Home Page Arts And Humanities Philosophy Ethics Business Management Marketing Management Chapter 11 - Flashcards

Marketing Management Chapter 11 – Flashcards

Sabrina Peterson

7 July 2022

question

Examples of communication media that firms use to create brand awareness include:

answer

-advertising -publicity

question

A brand such as T-Mobile can build awareness through ______________ exposure to the brands logo, symbols and slogans

answer

repeated

question

Brand Equity

answer

The set of assets and liabilities linked to a brand that add to or subtract from the value provided by the product or service.

question

When Frito-Lay decided to introduce a salsa product line, it used the existing Tostitos (under which it sells taco chips). What advantage did this strategy provide to Frito-Lay?

answer

-It could introduce the product sooner and more easily -The Tostinos brand already had brand associations that helped to sell salsa -It could spend less on developing consumer brand awareness

question

Typically, who determine's the product's or service's value in relationship to that of it's close competitors?

answer

Consumers

question

Good marketing increases ____________ by raising customers' quality perceptions relative to price.

answer

Perceived Value

question

Firms reward loyal customers through ______________ programs.

answer

Customer relationship management

question

Firms tend to spend __________ to market to loyal customers compared to marketing to new customers.

answer

Substantially less

question

Brand loyalty tends to be an advantage to the firm because it will __________ competition.

answer

Insulate a firm from

question

Product Mix

answer

complete set of all products and services offered by a firm

question

Product Lines

answer

which are groups of associated items that consumers tend to use together or think of as part of a group of similar products or services.

question

Product Mix Breadth

answer

represents a count of the number of product lines offered by the firm

question

Product Line Depth

answer

in contrast to product mix breadth, equals the number of products within a product line.

question

A product mix typically consists of ___________, or groups of associated items.

answer

Product lines

question

Firms add items to their product lines to address changing consumer preferences. For example, an ice cream company might add low-fat to it's existing ice cream flavors. This is an example of increasing ______________.

answer

Increasing Depth

question

Firms decrease depth to

answer

-refocus marketing efforts on profitable items. -eliminate unprofitable items

question

A firm can delete entire product lines to address changing market conditions; this is also known as:

answer

Decreasing breadth

question

To capture new or evolving markets, a firm may increase _________ to compete in new product areas.

answer

Breadth

question

Product lines are a part of a product:

answer

Mix

question

A product line typically consists of ____________, or groups of associated items.

answer

Product lines

question

Which products/services are typically consumer durables like a dryer or a refrigerator? Buyers spend a fair amount of time and effort to make the comparisons before purchasing and usually do not know which one or which brand they will buy in advance of the process.

answer

Shopping

question

Specialty Good

answer

Compares many alternatives, lots of time and effort involved in searching, and consumer has a good idea of the brand he or she will buy in advance.

question

Shopping Good

answer

Compares alternatives and consumer spends moderate amount of time and effort deciding among products, features, and brands.

question

Augmented Product or Associated Services

answer

include the nonphysical aspects of the product, such as product warranties, financing, product support, and after-sale service

question

Which of the following are components of augmented product?

answer

-Warranties -Product Support

question

If a brand has a high degree of brand ___________, it means that most consumers are familiar with the brand and what it stands for even if they do not use the brand.

answer

Awareness

question

When a brand extension adversely affects consumer perceptions about the core brand it is known as:

answer

Brand Dilution

question

Branding includes:

answer

-Distinctive packaging -Logos -Slogans

question

Competitive brands add value for the consumer by:

answer

-Identifying unique features and attributes that are easy to distinguish -Signifying a distinct level of quality

question

Products are complex with multiple components. ______________ defines the basic problem solving benefits that consumers are seeking.

answer

Core customer value

question

Some firms use ____________ for each of their products, as opposed to the same name or brand for all their product lines and products.

answer

Individual brands

question

What are considered components of the actual product?

answer

-Brand name -Features/Design

question

The value of a brand like Starbucks or Apple can be converted into brand ___________, which is essentially the assets and liabilities of the brand.

answer

Equity

question

Brands have value as corporate assets and the "value of the brand" refers to:

answer

The earning potential of the brand over the next year.

