Test 1 Flashcards
The four essential components of smart marketing planning. (4 Ps)
The marketing mix
What are the 4 Ps?
Product, Price, Placement, Promotion
Benefits or values offered, needs met, whether functional, social, or emotional.
Product
The means of exchange a consumer gives for a product or service
Price
Marketing channels; set of interdependent organizations used to make the product available to consumers; direct or indirect
Place
Strategies of push and pull
Promotion
The process of planning, executing, evaluating, and controlling the use of various promotional mix elements to effectively communicate with target audiences.
Integrated marketing communications management
What are the 5 Rs?
Receptivity, Recognition, Responsiveness, Relevancy, Relationship
An outside-in marketing concept, focused on customers, advocates a departure from the more internally-focused marketing mix (4 Ps).
The Marketing Concept
Any paid form of non-personal communication about an organization, product, service, or idea by an identified sponsor.
Advertising
Brands can directly reach target customers with this form of marketing communication, which is intended to generate a response and/or a transaction.
Direct marketing
allows for a back-and-forth flow of information which users contribute to, modify, and personalize in real time when it is convenient for them.
Interactive/Internet Marketing
What are the pros of interactive media
Used for advertising, direct sales, sales promo, public relations, and selling; minimizes wasted reach while providing opportunities for strong audience selectivity; allows message tailoring for the intended target; interactivity and enhanced consumer engagement; information resource; ability to update information in real time; creative flexibility enhances target-attention to brand and interest in parent company and partners or affiliates/dealers
What are the cons of interactive media?
still not completely penetrated in US or the world, as not all have internet access; active avoidance of mostly irrelevant online banner ads; and/or low click-through rate to brand messages; clutter has conditioned consumers to avoid things not directed at them personally; problems with measuring message effectiveness.
Anything that provides incentives which generate sales revenue. Categorized in either consumer or trade-oriented.
Sales Promotion
The management function that evaluates public attitudes and identifies the public policies and procedures of an individual or organization with the public interest in mind, and then executes a plan designed to earn public understanding and acceptance. Establishing and maintaining a corporate image.
Public Relations
Impersonal, unsponsored, and not directly purchased messages about a company, product, or service. Part of Public Relations.
Publicity
Direct one to one communication intended to persuade prospective buyers to purchase a company’s product or service or to take action.
Personal Selling
a strategic business process designed to influence consumer perceptions to drive behavior and achievement of corp. strategy.
Integrated marketing communications
The IMC must accomplish one of the four following things.
Generate cash flows ( both in the short term and long term) which are greater than the cost to generate them; Accelerate the cash flow from customers; stabilize the cash flow to the company from the marketplace; build the company’s value to its shareholders by increasing brand equity/
What are the three main goals of IMC?
- Inform 2. Remind 3. Persuade
What are the three main steps of marketing planning?
- value creation 2. Consumer Insights 3. Contact Innovation
Includes a SWOT and Competitive Assessment; assessment of the marketplace conditions; searches for opportunities to pursue and segmentation
Situation analysis
Strengths, Weaknesses, Opportunities, Threats; part of the situation analysis
SWOT
the identification of key marketplace opponents that results in a short list of direct competitors, often pursuing the same targets as the brand.
Competitive assessment
Something unique or special a firm does or possesses that gives it an edge over competitors
Competitive advantage
The process of deciding which segments will be most influenced by a marketing campaign or brand in the market place
STP Process (Segmentation, Targeting, and Positioning)
Two steps of segmentation
- identify market segments 2. describe market segments
Two steps of targeting
- evaluate market segments 4. select market segments
Two steps of positioning
- design a product to meet market segment’s needs 6. develop a marketing mix for each segment selected
reorganizing masses of consumers into smaller, more manageable groups; segments will respond similarly to to IMC activities in the marketplace.
Marketing Segmentation
Segment based on location in the marketplace, country, or world
geogrphic
Using variables such as age, sex, family size, income, education, and social class.
Demographic
Segment based on attitudes, interests, behaviors, personalities, and/or lifestyles (VALS and PRIZM)
Psychographic
Segment based on usage, brand loyalty, or buying responses to a products promotional message. Often combined with geographic or demographic
Behavioral or Behavioristic
Segment based on the specific expectations of a product or service by the consumer. Different for each niche market.
Benefits sought
What are the four qualities of a viable segment?
- Substantial 2. Identifiable and measurable 3. Accessible 4. Responsive
The promise of the product/service
The unique selling proposition
attempting to capture a large share of a small segment
Niche marketing
Ignoring segment differences and offering just one product or service to the entire market
Undifferentiated marketing
marketing to multiple segments, using distinct strategies for each
Differentiated marketing
What are the five steps in consumer decision-making?
- Problem recognition 2. Information search 3. Alternative evaluation 4. Motivation 5. Purchase Decision
The brands consumers consider candidates for purchase.
evoked set
