What is targeted marketing?
A type of advertising whereby advertisements are placed so as to reach consumers based on various traits such as demographics, purchase history, or observed behavior
What is customer lifetime value?
A prediction of the net profit attributed to the entire future relationship with a customer. Part of predictive analytics.
Types of segmentation
Geographic – region of the country; urban or rural
Demographic – age, sex, family size; income, occupation, education; religion, race, nationality
Family life style implication
The stages families go through over time and how it affects buying behavior
Targeting a very select group of customers
Selling the same product to all consumers
Targeting an extremely select group of consumers
Forming close, personal relationships with customers and giving them exactly what they want.
The process of segmenting buyers geographically and target them within a few hundred feet of a business businesses using wireless technology.
Choosing select groups of people to sell to.
Targeting multiple groups of consumers
Tailoring a product or its marketing so that it stands out from the competition and people want to buy it.
A two-dimensional graph that visually shows where a product stands, or should stand, relative to its competitors.
Supply Chain Management(SCM)
The management and control of all materials, funds, and related information in the logistics process from the acquisition of raw materials to the delivery of finished products to the end user.
A marketing channel is a set of practices or activities necessary to transfer the ownership of goods, and to move goods, from the point of production to the point of consumption and, as such, which consists of all the institutions and all the marketing activities in the marketing process.
A marketing channel is a useful tool for management.
Distribution channels perform four main functions: facilitate exchange, sort products based on demand, standardize exchange transactions, and facilitate buyer/seller product and information searches.
What are products typically more likely to have a shorter marketing channel?
Business products tend to have a shorter marketing channel.
A strategy in which businesses are the target of promotions so products get “pushed” through their marketing channels and sold to consumers.
A strategy in which consumers are targeted with sales promotions such as coupons, contests, games, rebates, mail-in offers.
All of the people and organizations that buy, resell, and promote a product “downstream” comprise what?
The marketing channel; or distribution channel
Representatives of one or more manufacturers who sell products on their behalf to consumers, wholesalers, and distributors but do not take title to them
Businesses that purchase products from manufacturers, wholesalers, agents, or distributors and then sell them to consumers.
Businesses that purchase large quantities of products, can store products, can sell products, can deliver desired quantities of products, and can offer services.
Businesses that purchase products in large quantities, can store the products, can break the pallets down into cases or units, and can deliver the desired quantity of a product to distributors, retailers, and/or consumers.
A person who purchases goods or services for personal use.
Stores that sell a variety of discount merchandise that consists of seconds, overruns, and the previous season’s stock other stores have liquidated.
Stores that specialize in selling over-the-counter medication, prescriptions, and health and beauty products and offer services such as photo developing.
Supercenters that sell products at a discount to people who pay an annual membership fee to join them.
Stores that carry a wide variety of household and personal types of merchandise such as clothing and jewelry.
Self-service retailers that provide a full range of food products to consumers as well as some household products.
A situation that occurs when intermediaries are cut out of marketing channels.
What is it when two parties agree to share their profits, losses, and control with one another in an economic activity they jointly undertake?
How do smart companies integrate their supply chains into their marketing plans?
They create a value chain
-your supply chain partners should do more for you than perform just basic functions; each one should help you create more value for customers as the product travels along the chain—preferably more value than your competitors’ supply chain partners can add to their products.
What are FedEx Supply Chain Services and UPS Supply Chain Solutions freight forwarders examples of?
They are an example of sourcing and procurement
The process of evaluating and hiring individual businesses to supply goods and services to your business
The process of actually purchasing those goods and services. Sourcing and procurement have become a bigger part of a supply manager’s job in recent years, in part because businesses keep becoming more specialized.
Why would a firm push for environmental sustainability?
It could save money, as well as create a positive image for the company.
Who and what does Demand Planning impact?
Demand planning affects everyone involved in the supply chain, as it affects the amount of inventory you want to keep on hand and the amount of services you will need to procure as a result of how much inventory you want to keep on hand.
The process of estimating how much of a good or service customers will buy from you.
What is employee theft and customer shoplifting of inventory?
Radio-frequency identification (RFID) tag
A tag that emits radio signals that can record and track a shipment as it comes in and out of a facility.
