marketing exam 3 review chapter 15

four Basic goals of promotions
Inform, Persuade, Remind, Connect
______________seeks to convert an existing need into a want or to stimulate interest in a new product
Informing (Informative promotion)
_________ is especially relevant in the introduction and early growth stage of The (product life cycle)
Inform
Typical Informative promotions try to
Increase awareness
Explain how product works
Suggest new uses
Build company image
___________fits in with the goal of building primary demand in intRo stages of PLC
inform
is designed to stimulate a purchase or an action.
Persuading (persuading promotion)
______ typically becomes the main promotion goal when the product enters the growth stage of its life cycle.
Persuade
Typical Persuasive promotions try to
Encourage brand switching
Change customers’ perceptions of product attributes
Influence immediate buying decision
Persuade customers to call
____________Relates to stimulating selective or secondary demand in growth and maturity stages of PLC
Persuading
___________ is used to keep the product and brand name in the public’s mind
reminding
This type of promotion prevails during the maturity stage of thePLC
reminding
Typical Reminder Promotions try
Remind customers that product may be needed
Remind customers where to buy product
Maintain customer awareness
The idea behind social media is to form relationships with customers and potential customers through technological ties such as Facebook, Twitter, YouTube, or other social media platforms. this is known as
connecting
Connect Promotions try to:
Form relationships through social media
Encourage transparent information exchange
Customers become brand advocates
what are the components of the marketing communication process?
1. sender
2. encoding the message
3. message channel (noise)
4. decoding the message
5. receiver
the__________is the originator of the message in the communication process
sender
In an interpersonal conversation, the sender may be a
parent, a friend, or a salesperson
For an advertisement, press release, or social media campaign, the sender is the
company or organization itself
_________is the conversion of the sender’s ideas and thoughts into a message, usually in the form of words or signs.
encoding
A basic principle of encoding is that
what the source says is not what matters, but what the receiver hears.
Transmission of a message requires a __________—a voice, radio, newspaper, computer, smartphone, or other communication medium. A facial expression or gesture can also serve as a__________
channel
anything that interferes with, distorts, or slows down the transmission of information. is called
noise
Marketers communicate their message through a channel to customers, or ____________ who will decode the message
receivers,
____________is the interpretation of the language and symbols sent by the source through a channel
decoding
In interpersonal communication, the receiver’s response to a message is direct _____________to the source.
feedback
a marketing strategy that uses aggressive personal selling and trade advertising to convince a wholesaler or a retailer to carry and sell particular merchandise
push strategy
First Lady Michelle Obama praised the retailer for using drastically reduced prices to push fresh meat, produce, and other healthy options to consumers in low-income areas this is an example of the
push strategy
a marketing strategy that stimulates consumer demand to obtain product distribution
pull strategy
social media and content marketing are the most recent (and best) example of___________. The idea is that social media content does not interrupt a consumer’s experience with media
pull strategy
budget is based on a flat percentage of past or expected sales his is called .
Percentage of Sales Method
• Illogical because it kind of implies that sales should cause advertising, instead of the other way around.

• So, when sales are dropping, advertising is being cut, too, which makes it a vicious circle
this is known as the

Percentage of Sales Method
Base your promotions budget on what you think your competitors are spending (share of voice
Competitive Parity Method
Allocate promotions dollars only after all other budget items are covered.
“All You Can Afford Method”
Define communications goals, decide what it will take to accomplish them, estimate the costs, and add them up to determine necessary budget.
Objective-Task Method
the careful coordination of all promotional messages for a product or a service to ensure the consistency of messages at every contact point at which a company meets the consumer
integrated marketing communications (IMC)
a desirable, exclusive, and believable advertising appeal selected as the theme for a campaign
unique selling proposition
communication by marketers that informs, persuades, and reminds potential buyers of a product in order to influence an opinion or elicit a response
promotion
a plan for the optimal use of the elements of promotion: advertising, public relations, personal selling, sales promotion, and social media
promotional strategy
the process by which we exchange or share meaning through a common set of symbols
communication
direct, face-to-face communication between two or more people
interpersonal communication
the communication of a concept or message to large audiences
mass communication
the combination of promotional tools—including advertising, public relations, personal selling, sales promotion, and social media—used to reach the target market and fulfill the organization’s overall goals
promotional mix
impersonal, one-way mass communication about a product or organization that is paid for by a marketer
advertising
marketing activities—other than personal selling, advertising, and public relations—that stimulate consumer buying and dealer effectiveness
sales promotion
a purchase situation involving a personal, paid-for communication between two people in an attempt to influence each other
personal selling
a category of promotional tactic based on the traditional advertising model, whereby a brand pays for media space
paid media
a category of promotional tactic based on a public relations or publicity model that gets customers talking about products or services
earned media
a new category of promotional tactic based on brands becoming publishers of their own content in order to maximize the brands’ value to customers
owned media
a model that outlines the process for achieving promotional goals in terms of stages of consumer involvement with the message; the acronym stands for attention, interest, desire, and action
AIDA concept
Types of media:
Consumer Generated Media

paid media

Earned Media

Owned Media

Consumer Generated Media
blogs, reviews, facebook posts, etc
what are the types of buying decisions customers will make?
1. routine(advertising, sales promotion)
2. neither routine or complex(advertising, public relations)
3. complex (personal selling,print advertising)
what are some factors affecting the promotional mix?
1. Nature of the Product
2. Stage in PLC
3. Target Market Characteristics
4. Type of Buying Decision Customer will make: