MKTG 301

Promotion Mix Goals

- To persuasively communicate customer value and build customer relationships - To deliver a clear, consistent and compelling message

informative advertising

- build primary demand -good for introducing a new product category

persuasive advertising

- build secondary demand (preference) - good for direct or indirect brand comparisons

reminder advertising

- increase frequency of purchase - good for mature products

marketing logistics

- it includes warehousing and inventory management - trucks are the primary mode of product transportation in america - KIVA robots increase the efficiency of the logistics process - logistics information management is a growing logistics function

public relations tools

- news - speeches - special events - written materials - audiovisual materials - public service - buzz marketing - corporate web sites

key trends in retailiing

- riise of retailers ni the US and abroad - experiential retailing - growing importance of technology -decreasing popularity of shopping malls

production mix

-advertising -PR/ publicity -direct marketing -sales promotion -persona selling

Key Characteristics of advertising

-paid -nonpersonal communication -identified sponsor

7 C's of effective website design

1. Context - layout - design 2. Content - text - pictures - video 3. Customization - user can customize site 4. Communication - user-site communication 5. Community - user-user communication 6. Connection - site is linked to other sites 7. Commerce - site enables transaction

Price Adjustment Strategies

1. Discount and allowance pricing 2. Segmented pricing 3. Psychological pricing 4. Promotional pricing 5. Geographical pricing 6. Dynamic pricing 7. International pricing

AMA Ethical Values

1. Honesty 2. Responsibility 3. Fairness 4. Respect 5. Openness 6. Citizenship

Promotion Mix Pricing Strategies

1. Product line pricing 2. Optional-product pricing 3. Captive-product pricing 4. By-product pricing 5. Product bundle pricing

sales promotion techniques

1. Sampling 2. Couponing 3. Premiums 4. Advertising specialties 5. Patronage rewards 6. Point-of-purchase promotions 7. Contests and sweepstakes

ad execution styles

1. Slice of Life 2. Lifestyle 3. Fantasy 4. Mood/Image 5. Musical 6. Personality Symbol 7. Technical Expertise 8. Scientific Evidence 9. Testimonial

Major Steps in the Selling Process

1. prospecting and qualifying - referrals from my professors 2. pre-approach - learn about the firm 3. approach 4. presentation and demonstration 5. handling objections - sense of urgency 7. follow-up - professional email after interview

Forms of Direct Marketing

Personal selling, Direct-mail, Catalog, Telephone, Direct-response television, Kiosk, Digital, and Online direct marketing.

marketing mix

Product, Price, Place, Promotion

Contractual VMS

a vertical marketing system in which independent firms at different levels of production and distribution join together through contracts

Corporate VMS

a vertical marketing system that combines successive stages of production and distribution under single ownership- channel leadership is established through common ownership

Administered VMS

a vertical marketing system that coordinates successive stages of production and distribution through the size and power of one of the parties

Peerless paper company charges $10 for freight to customers in the East Zone, $15 to those in the Midwest Zone, and $25 to those in West Zone, Peerless Paper Company utilizes what type of pricing strategy.

a. Geographical

which of the following products is advertised using a flighting strategy for media scheduling?

a. Sam Adams summer brew beer

mcdonalds restaurants and other franchises are part of an ____ marketing system. in which individual firms join together through extensive agreements

a. contractual

all of the following are american marketing association ethical values EXCEPT: a. sustainability b. honesty c. fairness d. respect e. citizenship

a. sustainability

which of the following is true of the "prospecting and qualifying" stage of the selling process? a. the salesperson seeks out referrals or searches through directories or contacts before screening them. b. it typically occurs after the preapproach stage c. closing the sale is key to success at this stage d. the salesperson utilizes a need-satisfaction approach with the customer e. all of the above

a. the salesperson seeks out referrals or searches through directories or contacts before screening them

horizontal marketing system

an arrangement within a channel of distribution in which two or more firms at the same channel level work together for a common purpose

your uncle opens a gourmet grocery store near state college. he wants to convey that the products are classy and of high quality. the target market is not price sensitive. he asks you how to price individual items.

b: items should be priced with 00 at the end

mood/image

builds a mood or image around the product

Which of the following is not an example of public relations? a. a companys twitter feed b. NFL players wearing a susan g komen breast cancer awareness pink ribbons c. kiosk marketing d. apple donates money to local schools e. dean whitemans commencement speech at the smeal graduation

c. kiosk marketing

direct marketing includes a wide assortment of tools. which is NOT one of these tools? a. infomercial b. catalog marketing c. patronage rewards d. direct mail e. face to face selling

c. patronage rewards

An. ad that features a storyline with a problem-solution format is known as

c. slice of life

personality symbol

character that represents the product

fantasy

creates a fantasy around the product or its use

nike was recently criticised for a commercial that reportedly failed to acknowledge the basic human dignity of all stakeholders. which AMA ethical. value was called. into question

d. respect

john is traveling pharmaceutical sales rep for Merck, who specializes in the northwest pennsylvania region. in this example. john is a part of a: a. inside sales forces b. customer sales force c. product sales force d. territorial sales force e. task oriented sales force

d. territorial sales force

daina is a mary kay cosmetics salesperson who engages in face to face selling. diana is engaging in a. direct marketing b. personals selling c. sales promotion d. undercover marketing

direct marketing and personal selling

airlines like continental price their seats in a number of different ways. one common method is to adjust the price of their seats continually based on fluctuations in supply and demand. this type of pricing strategy is called:

dynamic pricing

all of the following are true of couponing EXCEPT: a. couponing is useful to promote early trial of new brands b. it can stimulate sales of a mature product c. teenagers are fairly active in coupon redemption d. it is a short term incentive to buy e. coupon redemption rate is sharply declining

e. coupon redemption rate is sharply declining

Testimonial

highly believable or like-able source endorsing the product

key concepts of media decisions

media vehicles media scheduling

Major Decisions in Advertising

objectives setting, budget decisions, message decisions, media decisions, campaign evaluation

scientific evidence

presents survey or scientific evidence that the brand is better or better liked than one or more other brands

nordstrom carries mens suits at three different price levels reflecting different quality levels. this is an example of what type of pricing strategy

product line

technical expertise

show company expertise at making the product

slice of life

showing "typical" person/people using product in normal setting

lifestyle

showing how product fits with particular lifestyle

musical

shows someone singing about the product