Term
| marketing channel is the same as |
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Definition
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Term
| what is a marketing channel |
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Definition
| a set of interdependent organizations involved in the process of making a product or service available for use or consumption by the consumer or business user |
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Term
| importance of marketing channels |
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Definition
1) channel choices affect other decisions in t he marketing mix
2) can be a competitive advantage
3) channel decisions involve long term relationships with other firms
4) add value
5) number of channel levels |
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Term
| types of marketing channels |
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Definition
1) producer to consumer
2) producer to retailer to consumer
3) producer to wholesaler to retailer to consumer |
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Term
| amway's marketing channel |
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Definition
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Term
| Wal-Mart's marketing channel |
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Definition
| producer to retailer to consumer |
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Term
| Gum and Candy's marketing channel |
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Definition
| producer to wholesaler to retailer to consumer |
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Term
| channel conflict occurs when |
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Definition
| channel members disagree on roles, activities or rewards |
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Term
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Definition
| occurs among firms at the same channel level (advertising outside assigned territories, pricing too low, hurting brand image) |
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Term
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Definition
| occurs among firms at different channel levels |
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Term
| conventional marketing channel |
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Definition
| interdependent channel members; lack leadership and power |
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Term
| vertical marketing channel |
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Definition
| members acting as a unifies system; use contracts, ownership or power |
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Term
| vertical marketing systems |
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Definition
1) corporate VMS
2) contractual VMS
3) administered VMS (power) |
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Term
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Definition
| corporation owns production and distribution |
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Term
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Definition
1) franchise
2) organizations
3) McDonald's, 7-11, pizza Hut, etc |
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Term
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Definition
1) leadership through size, expertise, of dominant channel members
2) leadership could be manufacturer or retailer |
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Term
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Definition
1) companies at the same level work together
2) hybrid marketing channel
3) disintermediation |
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Term
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Definition
1) occurs when a firm uses 2 or more marketing channels
2) Reebok uses a multi-channel distribution system which includes a direct channel |
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Term
| channel decisions (steps) |
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Definition
1) analyzing consumer needs
2) setting channel objectives
3) identifying major alternatives
4) evaluating major alternatives |
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Term
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Definition
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Term
| setting channel objectives |
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Definition
1) targeted level of customer service
2) other factors (nature of product, economy, etc) |
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Term
| identifying major alternatives |
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Definition
1) types of intermediaries (own sales force, agency, industrial distributors)
2) number of marketing intermediaries (intensive, selective, or exclusive)
3) responsibilities of channel members |
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Term
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Definition
1) outbound distribution
2) inbound distribution
3) reverse distribution
4) involves the entire supply chain management |
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Term
| major logistics functions |
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Definition
1) inventory management
2) transportation
3) logistics information management |
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Term
| goals of the logistics system |
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Definition
1) no system can both maximize customer service and minimize costs
2) firms must first weigh the benefits of higher service against the costs
3) state goals in terms of a targeted level of customer service at the least cost |
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Term
| why greater emphasis is being placed on logistics |
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Definition
1) offers firms a competitive advantage
2) greater product variety requires improved logistics
3) improvements in distribution efficiency are possible due to information technology |
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Term
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Definition
| all activities involved in selling goods or services directly to final consumers for their personal, non-business use |
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Term
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Definition
| business whose sales come primarily from retailing |
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Term
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Definition
1) direct mail
2) catalogs
3) telemarketing
4) internet
5) TV home shopping
6) door to door sales
7) trade exhibits
8) vending machines |
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Term
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Definition
1) category killer
2) specialty stores
3) department stores
4) supermarkets
5) convenience stores
6) off-price retailing
7) superstores |
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Term
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Definition
| petsmart, bestbuy, staples, home depot, toys "r" us |
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Term
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Definition
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Term
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Definition
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Term
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Definition
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Term
