question

Chapter 9

answer

Developing New Products and Services

question

good

answer

tangible attributes that a consumer's five senses can perceive

question

services

answer

intangible activities or benefits that an organization provides to satisfy consumer's needs in exchange for money or something else of value

question

convenience products

answer

items that the consumer purchases frequently, conveniently, and with a minimum of shopping effort.

question

shopping products

answer

items for which the consumer compares several alternatives on criteria such as price, quality, or style.

question

specialty products

answer

items that the consumer makes a special effort to search out and buy

question

unsought products

answer

items that the consumer does not know about or knows about but does not initially want

question

derived demand

answer

sales of business products frequently result from the sale of consumer products. ie : more ford cars sold, more spray paint needed

question

components

answer

items that become part of the final product ie. raw materials

question

support products

answer

items used to assist in producing other products and services -installations, accessory equipment, supplies, industrial services

question

Services delivered by:

answer

1) peoples or equipment 2) business firms or nonprofit organization 3) government agencies

question

Four I's of Service

answer

Intangibility Inconsistency Inseparability Inventory

question

Intangibility

answer

service cant be touched or seen before the purchase decision. Tend to be performance, making it hard for consumers to evaluate

question

Inconsistency

answer

quality varies with each person's capabilities and day-to-day job performance.

question

Inseparability

answer

the consumer cannot distinguish the service provider from the service itself. So the service it self could be performed well but the service provider might've been unpleasant causing an overall unhappy result.

question

Inventory

answer

inventory handling costs that relate to their storage, perishability, and movement. -idle production capacity: service provider is available but there is no demand for the service

question

gap analysis

answer

difference between the consumer's expectations and his or her actual experiences

question

product class

answer

categorized according to the industry in which the item belongs ie. ipad = tablet device

question

product item

answer

a specific product that has a unique brand, size, or price

question

product line

answer

a group of products or service items that are closely related because they satisfy a class of needs, are used together , are sold to the same customer group, are distributed through the same outlets, or fall within a given price range.

question

product mix

answer

consists of all of the product lines offered by an organization. P&G: beauty & grooming, household care

question

continuous innovation

answer

consumers dont need to learn new behaviors

question

dynamically continuous innovation

answer

only minor changes in behavior are required

question

discontinuous innovation

answer

making the consumer learn entirely new consumption patterns to use the product

question

product line extension

answer

incremental improvement of an existing product line the company already sells. least risk. - risk of cannabalizing

question

brand extension

answer

putting an established brand name on a new product in an unfamiliar market.

question

protocol

answer

before development, identifies 1) a well-defined target market, 2) specific customer's needs, and 3) what the product will be and do to satisfy customers

question

Reasons for New-Product Failures

answer

- insignificant point of difference - incomplete market and product protocol before product development starts -not satisfying customer needs on critical factors -bad timing -no economical access to buyers -poor product quality -poor execution of the marketing mix: brand name, package, price, promotion, distribution -too little market attractiveness

question

Organizational problems that cause product failure

answer

1) encountering groupthink in task force and committee meetings 2) Avoiding the "not-invented-here problem"

question

New-Product Process

answer

7 stages an organization goes through to identify opportunity & convert them into salable products or services 1) New-Product strategy development 2) Idea Generation 3) Screening and Evaluation 4) Business analysis 5) Development 6) Market testing 7) Commercialization

question

1) New-product strategy development

answer

-uses a SWOT analysis and environmental scanning

question

2) Idea Generation

answer

open innovation- getting ideas from outside resources suggestions from : -employees and friends -customer and suppliers -research and development laboratories -competitive products -smaller firms, universities, and inventors crowdfunding: online community to help finance a new product

question

3) Screening and Evaluation

answer

internal and external evaluation internal : evaluates technical feasibility, and go through Customer Experience Management (CEM) to make sure they have the skills to meet customer expectations external: concept tests; preliminary testing of a new-product idea.

