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57 Cards in this Set

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What are the four main types of markets?
Consumer, Reseller, Business-to-Business, and Institutional
What is the American marketing Association definition of Marketing?
The conception, pricing, promotions, and distribution of ideas, goods and services to create exchanges that satisfy perceived needs.
What are some examples of marketing communications (also known as promotions).
Advertising, Public Relations, Sales Promotions, Personal Selling, Packaging, Point-of-Sale, and Direct Marketing.
What is a consumer market?
Consumer markets consist of people who buy products and services for personal or hosuehold use.
What are Business-to-Business (Industrial) Markets?
Business-to-Business markets consist of companies that buy products or services to use in their own business or in making other products.
What are Institutional Markets?
Institutional Markets include a wide variety of profit and nonprofit organizations -- such as hospitals, government agencies, and schools -- that provide services for the benefit of society.
What are Reseller Markets?
The reseller market is made up of what we call intermediaries. Resellers are wholesalers, retailers, and distributors who buy finished or semi-finished products and resell them for a profit.
What is the first step in approaching a market?
Assess the needs of the market and the company's ability to meet these needs profitably.
What is step 2 in approaching a market?
Choose an undifferentiated segmentation, or combination strategy.
What is step 3 in approaching a market?
For a segmentation or combination strategy, determine the target market(s) that would be most receptive to the product.
What is step 4 in approaching a market?
Select an approach to each target market through product differentiation and positioning.
What is step 5 in approaching a market?
Take action to approach the target markets.
What is an undifferentiated or market aggregation strategy?
A strategy that treats the market as homgenous, purposely ignoring difference in the market and using one marketing strategy that will appeal to as many people as possible (White bread for example)
What is Market Segmentation?
Market segmentation assumes that the best way to sell to the market is to recognize differences and adjust to them accordingly. Marketers decide the entire heterogeneous market into segments that are homgenous. From these segment, the marketer identifies, evaluates, and selects a target market.
What is product differentiation?
A competitive marketing strategy designed to create product differences that distinguish the company's product from all others in the eyes of consumers.
What are tangible perceived product differences?
product features, colors, size, quality of performance or support services, or available options.
What are intangible product differences?
Status, enjoyment, masculinity, feminimity.
What is product positioning?
Determining what place a product should occupy in a given market. It means a marketer strategically combines the product's tangible and intangible attributes in order to create a relative picture of the product.
What are six product positioning guidelines?
by attributes (Pentium III means 3D
by price (walmart means value)
by it's ability to surpass the competition (Ford beats Chevy)
by application (medicine, etc)
by product user (high school students)
by product class (breakfast food)
What is the marketing concept?
The marketing concept suggests that marketing should focus first on the needs and wants of the customer, rather than on finding ways to sell product that may or may not meet customers' needs.
What is Integrated Marketing?
Integrated Marketing is a process of understanding the needs of the customer and then responing to those needs through a coordination of the marketing mix (product, price, distribution, and marketing communications) and other functions of the business such as production, research, and finance.
What is relationship marketing?
Relationship Marketing identifies customers and potential customers and bonds them to the brand through personal attention. Many companies think of sales transactions as isolated events rather than steps in lifelong relationships with customers.
What are the 4 tools of marketing?
Product, Price, Distribution, Communication.
What are some examples of "Product"?
Design and Development
What are some examples of "Price"?
Price Copy
Psychological Pricing
Price Lining
Value Determination
What are some examples of "Distribution"?
Distribution Channels
Market Coverage
What are some examples of "Market Communication" ?
Personal Selling
Sales Promotion
Direct Marketing
Marketing/Public Relations
What does Branding do?
Branding makes a product distinctive in the marketplace, just as your name makes you distinctive in your community.
What is a brand?
A brand is a name, term, design, or symbol that identifies the goods, services, institution, or idea sold byt he marketer.
What is the Brand Name?
A brand that can be spoken, as in words, letters, or numbers.
When does a brand become a trademark?
