mkt exam 4

Integrated Marketing Communications

Coordination of promotion and other marketing efforts for maximum informational and persuasive impact on customers

promotion

communication to build and maintain relationships by informing and persuading one or more audiences

cause-related marketing

The practice of linking products to a particular social cause on an ongoing or short-term basis

line extension

extending an existing brand name to new forms, colors, sizes, ingredients, or flavors of an existing product category

primary demand

consumer demand for a whole product category

pioneer promotion

promotion that informs consumers about a new product

promotion mix

a combination of promotional methods used to promote a specific product

marketing mix

Product, Price, Place, Promotion

advertising

paid nonpersonal communication about an organization and its products transmitted to a target audience through mass media

public relations vs. publicity

public relations- communication efforts used to create and maintain favorable relations between an organization and stakeholders.
*Publicity- A new-story type of communication about an organization and/ or its products transmitted through a mass medium at

sales promotion

marketing activities - other than personal selling, advertising, and public relations - that stimulate consumer buying and dealer effectiveness

personal selling

a purchase situation involving a personal, paid-for communication between two people in an attempt to influence each other

stakeholder

A person or organization with an interest in a particular place or issue.

push policy vs pull policy

push policy-promoting a product only to the next institution down the marketing channel.
*Pull policy-promoting a product directly to consumers to develop strong consumer demand that pulls products through the marketing channel.

comparative vs. comparative advertising

comparative advertising- compares the sponsored brand with one or more identified brands on the basis of one or more product characteristics

institutional vs. advocacy advertising

institutional advertising- advertising that promotes organizational images, ideas, and political issues.
*advocacy advertising-advertising that promotes a company's position on a public issue

pioneer advertising

advertising that tries to stimulate demand for a product category rather than a specific brand by informing potential buyers about the product

reminder vs. reinforcement advertising

reminder- advertising used to remind consumers about an established brand's uses, characteristics and benefits.
*Reinforcement advertising- advertising that assures users they chose the right brand and tells them how to get the most satisfaction from it.

media plan

A plan that specifies the media vehicles to be used and the schedule for running advertisements

advertising platform

Basic issues or selling points to included in an advertising campaign

types of media schedules

1. Continuous: Ads run at a constant level
2. Flighting: Ads run periodically, alternating with periods when no ads run
3. Pulsing: Combining continuous and flighting

stages of the selling process

1. Prospecting for customers
2. Opening the relationship
3. Qualifying the prospect
4. Presenting the sales message
5. Closing the sale
6. Servicing the account

premiums

Items offered free or at a minimal cost as a bonus for purchasing a product

point of purchase display

a promotional display set up at the retailer's location to build traffic, advertise the product, or induce impulse buying

consumer sales promotion vs. trade sales promotion methods

consumer sales promotion- sales promotion techniques that encourage consumers to patronize specific stores or try particular products
*trade sales promotion methods-methods intended to persuade wholesalers and retailers to carry a producer's products and

buy-back allowance

a sum of money given to a reseller for each unit bought after an initial promotion deal is over

cooperative advertising

An arrangement in which a manufacturer agrees to pay a certain amount of a retailer's media costs for advertising the manufacturer's products

price competition vs.Nonprice competition

price competition- emphasizing price as an issue and matching or beating competitors' prices
*Nonprice competition- emphasizing factors other than price to distinguish product from competing brands

internal vs.external reference price

Internal reference price- A price developed in the buyer's mind through experience with the product
*External reference price-A comparison price provided by others.

value-conscious consumers

concerned about price and quality of a product

price-conscious consumers

striving to pay low prices

prestige-sensitive buyers

drawn to products that signify prominence and status

discounts provided to business customers

on final study guide

pricing objectives for companies

goal that describe what a firm wants to achieve through pricing

Bases for developing prices

*Differential
*New-product pricing
*Product-Line pricing
*psychological pricing
*Professional pricing
*promotional pricing