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60 Cards in this Set

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Distribution strategy
A company’s overall plan for moving products to buyers
Marketing Intermediaries
Middlemen that facilitate movement of goods
from producers to consumers
Wholesalers
sell primarily to retailers, other wholesalers, and organizational users
such as government agencies, institutions, and commercial operations
Retailers
sell products to the final consumer for personal use. Retailers
can operate out of a physical facility (supermarket, gas station, kiosk), through
vending equipment (soft drink machine, newspaper box, or automated teller), or
from a virtual store (telephone, catalogue, website).
What type of role do Wholesalers and Retailers play
Match buyers and sellers
• Provide market information
• Offer promotional and sales support
• Gather an assortment of goods
• Transport and store products
• Assume risks
• Provide financing
Types of Retail Stores
• Category Killer
• Convenience store
• Department store
• Discount store
• Factory outlet
• Hypermarket
• Off-price store
• Specialty store
• Supermarket
• Warehouse club
Category killer
a specialty store that focuses on specific products on a giant scale
and dominates retail sales in the product categories (Toys “R” Us)
Convenience
store
offers staple goods, long service hours and quick checkouts (Mac’s).
Department store
offers a wide variety of merchandise, in departmentalized
sections, with many services under one roof (the Bay).
Discount store:
offers a
wide variety of merchandise at low prices and few services (Wal-Mart).
Factory/retail outlet
Large outlet store selling discontinued items, overruns, and
factory seconds (Nike outlet store)
Hypermarket
giant store offering food and
general merchandise at discount prices (Wal-Mart)
Off-price store
offers designer
and brand-name merchandise at low prices and few services (Winners
Specialty
store
offers a complete selection in a narrow range of merchandise (Aldo Shoes).
Supermarket
large, self-service store offering a wide selection of food and nonfood
merchandise (Loblaws).
Warehouse club
large, warehouse style store that
sells food and general merchandise at discount prices; some require club
membership (Costco).
distribution mix
A company’s decision about the number and type of intermediaries to use
what are the 4 primary channels
for consumer goods
Producer to consumer
Producer to retailer to consumer
Producer to wholesaler to retailer to consumer
Producer to agent/broker to wholesaler to retailer to consumer
what are the 4 key factors When establishing marketing channels
cost
control
market coverage
channel conflict
Physical distribution
encompasses the activities required to move products from
the producer to the consumer, including order processing, inventory control,
warehousing, materials handling, and outbound transportation.
what are the steps taken in a promotional strategy
setting your promotional goals
take several product variables into consideration
decide on the optimal market approach before selecting your promotional mix.
fine tine your product mix to make sure that all your promotional
elements communicate the same message.
what are the 3 basic goals of promotion
to inform, to persuade, and to
remind.
push strategy
focus is on
intermediaries
pull strategy
marketing focus is on end users
what are 5 activities marketers use to achieive promotional objectives
Personal Selling
Advertising
Direct Marketing
Sales Promotion
Public Relations
Personal selling
is the interpersonal aspect of the promotional mix. It involves
person-to-person presentation—face-to-face, by phone, or by interactive media such
as Web TV’s video conferencing or customized websites
seven-step process
Prospecting. Finding and qualifying potential buyers of the product or service.
Preparing. Considering various options for approaching the prospect and preparing
for the sales call.
Approaching. Contacting the prospect, getting his or her attention, and building
interest in the product or service.
Presenting. Communicating a message that persuades a prospect to buy.
Handling objections. Countering the buyer’s objections to purchasing a product or
service with convincing claims.
Closing. Asking the prospect to buy the product.
Following up. Checking customer satisfaction following the sale and building
goodwill
Advertising
consists of messages paid for
by an identified sponsor and transmitted through a mass-communication medium
such as television, radio, or newspapers.
Direct marketing
defined by the Direct
Marketing Association as distributing promotional materials directly to a consumer
or business recipient for the purpose of generating (1) a response in the form of an
order, (2) a request for further information, or (3) a visit to a store or other place of
business for purchase of a specific product or service.
what are the three objectivesof advertising and direct marketing
to create
product awareness, to create and maintain the image of a product, and to stimulate
consumer demand.
