Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

MKTG 301 > Final Exam > Flashcards

Final Exam Flashcards

1
Q

What is CRM

A

Customer: focus on the customer as they are the source of revenue + profit = * Assists
Relationship: Approach/philosophy is explicitly dynamic and involves both the firm + customer
Managment: maintenance + improvement, this is ongoing activity (acquisition, retention, enhancement.)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

What is the concept behind CRM

A

customer relationship management. refers to practices, strategies and technologies that companies use to manage and analyze customer interactions and data throughout the customer lifecycle, with the goal of improving business relationships with customers, assisting in customer retention and driving sales growth.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

Approaching Value

A

2X2 Matrix- X&Y: value to customers. High x2 vulnerable customer, low- high is lost cause, low-low is a free rider and high-low is a star customer.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

Why are customers an asset

A

investing process (advertising, introductory prices, direct solicitations). Yield streams of revenue over time. Retention maintenance (special offers, product development).

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

How are customers profitable over time

A

profit from… Price premium, referrals, base profits, reduced cost, increased purchase.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

What is customer lifetime value

A

net present value of all future streams of profit a customer generates over the life of his/her business

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

relative CLV & absolute CLV equation

A

relative clv: clv= M(r/1+i-r)-AC
absolute clv: clv= M (r/1+i-r)
M= Margin (profit), i= discount rate, r= retention rate, AC= acquisition cost

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

What are the core strategies of CRM

A

Acquisition: consumers make initial purchase decision based on customer perceived value. Target new customers, trier-rejectors, former customers
Retention: product/service performance, strong customer loyalty, less expensive to maintain, long-term viability of firms. Customers make loyalty decisions based on customer satisfaction.
Expansion: (add-on selling) ex: at&t acquires you as a customer for their cellular telephone service, what else can they sell you (home securty, internet, etc).

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

what is customer perceived value

A

evaluation of the difference between benefits + all costs of market offering relative to competitors.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

How do you know if you should acquire customers (equation)

A

[Clv= M(r/1+i-r)-AC] > 0

Relative clv > 0

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

what is customer satisfaction

A

depends on products performance relative to buyer expectations

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

How do you if you should continue to retain customers (equation)

A

[CLV=m(r/1+i-r)] > cost to retain

keep if absolute CLV is greater than cost of return

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

What are the components of the advertising funnel

A

top –> bottom:

  1. need recognition
  2. information search
  3. evaluation of alternatives
  4. purchase decision
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

what are the objectives of advertising

A

awareness: target market is aware of service/product
top of mind awareness: first brand that comes to mind in situations
informative: target market has info. on product/service
image: unique, strong, favorable brand associations
comparative: compare with other identified competing brands
retargeting/ remarketing: target customers very close to decision, ex: web search –> ad. follow-on other pages

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

how are advertisements executed

A

comparative, fear, emotional appeal, humor, celebrity endorsement

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

how is global advertising different

A

cultural differences (customize ads to their values and beliefs)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

psychological + economics factors in pricing

A

economics: typically assume people to be smart and objective- no emotion
psychological: consumers evaluate goods–> do not necessarily follow economics assumptions
( relative judgment, reference prices, loss aversion, mental accounting, perception of price difference).

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

what is the reference dependence

A

people evaluate prices based on reference point

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

what is loss aversion

A

losses hurt more than gains make you happy

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q

reference dependence and loss aversion is what theory

A

prospect theory

21
Q

what is mental accounting in economics + psychology

A

economic: money is fungible
psychology: consumers spend money differently depending on specific purpose ( “naive accountants”, amounts assigned to mental account are fungible, amounts across mental accounts are NOT fungible )

22
Q

What is the perception of price differences in economics and psychology

A

economics: price difference assessed in absolute terms
psychology: people perceive price differences in relative terms influenced by the price format ( consumers perceive price difference in “relative terms” and sensitive to format- discount, 9-didget ending).

