Chapter 17--Vocab Flashcards
cost per inquiry (cpi)
The number of inquiries generated by a direct-marketing program divided by that program’s cost.
cost per order (cpo)
The number of orders generated by a direct-marketing program divided by that program’s cost.
creative selling
The act of assisting and persuading customers regarding purchasing decisions; creative selling typically involves products in which customers require extensive knowledge about the product before buying, such as specialty goods or higher-priced items (for example, sports equipment, cookware, insurance, or real estate).
cross-selling
Marketing programs aimed at customers that already purchase other products.
customer relationship management (crm)
The continual effort toward cultivating and maintaining long-term relationships with customers; many companies have recognized trust and rapport are key elements to repeated sales and thus train their sales teams to emphasize each particular customer’s needs rather than the bottom line.
direct mail
A direct-marketing medium that involves using the postal service to deliver marketing materials.
direct marketing
According to the Direct Marketing Association, “An interactive system of marketing which uses one or more advertising media to affect a measurable response and/or transaction at any location.”
direct response advertising
Advertising that asks the receiver of the message to act immediately.
external lists
Mailing lists purchased from a list compiler or rented from a list broker and used to help an organization cultivate new business.
frequency-marketing programs
Direct-marketing programs that provide concrete rewards to frequent customers.
infomercial
A long advertisement that looks like a talk show or a half-hour product demonstration.
internal lists
An organization’s records of its customers, subscribers, donors, and inquirers, used to develop better relationships with current customers.
mailing list
A file of names and addresses that an organization might use for contacting prospective or prior customers.
marcom manager
A marketing-communications manager who plans an organization’s overall communications program and oversees the various functional specialists inside and outside the organization to ensure that they are working together to deliver the desired message to the customer.
marketing database
A mailing list that also includes information collected directly from individual customers.
missionary salesperson
A person who proactively contacts customers after a purchase has been made, in order to ensure customer satisfaction and foster goodwill, by asking if the customer has questions about the product, providing additional information, and checking to see if the customer’s current needs have changed (and may present an opportunity for further sales).
order taking
The practice of accepting and processing needed customer information for pre-arranged merchandise purchase, or scheduling services that a consumer will purchase once rendered. While their role in the transaction process rarely involves communicating large amounts of information, order takers must be able to answer customer questions and be accommodating and considerate.
personal selling
The face-to-face communications and persuasions process, often used with products that are higher-priced, complicated to use, must be tailored to individual user needs, involve a trade-in, or are judged at the point of purchase.
rfm analysis
An analysis of how recently and how frequently a customer is buying from an organization, and of how much that customer is spending per order and over time.
system selling
Selling a set of interrelated components that fulfills all or a majority of a customer’s needs in a particular area.
telemarketing
A direct-marketing medium that involves using the telephone to deliver a spoken appeal.