question

4) Business analysis

answer

-specifies features of the product and the marketing strategy needed to bring it to market. -assesses the total "business fit"

question

5) Development

answer

- prototype of the product is created

question

6) Market Testing

answer

expose actual consumers to the product 3 test markets: 1) standard test market: attempts to sell product through normal distribution channels. 2) controlled test markets: contracting the entire test program to an outside service 3) stimulated test markets: stimulated markets oftentimes in shopping malls

question

7) Commercialization

answer

positions and launches the new product in full-scale production and sales

question

Holding focus groups to generate ideas from potential customers is an example of:

answer

open innovation

question

Inconsistency in services refers to the fact that:

answer

services depend upon the people who provide them, and the quality of that performance may vary from day to day or employee to employee

question

A benefit of performing a SWOT analysis & an environmental scan during the new product strategy development process is that:

answer

they can help identify the strategic role the new product might serve in the firm's portfolio

question

business analysis stage

answer

involves specifying the product features and marketing strategy along with making financial projections needed to bring it to market

question

which of the following is the best example of a shopping product?

answer

-reebok running shoes * -a ferrari -roget's thesaurus -chobani greek yogurt -cash from an ATM

question

Google's driverless car is an extreme example of the complexity of which step of the new-product process?

answer

development

question

When a manager at target announced to customers, "there is no wait in checkout lanes 2 and 5," he recognized a need to manage his:

answer

idle production capacity

question

Which of the following products at the time of their introduction was the best example of a continuous innovation?

answer

Blu-Ray player

question

Chapter 10:

answer

Managing Successful Products, Services, and Brands

question

product life cycle

answer

Introduction Growth Maturity Decline

question

Introduction

answer

-sales grow slowly and profit is minimal -starts with looking for primary demand: desire for the product class rather than a specific brand -later gets selective demand: based on the brand skimming pricing: setting a high initial price penetration pricing: setting a low initial price (tries to defer additional competitors)

question

Growth

answer

-rapid increase in sales (profit usually peaks) growing repeat purchasers

question

Maturity

answer

a slowing of total industry sales or product class revenue. competitors begin to leave

question

Decline

answer

when sales drop -usually because of environmental changes (out-of -date) either delete or harvest: delete: completely dropping the product harvest: retains product but reduces marketing costs

question

diffusion of innovation

answer

a product spreading through the population

question

product modification

answer

altering one or more of a product's characteristics, such as its quality, performance, or appearance, to increase the product's value. ex. product bundling

question

Market modification strategies

answer

-finding new customers -increasing a product's use -creating a new use situation

question

Product Repositioning

answer

changing the place a product occupies in a consumer's mind 4 triggers for repositioning: -reacting to a competitor's position -reaching a new market -catching a rising trend -changing the value offered

question

brand personality

answer

a set of human characteristics associated with a brand name

question

brand equity

answer

the added value a brand name gives to a product beyond the functional benefits provided

question

creating brand equity

answer

-brand awareness -brand performance/brand imagery -consumer judgments/feelings -consumer-brand connection

question

Branding Strategies

answer

-multiproduct strategy -multibranding strategy -private branding strategy -mixed branding strategy

question

multiproduct strategy

answer

uses one name for all its products in a product class

question

multibranding strategy

answer

gives each product a distinct name

question

private branding

answer

when a company manufactures products but sells them under the brand name of a wholesaler or retailer

question

mixed branding

answer

a firm markets products under its own name and that of a reseller because the segment attracted to the reseller is different from its own market

question

SEVEN Ps of services marketing

answer

-product -price -place -promotion -people -physical environment -process

question

off-peak pricing

answer

charging different prices during different seasons of the year and different times of the day or days of the week to reflect variations in demand for the service

question

When selecting a brand name, it should: (1) suggest product features; (2) be memorable, distinctive and positive; (3) fit the company or product image; (4) have no legal or regulatory restrictions; (5) __________; and (6) have favorable phonetic and semantic associations in other languages.

answer

be simple and emotional

question

Dentyne gum introduced a Split2Fit pack, which is compact package design intended to be separated into two halves to better fit into a pocket or a small purse, or two keep two halves in separate places.This is an example of which type of benefit that packaging can provide?

answer

functional benefits

question

Michelin has added a "run-flat" feature to its higher-priced tire lines so that they can travel up to 50 miles at 55 miles per hour after suffering total air loss. The marketing strategy Michelin used is called_____?

answer

-trading up

question

The acronym CEM in services marketing stands for __________.

answer

Customer experience management

question

Which of the following statements concerning the pricing of services is most accurate?

answer

Service pricing plays a role in balancing consumer demand for services.

question

7 Ps

answer

product price place promotion AND people physical environment process

question

Following the 2010 Deepwater Horizon disaster, BP paid for a series of TV advertisements promoting Gulf Coast tourism, probably helping this area to have a record-setting year. This ad campaign was an attempt to stimulate __________ demand.

answer

primary demand

question

Quaker Oats makes the FDA-approved claim that oatmeal, as part of a low-saturated-fat, low-cholesterol diet, may reduce the risk of heart disease. It is primarily using which of the following product repositioning strategies for this product?

answer

catching a rising trend

question

Which of the following products is the best example of a product that might experience an introduction, a decline, and then a resurgent reintroduction as part of its normal product life cycle?

answer

Fashion (trend) products

question

Chapter 11

answer

Pricing Products and Services

question

price equation

answer

all the factors that increase or decrease the final price of an offering

question

value

answer

perceived benefits/ price

question

Common Pricing Approaches

answer

1) Demand-Oriented pricing 2) Cost-Oriented pricing 3) Profit-Oriented pricing 4) Competition-Oriented pricing

question

Demand Oriented Pricing

answer

-skimming:new or innovative product- high price -penetration: high competition- low price -prestige: ex rolex watches -odd-even: few dollars or cents under an even number -target pricing: working backwards to see what they can charge wholesalers based on what the consumer will pay -bundle pricing: 2 or more products using a package price -yield management pricing: the charging of different prices to maximize rev. at any given time. i.e. airlines

question

Cost-Oriented Pricing

answer

standard mark-up pricing: adding a fixed percentage to the cost of all items in a specific product class cost-plus pricing: summing the total unit cost of providing a product or service and adding a specific amount to the cost to arrive at a price

question

Profit -oriented pricing

answer

-Target profit pricing -Target return-on-sales pricing : specific % of the sales volume - Target return-on-investment pricing

question

Competition-oriented pricing

answer

-Customary pricing: standardized i.e. vending machine -Above-, At-, or Below Market Pricing -Loss-leader pricing: sell product below its customary price to attract attention to it.

question

Price elasticity

answer

% change in qty demanded relative to % change in price

question

Total Rev

answer

= P * Q

question

Total Profit

answer

Total Rev - Total Cost

question

Break Even Analysis

answer

FC/ Unit Price - Unit Variable Cost

question

Price Constraints

answer

-Demand for the Product Class, Product, and Brand -Newness of the Product: stage in product lifecycle -Cost of producing and marketing the product -Competitor's prices -Legal and Ethical Considerations

question

Legal & Ethical Considerations

answer

-price fixing -price discrimination: different prices to different buyers -deceptive pricing: i.e. bait and switch -predatory pricing: super low price to drive competitors out of the market

question

Steps in setting a final price

answer

1) Select an Approximate price 2) Set the list or quoted price -One-price policy (fixed) -Flexible-price policy 3) Make special adjustments to the list or quoted price -discounts -allowances

question

Discounts

answer

1) Quantity : deals for large qty 2) Seasonal 3) Trade: to reward wholesalers or retailers 4) Cash

question

Allowances

answer

-trade-in allowances: trade in a car -promotional allowances: advertising to promote a product

question

Chapter 12

answer

Managing Marketing Channels & Supply Chains

question

Marketing channel

answer

individuals and firms involved in the process of making a product or service available for use or consumption by consumers or industrial users

question

Intermediaries

answer

-middleman -broker/agent -wholesaler -retailer -distributor -dealer

question

3 main intermediary functions

answer

-transactional -logistical -facilitating

question

Transactional Functions

answer

-Buying -Selling -Risk Taking

question

Logistical Functions

answer

-Assorting -Storing -Sorting -Transporting

question

Facilitating

answer

-Financing -Grading -Marketing information and research

question

time utility

answer

having a product or service when you want it

question

place utility

answer

having a product or service available where consumers want it

question

form utility

answer

enhancing a product or service to make it more appealing to buyers

question

possession utility

answer

entails efforts by intermediaries to help buyers take possession of a product or service, such as having airline tickets delivered by a travel agency

