exam 1; chapters 1-5 Flashcards
What does IMC stand for?
Integrated Marketing Communications
What does IMC involve?
Coordinating the various promotional elements and other marketing activities that communicate with a company’s customers.
value definition
a customer perception of all the benefits of a product/service vs the costs of consuming
4 p’s definition
product, price, place (distribution) and promotion
brand identity
factors such as logo, symbols, design, product performance; builds relationships with consumers
brand equity
trust in a brand; IMC plays a role in this
branding pillars
what a company stands for; a strong brand consistently answers that question
primary vs secondary research
Primary research is research you gather yourself
Secondary research is research others have gathered
types of consumer insights
demographics, psychographics, lifestyle and behavior
tools in promotional mix
advertising, direct marketing, digital marketing, sales promotion, publicity, professional selling
advertising definition
any paid form of nonpersonal communication about a product/service by an identifiable sponsor; reaches large audiences
direct marketing definition
organizations communicate directly to consumers to generate a response; mail, categories, telemarketing
Digital Marketing definition
Interactive media allow for a two-way flow of communication whereby users can participate in and modify the form and content of the information they receive in real-time
sales promotion definition
marketing activities such as coupons and samples that provide incentives to the consumer and sales force
publicity definition
nonpersonal communications regarding an org, product, service NOT sponsored or controlled by org
PR definition
the communication process that builds beneficial relationships between orgs and their consumers; sponsored and controlled by org
personal selling definition
personal communication where the seller tries to persuade people to buy their product/service
different types of touch points
- company created (advertisements)
- intrinsic (employee interactions)
- unexpected (word of mouth)
- customer initiated (customer contacts company)
types of media
paid
owned
earned
SWOT analysis
strengths, weaknesses, opportunities, threats
strategy vs tactic
strategy: plan to achieve your goal (broad)
tactic: how to execute your plan
market segmentation
dividing a marker into distinct groups to more efficiently market product to similar audiences
geographic segmentation
division by geographic units
demographic segmentation
division by sex, age, family size and income
psychographic segmentation
division on personality and lifestyles
behavioristic segmentation
division by product usage, loyalties and buying responses
benefit segmentation
consumers look for products for their needs and wants
external research companies for segmentation
VALS + PRIZM (psychographics)
Nielsen (demographic)
steps to select the target market
1) determine how many segments to enter
2) determine which segments offer the most potential
undifferentiated market
involves ignoring segment differences and offering one product/service to the entire market
differentiated market
marketing to many different segments
concentrated market
one segment selected and a large part of the market is captured
market positioning:
the art and science of fitting the product or service to one or more segments of the broad market in such a way as to set it apart meaningfully from the competition.
salient attributes
things that are important to consumers for making a purchase
branding
building and maintaining the brand identity of the company and its products/ services
purpose of advertising
sell more product
Maslow’s hierarchy of needs
self-actualization
esteem needs
belongingness and love needs
safety needs
physiological needs
participants in the IMC process
clients, advertising agencies, agencies of record, media organizations, specialized marketing communication services, collateral services
advertising managers are responsible for
all promo activities except sales, the control the centralized system
decentralized system is used when…
large companies with many divisions cannot manage all advertising under one system; brand manager does this job
in house agencies
adv agency set up and run by advertiser; the industry is moving this way because cost-effective and product knowledge
ad agencies
service org that specializes in planning and executing ad programs
major holding companies
industry term used to describe the parent
Advertising Agency companies that own smaller advertising agencies
typically have an excess of $5 Billion dollars in gross worldwide
types of ad agencies
Creative services: Create ads
Copywrites: write headlines, subtitles, and copy
management and finance: basic operating functions (accounting and HR)
what is the traditional form of agency compensation?
commission system (15%)
types of fee arrangement systems
fixed fee and fee commission combo
cost plus agreement
client pays agency fee on an agreed upon profit margin
incentive based system
agencies are compensated above costs if they exceed expectations
consumer behavior def
process and activities people engage in when searching for, selecting, purchasing, using, evaluating, and disposing of products and services to satisfy their needs and desires
what is motivation research
methods of research used to gain insight into consumer behavior
stages of decision process
- problem recognition
- Information search
- Alternative evaluation
- purchase decision
- post purchase evaluation
what do advertisers try to understand
to understand specific needs consumers are trying to satisfy
what is the evoked set and what does it do
evoked set is brands the consumer is aware of, once its established, evaluation begins of consequences and feelings
what is the overall goal of a purchase decision
brand loyalty
what kind of factors influence consumer decisions
external
agency that offers its clients a full range of marketing, communications, and promotions services is a(n):
full service agency
This communications model assumes consumers pass through a series of steps in sequential order from initial awareness of a product or service to actual purchase:
Hierarchy of effects model
Thoughts the receiver has that are opposed to the position taken in advertised message are
feedback
The coordination of all seller-initiated efforts to set up channels of information and persuasion in order to sell goods and services or to promote an idea is considered
Promotion
The document that the agency’s creative department uses to guide the development of advertising ideas and concepts is the
creative brief
What a product or service means to consumers and what they experience in purchasing and using it is
customer experience
This statistical tool is used to develop an audience segmentation:
cluster analysis
During the World Cup, McCann created a campaign for Coca-Cola that featured the soccer team from which country
egypt
The creative team often includes a copywriter and a
art director
Consumers choose whether or not to make themselves available to information. This is called
selective exposure
In the Elaboration Likelihood Model, this route to persuasion is most effective when a consumer is in the market for a product
central
When thinking about the stages in the consumer decision-making process, this stage that involves considering functional and psychosocial consequences
alternative evaluation
During the post-purchase evaluation stage of the consumer decision-making process, consumers look for:
supportive information
When competing against other “owned brands,” it is important that brands make an effort to
not cannibalize each other
The reward or favorable consequence associated with a particular response is a(
Thoughts the receiver has that are opposed to the position taken in advertised message are:
Consumers often try different brands due to their:
The reinforcement of successive acts that lead to a desired behavior pattern or response is known as:
shaping
The standard learning model, one of the alternative response hierarchies, posits that consumers’ sequence is ordered as:
learn, feel, do
An outside firm that specializes in the creation, production, and/or placement of the communications message and that may provide other services to facilitate the marketing and promotions process is an:
advertising agency
Color can be associated with five brand personality dimensions which include all of the following except:
longing
The person responsible for understanding the advertiser’s marketing and promotions needs and interpreting them to agency personnel is the:
account executive
Advertising targeted to marketing channel members such as wholesalers, distributors, and retailers is considered:
trade advertising
The cost/benefit analysis in which consumers engage is known as the:
value equation
