Marketing II Flashcards
What is a promotion?
The function of informing, persuading, and influencing a purchase decision.
What are the 3 customer-focused promotional strategies?
- Highlight product value
- Differentiate product
- Provide information
What are the 2 firm-focused promotional strategies?
- Increasing sales
- Stabilize sales
What is a Promotional mix?
The combination of personal and non-personal selling that marketers use to meet the needs of a firm’s target customers and to effectively and efficiently communicate its message to them
What is Personal selling?
The most basic form of promotion: a direct person-to-person promotional presentation to a potential buyer
What is Non-personal selling?
Forms of selling such as advertising, sales promotion, direct marketing, and public relations
What is Pushing strategy?
Promotion of a product to wholesalers and retailers in a company’s distribution channels
• Companies promote the product to members of the marketing channel, not to end users.
What is Pulling strategy
Promotion of a product by generating consumer demand for it, mainly through advertising and sales promotion appeals
• Potential buyers will request that retailers or local distributors carry the product, thereby pulling it through the distribution channel.
What do Most marketing promotional strategies require?
A combination of push and pull strategies
What is Cooperative advertising?
Allowances that marketers provide to share with channel partners the cost of local advertising of their firm’s product or product line
What are the 5 elements of the promotional mix?
- Advertising
- Personal selling
- Sales promotion
- Public relations
- Sponsorships
What are the (3) advantages and (2) disadvantages of Advertising?
Advantages:
- Reaches large consumer audience at a low cost per contact
- Allows strong control of message
- Message can be modified to suit different audiences
Disadvantages:
- Difficult to measure effectiveness
- Limited value for closing sales
What are the (3) advantages and (2) disadvantages of Personal selling?
Advantages:
- Message can be tailored for each customer
- Produces immediate buyer response
- Effectiveness is easily measured
Disadvantages:
- High cost per contact
- High expense and difficulty of attracting and retaining effective salespeople
What are the (3) advantages and (2) disadvantages of Sales promotion?
Advantages:
- Attracts attention and creates awareness
- Effectiveness is easily measured
- Produces increases in short-term sales
Disadvantages:
- Difficult to differentiate from similar programs of competitors
- Nonpersonal appeal
What are the (2) advantages and (2) disadvantages of Public relations?
Advantages:
- Improves trust in a product or firm
- Creates a positive attitude about the product or company
Disadvantages:
- Difficult to measure effectiveness
- Often devoted to nonmarketing activities
What are the (2) advantages and (1) disadvantage of Sponsorships?
Advantages:
- Viewed positively by consumers
- Enhances brand awareness
Disadvantages:
-Difficult to control message
What are the 6 types of advertising?
- Product advertising
- Institutional advertising
- Informative advertising
- Persuasive advertising
- Comparative advertising
- Reminder-oriented advertising
What is Product advertising?
Messages designed to sell a particular good or service
What is Institutional advertising?
Messages that promote concepts, ideas, or philosophies. It can also promote goodwill toward industries, companies, organizations, or government entities
What is Cause advertising?
A form of institutional advertising that promotes a specific viewpoint on a public issue as a way to influence public opinion and the political process
What is Informative advertising used for?
Informative advertising is used to build initial
demand for a product in its introductory phase
What does Persuasive advertising attempt to do?
Persuasive advertising attempts to improve the competitive status of a product, institution, or concept, usually in its growth and maturity stages.
What is Comparative advertising used for?
Comparative advertising compares products directly with their competitors, either by name or by inference.
What is Reminder-oriented advertising used for?
Reminder-oriented advertising maintains awareness of the importance and usefulness of a product in its late maturity or decline stages.
What are the 6 traditional forms of advertising?
- Television
- Radio
- Newspapers
- Magazines
- Direct mail
- Outdoor advertising
What are other forms of advertising? ()
- Online and interactive advertising
- Sponserships
What are 8 types of consumer-oriented promotions?
- Premiums
- Coupons
- Rebates
- Samples
- Games
- Contests
- Sweepstakes
- Specialty advertising
What are Trade-Oriented Promotions?
Sales promotion geared to marketing intermediaries, not to final consumers
Trade-Oriented Promotions encourage retailers to…(3)
-To stock new products
-To continue carrying existing ones
-To promote both new and existing products
effectively to consumers
What are two Trade-Oriented Promotions?
- Trade shows
- Point-of-purchase (POP) advertising
What is Product placement?
A form of promotion where marketers pay placement fees to have their products featured in various media, from newspapers and magazines to television and movies
What is Guerilla marketing?
Innovative, low-cost marketing efforts designed to get consumers’ attention in unusual ways.
Firms focus on personal selling under four conditions:
- Few, geographically concentrated customers
- Product is technically complex, involves trade-ins, or requires special handling
- Product carries a relatively high price
- Product moves through direct-distribution channels
What are 4 sales tasks?
- Order processing
- Creative selling
- Telemarketing
- Missionary selling
What is Order processing?
A form of selling used mostly at the wholesale and retail levels; involves identifying customer needs, pointing out products that meet those needs, and completing orders
What is Creative selling?
A persuasive type of promotional presentation
– Promotes a good or service whose benefits are not readily apparent or whose purchase decision requires a close analysis of alternatives
What is Telemarketing?
Personal selling by telephone, which provides a firm’s marketers with a high return on their expenditures, an immediate response, and an opportunity for personalized two-way conversation
What is Missionary selling?
An indirect form of selling in which the representative promotes goodwill for a company or provides technical or operational assistance to the customer
What are the 7 steps of the sales process?
- Prospecting and qualifying
- Approach
- Presentation
- Demonstration
- Handling objections
- Closing
- Follow-up
What is Prospecting and qualifying?
Prospecting is identifying potential customers. Qualifying is identifying potential customers who have financial ability and buying authority.
• Done through direct mail responses, personal visits from sales representatives, email, electronic social media
What is approaching?
Analyzing available data about a prospective customer’s product lines and other pertinent information.
What is presentation?
Salespeople communicate promotional messages.
They may describe the major features of their products, highlight the advantages, and cite examples of satisfied consumers.
What does demonstration do?
Reinforces the message that the salesperson has been communicating.
What are 3 important aspects about closing?
- Use objections as an opportunity to answer questions and explain how the product will benefit the customer.
- The closing is the critical point in the sales process;
asking the customer to buy. - Even if the sale is not made, the salesperson should
regard the interaction as the beginning of a potential
relationship.
What are 2 important aspects about follow-ups?
- An important part of building a long-lasting
relationship. - May determine whether the customer will
make another purchase.
