Entrepreneurial Small Business - Chapter 10

Concentrated strategy

when marketers select one specific group of consumers and designs a marketing mix specifically for them.

Customer vector

A type of CRM report which segments by customer (or customer group) on purchases or dates of purchases.

Cognitive dissonance

doubt that occurs after a purchase has been made; an inconsistency between experience and belief.

Hit rate

how many prospects or leads you need to approach in order to make one sale. Also called the conversion rate.

Publicity

information about your company and its activities that is disseminated to the public in order to gain their good opinion.

Key performance indicators (KPI)

measures or metrics that identify the outcomes that are most important to the success of a business. While outcomes like sales or products produced are KPIs, events leading up to these are also usually considered key, like customers coming to your store or website for sales, or number of products started.

Free ink

mention of your company or products in the media for which your firm did not pay

Donations

monetary or other gifts to organizations or people who are in need.

Predetermined market segments

professionally compiled target audiences based on shared demographic, financial, shopping and psychographic characteristics.

Succinct message

your key point in as few and as memorable words as possible.

Undifferentiated strategy

A marketing strategy that uses no segmentation; assumes that all consumers have virtually identical needs and can be reached by the same marketing mix.

Press relations

Activities used to establish and promote a favorable opinion by the media.

Viral marketing

Any electronic equivalent of word-of-mouth advertising in which the advertiser's message spreads quickly and widely via e-mail, Web sites, blogs and other online tools.

Personal selling

The process of selling your products and services, including prospect and evaluate, prepare, present, close and follow-up.

Search engine optimization

Techniques applied to web pages in order to obtain favorable placement on Internet search page results.

Power

a concept in public importance which alludes to potential shifts in control or influence.

Human interest

a concept in public interest which alludes to a character to whom the public can relate.

Good story

a concept in public interest which alludes to an incident with good triumphing over evil.

Cultural resonance

a concept in public interest which alludes to events with a broad appeal within the market or population.

Currency

a concept in public interest which alludes to the degree to which the issue is immediate in its impact.

Visuals

a concept in public interest which alludes to the graphic interest held by an event.

Famous faces

a concept in public recognition that alludes to connections of your event or firm to individuals the general public would recognize.

Issue recognition

a concept in public recognition which alludes to the extent to which the public is familiar with the issue or problem at hand.

Trendiness

a concept in public recognition which alludes to the fit of the topic to current fashion or public interest.

Proximity

a concept in public recognition which alludes to the impact level of the issue being discussed.

Mat release

a news release that is typeset and may be photographically reproduced for including in a newspaper.

Media kit

a type of specialized web page or sales-material based package (hard copy or PDF) sent to media outlets that is focused on telling them about your company and its story. These are often built around a press release for something of potential current interest to the media outlet. Also called a press kit.

Bot

a web-based program that uses artificial intelligence techniques to automate tasks such as searches.

Press release

a written announcement intended to draw new media attention to a specific event.

Public relations

activities used to establish and promote a favorable opinion by the public.

Public recognition

being recognized or acknowledged by large numbers of people; similar to fame.

Prospect

sales leads who actually make some sort of effort to learn more about the product, service or business in anticipation of a possible purchase.

Customer retention

techniques that focus on efforts to promote satisfaction with and interest in the firm.

Keyword and description tags

terms included in the hidden portion of a web page (called the document head) which is used by search engines such as Yahoo! and Google to describe your website and evaluate its focus and category placement.

Brand promise

the gains provided (i.e., the benefits) or the help given (i.e., the pains removed) by the product or service your firm offers.

Customer relationship management (CRM)

The process of tracking the customer's different contacts with the firm, and using this data to help improve sales as well as the customer's experience.

Media contact strategy plan

a document, for the managers and employees of the firm to see, that details the specifics of the firm's marketing efforts including the goals, target audiences, distribution channels, keywords, content types, calendar, publishing procedures, action items, KPIs, and analytics across all the different types of marketing efforts the firm will attempt.

Diversification

a strategy whose foal is growth based on adding new products or services to the firm's existing collection of offerings.

Market expansion

a strategy whose foal is growth based on selling in areas or to groups preciously not serviced by the business.

Product expansion

a strategy whose goal is growth based on selling existing customers a product or service they have never bought before.

Market penetration

a strategy whose goal is growth based on selling more of the firm's products or services to the existing customer's first.

Sale leads

people who receive a promotional impression and who give some thought into buying the product.

Promotional mix

how much of each message conveyance you will use to sell you product as well as your objective in using each one.

Advertising

often used to support the corporate identity and value propositions that are established through public relation efforts. Part of conveying your message to you customer, advertising outlets include newspapers, magazines, billboards, television, and Internet banners, to name a few.

Sponsorships

paying for a local organization's needs in exchange for recognition

Organic traffic

people who come to your website based on their own actions (e.g., typing in your URL, clicking on a link mentioning your site on a web page, or clicking on a search engine finding based on where your site naturally—or "organically"—appears in the search results) where you have not paid for the link. It is also called unpaid search.

Brand

the name a firm puts on itself and its products to differentiate them from competitors' offerings.

Market segmentation

the process of dividing the market into groups that have somewhat homogeneous needs towards a product or service.

Segmentation

the process of dividing the market into smaller portions of people who have common characteristics.

Marketing funnel

the rule of thumb in marketing that it takes a large number of people to be made aware of your product in order to find a purchaser.

Target market

the segment or segments selected for concentrated marketing efforts.

Domain name

the specific name of an Internet site, consisting of a name followed by .net, .com or a similar code

Public importance

things that are considered important to large number of otherwise unrelated people or things that are of civic importance as opposed to private or corporate entities.

Public interest

things that are generally considered to be beneficial to large numbers of people or civic causes and benefits as opposed to private and corporate benefits.

Newsworthy events

to garner serious attention from the media and the public a news story needs to deliver certain essentials that will hold their attention and keep your news in their thoughts: public recognition, importance and interest.

Impression

what it is called when someone notices a promotional effort.

Differentiated strategy

when a marketer selects two or more distinct groups of consumers and designs specific marketing mixes to meet their needs.