Comparison of Advertising Media: Newspapers, Magazines, Radio, TV, Internet, and Outdoor, Quizzes of Principles of Marketing

Download Comparison of Advertising Media: Newspapers, Magazines, Radio, TV, Internet, and Outdoor and more Quizzes Principles of Marketing in PDF only on Docsity! TERM 1 Promotion DEFINITION 1 Communication by marketers that informs, persuades, and reminds potential buyers of a product in order to influence an opinion or elicit a response. TERM 2 The Promotional Mix DEFINITION 2 1. Advertising2. Public Relations3. Sales Promotion4. Personal Selling5. Social Media TERM 3 Integrated Marketing Communications DEFINITION 3 The careful coordination of all promotional messages to ensure the consistency of messages at every contact point where a company meets the consumer. TERM 4 Tasks of Promotion DEFINITION 4 InformRemindPersuade the consumer. TERM 5 Informative Promotion DEFINITION 5 Increases awarenessExplain how a product worksBuild company imageUsually used in the introductory and/or growth stage. TERM 6 Persuasive Promotion DEFINITION 6 Encourage brand switchingChange consumer's perceptions of product attributesInfluence immediate buying decisionUsually in growth and mature stage. TERM 7 Reminder Promotion DEFINITION 7 Remind consumer that product may be neededRemind customer where to buy productMaintain customer loyaltyNormally in mature stage. TERM 8 The AIDA Concept DEFINITION 8 Getting the consumer involved in promotion:1. Attention Cognitive (thinking)2. Interest Affective (feeling)3. Desire Conative (doing)4. Action TERM 9 Advertising DEFINITION 9 ImpersonalOne-way mass communicationPaid for by marketer TERM 10 Types of Advertising DEFINITION 10 Institutional Advertising Corporate Identity Advocacy Advertising Product Advertising Pioneering/Informative Competitive/Persuasive Comparative Reminder TERM 21 Newspaper Advantages DEFINITION 21 Geographic selectivity and flexibilityShort-term advertiser commitmentsNews value and immediacyYear-round relationshipHIgh individual market coverageCo-op and local tie-in availabilityShort time lead TERM 22 Newspaper Disadvantages DEFINITION 22 Little demographic selectivityLimited color capabilitiesLow pass-along rateMay be expensive TERM 23 Magazine Advantages DEFINITION 23 Good reproduction especially for colorDemographic selectivityRegional selectivityLocal market sensitivityRelatively long advertising lifeHIgh pass-along rate TERM 24 Magazine Disadvantages DEFINITION 24 Long-term advertiser commitmentsSlow audience buildupLimited demonstration capabilitiesLack of urgencyLong time lead TERM 25 Radio Advantages DEFINITION 25 Low costImmediacy of messagesCan be scheduled on short noticeRelatively no seasonal change in audienceHIghly portableShort-term advertiser commitmentsEntertainment carryover TERM 26 Radio Disadvantages DEFINITION 26 No visual treatmentShort advertising life of messageHigh frequency required to generate comprehension and retentionDistractions from background soundCommercial Clutter TERM 27 Television Advantages DEFINITION 27 Ability to reach a wide, diverse audienceLow cost per thousandCreative opportunities for demonstrationImmediacy of messageEntertainment carryoverDemographic selectivity with cable stations TERM 28 Television Disadvantages DEFINITION 28 Short life of messageSome consumer skepticism about claimsHIgh campaign costLittle demographic selectivity with network stationsLong-term advertiser commitmentsLong lead times required for productionCommercial clutter TERM 29 Internet Advantages DEFINITION 29 Fastest-growing mediumAbility to reach a narrow target audienceRelatively short lead time for creating Web-based advertisingModerate costAbility to measure ad effectivenessAbility to engage consumers through search engine marketing, social media, display advertising, and mobile advertising TERM 30 Internet Disadvantages DEFINITION 30 Most ad exposure relies on "click-through" from display adsMeasurement for social media needs much improvementNot all consumers have access to the internetMany consumers are not using social media TERM 31 Outdoor Media Advantages DEFINITION 31 RepetitionModerate costFlexibilityGeographic selectivity TERM 32 Outdoor Media Disadvantages DEFINITION 32 Short messageLack of demographic selectivityHigh "noise" level distracting audience TERM 33 Media Selection Considerations DEFINITION 33 ReachFrequencyAudience Selectivity TERM 34 Reach DEFINITION 34 Number of different consumers exposed to an advertisement at least once during a specific period TERM 35 Frequency DEFINITION 35 Number of times an individual is exposed during a specific time period TERM 46 Trade Sale Promotions Examples DEFINITION 46 Trade allowancesTrade shows/TrainingPush MoneyFree MerchandiseContestsCooperative Advertising TERM 47 Cooperative Advertising DEFINITION 47 An arrangement in which the manufacturer and the retailer split the costs of advertising the manufacturer's brand TERM 48 Issues with Trade Sales Promotions DEFINITION 48 ???????? TERM 49 Personal Selling DEFINITION 49 Direct communication between a sales rep and one or more prospective buyers in an attempt to influence each other in a purchase situation TERM 50 Personal Selling is Appropriate when: DEFINITION 50 Product has high