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Definition
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Term
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Definition
| ross, TJMaxx, marshalls, costco, etc |
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Term
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Definition
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Term
| retail store classifications |
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Definition
1) self service retailers
2) limited service retailers |
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Term
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Definition
1) many customers are willing to self-serve to save money
2) convenience stores, off-price retailers |
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Term
| limited service retailers |
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Definition
1) salespeople assist customers in every aspect of shopping experience
2) high end furniture stores, high end dept stores, car dealerships |
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Term
| specialty stores product lines |
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Definition
| narrow product lines with deep assortments |
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Term
| department store product lines |
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Definition
| wide variety of product lines |
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Term
| convenience store product line |
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Definition
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Term
| superstores product lines |
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Definition
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Term
| category killers product lines |
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Definition
| giant specialty stores (petsmart, amazon, homedepot) |
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Term
| discount stores relative prices |
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Definition
| low margins are offset by high volume |
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Term
| off price retailers relative prices |
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Definition
1) independent off price retailers
2) factory outlets
3) warehouse clubs |
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Term
| retailer marketing decisions |
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Definition
1) retailer strategy
2) retailer marketing mix |
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Term
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Definition
1) target market
2) retail store positioning |
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Term
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Definition
1) product and service assortment
2) prices
3) promotion
4) place |
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Term
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Definition
1) growth of nonstore retailing
2) new retail forms and retail life cycles |
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Term
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Definition
1) rise of mega retailers
2) growing importance of retail technology
3) global expansion of major retailers
4) retail stores as "communities" or "hang outs" (mall) |
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Term
| marketing communication mix is the same as |
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Definition
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Term
| marketing communication mix |
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Definition
1) the specific mix of advertising, personal selling, sales promotion, public relations, and direct marketing that a company uses to pursue its advertising and marketing objectives
2) product design, package, price, store image |
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Term
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Definition
| cable tv, magazines, radio, internet, podcasts |
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Term
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Definition
| customized promotion towards individual |
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Term
| integrated marketing communications |
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Definition
| the concept under which a company carefully integrates and coordinates its many communications channels to deliver a clear, consistent and compelling message about the organization and its products |
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Term
| developing effective communication (steps) |
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Definition
1) identifying the target audience
2) determining communication objectives
3) designing a message
4) choosing media
5) selecting the message source
6) collecting feedback |
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Term
| determining communication objectives |
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Definition
1) 6 buyer readiness stages
2) AIDA model |
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Term
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Definition
1) awareness
2) knowledge
3) liking
4) preference
5) conviction
6) purchase |
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Term
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Definition
1) awareness
2) interest
3) desire
4) action |
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Term
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Definition
1) rational appeals
2) emotional appeals (love, pride, humor, fear, guilt, etc)
3) moral appeals
4) message structure
5) message format |
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Term
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Definition
1) whether or not to draw a conclusion
2) one sided vs. two sided argument
3) order of argument presentation |
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Term
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Definition
| design, layout, copy, color, shape, movement, words sounds, voice, body language, dress, etc |
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Term
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Definition
1) personal communication channels
2) nonpersonal communication channels |
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Term
| personal communication channels |
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Definition
1) includes face to face, phone, and internet chat communications
2) word of mouth is often critical
3) buzz marketing: cultivates opinion leaders |
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Term
| nonpersonal communication channels |
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Definition
| 1) includes media, store atmosphere and events |
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Term
| setting the promotional budget |
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Definition
1) affordability method
2) percentage of sales method
3) competitive parity method
4) objective and task method |
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Term
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Definition
| budget is set at a level that a company can afford (small business) |
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Term
| percentage of sales method |
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Definition
| past or forecasted sales may be used |
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Term