question

Product packaging offers a variety of benefits to:

answer

Retailers and Consumers

question

Labels must comply with laws and regulations and must include:

answer

-Where the product was made -Ingredients -Safety precautions

question

Core customer value

answer

Defines the basic problem solving benefits that consumers are seeking. What are customers looking for?

question

Product

answer

-Organizations (ie MADD) -Physical Item -Services -Ideas

question

2 Categories of Products

answer

Consumer and Business

question

4 Categories of Consumer Products

answer

1. Specialty 2. Shopping 3. Convenience 4. Unsought

question

Specialty Products

answer

-consumers spend considerable time and effort searching for the best purveyors of these products. ex: luxury cars, houses, designer apparel, professional medical, financial and legal services

question

Shopping Products

answer

Consumers spend less time and effort choosing shopping products than on specialty items. But, they will still go through the trouble of comparing alternatives to find the best value. ex: furniture, apparel, airfare deals

question

Convenience Products

answer

Consumers do not spend much, if any, time and effortex: gum, bread, and soda

question

Unsought Products

answer

Goods and services the consumer does not normally think about buying or does not know about. These products require a great deal of marketing effort and promotion to get the customer's attention. ex: Insurance policies, towing services, bail bonds, funeral planning

question

Breadth

answer

Number of product lines under a company's umbrella

question

Depth

answer

Amount of products within one line

question

Expand or Contract Products

answer

If the firm has multiple product lines, the company has to consider whether the amount of individual products under that umbrella needs to expand or contract based on sales data. This decision based on factors at the industry, consumer, and firm level.

question

Expansion

answer

Can have an adverse affect on a company's profit and brand image.

question

Contraction

answer

Eliminate unprofitable product lines.

question

Size of a product line is dependent on:

answer

-level of competition -amount of consumer support -how much capital the company is willing to devote to those goods or services

question

The complete set of all products offered by a firm is its product _______.

answer

Mix

question

Kellogg's has a long list of ready-to-eat cereals which consumers think of as a similar group of products. Kellogg's ready-to-eat cereals are a product ________.

answer

Line

question

Colgate has a line of oral care products including toothpaste, toothbrushes and teeth whitening products. These products represent the ______ of the line.

answer

Depth

question

Introduced in 1920, Band-Aid now has more than 40 products to help heal cuts and scrapes. Band-Aid has, over the years, increased their _________.

answer

Product line depth

question

If a firm deletes an entire product line, it has _______.

answer

Decreased its breadth

question

Assets

answer

Anything a company owns that can be used to make the firm money. Adds the firm's value, sales, and profitability.

question

Assets -Liabilities=

answer

Owner's Equity

question

Brands facilitate purchase in all of the following ways EXCEPT _______.

answer

They are always appealing to the customer.

question

As a brand becomes more recognizable, _______.

answer

The company doesn't have to spend as much on marketing the brand.

question

When a firm chooses to have a brand legally protected through trademarks and copyrights, the brand becomes _______.

answer

An asset to the firm.

question

_______ measures how many consumers in a market are familiar with a brand and what it stands for.

answer

Brand awareness

question

Branding provides with great marketing advantages by:

answer

-Defining its products from the competition. -Establish quality levels and specific attributes. -Recognition factor helps consumer makes faster purchasing decisions.

question

A good brand name helps insulate a business from competitor products because:

answer

the firm's items develop loyal buyers.

question

When marketers attempt to gage how much equity a brand has, they look at four main components:

answer

1. Brand awareness 2. Perceived value 3. Brand associations 4. Brand Loyalty

question

Brand Awareness

answer

How many consumers are familiar with and understand the purpose of a particular product.

question

Familiarity is especially important with ____________ products.

answer

Convenience (and just as important to infrequently or never before purchase products)

question

Brand awareness is created through repeated exposure to the various brand elements such as:

answer

-Logo -Slogan -Symbol -Packaging -Character

question

Perceived value

answer

-Related to the cost benefit relationship of the product. -Often promoted as a consumer benefit -Can often be used to separate one brand name from another.