23
Q

what are relative judgment in economics and psychological terms

A

economics: people evaluate goods in absolute terms
psychology: people make judgments in relative terms, influenced by losses > gains

24
Q

what is a reference price

A

the fair price, price often charged, last price you paid, placement, other items prices

25
Q

what are ad exchanges

A

connects websites to advertisers, most popular is from google -adexhchange.

26
Q

What are the four type of display ads

A

banner
video
rich media
sponsorship

27
Q

when is a banner display ad effective

A

used the most frequently and most common, they are the most persuasive

28
Q

when is a video display ad effective

A 
video ads increase engagement- ex. hulu & youtube 
(click to play CTP)
-pre- roll: plays before video 
-post-roll: plays after video
-in stream: plays in middle of video
29
Q

what is a rich media display ad

A

to create an interactive experience (game, video, action)

30
Q

what ad is only specific to google

A

text ad

31
Q

what is a sponsorship display ad

A

take over property- pay premium to “own” web page

32
Q

what are the 4 ad pricing models

A

CPM- cost per thousand
CPC- cost per click
CPA- cost per acquisition
CPD-

33
Q

what is CPM and when is it important

A

cost per thousand- visibility matters most, used for branding not necessarily for action

34
Q

What is CPC and when is it important

A

cost per click- when clicks matter most, impression are free, every click incurs a charge

35
Q

What is CPA and when is it important

A

cost per acquisition- when conversions matter most, used for DR-heavy advertisers. Best option for direct response advertisers

36
Q

What is CPD and when is it important

A

sponsorship or page take-over cost per day. advertisers opportunity share voice on publisher site on youtube, facebook, Gmail.

37
Q

what is google display network- who does it target

A

content: where are they
audience: who are they

38
Q

Purchase funnel with awareness to Brand response + Direct Respons e

A

Brand response: awareness + interest

Direct Response: discovery, consideration, sale

39
Q

What are the 6 targeting ad types

A 
topic targeting
placement targeting
reserve
interest
keyword contextual
re-marketing
40
Q

what is a topic targeting ad

A

broadcast of content based targeting, precise site-level targeting. Ad dynamically targets across topics selected in advance, broad impression reach –> high view through conversion

41
Q

what is a placement targeting ad

A

hand pick specific site one which ads appear, using double click ad planner. Advisors identify sites very brand safe environment. low prices

42
Q

what is a reserve targeting ad

A

guaranteed impression across packs of GNS and youtube. brand safe inventory for fixed CPM price. ex. wall street, new york times, BBC, The guardian on top publisher pages. reach and accuracy at fixed price

43
Q

what is an interest targeting ad

A

match relevant ads across the google display network, regardless of relevancy of a specific pg content. User has control over defined interest by ad

44
Q

what is a keyword contextual ad

A

biggest ad inventory in the market, increased CTR –> decrease CPC’s and more efficiency for both DR

45
Q

what is a re-marketing targeting ad

A

amplifies all your marketing efforts by pinpointing those who “raised hand” by visiting sites/start purchase process. opportunity to reach pre-qualified audience to close the deal

46
Q

what are the 3 Creative decision filters

A

Brand Filters
Communication filter
campagin filter

47
Q

what is the creative selection like

A

not artsy + gut feeling process as many imagine
brand communication depends on drama + metaphor to persuade
literal translation of strategy to ads = disaster
quantitative + based on framework of filtered decision-making

48
Q

Mountain dew live case details

A

objective: appeal to new users as well as re-enforce old users
positioning: 18-year-old males- embracing excitement
communication strategy: symbolize drinking gives an exhilarating experience
target: male 18-year-old- ensure appeal to current users male 29-30, diverse universal appeal
product benefit: energy, quenching, great taste
emotional benefit: excitement
personality: daring, fun

  • cheetah ad won
49
Q

Moutian dew live case- cultural changes

A

New ad campaign from “do the dew” for 2000 super bowl. Cultural trends: rap music + raves & techno music (red bull)
sports- highly technical and dangerous, extreme games

MKTG 301 (2 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions