Buad 301 Exam 3

whole sales sponsored voluntary chains

A chain of retailers organized by a wholesaler unite into a voluntary chain of stores. The stores are owned independently but they sign an agreement to work in the chain and they all agree to use the same name.

Which of the following refers to the series of firms or individuals that facilitates the movement of a product from the producer to the final​ customer? A.Channel intermediariesB.Wholesaling intermediariesC.Independent intermediariesD.Physical distributionE.Channel of distribution

A channel of distribution

Brokers or agents

Agents work for brokers and the broker is like the head agent they don't take the title or purchase the items. their role is limited to negotiating sales contract for producers. generally paid a commission and are assigned to different geographical areas

What is search engine optimization (SEO)? Selling memberships to the site, Paying for placement on a search engine results page, Building a site which has the qualities that search engines look for, which will ultimately get the site a high rank in the listings

Building a site which has the qualities that search engines look for, which will ultimately get the site a high rank in the listings

Why do companies used middlemen or intermediaries if they cost extra money?

Companies like Walmart of target may not need to use these because they have their own processes and logistical resources to do these jobs. However other companies need a middlemen to carry out their warehousing, market research or selling and it may even be more financially wise to do it this way. This is because then they would have to implement and develop programs to replace the ones from the intermediary. This is very difficult and includes funding, extra hiring, and research which can in turn be more expensive than the the middle man's product. The m middle man already has found the cheapest way to do this in order to acquire customers and is an expert in the field whereas a local supermarket would have to fo through many trials in order to find the best and most cost effective way to provide these functions. Essentially it is introducing a new product and service making it very expensive and time dense.

Reasons why direct marketing helps consumers and reasons why they don't like it

Consumers like it because it is easy for them to purchase the product, its tailored to you so it shows specific things you will like. They don't like it because it can seem intrusive

retailer sponsored cooperatives

Iga and ace hardware. they partner together to have the same power as big box stores and form a cooperative

3 types of wholesalers

Merchant wholesalers, brokers, manufacturers agents

Megan sells a high-end line of cosmetics. All of her customers are family members and friends. She sells these products through an informal gathering at her home, where she demonstrates the products and explains how to use them telemarketing, kiosk marketing, direct mail marketing solicited, catalog marketing, direct response tv marketing, direct mail marketing unsolicited, personal selling

Personal selling

Time

Walgreens is open 24 hours

what is breaking bulk

Wholesalers obtain large quantities of products from producers, store them, and break them down into cases and other smaller units more convenient for retailers to buy, a process called "breaking bulk."

If your blog is part of the Amazon affiliate program, which one of the following is true about your business? If your blog readers, refer amazon to their friends, you make a commission You link the products that you discuss on your blog to Amazon. Amazon pays you commission if your customers use those links to buy those products. If amazon customers click on your blog, you make a money

You link the products that you discuss on your blog to Amazon. Amazon pays you commission if your customers use those links to buy those products.

If a brand manager for Honda creates an offbeat and funny video featuring its latest model, the best social networking site to publish the video for marketing purposes would be __________. YouTube, linkedin, twitter, pinterest

YouTube

what are examples of intermediary that provide financing functions to a manufacturer

a Nordstrom credit card, they are using a credit card company to collect data on consumer purchases to better market their product, a car company that uses a bank as a financing option for the consumer

what is an indirect distribution channel

a company that uses different intermediaries such as a broker, agent. Example Levi's they market and sell online on their websites but they also sell through stores like revolve that market and advertise their product too

what is a direct marketing channel

a marketing channel that has no intermediary levels

An infomercial in an example of _________, a program-length TV commercial, a special paper catalog, a touch screen video kiosk

a program leb=nth tv commercial

content marketing

a strategic marketing approach that focuses on creating and distributing content that is valuable, relevant and consistent

