Entrepreneurship – Ch 8 Developing Your Marketing Mix

Marketing
the activity of presenting products or services to customers
Marketing Plan
a plan for a business to reach its marketing objectives through the four main strategies of product, place, price, and promotion.
Benefits
the reasons customers choose to buy
Brand
The symbolic embodiment of all the information connected with a product or service.
Brand Mark
unique symbol, coloring, lettering, or other design element.
Bundling
grouping two or more products together and pricing them as a unit
Competition-Based Pricing
setting prices based on competitors’ strategies, prices, costs, and market offerings
Cost-Based Pricing
adding a dollar amount or percentage to the cost of the product
Demand-Based Pricing
pricing based on the level of demand for the product
Direct Channel
a distribution channel in which producers sell directly to consumers
Distribution Channels
routes by which goods are moved from producers to consumers.
Exclusive Distribution
Giving a limited number of dealers the exclusive right to distribute the company’s products in their territories
Features
What a product does
Indirect Channel
the path a product takes using intermediaries between the producer and consumer
Intensive Distribution
stocking the product in as many outlets as possible
Intermediary
a type of business that buys goods from wholesalers or manufacturers and sells them directly to the public
Markdown Price
is determined by subtracting an amount from the retail price of an item
Marketing Mix
the combination of product, pricing, promotion, and distribution strategies used to market products
Market Share
a company’s percentage of the total industry sales for a specific product type
Markup Price
Is determined by adding an amount to the wholesale cost of an item.
Mind Share
Awareness of a product or company created in the consumer’s mind by the company’s marketing
Product Mix
the combination of product lines offered by a manufacturer
Product Positioning
a process by which marketers create an image of their products, brand or organization in the consumer’s mind relative to the sum of the attributes of competitors
Promotion
Techniques for communicating information about products to consumers
Selective Distribution
A limited number of outlets in a given geographic area are used to sell the product.
360 marketing
Approach to marketing that communicates with your prospects and customers from all directions
Advertising
a public promotion of some product or service
AIDA
Attention, interest, desire, action. Four different ways of constructing an advertisement continuously to simulate audience members
Cooperative Advertising
producers sharing in the cost of ads with wholesalers or retailers
CPM(Cost Per Thousand)
The media cost of exposing 1,000 readers to an ad.
Direct Mail
advertising sent directly to prospective customers via the mail
Infomercial
a television commercial presented in the form of a short documentary
Media
Channels of mass communication
Networking
Communicating with people one knows or can get to know to share information and share advice
Newsgroup
An online discussion group that focuses on a specific topic
Personal Selling
direct spoken communication between sellers and potential customers
Pitch Letter
Cover letter that is often sent with a press release to introduce it
Premium
an extra item offered to the consumer
Press Release
a document offering an official comment or position.
Product Placement
Putting products into TV shows and movies where they will be seen
Promotional Campaign
series of promotional messages to meet the goal or creating brand loyalty
Promotional Mix
the combination of different types of promotion
Publicity
Business information that is provided to the public by the media or other sources at no cost to the business
Public Relations
any activity designed to create a favorable image of a business, its products, or its policies
Sales Promotion
Short-term incentives to encourage the purchase or sale of a product or service
Telemarketing
the use of the telephone as an interactive medium for promotion and sales
Trade-Out
A type of barter. The exchange of goods and services instead of using money.
Visual Merchandising
Use of artistic displays to attract customers into a store and visually promote products inside a store
Web Banner
Electronic advertisement that you pay other companies or organizations to embed on their websites