question

direct channel

answer

the producer and the ultimate consumer deal directly with each other

question

indirect channels

answer

intermediaries are inserted between the producer and consumers and perform numerous channel functions

question

internet marketing channels

answer

employ the internet to make products and services available for consumption or use by consumers or organizational buyers

question

direct marketing channels

answer

allows consumers to buy products by interacting with various advertising media without a face-to-face meeting with a salesperson. ex. mail-order selling, direct-mail sales, catalog sales, telemarketing, tv home shopping

question

multichannel marketing

answer

the blending of different communication and delivery channels that are mutually reinforcing in attracting, retaining, and building relationships with consumers who shop and buy in traditional intermediaries and online -seek to integrate a firm's electronic marketing and delivery channels.

question

dual distribution

answer

an arrangement whereby a firm reaches different buyers by employing two or more different types of channels for the same basic product.

question

strategic channel alliances

answer

one firm's marketing channel is used to sell another firm's products

question

vertical marketing systems

answer

professionally managed and centrally coordinated marketing channels designed to achieve channel economies and maximum marketing impact

question

3 types of vertical marketing systems

answer

-corporate -contractual -administered

question

corporate vertical marketing

answer

combination of successive stages of production and distribution under a single ownership

question

forward integration

answer

doing manufacturing and owning stores (apple, ralph lauren)

question

backward integration

answer

a retailer may own a manufacturing company (kroger, tiffany's)

question

contractual vertical marketing

answer

independent production and distribution firms integrate their effort on a contractual basis to obtain greater functional economies and marketing impact than they could achieve alone. -most important of 3

question

3 variations of contractual vertical marketing

answer

1) wholesaler-sponsored voluntary chains 2) Retailer-sponsored cooperatives 3) manufacturer-sponsored retail franchise:

question

wholesaler-sponsored voluntary chains:

answer

wholesaler that develop a contractual relations with small, independent retailers to standardize & coordinate buying practices.

question

Retailer-sponsored cooperatives:

answer

small, independent retailers form an organization that operates a wholesale facility cooperatively

question

manufacturer-sponsored retail franchise

answer

prominent in auto industry, where a manufacturer such as ford licenses dealers to sell its cars subject to various sales and service conditions

question

franchising

answer

a contractual arrangement between a parent company and an individual or firm

question

administered vertical marketing system

answer

achieve coordination at successive stages of production and distribution by the size and influence of one channel member rather than through ownership

question

3 factors affecting channel choice

answer

1) target market coverage 2) buyer requirements 3) profitability

question

intensive distribution

answer

when a firm tries to place its products or services in as many outlets as possible

question

exclusive distribution

answer

when only one retail outlet in a specific geographical area carries the firm's products

question

selective distribution

answer

when a firm selects a few retail outlets in a specific geographical area to carry its products

question

4 buyer requirements

answer

-information -convenience -variety -pre or postsale services

question

channel conflict

answer

arises when one channel member believes another channel member is engaged in behavior that prevents it from achieving its goals.

question

Vertical conflict

answer

occurs between different levels in a marketing channel -disintermediation : when a channel member bypasses another member

question

Horizontal conflict

answer

occurs between intermediaries at the same level in a marketing channel, such as between two or more retailers or two or more wholesalers that handle the same manufacture's brands.

question

logistics

answer

activities focused on getting the right amount of the right products to the right place at the right time at the lowest possible cost.

question

logistics management

answer

the practice of organizing the cost-effective flow of raw materials, in-process inventory, finished goods, and related information from point of origin to point of consumption to satisfy customer requirements

question

supply chain

answer

the various firms involved in performing the activities required to create and deliver a product or service to consumers or industrial users.

question

supply chain management

answer

the integration and organization of information and logistics activities across firms in a supply chain for the purpose of creating and delivering products and services that provide value to consumers.