Which of the following is an advantage of printed catalogs over digital catalogs the ability to offer an almost unlimited amount of merchandise, a stronger emotional connection with customers, efficiencies in production, printing & mailing costs

a stronger emotional connection with customers

what is search engine marketing

a type of web advertising whereby companies pay for keywords that are used to catch consumers' attention while browsing a search engine

what is place:

adds value to products by placing them in certain areas

what type of marketing is it when payment based on commission is usually used and CPA (cost per acquisition)

affiliate marketing

Several artists in Charleston, South Carolina, show and sell their work in an art gallery downtown. The gallery is owned by an art lover who does not buy the paintings but displays them and collects a percentage on each piece sold. In terms of the marketing channel, the gallery is a(n) __________. agent, broker, manufacturer, or wholesaler

agent

independent retailers

aka small businesses, they are independently owned by a person or partnership

Forms of direct marketing includes ___________. direct marketing catalog marketing personal selling all answers

all of the answers

affiliate marketing

an internet-based marketing strategy in which a business rewards individuals or other businesses (affiliates) for each visitor or customer the affiliate sends to its website

logistical functions of a marketing channel

assorting, storing, sorting, transporting, these are like wholesalers that assume the risk

Hierarchy of effects

awareness, interest, evaluation, trial, adoption

A hardware store advertises a ⅜" Black and Decker Power Drill for $29.95. You enter the store intending to purchase the drill. The salesperson informs you that they are all sold out. She tells you that the "sale" drills were factory seconds and that if you are going to be doing any kind of serious woodworking, you should buy the Model 3309, which sells for $49.99. This scenario has elements of which type of illegal pricing practice? unconditional bargains, conditional bargains, bait and switch, predatory pricing

bait and switch

what is a strategic alliance and example

barnes and noble and Starbucks. it is mutually beneficial and the two companies have decided to share resources. Different than a joint venture. strategic alliances sometimes evolve into joint ventures

disintermediation examples

booking flights online for the cheapest price through a website: cutting out the travel agent the internet makes it easier for a company and a consumer to con tact one another without the use of a middleman or shopping online for a house vs contacting a real estate agent this can also get rid of jobs Hulu also contributes greatly to disintermediation

Retailers:

buy products from wholesalers, agents or distributors and then sell them to consumers. They vary based on the product they sell.

transactional functions of a marketing channel

buying, selling, risk taking

types of limited service wholesalers include..

cash and carry wholesalers, drop shippers, mail order wholesalers, truck jobbers, rack jobbers

Kirk's Comic Store has its own mobile app that users can download for free. The app lets users know about special events, discounts, and merchandise currently available in the store. However, you cannot buy products directly from the app telemarketing, kiosk marketing, direct mail marketing solicited, catalog marketing, direct response tv marketing, direct mail marketing unsolicited, personal selling

catalog marketing

what is the internet of things

describes a system in which everyday objects are connected to the internet and in turn are able to communicate information throughout an interconnected system which in turn provides research and marketing for companies

Florian Fasteners recently introduced a new line of products. In order to promote its product, it sent samples to the home addresses of a few select customers using FEDEX. These customers opted in to receive mail when they interacted with Florian in previous years. telemarketing, kiosk marketing, direct mail marketing solicited, catalog marketing, direct response tv marketing, direct mail marketing unsolicited, personal selling

direct mail marketing solicited

Renkel Cosmetics sends a sample of the newest cosmetics line to the homes of consumers who are not its current customers. These customers did not sign up with Renkel and request a sample telemarketing, kiosk marketing, direct mail marketing solicited, catalog marketing, direct response tv marketing, direct mail marketing unsolicited, personal selling

direct mail marketing unsolicited

Amazon.com, eBay, and GEICO approach customers via Web sites or mobile apps. This is an example of ________. mass marketing, direct marketing, multilevel marketing, mass marketing, guerrilla marketing

direct marketing

Disney shows have been broadcasted on different platforms like direct tv or Comcast.; Now they have their own subscription to watch their shows on their own personal website this is an example of

direct marketing

If Lexus sells their product online and through dealers. selling online is an example of?