question

Brand Associations

answer

Personal connections that consumers make with a brand and it's key attributes. Such as a logo, slogan, or celebrity spokes person

question

A company's marketing division is responsible for creating campaigns that _______________.

answer

Instill, develop and then reinforce these brand associations.

question

Brand associations go beyond value:

answer

They connect with consumers on an emotional level.

question

Loyal customers are less sensitive to:

answer

price. Meaning they will continue to purchase their favorite product even if it costs a little more.

question

Advantages of brand loyalty:

answer

-buyer is less price sensitive -customer spreads positive word-of-mouth -Lower marketing costs to reach target

question

Business Strategy

answer

use a variety of strategies to create and manage their key brand assets: -Own or license their brand -Extend brand name to other products and markets -Partner their brand name with another firm

question

Two main brand ownership strategies:

answer

1. Manufacturer brands 2. Retailer/Store brands

question

Manufacturer brands (also know as national brands)

answer

- Are owned and manufactured by the manufacturer. - The maker maintains more control over the brands image, as well as product quality and consistency. - The company decides the best market segments to pursue, how to position the brand, and how to create brand equity over time. Examples of well known manufacturer brands include: Frito Lay, Mountain Dew, and Uggs

question

Manufacturer brands are responsible for:

answer

developing and producing the product and determining the marketing strategy.

question

Retailer/Store Brands (also referred to as private label brands)

answer

- These brands are developed and marketed by retailers. They are produced by a manufacturer. - National Brands can partner with a retailer to sell an exclusive line of merchandise at their store.

question

Store brands now account for __________ percent of consumer purchases in North America.

answer

question

4 Categories of Private Brands:

answer

1. Premium 2. Generic 3. Copycat 4. Exclusive Co-brands

question

Premium Brands

answer

Marketed as being comparable to or superior to the manufacturers brand.

question

Generic Brands

answer

Offers price sensitive consumers a no frills product at a discount price.

question

Copycat Brands

answer

Attempt to imitate the national brands packaging and appearance. Consumers tend to perceive these brands as being lower in quality.

question

Exclusive Co-brands

answer

Developed by a manufacturer in conjunction with a retailer and sold exclusively at that retailer's stores. A simpler form of co-branding involves a manufacturer assigning different model names and exterior features to the same basic product and then selling the various versions to multiple retailers.

question

Sears sells appliances using its own Kenmore brand name and it sells tools using its own Craftsman brand name. These ______ brands can only be bought at Sears.

answer

private-label

question

Manufacturer brands are also known as _______.

answer

national brands

question

Coca-Cola and Nike would be considered _______ brands, while Market Pantry or Archer Farms products (sold at Target stores) would be considered _______ brands.

answer

manufacturer; store

question

Brand Extension

answer

Launching related products under the same banner. -Can include an increase in depth or breadth -Uses the same brand name in a different product line.

question

The Victorinox Swiss Army Company is well known for their Swiss Army Knives. The company also makes and markets watches, travel gear, cutlery and even fragrances. This represents a ___________ strategy.

answer

Brand Extension

question

In the 1980s the Coca-Cola Company introduced New Coke. The product was a total failure and in the short term greatly hurt the reputation of Coca-Cola. This is an example of _________.

answer

Brand Dilution

question

Co-Branding

answer

Two or more brands are combined on the same package, promotion or product.

question

Brand Licensing

answer

A contractual arrangement where one firm allows another to use it's Brand name, logo, symbols and character in exchange for a negotiated fee. Some of the industries that benefit the most from brand licensing include toys, apparel, accessories and entertainment products (i.e. video games). Allows the the company using the brand to benefit from from that brand's devoted following. It also allows the brand holders get to expand the reach of their properties and put a new product into the hands of their loyal customers.

question

Brand Repositioning (Rebrand)

answer

A strategy where marketers change the focus of a brand to target new markets or realign the brand's key attributes due to changing consumer preferences. Can revive or resurrect a failing brand. But, it is a costly strategy that is not without risk. It requires major changes in how a product is packaged and sold to the public. Can Occur on a company wide basis.

question

When Disney launches a popular new movie, the aisles of your local toy store are soon flooded with toys featuring characters from that movie. This is an example of _________.

answer

Brand Licensing

question

Yum Brands owns a number of well-known fast food franchises. Often, consumers will see a KFC with a Taco Bell or a Pizza Hut with a Taco Bell sharing the same building or location. In doing this Yum Brands is using a ________strategy.

answer

Co-Branding

question

Abercrombie and Fitch (A;F) was founded in 1892 as a sporting goods, camping and hunting gear store. A;F is now known as a casual luxury lifestyle brand of clothing for college students. To make this change, A;F had to _______ its brand.

answer

Reposition

question

Line Extension

answer

A company expands product line under the same brand name umbrella.

question

For most products, the UPC code would be located on the _______ package.

answer

Secondary

question

Consumers typically seek convenience in terms of storage, use and consumption from the _____ package.

answer

Primary

question

The primary federal agency that oversees food and packaged good labels is the ___________.

answer

Food and Drug Administration

question

A tube of toothpaste is an example of a _______ package.

answer

Primary

question

An important element of a product is its ______, which is a communication tool that can convey key product benefits to consumers.

answer

Label

question

Product Packaging

answer

- Attracts the consumers attention - Promotes the product - Helps it stand apart from the competition - Provides vital labeling information - Allows a product to be sold in different sizes

question

Packaging must be:

answer

- Appealing to the eye - Easy for the customer to use - Convenient for the maker to ship and store

1 of

Unlock all answers in this set

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question

Examples of communication media that firms use to create brand awareness include:

answer

-advertising -publicity

question

A brand such as T-Mobile can build awareness through ______________ exposure to the brands logo, symbols and slogans

answer

repeated

question

Brand Equity

answer

The set of assets and liabilities linked to a brand that add to or subtract from the value provided by the product or service.

question

When Frito-Lay decided to introduce a salsa product line, it used the existing Tostitos (under which it sells taco chips). What advantage did this strategy provide to Frito-Lay?

answer

-It could introduce the product sooner and more easily -The Tostinos brand already had brand associations that helped to sell salsa -It could spend less on developing consumer brand awareness

question

Typically, who determine's the product's or service's value in relationship to that of it's close competitors?

answer

Consumers

question

Good marketing increases ____________ by raising customers' quality perceptions relative to price.

answer

Perceived Value

question

Firms reward loyal customers through ______________ programs.

answer

Customer relationship management

question

Firms tend to spend __________ to market to loyal customers compared to marketing to new customers.

answer

Substantially less

question

Brand loyalty tends to be an advantage to the firm because it will __________ competition.

answer

Insulate a firm from

question

Product Mix

answer

complete set of all products and services offered by a firm

question

Product Lines

answer

which are groups of associated items that consumers tend to use together or think of as part of a group of similar products or services.

question

Product Mix Breadth

answer

represents a count of the number of product lines offered by the firm

question

Product Line Depth

answer

in contrast to product mix breadth, equals the number of products within a product line.

question

A product mix typically consists of ___________, or groups of associated items.

answer

Product lines

question

answer

Increasing Depth

question

Firms decrease depth to

answer

-refocus marketing efforts on profitable items. -eliminate unprofitable items

question

A firm can delete entire product lines to address changing market conditions; this is also known as:

answer

Decreasing breadth

question

To capture new or evolving markets, a firm may increase _________ to compete in new product areas.

answer

Breadth

question

Product lines are a part of a product:

answer

Mix

question

A product line typically consists of ____________, or groups of associated items.

answer

Product lines

question

answer

Shopping

question

Specialty Good

answer

Compares many alternatives, lots of time and effort involved in searching, and consumer has a good idea of the brand he or she will buy in advance.

question

Shopping Good

answer

Compares alternatives and consumer spends moderate amount of time and effort deciding among products, features, and brands.

question

Augmented Product or Associated Services

answer

include the nonphysical aspects of the product, such as product warranties, financing, product support, and after-sale service

question

Which of the following are components of augmented product?

answer

-Warranties -Product Support

question

If a brand has a high degree of brand ___________, it means that most consumers are familiar with the brand and what it stands for even if they do not use the brand.