question

Supply Chain marketing strategy steps

answer

1) understand the customer 2) understand the supply chain 3) harmonize the supply chain with the marketing strategy

question

total logistics cost

answer

expenses associated with transportation, materials, handling and warehousing, inventory, stockouts, order processing, and return products handling

question

customer service

answer

ability of logistics management to satisfy users in terms of time, dependability, communication, and convenience

question

reverse logistics

answer

a process of reclaiming recyclable and reusable materials, returns, and reworks from the point of consumption or use for repair, remanufacturing, redistribution, or disposal

question

A channel intermediary that acts on behalf of the seller but does not take title to products is called a(n)

answer

agent/broker

question

Adding a wholesaler to the marketing channel for consumer products is most common for

answer

low-cost, low-unit value items.

question

Kroger supermarkets operate manufacturing facilities that produce everything from aspirin to cottage cheese for sale under the Kroger label. This example shows that Kroger uses:

answer

-backward integration

question

Chapter 13

answer

Retailing and Wholesaling

question

retailing

answer

includes all activities involved in selling, renting, and providing products and services to ultimate consumers for personal, family, or household use

question

classifying retail outlets

answer

1) form of ownership 2) level of service 3) merchandise line

question

form of ownership

answer

-independent retailer -corporate chain -contractual systems (chains, franchises)

question

level of service

answer

-self-service -limited service (walmart) -full service (nordstrom)

question

type of merchandise line

answer

-depth of line: large assortment of each item -breadth of line: variety of different items a store carries

question

scrambled merchandising

answer

offering several unrelated product lines in a single store

question

non-store retailing

answer

-automatic vending -direct mail and catalogs -television home shopping -online retailing -telemarking -direct selling

question

Retailing mix

answer

the activities related to managing the store and the merchandise in the store, which includes retail pricing, store location, retail communication, and merchandise

question

retail pricing

answer

-markup (original markup, maintained markup) -markdown -off-price retailing (TJ MAXX)

question

Store Location

answer

central business district: the oldest retail setting, the community's downtown area. regional shopping centers: 50-150 stores anchor stores (Macys, Sears, Saks)

question

multichannel retailers

answer

retailers that use a combination of traditional store formats and non-store formats, such as catalogs, television and online retailing.

question

Shopper Marketing

answer

the use of displays, coupons, product samples, and other brand communications to influence shopping behavior in a store

question

category management

answer

an approach to managing the assortment of merchandise to maximize sales and profits in the category

question

wheel of retailing

answer

a concept that describes how new forms of retail outlets enter the market

question

retail life cycle

answer

the process of growth and decline that retail outlets experience over time -early growth -accelerated development -maturity -decline

question

merchant wholesalers

answer

independently owned firms that take title to the merchandise they handle

question

manufacturer's agents

answer

agents who work for several producers and carry noncompetitive, complementary merchandise in an exclusive territory

question

brokers

answer

independent firms or individuals whose principal function is to bring buyers and sellers together to make sales

question

Jason felt the restaurant was too expensive for his taste as soon as he looked at the menu posted on the outside wall by the entrance and saw the price of a burger was $10. A product used in this was is a ____ item

answer

benchmark

question

The _________ is a concept that describes how new forms of retail outlets enter the market and change over time

answer

-wheel of retailing

question

One of the biggest problems an online retailer faces is

answer

-customers tendencies to get to the checkout and leave the website without concluding the purchase

question

specialty discount outlets focus on one type os product such as office supplies or electronics (best buy) at competitive prices. they are referred to as ____________ because they often dominate the market

answer

-category killers

question

two general types of franchises: product-distribution and _______

answer

business-format franchises

question

A retailer buys a painting for $200. She sets the selling price at $450. When the painting doesn't sell she raises the price to $800 to appeal to a different market. The painting sells for $800 the next day. That was the Maintained markup?

answer

800-200= $600 -difference between the retailer's cost and the final selling price

question

direct selling is likely to grow in markets

answer

- outside the united states

question

the retailing mix includes retail communication, merchandise, and which two other elements?

answer

store location and retail pricing

question

What is the difference between the original markup and the maintained markup?

answer

original markup is the difference between retailer cost and initial selling price, maintained markup is the difference between the final selling price and retailer cost (gross margin)

question

Chapter 14

answer

Integrated Marketing Communication and Direct Marketing

question

promotional mix

answer

the combination of one or more of the communication tools used to inform, persuade, or remind prospective buyers

question

integrated marketing communications

answer

the concept of designing marketing communications programs that coordinate all promotional activities to provide a consistent message across all audiences

question

communication

answer

the process of conveying a message to others, and it requires six elements: a source, a message, a channel of communication, a receiver, and the process of encoding and decoding

question

encoding

answer

the process of having the sender transform an idea into a set of symbols

question

decoding

answer

the reverse, the process of having the receiver take a set of symbols, the message, and transform the symbols into an idea

question

noise

answer

extraneous factors that can work against effective communication by distorting a message or the feedback received.

question

Communication Alternatives

answer

-advertising -personal selling -public relations -sales promotion -direct marketing

question

advertising

answer

any paid form of non-personal communication about an organization, product, service, or idea by an identified sponsor

question

personal selling

answer

the two-way flow of communication between a buyer and seller, often in a face-to-face encounter, designed to influence a person's or group's purchase decision

question

public relations

answer

a form of communication management that seeks to influence the feelings, opinions, or beliefs held by customers, stockholders, suppliers, employees, and others about a company and its products or services

question

publicity

answer

a non-personal, indirectly paid presentation of an organization, product or service

question

sales promotion

answer

a short-term inducement of value offered to arouse interest in buying a product or service

question

direct marketing

answer

uses direct communication with consumers to generate a response in the form of an order, a request for further information, or a visit to a retail outlet.

question

The product life cycle

answer

-Introduction stage: to inform -Growth stage: to persuade -Maturity state: to remind -Decline stage: to phase out

question

push strategy

answer

directing the promotional mix to channel members to gain their cooperation in ordering and stocking product

question

pull strategy

answer

directing the promotional mix at ultimate consumers to encourage them to ask the retailer for a product ie "ask your doctor if zetia is right for you"

question

promotion decision process

answer

1) developing 2) executing 3) assessing the promotion program

question

1) developing the promotion program

answer

-identify the target audience -specify the objectives -set the budget -select the right promotional tools -design the promotion -schedule the promotion

question

2) executing the promotion program

answer

-pretest the promotion -carry out the promotion

question

3) assessing the promotion program

answer

-posttest the promotion -make needed changes

question

hierarchy of effects

answer

1) awareness 2) interest 3) evaluation 4) trial 5) adoption

question

methods for setting the promotional budget

answer

-percentage of sales -competitive parity -all you can afford -objective and task

question

lead generation

answer

the result of an offer designed to generate interest in a product or service and a request for additional information

question

traffic generation

answer

the outcome of a direct marketing offer designed to motivate people to visit a business

question

Factors such as the need for improved reliability and security in postal systems and new government regulations represent important challenges for __________ in the global market.

answer

Direct Marketing

question

Which element of the promotional mix has the inherent weaknesses of high absolute costs and difficulty in receiving good feedback?

answer

-advertising

question

Integrated marketing communications (IMC) is

answer

the concept of designing marketing communications programs that coordinates all promotional activities to provide a consistent message across all audiences.

question

The promotional mix consists of communication tools that include advertising, personal selling, sales promotion, direct marketing, and __________.

answer

-public relations

question

In the hierarchy of effects, the stage between interest and trial is known as __________.

answer

evaluation

question

promotional objective of the decline state of the product life cycle

answer

-phase out

question

Chapter 15

answer

advertising, sales promotion and public relations

question

5 stages in the hierarch of effect:

answer

awareness, interest, evaluation, trial and adoption

question

product advertisements

answer

3 forms: 1) pioneering (informational) -used in the introductory stage of the product life cycle 2) competitive (persuasive) -promotes a specific brand's features & benefits -common form is comparitive advertising 3) reminder -reinforces previous knowledge of a product -usually in mature stage of the life cycle

question

institutional advertisements

answer

designed to build goodwill or an image for an organization, rather than promote a specific product or service

question

4 forms of institutional advertisements

answer

-Advocacy -Pioneering: used to tell what a company is, what it can do, or where it is located -Competitive: promote advantages of one product class over another -Reminder: simply bring the company's name to the attention of the target market again

question

Developing the Advertising Program

answer

-Identifying the target market -specifying advertising objectives -setting the advertising budget -designing the advertisement -selecting the right media -reach: the # of different people exposed to an ad -different media alternatives -scheduling the advertising

