Marketing 3000 Final Exam

Front 1

What is sales promotion

Back 1

Short term activity to motivate buying

-Usually by lowering price or adding value

Front 2

List some consumer sales promotion tools

Back 2

1. Coupons
2. Rebates
3. Premiums
4. Contests and sweepstakes
5. Point of purchase

Front 3

Coupons

Back 3

Certificate that entitles consumer to immediate proce reduction when they buy

This is a declining sales promotion tool

Front 4

Rebates

Back 4

Most consumers don't take advantage

Redemption rates are as low as 2%

Front 5

Premiums

Back 5

An extra item offered with purchase

Front 6

Contests and sweepstakes

Back 6

Contests involve skill, sweepstakes involve luck only

Front 7

point of purchase

Back 7

Displays set up at retail locations

End aisle displays, shelf talkers, extenders

Front 8

How many purchase decisions are made in the store

Back 8

70% - 80%

Front 9

Trade sales promotion

Back 9

Used to help push product through distribution channel

Front 10

Aspects of trade sales promotion

Back 10

- Trade allowances
- Push money
- Training or store demonstrations
- Free merchandise
- Conventions and trade shows

Front 11

Contests and sweepstakes

Back 11

Contests involve skill, sweepstakes involve luck only

Front 12

point of purchase

Back 12

Displays set up at retail locations

End aisle displays, shelf talkers, extenders

Front 13

How many purchase decisions are made in the store

Back 13

70% - 80%

Front 14

Trade sales promotion

Back 14

Used to help push product through distribution channel

Front 15

Aspects of trade sales promotion

Back 15

- Trade allowances
- Push money
- Training or store demonstrations
- Free merchandise
- Conventions and trade shows

Front 16

Consumer sales promotion tools

Back 16

Sampling -
-Allowing consumer to try a product with no risk

-Use is growing because of effectiveness

-Distribution is key

Jack Daniels Girls, at bars etc

Front 17

Publicity

Back 17

Efforts to capture public attention

Includes:
- press relations
- product publicity

Front 18

Managing unfavorable publicity

Back 18

Have plans in place
-Have support of top management

Have good media relations

Tell truth and address problem directly

Johnson and Johnson dealt with tylenol issue flawlessly

Work with your CEO directly on this!

Front 19

Event sponsorship

Back 19

Ford, Wrangler sponsor PBR tour

Front 20

Issue sponsorship

Back 20

Education, health care and social program investment

Front 21

Everybody sells!

Back 21

Each of us develops communication techniques for trying to get our way in life

You are selling when you want someone to do something

You use persuasion skills to persuade someone to act

Front 22

Types of sales jobs

Back 22

- Retail selling
- Direct selling
- Selling for a wholesaler
- Selling for a manufacturer

Front 23

Retail selling

Back 23

A retail salesperson sells goods or services to consumers for their personal, non-business use

Front 24

Direct selling

Back 24

Face to face sales to consumers, typically in their homes, who use the products for their non business, personal use

Front 25

Selling for a wholesaler

Back 25

-For resale
-For use in producing other goods
-For use within an organization

Front 26

Selling for a manufacturer

Back 26

-Working for the firm who manufacturers the product
-Usually one of the most prestigious jobs to hold

Front 27

Relationship selling

Back 27

- Non adversarial
- Non manipulative
- Consultive
- Partnering
- Problem solving
- Goal: Long term relationship

Front 28

what are the three levels of relationship marketing

Back 28

- Transaction selling: customers are sold to and not contacted again
- Relationship selling: The seller contacts customers after the purchase to determine if they are satisfied and have future needs
-Partnering: The seller works continually with the buyer to improve operations, sales and profits

Front 29

Consultative sellling

Back 29

The process of helping the customer achieve strategic short and long term goals through the use of the seller's goods and or services

Front 30

What are the three goals of consultative selling

Back 30

1. Team leader: Coordinates all of he info, resources, and activities needed to support customers before, during and after the sale

2. Business consultant: Gives advice and service. Uses internal and external resources to gain an understanding of the customer's business

3. Long term ally: Creates a "win-win" situation. As the customer's sales and profits grow, so do the sales persons.

Front 31

The customer - seller relationship gap

Back 31

-May occur when the salesperson's interest in the customer declines

-usually after the sale

- Yet the customer's interest increases after the sale

- This is one reason why service after the sale is so important

Front 32

The key to success

Back 32

1. Knowing and satisfying target customers with competitively superior products and service

2. Marketing is the company function that defines customer targets and the best way to satisfy their needs and wants competitively and profitably

3. Marketing's main customer contacts are salespeople

Front 33

List the 10 important steps in the customer relationship selling process

Back 33

1. Prospecting
2. Preapproach
3. Approach
4. Presentation
5. Trial close
6. Objections
7. Meet objections
8. Trial close
9. Close
10. Follow up and service

Front 34

Prospecting

Back 34

Locating and qualifying prospective customers.