answer

Awareness

question

When a brand extension adversely affects consumer perceptions about the core brand it is known as:

answer

Brand Dilution

question

Branding includes:

answer

-Distinctive packaging -Logos -Slogans

question

Competitive brands add value for the consumer by:

answer

-Identifying unique features and attributes that are easy to distinguish -Signifying a distinct level of quality

question

Products are complex with multiple components. ______________ defines the basic problem solving benefits that consumers are seeking.

answer

Core customer value

question

Some firms use ____________ for each of their products, as opposed to the same name or brand for all their product lines and products.

answer

Individual brands

question

What are considered components of the actual product?

answer

-Brand name -Features/Design

question

The value of a brand like Starbucks or Apple can be converted into brand ___________, which is essentially the assets and liabilities of the brand.

answer

Equity

question

Brands have value as corporate assets and the "value of the brand" refers to:

answer

The earning potential of the brand over the next year.

question

Product packaging offers a variety of benefits to:

answer

Retailers and Consumers

question

Labels must comply with laws and regulations and must include:

answer

-Where the product was made -Ingredients -Safety precautions

question

Core customer value

answer

Defines the basic problem solving benefits that consumers are seeking. What are customers looking for?

question

Product

answer

-Organizations (ie MADD) -Physical Item -Services -Ideas

question

2 Categories of Products

answer

Consumer and Business

question

4 Categories of Consumer Products

answer

1. Specialty 2. Shopping 3. Convenience 4. Unsought

question

Specialty Products

answer

-consumers spend considerable time and effort searching for the best purveyors of these products. ex: luxury cars, houses, designer apparel, professional medical, financial and legal services

question

Shopping Products

answer

question

Convenience Products

answer

Consumers do not spend much, if any, time and effortex: gum, bread, and soda

question

Unsought Products

answer

question

Breadth

answer

Number of product lines under a company's umbrella

question

Depth

answer

Amount of products within one line

question

Expand or Contract Products

answer

question

Expansion

answer

Can have an adverse affect on a company's profit and brand image.

question

Contraction

answer

Eliminate unprofitable product lines.

question

Size of a product line is dependent on:

answer

-level of competition -amount of consumer support -how much capital the company is willing to devote to those goods or services

question

The complete set of all products offered by a firm is its product _______.

answer

Mix

question

Kellogg's has a long list of ready-to-eat cereals which consumers think of as a similar group of products. Kellogg's ready-to-eat cereals are a product ________.

answer

Line

question

Colgate has a line of oral care products including toothpaste, toothbrushes and teeth whitening products. These products represent the ______ of the line.

answer

Depth

question

Introduced in 1920, Band-Aid now has more than 40 products to help heal cuts and scrapes. Band-Aid has, over the years, increased their _________.

answer

Product line depth

question

If a firm deletes an entire product line, it has _______.

answer

Decreased its breadth

question

Assets

answer

Anything a company owns that can be used to make the firm money. Adds the firm's value, sales, and profitability.

question

Assets -Liabilities=

answer

Owner's Equity

question

Brands facilitate purchase in all of the following ways EXCEPT _______.

answer

They are always appealing to the customer.

question

As a brand becomes more recognizable, _______.

answer

The company doesn't have to spend as much on marketing the brand.

question

When a firm chooses to have a brand legally protected through trademarks and copyrights, the brand becomes _______.

answer

An asset to the firm.

question

_______ measures how many consumers in a market are familiar with a brand and what it stands for.

answer

Brand awareness

question

Branding provides with great marketing advantages by:

answer

-Defining its products from the competition. -Establish quality levels and specific attributes. -Recognition factor helps consumer makes faster purchasing decisions.

question

A good brand name helps insulate a business from competitor products because:

answer

the firm's items develop loyal buyers.

question

When marketers attempt to gage how much equity a brand has, they look at four main components:

answer

1. Brand awareness 2. Perceived value 3. Brand associations 4. Brand Loyalty

question

Brand Awareness

answer

How many consumers are familiar with and understand the purpose of a particular product.

question

Familiarity is especially important with ____________ products.

