Chapter 14

Question 1

Direct and digital marketing

Answer 1

Engages directly with targeted individual consumers and customer communities to obtain immediate response

Tailor offers and content to the needs and interests of narrowly defined segments or individual buyers; can build customer engagement, brand community, and sales

Question 2

Fastest growing form of marketing is direct and digital marketing

Answer 2

More internet based, and digital direct marketing is claiming a surging share of marketing spending and sales. Total digital marketing spending accounts for largest share of media spending

Question 3

Benefits of direct and digital marketing to buyers

Answer 3

• convenient, easy, and private
• easy buyer-seller interaction
• quick access to products and relevant information
• brand engagement and community —> share brand info and engagement

Question 4

Benefits of direct and digital marketing to sellers

Answer 4

• low cost, efficient, and speedy
• build close, personalized, interactive, one to one customer relationships
• greater flexibility

Question 5

Traditional direct marketing tools

Answer 5

• face to face selling, direct mail marketing, catalog marketing, telemarketing, direct response television marketing and kiosk marketing

Question 6

Digital and social media marketing

Answer 6

Using digital marketing tools to engage consumers anywhere and anytime

Question 7

Digital age

Answer 7

Changing customers’ notions of convenience, speed, price, product info, service, and brand interactions

Question 8

Omni channel retailing

Answer 8

Creating seamless cross channel buying experience that integrates in store, online, and mobile shopping

Question 9

Online marketing

Answer 9

Marketing using company websites, online ads and promotions, email, online video, and blogs

Question 10

Marketing websites

Answer 10

Engage consumers to move them closer to direct purchase or other marketing outcome

Question 11

Branded community websites

Answer 11

Present brand content that engages consumers and creates customer brand community

Question 12

Online advertising

Answer 12

Appears while consumers are browsing online —> build brand sales or attract visitors to their sites

Question 13

Email marketing

Answer 13

Sending highly targeted, highly personalized, relationship building, marketing messages via email

Spam - unsolicited, unwanted commercial email messages; use permission based marketing messages to combat spam (only sending emails to those who have opted in or agreed to receive emails and must give consumers option to opt out)

Question 14

Viral marketing

Answer 14

Videos, ads, and other marketing content that customers seek out or pass along to friends

Question 15

Blogs

Answer 15

Online journals where people and companies post their thoughts and other content related to narrowly defined topics

• offers fresh, original, personal, inexpensive way to enter into consumer online conversations
• leverage social media channels to promote their blogs
• limitations: cluttered, difficult to control and largely a consumer-controller medium

Question 16

Social media

Answer 16

Independent and commercial online communities where people share messages, opinions, pictures, videos, and other content

Marketers will engage social media by using existing ones or setting up their own

Question 17

Advantages of social media

Answer 17

• targeted and personal
• interactive
• immediate and timely
• cost effective
• engagement and social sharing capabilities

Question 18

Challenges of social media

Answer 18

• effective usage uncertain
• difficult to measure results
• largely user controlled

Question 19

Integrated social media marketing

Answer 19

Large companies design social media efforts that blend with and support other elements of a brand’s marketing strategy and tactics

•effectively creates brand related social sharing, engagement, and customer community

Question 20

Mobile marketing

Answer 20

• Marketing messages, promotions, and other content delivered to on the go consumers through their mobile devices
• Engages customers anywhere and anytime
• growth of mobile apps
• mobile advertising is growing

Question 21

Direct mail marketing

Answer 21

Sending an offer, announcement, reminder, or other item directly to a person at a particular address
•tangible and creates emotional connection with customers
•effective competent of a broader integrated marketing campaign
•direct and personalized
•sent to consumers who wanted to receive it
•biggest issue: snail mail pace

Question 22

Catalog marketing

Answer 22

Print, video, or digital catalogs that are mailed to select customers, made available in stores, or presented online
•eliminates printing and mailing costs
•no space constraints
•broader assortment of presentation formats
•real time merchandising capabilities
•prices can be adjusted instantly

Question 23

Telemarketing

Answer 23

Selling directly to customers using the telephone
•outbound and inbound telephone marketing
•rise of do not call legislation resulted in opt in calling systems

Question 24

Direct response television (DRTV) marketing

Answer 24

Includes infomercials and interactive television advertising

Question 25

2003 National Do Not Call Registry

Answer 25

Manages by the FTC; bans most telemarketing calls to registered phone numbers

Question 26

Public policy issues in direct and digital marketing

Answer 26

• irritation, unfairness, deception, and fraud
• consumer privacy - fear of invasion of privacy, ready availability of information leaves consumers open to abuse
• a need for action
• unfairness - taking unfair advantage of impulsive buyers
• deception and fraud - investment scams or phony collections for charity, internet fraud, phishing, online and digital security, access by vulnerable or unauthorized groups

Question 27

Government actions

Answer 27

Do not call, do not mail, do not track lists, Can Spam legislation, Congressional legislation, FTC policing online privacy

Question 28

Self regulatory principles

Answer 28

Call for online marketers to provide transparency and choice to consumers if web viewing data is collected or used for targeting interest based advertising

Question 29

Advertising option icon

Answer 29

Little “I” inside a triangle, tells consumers they are seeing an ad and allowing them to opt out