Are they the right person? Authority? Funds?

Front 35

Preapproach

Back 35

Obtaining interview. Planning: determining sales call objective, developing customer profile, customer benefit program, and sales presentation strategies.

Front 36

Approach

Back 36

Meeting prospect and beginning customized sales presentation

Gain attention of the client

Front 37

Presentation

Back 37

Further uncovering needs, relating product benefits to needs using demonstration, dramatization, visuals and proof statements

Find depth of needs, collect more info

Front 38

Trial close

Back 38

Asking Prospect's opinions during and after presentation

Lead the customer along

Front 39

Objections

Back 39

Uncover objections

Front 40

Meet objections

Back 40

Satisfactorily answering objections.

Price too high? Our product is that much better, foo

Front 41

Close

Back 41

Bringing prospect to the logical conclusion to buy

Front 42

Follow up and service

Back 42

Serving customer after the sale

Most important!

Front 43

Informative advertising

Back 43

Build primary demand about the product itself

Front 44

Persuasive advertising

Back 44

Build selective demand for a brand

Front 45

Comparison advertising

Back 45

Compares one brand to another

Cable and satellite

Some car ads

Mastercraft...

Front 46

Sales objective advertising

Back 46

Running an ad will directly increase sales

Front 47

Communication objective advertising

Back 47

A specific message will be brought across

Front 48

Reminder advertising

Back 48

Keeps the consumers thinking about a product

For mature products

Front 49

What are the 5 M's of advertising

Back 49

1. Mission
2. Money
3. Message
4. Media
5. Measurement

Front 50

Mission

Back 50

Sales goals

Advertising objectives

Front 51

Money

Back 51

Factors to consider:
Stage in PLC
Market share and consumer base
Competition and clutter
Advertising frequency
Product substitutability

Front 52

Message

Back 52

Message generation

Message eval and selection

Message execution

Social responsibility review

Front 53

Media

Back 53

Reach, frequency, impact

Major media types

Specific media types

Media timing

Geographical media allocation

Front 54

Measurement

Back 54

Communication impact

Sales impact

Front 55

Reach

Back 55

# of households exposed to ad

Front 56

Frequency

Back 56

# of times a household sees the ad

Front 57

Gross rating point

Back 57

Reach X Frequency

Front 58

Newpapers:
advantages and limitations

Back 58

+: Flexibility, timeliness, good local market coverage, broad acceptance, high believability

-: Short life, poor reproduction quality, small pass along audience

Front 59

TV:
advantages and limitations

Back 59

+: Combines sight, sound, motion, high attention, high reach, appealing to senses

-: High absolute costs, high clutter, fleeting exposure, less audience selectivity

Front 60

Direct mail:
advantages and limitations

Back 60

+: Audience selectivity, flexibility, no ad competition within the same medium, allows personalization

-: Relative high costs, junk mail image

Front 61

Radio:
advantages and limitations

Back 61

+: Mass use, high geographic and demographic selectivity, low costs

-: Audio only, fleeting exposure, lower attention, non standardized rates, fragmented audiences

Front 62

Magazine:
advantages and limitations

Back 62

+: High geographic and demographic selectivity, credibility and prestige, high quality reproduction, long life, good pass along readership

-: Long ad purchase lead time, waste circulation, no guarantee of position

Front 63

Outdoor:
advantages and limitations

Back 63

+: Flexibility, high repeat exposure, low cost, low message competition

-: Little audience selectivity, creative limitations

Front 64

What is the most effective advertising pattern?

Back 64

Bursts!

Front 65

What are some barriers to communication?

Back 65

1. Selective perception
2. Psychological noise

tendency to distort messages to assimilate what you want to believe

Happy ads tend to be better. Safe car ads shouldn't be happy

Front 66

Issues in credibility

Back 66

1. Credibility of informal sources (actors in tv ads)
2. Credibility of formal sources (Doctors in ads)
3. Credibility of spokespersons and endorsers
(Michael Jordan)
4. Message credibility

Front 67

Issues in designing persuasive communications

Back 67

1. Communications strategy
2. Media strategy
3. Message strategies

How will you create your message

Front 68

Issues in message presentation

Back 68

1. Message framing
2. One side versus two sided messages
3. Comparative advertising
4. Order effects
5. Repetition

Front 69

Advertising appeals

Back 69

1. Fear
2. Humor
3. Abrasive ads
4. Sex
5. Audience participation