MARK 3321 Final Exam Flashcards
communication by marketers that informs, persuades, and reminds potential buyers of a product in order to influence an opinion or elicit a response
promotion
a plan for the optimal use of the elements of promotion: advertising, public relations, personal selling, sales promotion, and social media.
promotional strategy
the set of unique features of a company and its products that are perceived by the target market as significant and superior to those of the competition
competitive advantage
direct, face-to-face communication between two or more people
interpersonal communication
involves communicating a concept or message to large audiences
mass communication
the careful coordination of all promotional messages—traditional advertising, direct marketing, social media, interactive, public relations, sales promotion, personal selling, event marketing, and other communications—for a product or service to assure the consistency of messages at every contact point where a company meets the consumer
integrated marketing communications
public information about a company, product, service, or issue appearing in the mass media as a news item
publicity
to influence demand for a specific brand. Often, promotion becomes less informative and appeals more to emotions during this phase. Generally, this is where an emphasis on branding begins
competitive advertising
directly or indirectly compares two or more competing brands on one or more specific attributes
comparative advertising
is intended to stimulate primary demand for a new product or product category. Heavily used during the introductory stage of the product life cycle
pioneering advertising
identifies a reason for a person to buy a product
advertising appeals
the series of decisions advertisers make regarding the selection and use of media, enabling the marketer to optimally and cost-effectively communicate the message to the target audience.
media planning
that which is given up in an exchange to acquire a good or service.
price
refers to consumers’ responsiveness or sensitivity to changes in price
elasticity of demand
a situation in which consumer demand is sensitive to price changes
elastic demand
an increase or a decrease in price will not significantly affect demand for the product.
inelastic demand
an increase in sales exactly offsets a decrease in prices, so total revenue remains the same.
unitary elasticity
a cost that varies with changes in the level of output
variable cost
does not change as output is increased or decreased. Examples include rent and executives’ salaries.
fixed cost
uses the cost of buying the product from the producer, plus amounts for profit and for expenses not otherwise accounted for. The total determines the selling price
markup pricing
many small retailers mark up merchandise 100 percent over cost. (In other words, they double the cost.)
keystoning
sometimes called a “market-plus” approach to pricing because it denotes a high price relative to the prices of competing products
price skimming
charging a relatively low price for a product as a way to reach the mass market. The low price is designed to capture a large share of a substantial market, resulting in lower production costs
penetration pricing
charging a price identical to or very close to the competition’s price.
status quo pricing
aka meeting the competition or going rate pricing
When buyers get a lower price for buying in multiple units or above a specified dollar amount
quantity discounts
a price reduction offered to a consumer, an industrial user, or a marketing intermediary in return for prompt payment of a bill
cash discounts
When distribution channel intermediaries, such as wholesalers or retailers, perform a service or function for the manufacturer, they must be compensated. This compensation, typically a percentage discount from the base price
functional discount
a price reduction for buying merchandise out of season
seasonal discount
a payment to a dealer for promoting the manufacturer’s products. It is both a pricing tool and a promotional device
promotional allowances
a cash refund given for the purchase of a product during a specific period.
rebates
marketing two or more products in a single package for a special price
price bundling
any tool or service that uses the Internet to facilitate conversations
social media
online content that an organization creates and controls
owned media
a PR term connoting free media such as mainstream media coverage
earned media
content paid for by the company to be placed online
paid media
Blogs, microblogs, social networks, media creation and sharing sites, social news sites, location-based social networking sites, review sites, and virtual worlds and online gaming
social media tools of consumer and corporate-generated content
a publicly accessible Web page that functions as an interactive journal, whereby readers can post comments on the author’s entries
blog
blogs that exchange smaller posts than traditional blogs. Twitter, the most popular
microblogs
allow individuals to connect—or network—with friends, peers, and business associates.
social networking sites
allow users to upload and distribute multimedia content like videos and photos
media sharing sites
allow users to decide which content is promoted on a given Web site by voting that content up or down
social news sites
allow consumers to post, read, rate, and comment on opinions regarding all kinds of products and services
review sites
creators, critics, collectors, joiners, spectators, and inactives
six categories of social media users
Those who produce and share online content like blogs, Web sites, articles, and videos
creators
Those who post comments, ratings, and reviews of products and services on blogs and forums
critics
Those who use RSS feeds to collect information and vote for Web sites online
collectors
Those who maintain a social networking profile and visit other sites
joiners
Those who read blogs, listen to podcasts, watch videos, and generally consume media
spectators
