Chapter 19 Marketing

Contest

A brand-sponsored competition that requires some form of skill or effort

Rebate

A consumer discount in which a portion of the purchase price is returned to the buyer in cash; a manufacturer, not the retailer, issues the refund

Sweepstakes

A form of sales promotion that offers prizes based on a chance drawing of entrants' names

Point-of-Purchase (POP) Display

A merchandise display located at the point of purchase, such as at the checkout counter in a grocery store

Advertising

A paid form of communication from an identifiable source, delivered through a communication channel, and designed to persuade the receiver to take some action, now or in the future

Advertising Plan

A section of the firm's overall marketing plan that explicitly outlines the objectives of the advertising campaign, how the campaign might accomplish those objectives, and how the firm can determine whether the campaign was successful

Unique Selling Proposition

A strategy of differentiating a product by communicating its unique attributes; often becomes the common theme or slogan in the entire advertising campaign

Institutional Advertisement

A type of advertisement that informs, persuades, or reminds consumers about issues related to places, politics, or an industry

Deal

A type of short-tern price reduction that can take several forms, such as a "featured price," a price lower than the regular price; a "buy one, get one free" offer; or a certain percentage "more free" offer contained in larger packaging; can involve a special financing arrangement, such as reduced percentage interest rates or extended repayment terms

Public Service Advertising

Advertising that focuses on public welfare and generally is sponsored by nonprofit institutions, civic groups, religious organizations, trade associations, or political groups; a form of social marketing

Emotional Appeal

Aims to satisfy consumers' emotional desires rather than their utilitarian needs

Premium

An item offered for free or at a bargain price to reward some type of behavior, such as buying, sampling, or testing

Pretesting

Assessments performed before an ad campaign is implemented to ensure that the various elements are working in an integrated fashion and doing what they are intended to do

Niche Media

Channels that are focused and generally used to reach narrow segments, often with unique demographic characteristics or interests

Mass Media

Channels that are ideal for reaching large numbers of anonymous audience members; include national newspapers, magazines, radio, and television

Informative Advertising

Communication used to create and build brand awareness, with the ultimate goal of moving the consumer through the buying cycle to a purchase

Persuasive Advertising

Communication used to motivate consumers to take action

Reminder Advertising

Communication used to remind consumers of a product or to prompt repurchases, especially for products that have gained market acceptance and are in the maturity stage of their life cycle

Pull Strategy

Designed to get consumers to pull the product into the supply chain by demanding it

Push Strategy

Designed to increase demand by motivating sellers to highlight the product, rather than the products of competitors, and thereby push the product onto consumers

Federal Trade Commission

Enforces Federal Consumer Protection Laws

Tracking

Including monitoring key indicators, such as daily or weekly sales volume, while the advertisement is running to shed light on any problems with the message or the medium

Product Placement

Inclusion of a product in nontraditional situations, such as in a scene in a movie or television program

Sampling

Offers potential customers the opportunity to try a product or service before they make a buying decision

Coupon

Provides a stated discount to consumers on the final selling price of a specific item; the retailer handles the discount

Food and Drug Administration

Regulates food, dietary supplements, drugs, cosmetics, medical devices, biologics, and blood products

Federal Communications Commission

Regulates interstate and international communications by radio, television, wire, satellite, and cable

Sales Promotions

Special incentives or excitement-building programs that encourage the purchase of a product or service, such as coupons, rebates, contests, free samples, and point-of-purchase displays

Loyalty Program

Specifically designed to retain customers by offering premiums or other incentives to customers who make multiple purchases over time

Media Buy

The actual purchase of airtime or print pages

Media Mix

The combination of the media used and the frequency of advertising in each medium

Social Marketing

The content distributed through online and mobile technologies to facilitate interpersonal interactions

Posttesting

The evaluation of an IMC campaign's impact after it has been implemented

Puffery

The legal exaggeration of praise, stopping just short of deception, lavished on a product

Public Relations

The organizational function that manages the firm's communications to achieve a variety of objectives, including building and maintaining a positive image, handling or heading off unfavorable stories or events, and maintaining positive relationships with the media

Media Planning

The process of evaluating and selecting the media mix that will deliver a clear, consistent, compelling message to the intended audience

Informational Appeal

Used in a promotional to help consumers make purchase decisions by offering factual information and strong arguments built around relevant issues that encourage them to evaluate the brand favorable on the basis of the key benefits it provides

Product-Focused Advertisements

Used to inform, persuade, or remind consumers about a specific product or service