MKTG 301 Exam 3 Flashcards
What is the goal of the promotion mix?
communicate customer value and build customer relationship
What is owned media?
a company’s social media/website
What is shared media?
a company has a social media account, and someone shares it
What is earned media?
third party mentions like Today Show picking up a story
What are the characteristics of advertising?
Paid
Nonpersonal communication
Identified sponsor
What is narrowcasting?
being very narrow and targeting specific markets
What is informative advertising?
Build primary demand
Good for introducing a new product category
What is persuasive advertising?
Build secondary demand (preference)
Good for direct or indirect brand comparisons
What is reminder advertising?
Increase frequency of purchase
Good for mature products
With setting the advertising budget, what is the affordable method?
company starts with total revenues, deducts operating expenses and capital outlays, and then devotes some portion of the remaining funds to advertising
With setting the advertising budget, what is the percentage of sales method?
business owner decides on a fixed percentage and then allocate that amount to the advertising budget
With setting the advertising budget, what is the competitive parity method?
company spends the same amount of money on advertising and marketing as its competitors
With setting the advertising budget, what is the objective and task method?
marketer decides the objective to be accomplished and the tasks necessary to achieve the objective, estimates cost
What is the Big Idea in an ad?
compelling creative concept
With ad execution styles, what is Slice of life
Showing a typical person using a product in a normal setting
With ad execution styles, what is Lifestyle
Showing how products fit with particular lifestyle
With ad execution styles, what is Fantasy?
Creates a fantasy around the product or its use
With ad execution styles, what is Mood/Image?
Build mood or image around product
With ad execution styles, what is Musical?
Shows someone singing about the product
With ad execution styles, what is Personality Symbol?
Character that represents the product
With ad execution styles, what is Technical Expertise
Show company expertise at making the product
With ad execution styles, what is Scientific Evidence?
Present survey or scientific data showing that the brand is better than other brands
With ad execution styles, what is Testimonial
Highly believable or likeable source endorsing the product
What are media vehicles?
Places where ads can be put
Magazines n shit
What is media scheduling?
Continuity, flighting (holidays), pulsing (somewhat random)
What is reach?
Percentage of target market exposed to ad during a given period
What is frequency?
Number of times a person in the target market is exposed to ad
What is media impact?
Qualitative value of an exposure through a given medium
When evaluating advertising effectiveness, what are the communication effects?
recall ability for ads
Attitude changes over the course of an ad
When evaluating advertising effectiveness, what are the Sales and Profit effects?
Experiments (price changes, limiting factors)
Exam Question: What media scheduling strategy do snowboots follow?
flighting
Exam Question: What media scheduling strategy does toothpaste follow?
continuity
know maslows social needs
What does having good public relations do for a company
Obtain favorable publicity
Build up a good corporate image
Handling unfavorable rumors, stories, and events
What is undercover marketing?
Marketing to people who do not know that they are being marketed to, stealth marketing
What is personal selling?
Salesperson covers a wide range of positions from order takers to order getters
A step in the selling process, Prospecting and Qualifying , is…
Obtain leads and scout out qualified prospects, Referrals, Directories, Cold calling
A step in the selling process, Preapproach , is…
Learn as much as possible about a prospective customer before making a sales call, established an objective and way of approach
A step in the selling process, Approach , is…
Salesperson meets the customer for the first time, opening line, key questions, attention to questions
A step in the selling process, Presentation and Demonstration , is…
Salesperson tells the product story, highlighting customer benefits
A step in the selling process, Handling Objections , is…
Salesperson seeks out, clarifies, and overcomes customer objections to buying
seek out hidden objections, refer to core values and emotions
A step in the selling process, Closing , is…
The salesperson asks the customer for the order, must recognize closing signals
A step in the selling process, Follow Up , is…
Follow up after the sale to ensure customer satisfaction and repeat business
What is the “magic wand step” in the selling process?
How does the customer feel about something?
