Chapter 11: Integrated Marketing Communications

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Mass marketing
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Advertising Public relations Sales promotion
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Customised marketing
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Personal selling
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Advertising
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An form of paid non-personal communication about good, brand or idea
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Advantages of Advertising
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Attention getting Large audience Company has control over their perception
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Disadvantages of Advertising
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Costs to produce and place an ad are high Lack of direct feedback
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Personal selling
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Two way flow of communication between a buyer and seller Influence people
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Advantages of Personal Selling
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Salesperson controls who the presentation is made for Salesperson can see/hear feedback
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Disadvantages of Personal Selling
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Flexibility Different salespeople can change message/no consistent message High cost
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Public relations
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Influence the feelings, opinions or beliefs held by consumers Special events, lobbying, reports etc
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Advantages of Public Relations
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Credibility
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Disadvantages of Public Relations
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Little control over what is said
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Sales promotion
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Short term offer of value
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Advantages of Sales Promotion
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Short-term often increases sales for their duration
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Disadvantages of Sales Promotion
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Can’t be the only basis Continuous promotion decreases effectiveness Customers delay purchase until their favourite items are on sale Some aspect are regulated by state and federal government
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Promotional mix
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A cost-effective combination of advertising, selling, sales promotion, and public relations used to attract customers
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Target audience
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Directed to ultimate consumers or intermediary
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Channel strategies
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Achieving control is difficult for the manufacturer, promotional strategies can assist in moving a product through the channel of distribution Whether to push a strategy, pull a strategy or both
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Push strategy
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A marketing strategy that uses aggressive personal selling and trade advertising to convince a wholesaler or a retailer to carry and sell particular merchandise
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Pull strategy
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A marketing strategy that stimulates consumer demand to obtain product distribution
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Integrated Marketing Communications
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The coordination of marketing messages through every promotional vehicle to communicate a unified impression about a product.
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Developing the promotional program
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– Identifying the Target Audience – Specifying Promotion Objectives – Set the budget – Select the right promotional elements – Design the promotion – Schedule the promotion
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Executing the promotion program
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– Pretest the promotion – Carry out the promotion
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Evaluating the promotion program
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– Posttest the promotion – Make needed changes
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Specifying promotion objectives
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Hierarchy of effects; Awareness Interest Evaluation Trial Adoption
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Setting the promotion budget
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Methods to use to set the promotion budget; Percentage of sales Competitive parity All you can afford Objective and task
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Execution and evaluating the promotion program
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– Ideal execution involves pretesting each design – Post tests are recommended to evaluate the impact of each promotion – Companies must create a test-result database that allows comparisons of the impact of promotional tools
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Direct marketing
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Direct connections with carefully targeted individual consumers to both obtain an immediate response and cultivate lasting customer relationships
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Direct orders
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The result of direct marketing offers that contain all the information necessary for a potential buyer to make a decision to purchase and complete the transaction
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Lead generation
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Identification of those firms and people most likely to buy the seller’s offerings
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Traffic generation
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The outcome of a direct marketing offer designed to motivate people to visit a business

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