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25 Cards in this Set

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paid, nonpersonal communication regarding goods, services, organizations, people,places, and ideas that is transmitted through various media by business firms, who are identifiedin the advertising message as the sponsor

Public Relations

includes any communication to fostera favorable image for goods, services, organizations, people, places, and ideasamong their publics


is the form of public relations that entails nonpersonal communication passed on via various mediabut not paid for an identified sponsor\

Importance of PR has grown as the cost of other mediahas increased

Sales promotion

involves paid marketing communication activities(other than advertising, publicity, or personal selling) intended to stimulatepurchases and dealer effectiveness

used for both short-term and long-termobjectives

Personal selling

involves oral communication with one or moreprospective buyers by paid representatives for the purpose of making sales

Channel of Communication

The mechanism by which a source develops a message, transmit it to an audience via some medium, and gets feedback from the audience..


The process in a channel of communication whereby a thought or idea is translated into a message by the source.

(Conversion to Message) (Content)


The process in a channel of communication by which a message sent by a source is interpreted by an audience.

(Message recipient) (interpretation)


Distractions preventing message delivery

Types of Messages

(One sided, two-sided, comparative)

Massed Promotion

Communications efforts that are concentrated in peak periods, such as holidays.

Distributed Promotion

Communication efforts spread throughout the year

The Lagged Effect

Advertisingdoes not always have an immediate impact/ Multipleexposures are often necessary/

Difficultto determine which exposure led to purchase

Wearout Rate

the time ittakes for a message to lose effectiveness

Depends on communication frequency, message quality, Etc.

Promotion Goals (hierarchy model)

(provide information, develop positive attitudes and feelings, stimulate purchases and retain desires)

Promotionobjectives can be divided into

stimulatingdemand and enhancingcompany image

provide information

Obtain consumer product recognition, then gainconsumer knowledge of product attributes /At the early stages of the model, when a good serviceis little known, primary demand should be sought /Primary demand is for a product category

Develop Positive Attitudes and Feelings

Obtain favorable attitudes, then gain preference forthe company’s brand(s) over those of the competition

When preference is the goal, selectivedemand should besought. This is demand for a particular brand.

Stimulate Purchases and Retain Desires

Obtain strong consumer preference, gain purchase ofgood or service, encourage continued purchases, and achieve brand loyalty Sometimes, organizations may try to sustain orrevitalize interest in mature products and revert to a primary demand orientation

Promotion Budget Techniques

All-You-Can-Afford Method, Incremental Method, Competitive Parity Method, Percentage-of-Sales Method, Objective-and-Task Method

All-You-Can-Afford Method

Firm first allots funds for other elements of marketing; remaining marketing funds then go to the promotion budget.

Incremental Method

A percentage is added to or subtracted from thisyear’s budgetto determine next year’s.

Competitive Parity Method

Promotion budget is raised or lowered according tocompetitors’ actions

Percentage-of-Sales Method

Promotion budget is tied to sales revenue.

Objective-and-Task Method

Firm sets promotion goals, determines the activitiesneeded to satisfythem, and then establishes the proper budget.