| competitive parity method |
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Definition
| budget matched competitors outlays |
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Term
| objective and task method |
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Definition
1) specific objectives are defined
2) tasks required to achieve objectives are determined
3) costs of performing tasks are estimates, then summed to create a promotional budget |
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Term
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Definition
1) advertising
2) personal selling
3) sales promotion
4) public relations
5) direct marketing |
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Term
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Definition
1) reaches large, geographically, dispersed audiences with high frequency
2) low cost per exposure (overall cost high)
3) consumers perceive advertised goods as more legitimate
4) dramatizes company
5) build brand image; stimulates ST sales
6) impersonal |
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Term
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Definition
1) most effective tool for building buyers preferences, convictions and actions
2) personal interaction allows for feedback
3) relationship oriented
4) buyers are more attentive
5) sales force represents a long term commitment
6) most expensive |
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Term
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Definition
1) coupons, premiums, contests
2) attracts attention, offers strong incentives
3) stimulates quick response
4) short lived
5) not effective at building long term brand preferences |
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Term
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Definition
1) highly credible
2) news stories, news features, events, and sponsorships
3) reaches many prospects missed via other forms of promotion
4) dramatizes company
5) often the most underused element in promotional mix |
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Term
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Definition
1) telephone marketing, direct mail, email
2) characteristics (nonpublic, customized, sometimes interactive)
3) well suited to highly targeted marketing efforts |
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Term
| false and deceptive advertising |
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Definition
1) comparative ad: pain releiver
2) puffery |
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Term
| things you dont do in advertising |
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Definition
1) avoid false and deceptive advertising
2) no bait and switch advertising
3) use advertising to promote socially responsible programs and actions (Philip Morris anto-smoking ads |
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Term
| advertising key decisions |
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Definition
1) advertising objectives
2) setting the budget
3) developing the advertising strategy
4) evaluating advertising campaigns |
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Term
| advertising objectives can be classified by primary purpose |
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Definition
1) inform (introduce new product ideas)
2) persuade (more important as competition increases and comparative advertising)
3) remind (most important for mature products) |
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Term
| what factors should be considered when setting the ad budget |
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Definition
1) level of competition
2) ad clutter
3) degree of brand differentiation |
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Term
| developing the advertising strategy |
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Definition
1) creative challenges
2) creating ad messages
3) selecting advertising media |
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Term
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Definition
| LL Bean is evaluating the different elements of the marketing mix to determine which led to this website visit |
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Term
| which is growing faster: overall industry or advertising |
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Definition
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Term
| advantages of advertising agencies |
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Definition
1) legal issues
2) media experts
3) researchers |
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Term
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Definition
1) samples
2) coupons
3) cash refunds
4) price packs
5) advertising specialties
6) premiums
7) patronage rewards
8) point of purchase communications
9) contests, games and sweepstakes |
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Term
| business promotional tools |
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Definition
1) same as consumer
2) conventions and trade shows
3) sales contests |
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Term
| public relations definition |
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Definition
| building good relations with the company's various publics by obtaining favorable publicity, building up a good corporate image, and handling or heading off unfavorable rumors, stories and events |
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Term
| public relations functions |
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Definition
1) press relations
2) product publicity
3) public affairs
4) lobbying
5) investor relations
6) development |
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Term
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Definition
1) news
2) speeches
3) buzz marketing
4) corporate identity materials
5) mobile marketing
6) special events
7) written materials
8) audiovisual materials
9) public service activities
10) internet |
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Term
| role and impact of public relations |
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Definition
1) strong impact on public awareness at lower cost than advertising
2) greater credibility than advertising
3) PR is often used
4) good public relations can be a powerful tool |
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Term
| the nature of personal selling |
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Definition
| salesperson covers a wide range of positions from order taker to order getter responsible for relationship building |
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Term
| other names of salespeople |
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Definition
1) agents
2) sales consultants/advisers
3) sales representatives
4) account executives
5) sales engineers
6) district managers
7) distributors
8) marketing representitives
9) account development representatives |
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Term
| the role of the sales force |
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Definition
1) 2 way personal communication
2) more effective than advertising in complex selling situations
3) the sales force plays a major role in most companies
4) the sales force works to represent the company to customers
5) the also represent the customers to the company |
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Term
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Definition
1) sales force strategy and structure
2) recruiting and selecting salespeople
3) traits of successful salespeople
