Mrkt 3001 - Ch 15

Front 1

promotional mix

Back 1

the combination of communication tools used to: inform prospective buyers about the benefits of the product, persuade them to try it, and remind them later about the benefits they enjoyed by using the product

Front 2

Integrated marketing communications (IMC)

Back 2

the concept of designing marketing communications programs that coordinate all promotional activities—advertising, personal selling, sales promotion, public relations, and direct marketing—to provide a consistent message across all audiences

Front 3

Communication

Back 3

the process of conveying a message to others and requires six elements: a source, a message, a channel of communication, a receiver,and the processes of encoding and decoding

Front 4

Advertising

Back 4

any paid form of nonpersonal communication about an organization, good, service, or idea by an identified sponsor

Front 5

Personal selling

Back 5

consists of the two-way flow of communication between a buyer and seller, often in a face-to-face encounter, designed to influence a person's or group's purchase decision

Front 6

Public relations

Back 6

form of communication management that seeks to influence the feelings, opinions, or beliefs held by customers, prospective customers, stockholders, suppliers, employees, and other publics about a company and its products or services

Front 7

Publicity

Back 7

nonpersonal, indirectly paid presentation of an organization, good, or service

Front 8

Sales promotion

Back 8

a short-term inducement of value offered to arouse interest in buying a good or service

Front 9

Direct marketing

Back 9

a promotion alternative that uses direct communication with consumers to generate a response in the form of an order, a request for further information, or a visit to a retail outlet

Front 10

push strategy

Back 10

involves directing the promotional mix to channel members to gain their cooperation in ordering and stocking the product

Front 11

pull strategy

Back 11

involves directing the promotional mix at ultimate consumers to encourage them to ask the retailer for a product

Front 12

hierarchy of effects

Back 12

the sequence of stages a prospective buyer goes through from initial awareness of a product to eventual action (either trial or adoption of the product). The stages include awareness, interest, evaluation,trial, and adoption

Front 13

Direct orders

Back 13

the result of direct marketing offers that contain all the information necessary for a prospective buyer to make a decision to purchase and complete the transaction

Front 14

Lead generation

Back 14

the result of a direct marketing offer designed to generate interest in a productor service and a request for additional information

Front 15

Traffic generation

Back 15

the outcome of a direct marketing offer designed to motivate people to visit a business

Front 16

percentage of sales budgeting method

Back 16

choosing the promotion budget by setting it as a percentage of past or anticipated sales

Front 17

competitive parity budgeting method

Back 17

budgeting the promotion budget by matching the competitor's level of spending or the proportion per market share

Front 18

promotion budgeting that
(1) determines its promotion activities
(2) outlines the tasks to accomplish these objectives, and
(3) determines the promotion cost of performing these tasks

Back 18

objective and task budgeting method

Front 19

1) advertising
2) personal selling
3) sales promotion
4) public relations
5) direct marketing

Back 19

5 basic integrated marketing communications (IMC) tools

Front 20

Encoding

Back 20

the process of having the sender transform an idea into a set of sybols

Front 21

Decoding

Back 21

the process of having the receiver take as set of symbols, the message, and transform the symbols back into an idea

Front 22

field of experiance

Back 22

a similar understanding and knowledge applied to a message

Front 23

feedback loop

Back 23

consists of a response and feedback

Front 24

response

Back 24

is the impact the message had on the receiver's knowledge

Front 25

Noise

Back 25

extraneous factors that can work against effective communication by distorting a message or the feedback received.

Front 26

Feedback

Back 26

Interpersonal communicators get the receiver's response to a message directly.

Front 27

Mass selling

Back 27

a communication with the consumers that is targeted at groups of prospective buyers.

Front 28

customized interaction

Back 28

personal selling between a seller and a prospective buyer.

Front 29

1) Awareness
2) Interest
3) Evaluation
4) Trial
5) Adoption

Back 29

5 stages of Hierarchy of effects

Front 30

Awareness

Back 30

Ability to recognize and remember the product or brand.

Front 31

Interest

Back 31

Increase in desire to learn about the product features

Front 32

Evaluation

Back 32

Consumer’s appraisal of the product on important attributes.

Front 33

Trial

Back 33

Consumer’s actual first purchase and use.

Front 34

Adoption

Back 34

Repeated purchase and use of the product or brand

Front 35

IMC audit

Back 35

analyzes the internal communication network of the company by identifying key audiences, evaluating customer databases, and assessing messages in recent advertising.

Front 36

feedback

Back 36

the senders interpretation of the response and indicates whether the message was decoded and understood as intended

Front 37

source

Back 37

may be a company or person who has information to convey

Front 38

message

Back 38

the information sent by a source

Front 39

channel of communication

Back 39

the path by which a message is sent.

- such as a salesperson, advertising media, or public relations tools

Front 40

receiver

Back 40

persons whom read, hear, or see a message

Front 41

All you can afford budgeting method

Back 41

allows money to be spent on promotion only after all other budget items such as manufacturing costs are covered

Front 42

1) Identify the target audience
2) specifying promotion objectives
3) setting the promotion budget
4) selecting the right promotional tools
5) designing the promotion
6) scheduling the promotion

Back 42

Steps for developing an IMC program

Front 43

Introduction Stage

Back 43

Informing consumers in an effort to increase their level of awareness is the primary promotional objective

In general, all the promotional mix elements are used at this time.

Front 44

Growth Stage.

Back 44

persuade the consumer to buy the product. Advertising is used to communicate brand differences, and personal selling is used to solidify the channel of distribution.

Front 45

Maturity Stage

Back 45

the need is to maintain existing buyers. Advertising�s role is to remind buyers of the product�s existence. Sales promotion, in the from of discounts and coupons, is important in maintaining loyal buyers.

Front 46

Decline Stage.

Back 46

is usually a period of phase-out for the product, and little money is spent in the promotional mix.