Place and promotion Flashcards
What is a situation analysis?
An appraisal of a company’s competencies and environment
What is the SWOT analysis?
Strengths
Weaknesses
Opportunities
Threats
What is a microenvironment?
External groups with which the company must manage relationships
What is the value delivery network?
All the members of the microenvironment in creating and delivery value to customers - company, suppliers, distributors, customers
What is the internal environment?
Must be kept customer-focused - internal partners
What are the suppliers?
Provide the resources needed by the company to produce its g/s
What are the marketing intermediaries?
They help the company to promote, sell, and distribute its products to final buyers - physical distribution, marketing services
What are the customers?
They must be considered as part of your value chain
What the competitors?
Who are they and what are they doing?
Who is the public?
Any group with an actual/potential interest in the company
What is the standardized global marketing?
Using the same marketing strategy and 4Ps in all of the company’s international markets
What is the adapted global marketing?
Adjusting the marketing strategy and 4Ps to each international target market
What is the macroenvironment?
External forces that the company cannot control
What is the demographics?
As demographics change, companies need to take note, and both anticipate and respond
What is the economic forces?
Impact consumer buyer power/spending
What is the natural?
The physical environment and natural resources needed as inputs by the company or affected by the company
What is the techonology?
New tech create new markets and new opportunities to differentiate the product
What is the political?
Legal and regulatory forces that influence or limit various organizations and individuals within or between countries
What is the cultural?
Institutions and other forces that affect a society’s basic values, perceptions, and behaviors
What is the cultural environment?
Core beliefs and values have a high degree of persistence
Secondary beliefs and values are more open to change
How can you respond to the environment?
Reactive firms passively accept the marketing environment and do not try to change it
Proactive firms develop strategies to change the environment where possible:
- they manage relationships with groups
- they take aggressive actions to affect the groups
- socially responsible companies seek out ways to protect the long-run interests of their environment
What does place mean?
Supply chains, distribution channels, marketing logistics, retailing and wholesaling
What are upstream partners?
Supply materials, information, finances, expertise, etc.
What are downstream partners?
Serve as distribution channels that link the firm and its customers
What are marketing channels?
Describe the relationship among marketing intermediaries that help make a product/service available to the customer
What are wholesalers?
Involved in all the activities of selling goods and services to those buying for resale or B2B use
What are retailers?
Businesses involved in selling goods or services directly to consumers
How are retailers classified?
- Relative price
- Breadth and depth of the product assortments
- Amount of service offered:
- Self-service retailers
- Limited-service
- Full-service
What is a whole-channel view?
Refers to designing an international value delivery network that accounts for the entire global supply chain and marketing channels
What is vertical integration?
Producers, wholesalers
Incorporating or taking control over an actor at a different level of marketing channel
Examples include:
Contractual
Corporate
What is horizontal integration?
2 or more companies at the same level of a marketing channel join together to pursue a new marketing opportunity or a common target customer
ie. starbucks at target
What are multichannel distribution systems ?
Using multiple channels to reach customers, often meaning that customers can access your product in multiple ways
What are the different multichannel distribution systems?
Exclusive - Tesla
Selective - Black toilet paper
Intensive - Coke
What is disintermediation?
Removing a level in the marketing channel
ie. drones for amazon deliveries
What are the marketing logistics?
Logistics refer to managing distribution channels
What do logistic functions include?
Warehousing and inventory management
Transportation
Information management
What are storage warehouses?
Store goods for moderate to long periods
What are distribution centers?
Large, automated warehouses that manage their inventories to efficiently deliver goods to customers
What is inventory management?
Just-in-time logistics
What in information management?
Communication within the firm, between channel partners, customers
Examples of logistics partnerships?
Vendor-managed inventory
3rd party logistics
What is promotion?
Activities that involve communication with members of the microenvironment
What is the promotion mix?
It is a blend of promotion tools:
PR
Sales promotion
Personal selling
Direct and digital marketing
What is advertising?
The paid, non-personal presentation of ideas, goods, or services by an identified sponsor
What are the steps for advertising?
- Set advertising objectives
- Create advertising messages
- Select advertising media
- Set a budget and evaluate ROI
What is setting advertising objectives?
Informative advertising, persuasive advertising and reminder advertising
What is creating advertising messages?
Grabbing attention and be memorable
What is selecting advertising media?
