Marketing chapter 16 – Sales, Promotions, Marketing, etc.

sales promotion
direct inducement that offers an extra value or incentive for the product to the sales force, etc
consumer-oriented sales promotion
includes sampling, couponing, premiums, contents, sweepstakes, etc.
Trade-oriented sales promotion
includes dealer contests and incentives, trade allowances, point-of-purchase displays, etc.
account-specific marketing (co-marketing)
a manufacturer collaborates with an individual retailer to create a customized promotion that accomplishes mutual objectives
consumer franchise-building (CFB) promotions
sales promotion activities that communicate distinctive brand attributes and contribute to the development and reinforcement of brand identity
nonfranchise-building (non-FB) promotions
designed to accelerate the purchase decision process and generate an immediate increase in sales
sampling
involves a variety of procedures whereby consumers are given some quantity of a product for no charge to induce trial
freestanding inserts (FSIs)
four-color multipage printed advertising booklet that contains consumer packaged goods coupon offers delivered with news papers
bounce-back coupon
an in/on-package coupon that is redeemable for the next purchase of the same brand
cross-ruff coupon
redeemable on the purchase of a different product, usually one made by the same company
instant coupon
attached to the outside of the package so the consumer can rip it off and redeem it immediately
in-store couponing
includes all co-op couponing programs distributed in retail store environments
premium
offer of the product or service either free or at a low price that serves as incentive to buy
self-liquidating premiums
require the consumer to pay some or all of the cost of the premium plus handling and mailing costs
cost
promotion where consumers compete for prizes or money on the basis of skills or ability
sweepstakes
promotion where winners are determined purely by chance
game
one form of sweepstakes
refunds
also known as rebate
bonus packs
offer the consumer an extra amount of product at the regular price by providing large containers or units
price-off deal
reduces the price of the brand
loyalty programs
also referred to as continuity or frequency programs; rewards for continually using services from a single organization
event marketing
type of promotion where a company or brand is linked to an event or where a themed activity is developed for the purpose of creating experiences for the consumers and promoting a product or service
event sponsorship
IMC activity where a company develops actual sponsorship relations with a particular event and provides financial support in return for the right to display a brand name, logo, etc.
push money (pm)
cash payments made directly to the retailer’s or wholesaler’s sales staff to encourage them to promote and sell a manufacturer’s product
trade allowance
discount or deal offered to retailers or wholesalers to encourage them to stock, promote, etc
off-invoice allowance
certain per-case amount or percentage is deducted from the invoice
slotting allowances
fees retailers charge for providing a slot or position to accommodate the new product
failure fees
if a new product does not hit a minimum sales level within a certain time, a penalty is assessed
planograms
configurations of products that occupy a shelf section in a store
trade show
forum where manufacturers can display their products to current as well as prospective buyers
cooperative advertising
cost of advertising is shared by more than one party
horizontal cooperative advertising
advertising sponsored in common by a group of retailers or other organizations providing products or services to the market
ingredient-sponsored cooperative advertising
supported by raw materials manufacturers to help establish end products that include the company’s materials or ingredients
vertical cooperative advertising
manufacturer pays for a portion of the advertising a retailer runs to promote the manufacturer’s product and its availability in the retailer’s place of business
sales promotion trap
can result when several competitors use promotions extensively