direct marketing

Marketing in which product is described to customers with air television spots providing customers with toll free numbers or Website to order is called __________. telephone marketing, kiosk marketing, offline marketing, direct response tv marketing

direct response tv marketing

Neal Murphy sells his company's unique products on television programs. He also hosts a 30-minute show in which he demonstrates and explains the advantages of the product. At the end of the show, a toll-free number is displayed on the screen that can be used by viewers to place their orders for the product. telemarketing, kiosk marketing, direct mail marketing solicited, catalog marketing, direct response tv marketing, direct mail marketing unsolicited, personal selling

direct response tv marketing

Which of the following refers to the function of the distribution channel that makes the purchase process easier for customers and​ manufacturers?A.Facilitating functionsB.Transportation and storageC.Communication and transaction functionD.Breaking bulkE.​Risk-taking functions

facilitating functions

facilitating functions of a marketing channel

financing, grading, marketing information and research

franchises

form of business by which the owner (franchisor) of a product, service or method obtains distribution through affiliated dealers (franchisees). If buying an existing business doesn't sound right for you but starting from scratch sounds a bit intimidating, you could be suited for franchise ownership.

full service vs limited service wholesalers

full service provides a broad range of services such as stocking, warehousing, supplying credit to buyers, employing people to assist customers and delivery limited service offers fewer services but at a lower cost

self service examples

grocery stores, gas station, convenience stores

DW marketing strategy is fueled by posts like the one given above from Dilara Kaynarca, a fashion and lifestyle Instagramm-er with 150,000+ followers on Instagram. DW pays social media mavens to introduce the product(s) and generate interest among their many followers. Which of the following digital marketing strategies is DW using?

influencer marketing

Involved working with people who are popular in their peer groups to promote a brand or campaign

influencer marketing

Difference between affiliate marketing and influencer

influencer you are paying for someone to remote the product and affiliate they are provided a link and they get money based on how many people use the link to visit the website

One of the difficulties associated with value-based pricing is that __________. everyday low pricing has neutralized the impact of price on consumers' purchase decisions, it necessitates a great deal of consumer research to be implemented successfully. (like knowing the demand for the product accurately). value depends on variable costs and not fixed costs. only the creator of a new product can fully understand its value to consumers.

it necessitates a great deal of consumer research to be implemented successfully. (like knowing the demand for the product accurately).

Marbles Inc. has placed vending machines in most of its retail stores in Florida. Consumers can order a pack of Marbles by just selecting their requirements on the touch screen. telemarketing, kiosk marketing, direct mail marketing, catalog marketing, direct response tv marketing, direct mail marketing, personal selling

kiosk marketing

2 types of merchant wholesalers

limited service wholesalers and full service wholesalers

Which of the following refers to the process of​ designing, managing, and improving the movement of products and includes​ purchasing, manufacturing,​ storage, and​ transport? Supply chain managementB.LogisticsC.Physical distributionD.Gray marketingE.Supply chain

logistics

3 functions of marketing channels

logistics, facilitating, transactional

characteristics of joint ventures

long term strategy that is a win win for both sides.

__________ strategy lowers the price of frequently bought items below the store's cost to bring customers into the store. employee discount, cost based pricing, value based pricing, reference pricing or loss leader pricing

loss leading pricing

Mario is the first retailer in town to sell games for Sony's new PlayStation 3 machine. Mario wants to quickly capture as much of the market for the new games as possible. Mario will likely use a __________ pricing strategy. reference, market penetration, value based, skimming

market penetration

With a __________ pricing strategy, marketers set a low initial price for the introduction of a new product or service. skimming, bundling or market penetration

market penetration

intermediaries

middlemen that play a role in the exchange process

forms of digital marketing

mobile phone marketing, podcast, interactive tv,

corporate chains

multiple outlets under common ownership : target

what is a direct distribution channel

one that sells directly to the consumer like a hair cut

Kind of advertising that appears while consumers are browsing Internet such as search related ads, online classifieds and display ads is classified as__________. Tv advertising, buzz advertising, online advertising, offline advertising

online advertising

manufacturers sales

owned directly by the manufacturer, performs wholesaling functions for the manufacturer these are B2B ex: owns a store that sells printers directly to companies for use not sales

influencer marketing

paying for someone influential to promote your product

8 forms of Direct Marketing

personal selling, direct-mail marketing, catalog marketing, telemarketing, direct-response television marketing, kiosk marketing, online marketing