With what media does the target audience engage?
What is PR?
Involves building good relations with the company’s microenvironment
What are PR tools?
Press - newsworthy moments for media
Public affairs - building relationships with adjacent publics
Lobbying - building relationships with regulators in the government public
Investor relations - managing relations with investors and wider financial public
What are sales promotions?
Short-term incentives to
encourage a desired behavior, often the purchase or sale of a product
How are sales promotions tactics categorized?
Consumer promotions, trade promotions, sales force promotions
What does personal selling involve?
The company’s sales force
interacting with customers for engagement, making sales, and building relationships
What is the most important job of a sales manager?
Compensation - commissions, quotas and sales force promotions
Scheduling
What is direct marketing?
Using personalized efforts to obtain an immediate response and/or build lasting relationships with carefully selected individuals or communities
Traditional and digital methods
What is a push strategy?
Incentivizing movement of
the product through a marketing channel
What is a pull strategy?
Inducing final consumers to
buy the product, causing intermediaries to derive
demand for the product from a produce
What are digital marketing strategies?
Owned media - websites, blogs, etc.
Paid media - display ads, paid influencers, paid content, etc.
Earned media - mentions, shares, reviews, etc.
What is content marketing?
Making and distributing
engaging material that consumers will seek out
What do you need to consider when selecting an influencer?
Relevance, resonance, reach, relationship, risk
What is integrated social media marketing?
Social media efforts that blend with and support other elements of the Promotion Mix
What is inbound marketing?
Consumers come to your online channels for your content and offers
Includes content marketing
What is omni-channel retailing
Seamless buying experience across in-store, online, and mobile
What is a merchant?
Operates similarly to retails but they sell to just businesses
What is a broker?
An individual who looks at someone who is looking to sell something and brings them together with someone who wants to buy it
What is an agent?
If a broker is loyal to one side, then it is an agent
What is predatory targeting?
Targeting consumers who you are vulnerable to a given message rather than interested in your product
What is digital red lining?
Discriminating against certain groups of consumers for ideological rather than strategic reasons
What are examples of self-regulation?
Use data to provide customer value
Provide transparency about data usage
Don’t collect more data than you plan to use
Don’t share or sell data without permission
Invest in and build for data security
What is globalisation?
Process by which businesses develop international influence
What are pros and cons of globalisation?
Pros:
Better opportunities for growth
Competing with international rivals
Cons:
Greater risk
Unfamiliar markets
What are macroenvironmental factors?
Demographics, economic factors, political factors, cultural environments
What is intermarket segmentation?
Grouping consumers with similar needs and buying behaviors irrespective of their country or geopolitical location
What are types of trade barriers?
Tariffs, quotas, nontariff trade barriers
What is straight product extension?
Entering a foreign market without making any changes to the product
What is product adaptation?
Adapting a product to meet local conditions or wants in foreign markets
What is product invention?
Creating something new to meet the needs of consumers
What is communication adaptation?
Strategy of adapting advertising messages and channels to global markets
What is indirect exporting?
The company is not on-the-ground in the foreign market, and does not work with any
overseas marketing organizations
What is direct exporting?
The company handles their own exports
What are the 3 steps of market entry strategies
Exporting, joint venturing, direct investment
What is joint venturing?
Partnering with a foreign company to produce or market the product/service
What are types of joint venturing?
Licensing, contracts, joint ownership
What is licensing?
Developing an agreement with a licensee or franchisee in the foreign market
What is contract manufacturing?
Working with manufacturers in a foreign market to produce
product or provide services
What is management contracting?
A local firm provides information, consulting services, or operations for the company’s business in the foreign market
What is joint ownership?
A company shares control and risk with a company locally present in the foreign market
What is direct investment?
When a company develops their own foreign-based operations
What are examples of direct investments?
Acquisitions, take overs
What is sustainable marketing?
Meeting present needs
while preserving the ability of future generations to meet
their needs
There is an ethical component and a strategic component
What is ethical standards marketing?
Defining a company’s mission in broad social terms
What is consumer-orientated marketing?
Viewing a company’s
marketing activities from the consumer’s point of view
What is customer value marketing?
Putting most of a company’s
resources into customer value-building marketing
What is cause-related marketing?
When is it a strategy for
selling more products rather than a strategy for giving
back to society?