question

Different media alternatives

answer

-Television -Radio -Magazines -Newspapers -Yellow Pages -Internet -Outdoor -Direct Mail

question

Scheduling Advertising

answer

3 basic approaches: 1) continuous schedule 2) flighting schedule : reflect seasonal demand 3) pulse (burst) schedule: increases in demand, heavy periods of promotion, intro of new product

question

Executing the Advertising Program

answer

-Pretesting the Advertising -portfolio tests: placed with several ads and ask for their impression of the ads -jury tests: showing the ad to a panel of consumers and having them rate how they liked it -theater tests -Carrying out the Advertising program -full-service agencies -limited service agencies -in-house advertising

question

Assessing the Advertising Program

answer

-Posttesting -aided recall -unaided recall -attitude tests -inquiry tests -sales tests -Making needed changes

question

Sales Promotion

answer

1) consumer-oriented sales promotions -directed towards the ultimate consumers 2) trade-oriented sales promotions -directed towards wholesalers, distributors, or retailers

question

consumer-oriented sales promotions

answer

-coupons -deals -premiums -contests -sweepstakes -samples -loyalty programs -point-of-purchase displays -rebates -product placements : in a movie or show

question

trade-oriented sales promotions

answer

-allowances & discounts -cooperative advertising : manufacturer will pay a % of the retailer's local ad expense for advertising the manufacturer's products -training of distributors' salesforce

question

publicity tools

answer

methods of obtaining non-personal presentation of an organization, product, or service without direct cost

question

buy one get one half off is an example of a ____

answer

deal

question

which would be conducted before an advertisement was placed in any medium

answer

-jury test

question

one disadvantage associated with television

answer

it has a perishable message

question

click fraud refers to

answer

the deceptive clicking of ads solely to increase the amount advertisers much pay

question

Chapter 16

answer

Using Social Media to Connect with Consumers

question

classifying social media

answer

1. media richness 2. self-disclosure : more personal

question

Comparing social and traditional media

answer

-Ability to reach large and niche audiences -Expense and access -Training and the number of people involved -Time to Delivery -Permanence -Credibility and social authority

question

Performance measures linked to outputs or revenues

answer

-users/members -fans -share of voice (online chatter) -page views -visitors -unique visitors -average page views per visitor -interaction rate -click-through rate: clicked on link -fan source

question

Privacy

answer

how much convergence is too much?

question

Mobile Marketing has led to important smart phone apps, including which of the following

answer

price-comparison searches

question

sometimes used as a performance measure, a brand's share or percentage of all the online social media chatter related to a product category or topic is referred to as

answer

-share of voice

question

Chapter 17

answer

Personal Selling and Sales Management

question

sales management

answer

planning the selling program and implementing and evaluating the personal selling effort of the firm

question

relationship selling

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the practice of building ties to customers based on a salesperson's attention and commitment to customer needs over time

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order taker

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a salesperson who processes routine orders or reorders for products that were already sold by the company

question

order getter

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a salesperson who sells in a conventional sense and identifies prospective customers, provides customers with information, persuades customers to buy, closes sales, and follows up on customers' use of a product or service. -50 hour weeks

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Personal Selling Process

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1) Prospecting 2) Preapproach 3) Approach 4) Presentation 5) Close 6) Follow-Up

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Presentation Formats

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1) Stimulus-Response -personality based 2) Formula Selling Format - informative 3) Need-Satisfaction -adaptive selling -consultative selling: problem recognition

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3 closing strategies

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1) trial close 2) assumptive close 3) urgency close : 'this deal ends today"

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Sales Management Process

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1) sales plan formulation 2) sales plan implementation 3) salesforce evaluation

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Sales Plan Formulation

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sales plan tasks: 1) setting objectives 2) organizing the salesforce 3) developing account management policies

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Sales plan implementation

answer

-salesforce recruitment and selection -salesforce training -salesforce motivation and compensation

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salesforce evaluation

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-quantitative assessment : sales quota -behavioral evaluation

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salesforce automation

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the use of technology to make he sales function more effective and efficient

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All of the following are output measures of sales objectives outlined in a sales plan EXCEPT:

answer

-sales calls made

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In the personal selling process, a telemarketer who calls phone numbers from a purchased list and asks the head of the household, "Are you happy with your current mobile phone service provider?" is engaged in __________.