What is outside sales force?
outside physical office looking for new leads
What is inside sales force?
pursuing existing leads
What is territorial sales force?
salesperson assigned to exclusive area and sells full line of products
What is product in the sales force?
sales force sells only certain product lines
What is the customer sales force?
sales force organized by customer or industry
What is the complex sales force?
combination of several of the above is most common for nationwide companies
With sales promotion techniques, what is sampling?
provides samples to introduce new product or create new excitement for existing product
With sales promotion techniques, what is couponing?
Promotes early trial of new brand or stimulates sales of mature brand
Redemption rate has declined; coupons targeted more carefully
What is geofencing?
Companie uses your location and gives you a coupon to try to draw you into their business
what is geoconquesting?
Purchasing sneakers within 90 seconds when at competitors stores
With sales promotion techniques, what is premiums?
Free toy in McDonalds meal
With sales promotion techniques, what is advertising specialities?
Promotional products
With sales promotion techniques, what is Promotional products?
Rewards from eating out, reward for frequent purchases
With sales promotion techniques, what is Point of Purchase Promotions?
Want quick consumer response
One time discount/coupon for right now
Exam Question: What type of media is Nike’s Instagram accounts, Facebook accounts?
owned media
Explain digital marketing
fastest growing form of marketing, over half of all advertising in U.S
What is the purpose of companies creating a digital marketing persona?
to find out…
What does someone want
What brands does someone like
What would make their life easier
Life concerns/life goals
Who/what influences them
What is consumer omni-channel behavior?
Create a seamless cross-channel experience that integrates in-store, online, and mobile shopping
What is omni channel retailing?
Creates a seamless cross-channel experience that integrates in-store, online, and mobile shopping
automates key tasks
What is the point of marketing websites?
engages consumers to move them closer to a direct purchase or other marketing outcome
What do brand community websites do?
presents brand content that engages consumers and creates customer-brand community
What are thumb breakers in advertising?
makes you stop scrolling (insane headline)
What are search related ads?
paid search and organic search, top of google results
What is above the scroll?
idea area where product gets seen more
What is email marketing?
track your data, high return on investment
back to school emails, holiday emails
What is viral marketing?
ideos, ads, and other marketing content that marketers seek out and pass along to friends
What are blogs?
online journals of narrowly defined topics where people and companies post their thoughts and other content
What is mobile marketing?
promotional content delivered to consumers through their mobile devices
What is social media marketing?
independent and commercial online communities where people congregate to socialize and share
What are the advantages of social media marketing?
targeted and personal
Interactive
Immediate and timely
Cost effective
Engagement and social sharing capabilities
What are the advantages of social media marketing?
Effective usage uncertain
Difficult to measure results
Largely user controlled
What are micro moments?
I want to know moments
I want to go moments
I want to do moments
I want to buy moments
What is direct marketing?
Direct communications with carefully targeted individual consumers to obtain an immediate response
What is direct mail and catalog marketing?
sending an offer, reminder, announcement, or booklet to a person at a particular address
What is direct response TV?
direct marketing via television, which elicits an instant response (order the product), used by small and big companies
B2C marketing
Business to consumer, initiated by a business, targeted to a consumer
Dicks Sporting Goods
B2B marketing
Business to business, initiated by a business, targeted to a business
Amazon Business
C2C marketing
Consumer to consumer, initiated by a consumer, targeted to a consumer
ETSY
C2B marketing
consumer to business, initiated by consumer, targeted to a business
Consumer submit ideas to starbucks
Exam Question: When considering pricing strategies, marketers are most in favor of what?
What are the 7 C’s of website design?
Context: layout and design
Context: text, pictures, video
Customization: users can customize site
Communication: user-site communication
Community: user-user (Amazon reviews)
Connection: site is linked to other sites
Commerce: site enables transactions
What is cost based pricing?
Calculate cost, add markup and get the price
What is competition based pricing?