valueProduct is custom madeThere are few customersProduct is technically complexCustomers are concentrated TERM 51 Steps in the Selling Process DEFINITION 51 1. Generate Leads2. Qualify Leads3. Probe Consumer Needs4. Develop Solutions5. Handle Objections6. Close the Sale7. Follow Up TERM 52 Step 1: Generating Leads DEFINITION 52 Identification of those firms and people most likely to buy the seller's offeringsAdvertising, referral, direct mail, telemarketing, publicity, cold calling, web page, networking, etc. TERM 53 Step 2: Qualifying Leads DEFINITION 53 Determing weather the prospect has: Recognized Need Buying Power Receptivity and Accessibility TERM 54 Step 3: Probe Customer Needs DEFINITION 54 Pre-approach (The homework) Approach (Initial contact, needs assessment) TERM 55 Needs Assesment DEFINITION 55 A determination of the customer's specific needs and wants and the range of options a customer has for satisfying them.Know everything about: The product/service Customers and their needs The competition The industry Create a customer profile TERM 56 Step 4: Develop Solutions DEFINITION 56 Sales ProposalSales Presentation Formula Selling Stimulus Response Successive Commitment Needs Satisfaction Combination TERM 57 Step 5: Handling Objections DEFINITION 57 View objections as requests for informationAnticipate specific objectionsInvestigate the objection with the customerBe aware of competitor's productsStay CalmUse the objection to close the sale TERM 58 Step 6: Closing the Sale DEFINITION 58 Look for customer signalsNegotiateProvide IncentivesTrial/Presumptive Close TERM 59 Step 7: Follow- up DEFINITION 59 Make sure the customer is satisfied after the saleProvide any needed after sale support TERM 60 Relationship (Consultative) Selling DEFINITION 60 A sales practice that involves building, maintaining, and enhancing interactions with customers in order to develop long-term satisfaction through mutually beneficial partnerships.Verses traditional selling TERM 71 Medium DEFINITION 71 The channel used to convey a message to a target market TERM 72 Media Planning DEFINITION 72 The series of decisions advertisers make regarding the selection and use of media, allowing the marketer to optimally and cost-effectively communicate the message to the target audience. TERM 73 Infomercial DEFINITION 73 A 30-minute or longer advertisement that looks more like a television talk show than a sales pitch. TERM 74 Advergaming DEFINITION 74 Placing advertising messages in Web-based or video games to advertise or promote a product, service, organization, or issue. TERM 75 Media Mix DEFINITION 75 The combination of media to be used for a promotional campaign TERM 76 Cost per Click DEFINITION 76 The cost associated with a consumer clicking on a display or banner ad. TERM 77 Audience Selectivity DEFINITION 77 The ability of an advertising medium to reach a precisely defined market TERM 78 Sponsorship DEFINITION 78 A public relations strategy in which a company spends money to support an issue, cause or event that is consistent with corporate objectives, such as improving brand awareness or enhancing corporate image. TERM 79 Crisis Management DEFINITION 79 A coordinated effort to handle all the effects of unfavorable publicity or another unexpected unfavorable event. TERM 80 Trade Allowance DEFINITION 80 A price reduction offered by manufacturers to intermediaries, such as wholesalers and retailers, in exchange for doing something specific like allocating space for a new productType of Trade Sale Promotion TERM 81 Push Money DEFINITION 81 Money offered to channel intermediaries to encourage them to "push" products - that is, to encourage other members of the channel to sell the products TERM 82 Sales Process/Cycle DEFINITION 82 The set of steps a sales person goes through in a particular organization to sell a particular product or service TERM 83 Referral DEFINITION 83 Way to generate a leadA recommendation to a salesperson by a customer or business associate TERM 84 Networking DEFINITION 84 A way to generate a leadA process of finding out about potential clients from friends, business contacts, coworkers, acquaintances, and fellow members in professional and civic organizations TERM 85 Cold Calling DEFINITION 85 A way to generate a leadSalesperson approaches potential buyers without any prior knowledge of the prospects' needs or financial status TERM 96 Demand DEFINITION 96 The quantity of a product that will be sold in the market at various prices for a specified period. TERM 97 Supply DEFINITION 97 The quantity of a product that will be offered to the market by the supplier at various prices for a specific period. TERM 98 Price Equilibrium DEFINITION 98 The price at which demand and supply are equal TERM 99 Elasticity of Demand DEFINITION 99 Consumers' responsiveness or sensitivity to changes in price. TERM 100 Elasticity Formula DEFINITION 100 Percentage change in quantity demanded of Good APercentage change in price of Good A TERM 101 If Elasticity is > 1 DEFINITION 101 Demand is Elastic TERM 102 If Elasticity is < 1 DEFINITION 102 Demand is inelastic TERM 103 If Elasticity is = 1 DEFINITION 103 Demand is unitary TERM 104 Demand is price elastic when... DEFINITION 104 A change in price has