Chapter 20: The Mareting Mix (promotion And Place)

Question 1

Define promotion

Answer 1

Promotion: the use of advertising,sales promotion, personal selling, direct mail, trade fairs, sponsorship and public relations to inform consumers and persuade them to buy.

Question 2

Define promotion mix

Answer 2

Promotion mix: the combination of promotional techniques that a firm uses to sell a product.

Question 3

Define above the line promotion

Answer 3

Above-the-line promotion: a form of promotion that is undertaken by a business by paying for communication with consumers.

Question 4

Define advertising

Answer 4

Advertising: paid-for communication with consumers to inform and persuade, e.g. TV and cinema advertising.

Question 5

Below the line promotion

Answer 5

Below-the-line promotion: promotion that is not a directly paid-for means of communication, but based on short-term incentives to purchase.

Question 6

Define sales promotion

Answer 6

Sales promotion: incentives such as special offers or special deals directed at consumers or retailers to achieve short-term sales increases and repeat purchases by consumers.

Question 7

Define personal selling

Answer 7

Personal selling: a member of the sales staff communicates with one consumer with the aim of selling the product and establishing a long-term relationship between company and consumer.

Question 8

Define sponsorship

Answer 8

Sponsorship: payment by a company to the organizers of an event or team/individuals so that the company name becomes associated with the event/team/individual

Question 9

Define public relations

Answer 9

Publicrelations: the deliberate use of free publicity provided by newspapers, TV and other media to communicate with and achieve understanding by the public.

Question 10

Define branding

Answer 10

Branding: the strategy of differentiating products from those of competitors by creating an identifiable image and clear expectations about a product.

Question 11

Define marketing or promotion budget

Answer 11

Marketing or promotion budget: the financial amount made available by a business for spending on marketing/ promotion during a certain time period.

Question 12

Define channel of distribution

Answer 12

Channel of distribution: this refers to the chain of intermediaries a product passes through from producer to final consumer.

Question 13

Define internet (online) marketing

Answer 13

Internet (online) marketing: refers to advertising and marketing activities that use the Internet, email and mobile communications to encourage direct sales via electronic commerce.

Question 14

Define E-commerce

Answer 14

E-commerce: the buying and selling of goods and services by businesses and consumers through an electronic medium.

Question 15

Define viral marketing

Answer 15

Viral marketing: the use of social media sites or text messages to increase brand awareness or sell products

Question 16

Define intergrated marketing

Answer 16

Integrated marketing mix: the key marketing decisions complement each other and work together to give customers a consistent message about the product.