4) training salespeople
50 compensating salespeople |
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Term
| careful recruiting can... |
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Definition
1) increase overall sales force performance
2) reduce turnover
3) reduce recruiting and training costs |
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Term
| traits of successful salespeople |
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Definition
1) intrinsic motivation
2) disciplined work style
3) the ability to close a sale
4) the ability to build relationships with customers |
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Term
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Definition
1) straight salary (17.5%)
2) straight compensation (14%)
3) salary plus commission (68.5%) |
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Term
| steps in the selling process |
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Definition
1) prospecting and qualifying
2) preapproach
3) approach
4) presentation and demonstration
5) handling objects
6) closing
7) follow up |
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Term
| what does the 3 day cooling off rule do |
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Definition
| it protects ultimate consumers from high pressure tactics |
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Term
| potential interventions of gun control |
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Definition
1) waiting period and limits
2) product features
3) licenses and registration
4) penalties and enforcement
5) federal oversight |
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Term
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Definition
1) "the manager is the agent of the individuals who own the corporation...and his primary responsibility is to them"
2) acting in a socially responsible way means, "spending someone elses money for a general social interest" |
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Term
| henry ford on the free market |
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Definition
1) market rewards those who meet peoples needs and punishes those who dont
2) social improvements occur when those with a better idea pursue it
3) businessmen have neglected many problems they should have confronted
4) might have avoided many of the regulations which we and the customers must pay |
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Term
| henry ford on the government |
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Definition
1) capitalist societies do not look to the government for guidance
2) founding fathers believed the best government governs the least
3) wants to see less government |
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Term
| adam smith: free markets succeed when... |
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Definition
1) informed buyers
2) numerous competitors
3) commodity products
4) buyers and sellers act rationally
5) no external costs
6) unregulated markets
7) outcome: buyers and sellers agree on price and quantity and quality |
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Term
| some markets fail because |
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Definition
1) violation of economic assumptions
2) human psychological limits
3) negative consequences for some consumers
4) market failures are the primary justification for public policy interventions |
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Term
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Definition
| when a transaction causes consequences to parties not involved in the decision |
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Term
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Definition
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Term
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Definition
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Term
| utilitarian approach to ethics |
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Definition
| consequence based and all stakeholders taken into consideration |
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Term
| questions to ask in utilitarian ethical analysis |
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Definition
1) how many people are negatively affected? what does it cost them?
2) how many people benefit? what is the value of this benefit to them?
3) how is our society affected by these costs and benefits in the long term? |
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Term
| deontological approach to ethics |
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Definition
| intention to uphold universal laws of morality |
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Term
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Definition
1) used utilitarian approach to ethics
2) 180 death, 180 burns, and 2100 burned vehicles
3) redesign cost: 137 million
4) no redesign coat: $49.5 million
5) no redesign |
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Term
| where did the pinto executives go wrong? |
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Definition
1) cost of death severely underestimated (1 lawsuit awarded a victim 127.8 million)
2) DOT ordered a recall of pintos
3) failed to consider harm to brand equity |
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Term
| vulnerable market segments |
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Definition
1) cognitive
2) motivational (less self control)
3) social (pressure to conform) |
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Term
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Definition
1) safety
2) informed
3) choose
4) be heard
5) consumer education
6) redress
7) environment that enhances the quality of life
8) consumerism |
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Term
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Definition
| the set of activities of government, business, independent organizations, and concerned consumers that are designed to protect the rights of consumers |
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Term
| Federal Trade Commission Act rules |
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Definition
1) advertising must be truthful and non deceptive
2) advertisers must have evidence to back up their claims
3) advertisements cannot be unfair |
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Term
| according to the FTC an ad is deceptive if... |
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Definition
1) likely to mislead consumers
2) who are acting reasonably under the circumstances; and
3) is material (important to a consumers decision to buy or use the product) |
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Term
| what does the FTC consider when determining if an ad is deceptive? |
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Definition
1) analyzes consumer perceptions, not literal statements
2) considers both express and implied claims
3) looks at the ad in context (words, phrases, pictures considered together)
4) considers failure to include qualifying info
5) considers whether claim would be material
6) examines whether the advertiser has sufficient evidence to support the claims in the ad. |
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Term
| what kinds of ads does the FTC focus on |
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Definition
1) health or safety
2) claims that consumers would have trouble evaluating for themselves
3) claims that a competitor argues are unfair to free market competition |
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