When it is registered with the Patent and Trademark office of the Chamber of Commerce.
What are some tips on creating packages that communicate?
Make the package colorful and distincitive
Use a design that underscores the brand image and sends advertising messages that correspond with mass-media messages.
Make the package as functional as possible.
Make sure the product package and the advertising dovetail/coincide.
What is the channel of distribution? (Distribution Model)
The people/businesses that move products from the producers to the consumers. Manufacturers, Wholesalers, and Retailers.
What is exclusive distribution?
With exclusive distribution, only one distributor is allowed to sell the brand in a particular market.
What is selective distribution?
Selective Distribution expands the number of outlets but restricts participation to outlets that prove most profitable to the manufacturer.
What is Intensive Distribution?
Intensive Distribution means place the product in every possible outlet (even vending machines) to attain total market coverage.
What is price copy?
Advertising copy devoted to price information.
What is customary pricing?
using a single, well-known price for a long period of time.
What is Pyschological Pricing?
Psychological Pricing strategies try to manipulate the customer's judgement. (Like pricing something high, to imply that the item has a high value)
What is the Marketing Communication Mix?
Advertising, Personal Selling, Sales Promotion, Direct Marketing, Public Relations, Point-of-Sale and Packaging.
What is Integrated Marketing Communication.
The coordination and implementation of the Marketing Communication mix.
Advertising reaches the most people but has the least likelihood to do what?
Prompt Immediate change.
What is personal selling? What is best known for/most likely to do?
Face-to-Face selling, most likely to generate immediate and repeat sales.
What is sales promotion good for?
Aim to generate immediate sales for a limited period of time. Simply state sales promotion is an extra incentive to buy now -- or soon.
What is the primary purpose of Public Relations.
Public Relations seeks to enhance the company's image, and includes publicity, news conferences, company-sponsored events, open houses, plant tours, and donations/philanthropy.
What is the purpose of Direct Marketing, and what are it's 5 key characteristics?
Direct Marketing allows the customer to purchase the product directly, without going through a reseller. Direct marketing is a rapidly changing field and its definition is evolving. The Five Key Characteristics are :
It is interactive
Provides mechanism for response
It can occur anywhere
provides measurable reponse from customer.
It requires a database of consumer information.
What is Direct-Response Advertising?
Messages delever for direct-marketing products.
Why hire an advertising agency?
It provides objective advice, experienced staffing, and tailored management of all advertising activities and personnel.
Why not hiring an advertising agency?
The advantages of in-house agencies are
1. They allow individuals to become technical expert on the product being advertised.
2. The in-house agency works only for the client and gives priority to the client's needs.
3. Minimum staffing is required because all the work is focused on one client.
What is a full-service advertising agency?
A full-service advertising agency provides the four major staff functions :
1. Account Management
2. Creative Services
3. Media Planning/Buying
4. Accounting Planning & Research
Specialize Advertising Agencies are..
Agencies that focus on one aspect or function of the advertising process, on one specific audience, or one specific industry.
Account Management Department in Advertising Agency does what?
Acts as a liason between the advertising agency and the client, to ensure the client's needs are understood, and all resources are focused on satisfying those needs.
What does the Creative Development and Production Department of an Advertising Agency do?
There is a Copywriter who write, Art directors that design ideas, Producers who convert these ideas into television or radio commercials, and most staffs are built around these people.
What does the Media Planning and Buying Department of an Advertising Agency do?
They advise client of best channel for delivering message to their target audience. This includes research, planning, and media buying.
What does the Account Planning and Research department of an Advertising Agency do?
Investigates consumer demographics, consumer needs, and the best strategies for approaching and satisfying these needs/markets.
What does the Internal Services Departments of an Advertisement Agency do?
These departemnts can include the traffic department, print production, financial services, and human resources department.
What are the two types of payment structures that advertisement agencies use in billing clients?
Commission - Cost * 1.Commission

Fee - Flat rate fee. Hourly by department. Etc.