a large change on demand in the opposite direction If price goes down, demand goes way up and revenues go up If price goes up, demand goes way down and revenue goes down. E > 1 TERM 105 Demand is price inelastic when... DEFINITION 105 A change in price has little change on demand If price goes down, demand stays the same but revenue goes down. If price goes up, demand stays the same but revenue goes up. E < 1 TERM 106 Factors that Affect Elasticity of Demand DEFINITION 106 Availability of substitutes Price relative to purchasing power (Consumer income) Consumer taste TERM 107 Demand Curve DEFINITION 107 A graph of demand at various price pointsAssumes no change in factors affecting elasticity Availability of substitutes Consumer income Consumer taste TERM 108 Psychological Price Point DEFINITION 108 Price "limit" for most consumersPrice at which the majority of consumers will drop out of the market TERM 109 Strategies to make Demand more Inelastic DEFINITION 109 Cultivate selective demandCreate unique offeringsChange the package designHeighten buyer dependence TERM 110 Yield Management Systems DEFINITION 110 A technique for adjusting prices frequently based upon short term changes in demand and price elasticity. TERM 121 Step 3: Choosing a Price Strategy DEFINITION 121 Price strategy is a long-term pricing framework used to set the initial price and make adjustments over time. TERM 122 Price Skimming DEFINITION 122 A firm charges a high introductory price, often coupled with heavy promotion TERM 123 Penetration Pricing DEFINITION 123 A firm charges a relatively low price for a product initially as a way to reach the mass market TERM 124 Status Quo Pricing DEFINITION 124 Charging a price identical to or very close to the competition's price TERM 125 Step 4: Fine-Tune Base Price (tactics) DEFINITION 125 Discounts Geographic pricing Consumer/retail level tactics TERM 126 Consumer/Retail Pricing Tactics DEFINITION 126 Single-Price TacticPrice BundlingLeader (Loss LEader) PricingPrice LiningOdd-Even PricingBait and Switch Pricing TERM 127 Single-Price Tactic DEFINITION 127 All goods offered at the same price TERM 128 Price Bundling DEFINITION 128 Combining two or more products in a single package TERM 129 Leader (Loss Leader) Pricing DEFINITION 129 Sell products at near or below cost TERM 130 Price Lining DEFINITION 130 Several line items at specific price points TERM 131 Odd-Even Pricing DEFINITION 131 Odd-number prices imply bargainingEven-number pricing imply quality TERM 132 Bait and Switch Pricing DEFINITION 132 Lure customers through false or misleading price advertising. TERM 133 Unfair Trade Practices DEFINITION 133 Laws that prohibit wholesalers and retailers from selling below cost TERM 134 Price Fixing DEFINITION 134 An agreement between two or more firms on the price they will charge for a product TERM 135 Predatory Pricing DEFINITION 135 The practice of charging a very low price for a product with the intent of driving competitors out of the business or out of a market TERM 146 Marginal Revenue DEFINITION 146 The extra revenue associated with selling an extra unit of output or the change in total revenue with a one-unit change in output TERM 147 Base Price DEFINITION 147 The general price level at which the company expects to sell the good/service TERM 148 Quality Discount DEFINITION 148 A price reduction offered to buyers buying in multiple units or above a specified dollar amount TERM 149 Cumulative Quality Discount DEFINITION 149 A deduction from list price that applies to the buyer's total purchases made during a specific period TERM 150 Noncumulative Quantity Discount DEFINITION 150 A deduction from list price that applies to a single order rather than to the total volume of orders placed during a certain period TERM 151 Cash Discount DEFINITION 151 A price reduction offered to a consumer, an industrial user or a marketing intermediary in return for prompt payment of a bill TERM 152 Functional (Trade) Discount DEFINITION 152 A discount to wholesalers and retailers for performing channel functions TERM 153 Seasonal Discount DEFINITION 153 A price reduction for buying merchandise out of season TERM 154 Promotional (Trade) Allowance DEFINITION 154 A payment to a dealer for promoting the manufacturer's products TERM 155 Rebate DEFINITION 155 A cash refund given for the purchase of a product during a specific period. TERM 156 Value-Based Pricing DEFINITION 156 Setting the price at a level that seems to the customer to be a good price compared to the prices of other options TERM 157 FOB Origin Pricing DEFINITION 157 A price tactic that requires the buyer to absorb the freight costs from the shipping point ("Free on board"). TERM 158 Uniform Delivered Pricing DEFINITION 158 A price tactic in which the seller pays the actual freight charges and bills every purchaser an identical, flat freight charge. TERM 159 Zone Pricing DEFINITION 159 A modification of uniform delivered pricing that divides the US (or total market) into segments or zones and charges a flat freight rate to all customers in a given zone. TERM 160 Freight Absorption Pricing DEFINITION 160 A price tactic in which the seller pays all or part of the actual freight charges and does not pass them on to the buyer