answer

Convenience (and just as important to infrequently or never before purchase products)

question

Brand awareness is created through repeated exposure to the various brand elements such as:

answer

-Logo -Slogan -Symbol -Packaging -Character

question

Perceived value

answer

-Related to the cost benefit relationship of the product. -Often promoted as a consumer benefit -Can often be used to separate one brand name from another.

question

Brand Associations

answer

Personal connections that consumers make with a brand and it's key attributes. Such as a logo, slogan, or celebrity spokes person

question

A company's marketing division is responsible for creating campaigns that _______________.

answer

Instill, develop and then reinforce these brand associations.

question

Brand associations go beyond value:

answer

They connect with consumers on an emotional level.

question

Loyal customers are less sensitive to:

answer

price. Meaning they will continue to purchase their favorite product even if it costs a little more.

question

Advantages of brand loyalty:

answer

-buyer is less price sensitive -customer spreads positive word-of-mouth -Lower marketing costs to reach target

question

Business Strategy

answer

use a variety of strategies to create and manage their key brand assets: -Own or license their brand -Extend brand name to other products and markets -Partner their brand name with another firm

question

Two main brand ownership strategies:

answer

1. Manufacturer brands 2. Retailer/Store brands

question

Manufacturer brands (also know as national brands)

answer

question

Manufacturer brands are responsible for:

answer

developing and producing the product and determining the marketing strategy.

question

Retailer/Store Brands (also referred to as private label brands)

answer

- These brands are developed and marketed by retailers. They are produced by a manufacturer. - National Brands can partner with a retailer to sell an exclusive line of merchandise at their store.

question

Store brands now account for __________ percent of consumer purchases in North America.

answer

question

4 Categories of Private Brands:

answer

1. Premium 2. Generic 3. Copycat 4. Exclusive Co-brands

question

Premium Brands

answer

Marketed as being comparable to or superior to the manufacturers brand.

question

Generic Brands

answer

Offers price sensitive consumers a no frills product at a discount price.

question

Copycat Brands

answer

Attempt to imitate the national brands packaging and appearance. Consumers tend to perceive these brands as being lower in quality.

question

Exclusive Co-brands

answer

question

Sears sells appliances using its own Kenmore brand name and it sells tools using its own Craftsman brand name. These ______ brands can only be bought at Sears.

answer

private-label

question

Manufacturer brands are also known as _______.

answer

national brands

question

Coca-Cola and Nike would be considered _______ brands, while Market Pantry or Archer Farms products (sold at Target stores) would be considered _______ brands.

answer

manufacturer; store

question

Brand Extension

answer

Launching related products under the same banner. -Can include an increase in depth or breadth -Uses the same brand name in a different product line.

question

answer

Brand Extension

question

In the 1980s the Coca-Cola Company introduced New Coke. The product was a total failure and in the short term greatly hurt the reputation of Coca-Cola. This is an example of _________.

answer

Brand Dilution

question

Co-Branding

answer

Two or more brands are combined on the same package, promotion or product.

question

Brand Licensing

answer

question

Brand Repositioning (Rebrand)

answer

question

When Disney launches a popular new movie, the aisles of your local toy store are soon flooded with toys featuring characters from that movie. This is an example of _________.

answer

Brand Licensing

question

answer

Co-Branding

question

answer

Reposition

question

Line Extension

answer

A company expands product line under the same brand name umbrella.

question

For most products, the UPC code would be located on the _______ package.

answer

Secondary

question

Consumers typically seek convenience in terms of storage, use and consumption from the _____ package.

answer

Primary

question

The primary federal agency that oversees food and packaged good labels is the ___________.

answer

Food and Drug Administration

question

A tube of toothpaste is an example of a _______ package.

answer

Primary

question

An important element of a product is its ______, which is a communication tool that can convey key product benefits to consumers.

answer

Label

question

Product Packaging

answer

- Attracts the consumers attention - Promotes the product - Helps it stand apart from the competition - Provides vital labeling information - Allows a product to be sold in different sizes

question

Packaging must be:

answer

- Appealing to the eye - Easy for the customer to use - Convenient for the maker to ship and store

Marketing Management Chapter 11 – Flashcards

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