Term
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Definition
is comprised of those elements that contribute to the firm's overall communications program. Including: ADVERTISING
PERSONAL SELLING
PUBLICITY
PUBLIC RELATIONS
SALES PROMOTIONS |
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Term
| Integrated Marketing Communications |
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Definition
planning a comprehensive program that coordinates all promotional activites. The four W's
Who is the target market?
What are the objectives?
When should the promotions be run?
Which media should be used? |
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Term
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Definition
Three goals in the marketing mix
Inform about new products
Influence brand preferance
Remind buyers about the availibility of products |
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Definition
| send promotional messages |
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Term
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Definition
| allocates a fixed percentage of the last ears sales for promo programs |
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Definition
| establishes a a budget based on the actions of the firm's closest cometitors. Mirror Rivals' changes in promo |
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Definition
| matches promo objective to the funding required to achieve specific obejective related tasks |
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Definition
| stems from the budget developed by the promotion plan |
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Definition
| choice of media-type (Tv, radio) |
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Definition
| the percentage of a target audience exposed to an ad through a given vehicle |
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Definition
| advertising costs are evaluated according to the cost of reaching a thousand prospects through a given vehicle |
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Definition
| number of times members of the target audience are exposed to an ad through a vehicle |
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Definition
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Definition
| provides the overall concept and theme for the advertising campaign |
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Definition
| nonpersonal communication that is not paid for by an identified sponsor |
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Definition
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Definition
| service customers who already have accounts |
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Definition
| work for producers, they foster goodwill and work to maintain good relationships with intermediaries and customers |
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Definition
| support the efford of order getters and order takers by providing expert tech assistance |
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Definition
| maximum possible sales within a territory |
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Definition
| The sales people need to match the characteristics of the buyers |
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Term
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Definition
Prospecting
Pre-Approach
Approach
Presentation
Meeting Objections
Closing the sale
Follow-up |
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Term
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Definition
| takes place prior to meeting with a qualified prospect, when the salesperson must decide how to best initiate face to face meeting |
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Definition
| memorized messages that salespeople give |
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Term
| Interactive presentations |
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Definition
| learning about prospect's needs through direct communication |
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Term
| Interactive presentations |
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Definition
| learning about prospect's needs through direct communication |
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Definition
| formal arrangements between buyers and sellers that create unique products and services that are not convetional of buyer-seller relationships |
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Definition
| how sellers organize sales force. Inside sellers and outside sellers. |
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Term
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Definition
| commissions are credited to each individual's drawing account. Salespeople may withdraw a fixed amount each period against their current balance or as an advance against future commissions. Some employers provide a guaranteed draw where the salesperson is not obligated to pay back the difference when the draw exceeds the commissions earhned over a specific period. |
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Definition
| all paid marketing communications other than advertising, public relations, and personal selling. Intended to provide short-term boosts in sals promos |
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Term
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Definition
| coupons, contests, sweepstakes, rebates, premiums, refunds, etc. |
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Term
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Definition
| quantity discounts, sales contests, trade rebates |
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Term
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Definition
| quantity discounts, sales contests, trade rebates |
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Term
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Definition
| quantity discounts, sales contests, trade rebates |
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Term
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Definition
| quantity discounts, sales contests, trade rebates |
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Definition
| one on one communication with target customers, obtaining an immediate response |
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Term
| Price elasticity of demand |
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Definition
percentage change in the number of units demanded divided by the percentage change in the price of the product.
Formula= (Q1-Q2)/Q1+Q2 DIVIDED BY
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(P1-P2)/P1+P2
It relates the rate at which demand changes in response to price changes |
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Term
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Definition
| Exists when the value of the price elasticity of demand formula is less than -1. If demand is elastic an increase in price will produce a decrease in demand and total revenue. |
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Term
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Definition
| exists when the value of the price elasticity of demand formula is GREATER than -1. If demand is inelastic, an increase in price will produce a decrease in demand and an increase in total revenue. Price decreases will increase demand and decrease total revenue. If demand does not decrease at all in response to price increases, it is said to be perfectly inelastic. |
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Term
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Definition
| when the value of the price elasticity of demand formula is -1. In this instance the change in demand is directly proportional to the change in price. When this happens, total revenue does not change in response to price increases or decreases |
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Term
| Price Elasticity of Demand Coefficient (Ed) |
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Definition
| is equal to the absolute value or non negative value of the price elasticity of demand formuals. |
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Term
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Definition
| prevents businesses from restraining trade and interstate commerce. Pricing policies that are monopolized are illegal. |
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Term
| The Robinson-Patman Act (1936) |
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Definition
| prohibits any form of price discrimination that has the effect of reducing competition among wholesales or retailers. The same seller caannot provide the same products to competing resellers at different prices. |
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Definition
| New products at high prices to enhance percieved quality. As time goes on the firm lowers prices gradually in response to competetive pressures and need to reach new market segments. |
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Term
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Definition
| is an alternative pricing strategy for new product introductions. This option uses low introductory prices to gain a large share of the markey. This is necessary to new products that are similar to existing prodcuts. |
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Term
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Definition
product prices as a function of product costs. Includes:
Cost Plus Pricing-determines prices by adding a predetermined level of proit to produce costs.
