promote it to final consumers
  10. pull strategy
    producer directs marketing activities towards final consumers to induce them to buy the product
  11. advertising objective
    • a specific communication task to be accomplished with a specific target audience during a specific period of time
    • can be classified by purpose: inform, persuade, or remind
  12. informative advertising
    • used when introducing a new product category
    • communicating customer value
  13. persuasive advertising
    building selective demand (brand preference)
  14. reminder advertising
    important for mature products - helps maintain customer relationships and keep consumers thinking about the product
  15. advertising budget
    the dollars and other resources allocated to a product or company advertising program
  16. four common methods for setting the total advertising budget
    • affordable method
    • percentage of sales method
    • competitive parity method
    • objective and task method
  17. objective-and-task method
    • most logical budget-setting method
    • company sets its promotion budget based on what it wants to accomplish with promotion
  18. advertising strategy
    • the strategy by which the company accomplishes its advertising objectives
    • two major elements: creating advertising messages and selecting advertising media
  19. advertising media
    • the vehicles through which advertising messages are delivered to their intended audiences
    • must determine reach, frequency, and impact
  20. personal selling
    personal presentation by the firm's sales force for the purpose of making sales and building customer relationships
  21. salesperson
    • representative of a company who performs activities such as: prospecting, communicating, selling, servicing, information gathering, and relationship building
    • two extremes: order taker (want fries with that?) and order getter (consider our $100million software package...)
  22. sales force management
    analysis, planning, implementation, and control of sales force activities
  23. outside sales force
    salespeople who travel to call on customers in the field
  24. inside sales force
    salespeople who conduct business from their offices via telephone, the Internet, or visits from prospective buyers
  25. major steps in sales froce management
    • designing sales force strategy and structure
    • recruiting and selecting salespeople
    • training salespeople
    • compensating salespeople
  26. consumer promotions
    • sales promotion tools used to boost short-term customer buying and involvement or to enhance long-term customer relationships
    • i.e. samples, coupons, cash refunds, price packs, premiums, contests, etc.
  27. retailing
    all activities involved in selling goods or services directly to final consumers for their personal, nonbusiness use
  28. retailer
    a business whose sales come primarily from retailing
  29. self-service retailers
    serve customers who are willing to perform their own "locate-compare-select" process to save time or money
  30. limited-service retailers
    • provide more sales assistance because they carry more shopping goods about which customers need information
    • i.e. JC Penny, Sears, etc
  31. full-service retailers
    • salespeople assist customers in every phase of the shopping process
    • i.e. Tiffany, Hermes, etc
  32. specialty stores
    carry narrow product lines with deep assortments within those lines
  33. department stores
    carry a wide variety of product lines
  34. supermarkets
    • most frequently shopped retail store
    • today facing slow growth because of slower population growth and an increase in competition from discount supercenters
  35. convenience stores
    small stores that carry a limited line of high-turnover convenience goods
  36. superstores
    • much larger than regular supermarkets and offer a large assortment of routinely purchased food products, nonfood items, and services
    • i.e. Wal-Mart, Target, etc
  37. category killers
    • enormous stores with a deep assortment of a particular line with a knowledgeable staff
    • i.e. Frye's
  38. warehouse clubs
    • large stores with very few frills
    • i.e. Costco
  39. franchise
    contractual association between a manufacturer, wholesaler, or service organization (franchiser) and independend buisness people (franchisee) who buy the right to own and operate one or more units in the franchise system
Card Set
Final Exam Terms and Concepts