Look at what competition is doing, copy, and get the price
Market skimming pricing, which is part of value based pricing, is…
Skimming the top of the market to get people who are willing to pay a premium
Market penetration pricing, which is part of value based pricing, is…
Pricing just above cost and make profit by selling in high volume, used when consumers are price sensitive (walmart)
What is product line pricing?
Making similar products priced differently according to different tiers (Apple iPhone pricing)
What is optional product pricing?
Something that has no utility (Fortnite skins)
What is discount pricing?
Cash. Quantity, functional, seasonal (Discount for black Friday)
What is segmented pricing?
Customer segment, product form, location, time (discount price for kid at movie)
What is relative reference price?
Wanting to save 5$ on a phone case but not a laptop
What is psychological pricing?
different numbers for ending price, (8 and 9 are bigger bargains, 7 is bad)
What is promotional pricing?
loss leader is usually a product that gets consumers into the store
What is geographic pricing?
In close is the cheapest and as you go farther out from the store the price goes up (bounce house is more expensive to deliver far away)
What is dynamic pricing?
Fluctuations in price based on supply and demand
What is financial value?
Cost savings, earnings opportunities
What is emotional value?
Status, safety, sense of belonging
What does public policy protect competitors from?
price fixing and predatory pricing
What is price fixing?
talking with competitors to set prices
What is predatory pricing?
selling below cost with the intention of punishing a competitor or putting them out of business
What does public policy protect consumer from?
Price discrimination, Price maintenance, Deceptive pricing
What is price discrimination?
ensure same price to customers at given level of trade
What is price maintenance?
requiring dealers to charge a specified retail price
What is deceptive pricing?
seller state price that may mislead customers
Why do manufacturers need channels?
going straight to the consumer can be difficult for companies, let others handle process
What is a vertical marketing system?
producer, wholesaler, and retailer work together to provide value
What is a corporate vertical marketing system?
Corporation owns production and distribution (grocery stores own bakery, ice cream)
What is a contractual vertical marketing system?
Individual firms join together through extensive contracts, includes franchises
What is administered vertical marketing system?
leadership through the size and power of dominant channel members (channel captains), look at those involved in supply chain (wholesaler, producer) put in charge and makes large decisions, usually most powerful member of supply chain, takes a lot of trust
What is a horizontal marketing system?
Two or more companies at one level join together to follow a new marketing opportunity (subway in a walmart), goal is to match supply and demand
What is marketing logisitcs?
Suppliers to (inbound logistics) company to (outbound logistics) resellers to customers (can be returned at any point in logistics chain
warehousing, inventory management, transportation
What is disintermediation?
Eliminating marketing intermediaries from a channel
Radically new types of intermediaries that displace traditional ones
Exam Question: A conventional marketing system is…
best way to distribute products, contains channel members who act as seperate profit making entities, is the same as vertical marketing system
AMA statement of ethics
Marketers must do no harm
Marketers must foster trust in the marketing system
Marketers must embrace, communicate and practice the fundamental ethical values that will improve consumer confidence in the integrity of the marketing exchange system
Honesty, an AMA ethical value, is
to be truthful and forthright in our dealings with customers and stakeholders
Checkmarks that helped shoppers easily identify smarter food and beverage choices were found to be misleading
Responsibility, an AMA ethical value, is
To accept the consequences of our marketing decisions and strategies
When texting came out, texting while driving became an issue, apple added do not disturb
Fairness, an AMA ethical value, is
To try to balance justly the needs of the buyer with the interests of the seller
Respect, an AMA ethical value, is
To acknowledge the basic human dignity of all stakeholders
Openness, an AMA ethical value, is
Create transparency in our marketing operations
Citizenship, an AMA ethical value, is
To fulfill the economic, legal, philanthropic, and societal responsibilities that serve stakeholders in a strategic manner
What are the 7 C’s of website design?
context
content
customization
communication
community
connection
commerce