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-prospecting

question

Which type of personal selling presentation format is the most consistent with the marketing concept?

answer

- Need-Satisfaction presentation format

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Chapter 18

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Implementing Interactive and Multichannel Marketing

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marketplace

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buyers and sellers engage in face-to-face exchange relationships in a material environment characterized by physical facilities and mostly tangible objects

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marketspace

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an internet-enabled Digital environment characterized by face-to-face screen exchange relationships and electronic images and offerings

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interactive marketing

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two-way buyer seller electronic communication in a computer-mediated environment in which the buyer controls the kind and amount of information received from the seller

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choiceboard

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an interactive, internet-enabled system that allows individual customers to design their own product or services by answering a few questions and choosing from a menu of product or service attributes, prices, and delivery options (Nike tennis shoes)

question

collaborative filtering

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a process that automatically groups people with similar buying intentions, preferences, and behaviors and predicts future purchases. -"customers who bought this item also bought...."

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personalization

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consumer-initiated practice of generating content on a marketer's website that is custom tailored to an individual's specific needs and preferences -creating a personalized MyYahoo! page

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permission marketing

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the solicitation of a consumer's consent to receive email and advertising based on personal data supplied by the consumer.

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customer experience

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the sum total of the interactions that a customer has with a company's website, from the initial look at the home page through the entire purchase decision process.

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7 website design elements that drive customer experience

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1. Context 2. Content 3. Customization 4. Connection 5. Communication 6. Community 7. Commerce

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context

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a website's aesthetic appeal and functional look and feel of the site's layout and visual design

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content

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all digital information on a website, including the presentation form (text, video, audio)

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customization

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the ability of a site to modify itself to or be modified by each individual user

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connection

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the network of linkages between a company's site and other sites

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communication

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dialogue that unfolds between the website and its users

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community

answer

user-to-user communications hosted by the company

question

commerce

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website's ability to conduct sales transactions for products and services -the amount of time per month visitors spend on their website is "stickness" & used to gauge customer experience

question

online consumers

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the subsegment of all internet users who employ this technology to research products and services and make purchases.

question

why consumers buy and shop online

answer

-convenience -choice -customization -communication -cost -control

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bots

answer

electronic shopping agents or robots that comb websites to compare prices or service features

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eight-second rule

answer

customers will abandon their efforts to enter and navigate a website if download time exceeds eight seconds.

question

communication

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1) marketer-to-consumer email notification 2) consumer-to-marketer buying and service requests 3) consumer-to-consumer chat rooms and instant messaging

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web communities

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websites that allow people to meet online and exchange views on topics of common interest

question

viral marketing

answer

an internet enabled promotional strategy that encourages users to forward marketer-initiated messages to others via email, social networking websites and blogs

question

cost

answer

-showrooming: when a shopper visits a retail store to inspect merchandise but then goes online to compare prices from other retail and online sellers -dynamic pricing: the practice of changing prices for products and services in real time in response to supply and demand conditions. (airline tickets)

question

cookies

answer

computer files that a marketer can download onto the computer and mobile phone of an online shopper who visits the marketer's website

question

behavioral targeting

answer

uses information provided by cookies for directing online advertising from marketers to those online shoppers whose behavioral profiles suggest they would be interested in such advertising

question

cross-channel shopper

answer

an online consumer who researches products online and then purchases them at a retail store -95% of consumers do this (opposite of showrooming)

question

A recent Disney Online M.O.M. (Mom on a Mission) study found that today's mother __________.

answer

stays connected with family and friends through social networks like Facebook

question

Which of the following statements regarding cross-channel shoppers is most accurate?

answer

Sales arising from cross-channel shoppers dwarf exclusive online retail sales

question

The primary purpose of transactional websites is to

answer

convert an online browser into an online buyer

question

To which element of the marketing mix is viral marketing most closely related?

answer

promotion

question

Retailer-sponsored cooperatives:

answer

small, independent retailers form an organization that operates a wholesale facility cooperatively

MKT 291 Final- Chapters 9-18 – Flashcards

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