Warehouse club
large, warehouse style store that
sells food and general merchandise at discount prices; some require club
membership (Costco).
distribution mix
A company’s decision about the number and type of intermediaries to use
what are the 4 primary channels
for consumer goods
Producer to consumer
Producer to retailer to consumer
Producer to wholesaler to retailer to consumer
Producer to agent/broker to wholesaler to retailer to consumer
what are the 4 key factors When establishing marketing channels
cost
control
market coverage
channel conflict
Physical distribution
encompasses the activities required to move products from
the producer to the consumer, including order processing, inventory control,
warehousing, materials handling, and outbound transportation.
what are the steps taken in a promotional strategy
You begin by setting
your promotional goals. Next you take several product variables into consideration
and decide on the optimal market approach before selecting your promotional mix.
Finally, you fine-tune your product mix to makes sure that all your promotional
elements communicate the same message.
what are the 3 basic goals of promotion
to inform, to persuade, and to
remind.
push strategy
focus is on
intermediaries
pull strategy
marketing focus is on end users
what are 5 activities marketers use to achieive promotional objectives
Personal Selling
Advertising
Direct Marketing
Sales Promotion
Public Relations
Personal selling
is the interpersonal aspect of the promotional mix. It involves
person-to-person presentation—face-to-face, by phone, or by interactive media such
as Web TV’s video conferencing or customized websites
seven-step process
Prospecting. Finding and qualifying potential buyers of the product or service.
Preparing. Considering various options for approaching the prospect and preparing
for the sales call.
Approaching. Contacting the prospect, getting his or her attention, and building
interest in the product or service.
Presenting. Communicating a message that persuades a prospect to buy.
Handling objections. Countering the buyer’s objections to purchasing a product or
service with convincing claims.
Closing. Asking the prospect to buy the product.
Following up. Checking customer satisfaction following the sale and building
goodwill
Advertising
consists of messages paid for
by an identified sponsor and transmitted through a mass-communication medium
such as television, radio, or newspapers.
Direct marketing
defined by the Direct
Marketing Association as distributing promotional materials directly to a consumer
or business recipient for the purpose of generating (1) a response in the form of an
order, (2) a request for further information, or (3) a visit to a store or other place of
business for purchase of a specific product or service.
what are the three objectivesof advertising and direct marketing
to create
product awareness, to create and maintain the image of a product, and to stimulate
consumer demand.
The most popular direct marketing vehicles are
Direct Mail
Target E-mail
Telemarketing
Internet
Product advertising
the most common type, designed to sell specific goods or
services. Product advertising generally describes the product’s features and may
mention its price.
Institutional advertising
designed to create goodwill and build a desired image
for a company rather than to sell specific products.
National advertising
sponsored by companies that sell products on a nationwide
basis
local advertising
sponsored by a local merchant.
Grocery store ads in the local newspaper are a good example.
Cooperative advertising
a financial arrangement whereby companies with
products sold nationally share the costs of local advertising with local merchants
and wholesalers. As a result, it is a cross between local and national advertising
advertising media
channels of
communication.eg.Radio Magazines Internet
Newspapers Television Direct Mail
Sales promotion
includes a wide range of events and activities designed to
stimulate immediate interest in and encourage the purchase of your product or
service,Sales
promotion consists of two basic categories: consumer promotion and trade
promotion.
Trade promotions
aimed at inducing distributors or retailers to sell a company’s products by
offering them a discount on the product’s price
what are some promotional tools and incentives that companies use
•Coupons
•Rebates
•Point-of-Purchase
•Special-Event Sponsoring
•Cross Promotions
•Samples
•Premiums
•Specialty Advertising
Public relations
encompasses all the non-sales communications that businesses
have with their many stakeholders—communities, investors, industry analysts,
government agencies and officials, and the news media
news release
is a short memo sent to the media covering topics that are of potential
news interest;
news conference
When a business has significant news to announce
Integrated marketing communications (IMC)
a strategy of coordinating and
integrating all one’s communications and promotional efforts to provide customers
with clarity, consistency, and maximum communications impact.
Consumer promotion
aimed directly at final users of the product