Return on investment pricing: sets product prices that will enable the firm to achieve a specified rate of return. |
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Definition
| attempts to set prices based on consumer responses to product prices. |
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Term
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Definition
| offers the same price to all buyers for purchases of essentially the same quantities in comparable situation. |
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Definition
| permits the seller to charge different prices to different buyers in similar circumstances |
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Definition
| reflect different levels of transportation and other costs related to the physical distance between buyers and sellers |
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Definition
| provides consumers with info on the price per unit on or near the product. |
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Definition
| philosophy that focuses on the internal capabilities of the firm rather than on the desires and needs of the marketplace. |
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Term
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Definition
| social and economic justification for organizations existence is the satisfaction of customer wants and needs while meeting organizational objectives. (THE CUSTOMER MAKES THE DECISION TO BUY) |
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Definition
| people will buy more goods and sevices if aggressive sales techniques are used. (BUSINESSES MAKE CUSTOMERS BUY) |
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Term
| Societal Marketing Orientation |
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Definition
| Organizations exist to enhance or preserve society's long term best interests |
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Term
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Definition
| is the relationship between benefits and the sacrifice necessary to obtain those benefits. |
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Definition
| focusing on keeping and imporving relationships with current customers |
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Definition
| authority to solve customers' problems on the spot. |
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Term
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Definition
| A sales-oriented firm seeks to achieve profits through sales volume. Market-oriented firm's goal is to make profit by creating customer value, providing customer's satisfaction |
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Definition
| is the magagerial process of creating and maintaining a fit between the organization's objectives and resources, and the evolving market opportunities. |
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Term
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Definition
| written document that acts as a guidebook of markting activities for the new markting manager |
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Term
| Elements of a Marketing Plan |
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Definition
1. Business Mission Statement
2. Situation or SWOT analysis
3. Objectives
4. Marketing Strategy
5. Implementation Evaluation Control |
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Term
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Definition
| Defining a business in terms of goods and services rather than in terms of the benefits that customers seek. |
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Term
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Definition
| a subgroup of a single business or a collection of related businesses within a larger organization |
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Term
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Definition
| collection and interpretation of information about forces, events, and relationships in the external environment that may affect the business in the future, or the implementation of the markting plan |
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Term
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Definition
| Set of unique features of a company and its products that are percieved by the target market as significantly superior to competitors. |
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Term
| Cost Competitive Advantage |
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Definition
| being the low cost competitior in an industry while maintaining satisfactory profit margins. |
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Term
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Definition
| tell us that costs decline at a preditable rate as experience with a product increases. |
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Term
| Product/Service differentiation competitive advantage |
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Definition
| when a firm provides something unique that is valuable to buyers beyond simply offerin a lower price. EX: NIKE AIR |
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Term
| Niche competitive advantage |
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Definition
| when a firm seeks to target a small segment of the market |
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Term
| Sustainable Competitive Advantage |
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Definition
| an advantage that can not be copies by the competition |
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Term
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Definition
| a marketing strategy that tries to increase market share among existing customers. Example: McDonalds sells more happy meals with disney movie promos |
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Term
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Definition
| Attracting new customers to existing products |
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Definition
| A marketing strategy that entails the creation of new products for current customers. Ex: McDonalds offering salads |
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Definition
| a strategy of increasing sales by introducing new products into new markets |
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Definition
| tool for allocating resources among products or strategic business units on the basis of relative market share and market growth rates. |
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Term
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Definition
Star: business unit that is a fast growing market leader
Cash Cow: unit that generates more cash than it needs to maintain market share
Problem Child: unit that shows rapid growth but poor profit margins
Dog: Unit that has low growth potential and small market share |
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| Market Opportunity Analysis |
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Definition
| description and estimation of the size and sales potential of market segments that are of interest to the firm and the assessment of key competitors in these market segments |
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Term
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Definition
| a unique blend of product, place, promotion, and pricing strateies designed to produce mutually satisfying exchanges with a target market. |
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Term
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Definition
| Product, Place, Promotion, and Price |
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Term
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Definition
| the process that turns a marketing plan into action assignments and ensures that these assignments are executed in a way that accomplishes the plan's objectives |
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Term
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Definition
| a thorough, systematic, periodic evaluation of the objectives, strategies, structure, and performance of the marketing organizations |
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Term
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Definition
| theory that states that people should adhere to their obligations and duties when analyzing an ethical dilemma |
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Term
| Utilitarian Ethical Theory |
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Definition
| theory that states that the choice that yields the greatest benefit to the most people is the choice that is ethically correct. |
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Definition
| A theory that compares a current ethical dilemma with examples of similar ethical dilemmas and their outcomes |
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Term
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Definition
| persons who believe that ethical truths depend on the individuals and groups holding them |
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Term
| Foreign Corrupt Practices Act |
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Definition
| A law that prohibits US corporations from making illegal payments to public officials of foreign governments to obtain business rights or to enhance their business dealings in those countries. |
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Term
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Definition
| socially responsible companies will outperform their peers by focusing on the worlds social problems and viewing them as opportunities to build profits and help the world at the same time |
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Term
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Definition
| social responsibility is paying attention to the interest of every affected stakeholder in every aspect of a firms operation |
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Term
| Corporate Social Responsibility |
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Definition
| composed of economic, legal, ethical, and philanthopic responsibilities |
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Term
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Definition
| EX: For every pink phone you buy from AT&T, 5 dollars will be given to the Susan G. Koman foundation |
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Term
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Definition
| when a company implements strategies that attempt to shape the external environment within which it operates |
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Term
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Definition
| the practice of choosing goods and services that meet one's diverse needs and interest rather than conforming to a single, traditional lifestyle. |
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Definition
| study of people's vital statistics, such as their age, race, and ethnicity. Also location |
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Definition
| people born between 1979 and 1994 |
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Definition
| people born between 1965-1978 |
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Definition
| People born between 1946 and 1964 |
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Definition
| when all major ethnic groups in an area, such as a city or county, are roughly equally represented. |
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Definition
| is measured by comparing income to the relative cost of a set standard of goods and services in different geographic area, ususally called cost of living. |
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Definition
| pure research that aims to confirm an existing theory or to learn more about a concept or phenomenon |
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Definition
| is used to develop new products or services |
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Definition
| fed agency that prevents persons or corporations from using unfair methods of competition in commerce |
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Definition
| using more capital than labor in the production process |
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| Global Marketing Standardization |
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Definition
| making products that can be sold uniformally all over the world |
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Term
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Definition
| Largest latin american trade agreement |
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Term
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Definition
| an agreement to dramatically lower trade barriers world wide, created by the world trade organization |
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Term
| General Agreement on Tariffs and Trade |
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Definition
| a trade agreement that contained loopholes that enabled countries to avoid trade barrier reduction agreements |
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Term
| North American Free Trade Agreement |
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Definition
| An arrangement between Canada, US, and Mexico to reduce trade barriers between the three |
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Definition
| a free trade xone encompassing 27 European countries |
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Term
| International Monetary Fund |
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Definition
| organization that acts as a lender of last resort, providing loans to troubled nations. |
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Definition
| legal process whereby a licensor agrees to let another firm use its manufacturing process, trademarks, patents, trade secrets, or other propietary knowledge |
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Term
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Definition
| private0label manufacturing by a foreign company. The foreign company produces a certain volume of products to specification, with the domestic firm's brand name on the goods. The domestic company usually handles the marketing. |
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Definition
| when a domestic firm buys part of a foreign company or joins with a foreign company to create a new entity. |
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| Direct Foreign Investment |
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Definition
| Active ownership of a foreign company |
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Definition
| prices of different currencies move up and down based on the demand for and the supply of each currency |
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Definition
| The sale of an exported product at a price lower than that charged for the same or a like product in the home market of the exporter. |
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Term
| Comsumer Decision Making Process |
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Definition
1. Need Recognition
2. Information Speech
3. Evaluation of Alternatives
4. Purchase
5. Postpurchase behavior |
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Definition
| Result of an imbalance between actual and desired states. |
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Term
| Internatl Information Search |
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Definition
| The process of recalling past information stored in the memory |
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Term
| External Information Search |
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Definition
| process of seeking information in the outside environment |
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Definition
| a group of brands, resulgint from an information serach, from which a buyer can choose |
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Definition
| Inner tension that a consumer experiences after recognizing an inconsistency between behavior and values or opinions |
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Definition
| the amount of time and effort a buyer invests in the search, evaluation, and decision processes of consumer behavior |
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Term
| Routine Response Behavior |
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Definition
| the type of decision making exhibited by consumers buyin frequently purchased, low cost goods and services; required little seach and decision time |
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Term
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Definition
| typically occurs when a consumer has previous product experience but is unfamiliar with the current brands available. EX: If a customer always buys "crest white" and it is out, they will have to choose a compatible alternative |
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Term
| Extensive Decision Making |
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Definition
| customers use this practice when buying an unfamiliar, expensive product or an infrequenly bought item. Associated with high involvment. |
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Term
| Extensive Decision Making |
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Definition
| customers use this practice when buying an unfamiliar, expensive product or an infrequenly bought item. Associated with high involvment. |
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Term
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Definition
| All the formal and informal groups that influence the buying behavior of an individual are the persons reference groups |
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Term
| Types of Reference Groups |
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Definition
Primary: The people someone sees everyday
Secondary: the people someone sees every now and then, Ex: clubs, church people
Aspirational: Group of people someone would like to join
Nonaspirational:Group that someone wants to avoid being identified with |
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Definition
| how cultural values and norms are passed down to children |
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Definition
| a way of organizing and grouping how an individual typically reacts to situations. |
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