the four forms of value that a channel offers

place, ownership, form and time

If a telecommunications company drastically cuts the price for cellular phone service in order to eliminate local competitors, the company could be charged with ________. price discrimination, predatory pricing, bait and switch pricing, loss leader pricing

predatory pricing

__________ is the practice of colluding with other firms to control prices. price fixing, geographic pricing, predatory pricing, bait and switch pricing

price fixing

Decoding

process if having the receiver take a set of symbols and transform the symbols back into an idea

encoding:

process of having the sender transform an idea into a set of symbols so encoding and decoding need to be the same because if they are not then the receiver (customer) may get a different ideology (peloton)

The key to setting a price for a product is finding an approximate price level to use as a reasonable starting point. Four common approaches to selecting an approximate price level are: (1) demand-oriented; (2) cost-oriented; (3) __________; and (4) competition-oriented approaches. profit oriented, revenue oriented, distribution oriented

profit oriented

characteristics of wholesalers

provide you with the smaller quantities and amounts so that you can have an assortment of products

3 types of contractual systems

retailer sponsored cooperatives and wholesaler sponsored voluntary chains, franchises

Aimed at achieving r=a good ranking in the natural listings of search engines

search engine optimization SEO

level of service retailers include

self service, full service and limited service

functions of a wholesaler

selling and promoting, buying and assortment building, bulk breaking, warehousing, financing, transportation therefore a wholesaler fulfills lots of the channel distribution functions

email marketing

sending highly targeted, highly personalized, relationship-building marketing messages via email

What is the channel of distribution

set of interdependent relationships among a set of organizations that facilitates the exchange process

reintermediation

shifting or adding middleman to the marketing channel honest beauty: selling on their website very well and decided to introduce target as a channel partner. They started selling all of their products through target, they're sales then doubled

what are examples of a intermediary that provides logistical functions for a manufacturer

shipping companies, holding facilities, sorting companies

Direct tv marketing

short form ads; Call toll free to buy Qvc: designated seller that sells multiple products

what kind of marketing is apple's #shotoniPhone

social media marketing

drop shippers

take the title to the goods but don't have possession or handle them, they often deal with large and bulky items

The Swedish manufacturer of Asko dishwashers concluded that consumers would be willing to pay approximately $989 for a dishwasher that was quieter than any other machine on the market. Based on this price, Asko determined the margins that would have to be given to wholesalers and retailers to arrive at the $989 retail price. Asko used _________ target pricing, prestige pricing, cost plus pricing, value based pricing

target pricing

Sales executives at Keiron Air Conditioners use phone directories to call customers and convince them to buy their air conditioners. telemarketing, kiosk marketing, direct mail marketing, catalog marketing, direct response tv marketing, direct mail marketing, personal selling

telemarketing

A reference price is _________ the price (or price range) against which buyers compare the actual selling price, the list price, the manufacturers cost

the price (or price range) against which buyers compare the actual selling price,

what is form

the retailer changes raw materials into useful products: Starbucks makes coffee the way the customer wants it

what does it mean for a wholesaled to "take title"

the wholesaler usually owns the products before it is purchased by other sellers, this assumes a great deal of risk,

an advantage of using a wholesaler

they assume the risk so that if something breaks or goes out of style or breaks during shipment the wholesaler loses out not you

benefits for the seller

they can target small groups, tailor it to individual needs, flexibility- able to change the listings, low cost speedy way to reach customers, issues include a negative outlook because of "spam mail", can be costly if it is ineffective, reponse rates vary alot

mail order wholesalers

they sell their products through catalogs and ship the product to the customer

truck jobbers

they store products on their trucks like perishables

ownership

transfers ownership from one party to another

multichannel marketing implications

uses a combination of direct to consumer, b2b and channel partners must avoid canibalization of one channel

Which form of direct marketing enables consumers to utilize a freestanding, interactive computer terminal, which allows them to place orders, complete transactions, and arrange for items to be shipped? video kiosk, paper catalog, vending machine

video kiosk