Product IDs use SKUs (Stock Keeping Units).
A warehouse that emphases is processing and moving goods on down the channel
Moving inventory through the supply chain so that products spend little or no time in warehouses
Waste Management or Zero Waste
Extracting value from waste and using it to create new products
Integrated marketing communications (IMC)
Approach designed to deliver one consistent message to buyers across an organization’s promotions.
What do we call the different types of marketing communications an organization?
Promotion or Communication mix: Communication tools that may include advertising, sales promotions, public relations and publicity, professional selling, and direct marketing.
Product placement and sponsorships are a form of what?
Advertising: A message that is paid for and sent to large groups of the population at one time with an identified organization or brand (product or service) being promoted.
How often people are exposed to a message.
The number of people exposed to a message.
Unique Selling Proposition (USP)
A specific product benefit consumers will remember.
Delivering personalized promotional materials directly to individual consumers. Materials may be delivered via mail, catalogs, Internet, e-mail, telephone, or in person.
A model that includes several different promotion objectives, including attention, interest, desire, and action
Demand for a specific brand (Tropicana orange juice).
Demand for a product category (e.g., orange juice) versus a product brand (e.g., Tropicana).
Any distractions or noise that senders and receivers face during the transmission of a message.
Means of telling sellers you saw their information and wanted to try their product.
Senders must translate or convert benefits and value of a product or service into a message for the message channel selected.
Receivers interpret message
The process whereby a phase of a perceptual act is retained in our consciousness.
Lack of correspondence between the way a stimulus is commonly perceived and the way an individual perceives it under given conditions.
The cognitive process of selectively concentrating on one aspect of something.
Unique Selling Proposition (USP)
A specific product benefit consumers will remember.
A budgeting technique based on a set percentage of current or projected sales.
Objective and Task method
A budget based on a company’s promotion objectives and the costs of the activities and tasks necessary to accomplish those objectives.
The spread of the company’s message (like a virus) through a community.
Marketing using the world wide web.
Controlled (In Viral Marketing Campaign)
Strategically planned with a defined goal for the brand being marketed. Can be tracked and quantified by the marketer
Organic (In viral marketing campaign)
Grows with little or no input from the marketer.
In-the-wild (In viral marketing campaign)
Pretty much the same as organic
If negative word of mouth spreads after a product launches what sort of viral marketing is that?
Blocker effect: A loyalty program that results in members blocking out marketing communications from competitors.
A method in which two or more groups act together to reach potential customers.
Controlled viral marketing
Process of initiating a viral campaign through strategic online placement
Public Relations campaigns that are formally planned by an organization but disguised as a “grass roots” campaign.
What was Ray Tomlinson’s contribution to the development of e-mail communication?
He created a program that implemented an e-mail system that was the first to be able to send mail between users on different hosts connected to the ARPAnet. (basically he invented e-mail)
Key Performance Indicator (KPI)
Is industry jargon for a type of performance measurement.
KPIs are commonly used by an organization to evaluate its success or the success of a particular activity in which it is engaged.
What is very often the most valuable asset of an e-mail campaign?
The list of those who will be receiving the e-mails
Bounced email that could never get through because the email address doesn’t exist or the domain doesn’t exist.
A list of accepted e-mail addresses that an ISP, a subscriber, or other e-mail service provider allows to deliver messages regardless of spam filter settings
Pop-up ads or pop-ups
A form of online advertising on the World Wide Web intended to attract web traffic or capture email addresses.
Advertising using maps
An ad which moves across the user’s screen or floats above the content.
Web pages displayed before or after an expected content page
An animated banner ad that uses objects that overlay the Web page
Is a term in advertising that means restricting (capping) the amount of times (frequency) a specific visitor to a website is shown a particular advertisement. This restriction is applied to all websites that serve ads from the same advertising network.
What do marketers use to determine which advertisements to show during a given customer visit to a site?
They do things like use GPS technology to determine a user’s location and use other technology to determine the specific type of customer they are marketing to (search history, previous purchases, etc…)
What are some disadvantages of online advertising?
Popup blockers, connection speeds having an adverse effect on the function of advertisements, and consumers being oversaturated with ads and simply ignoring them are the main disadvantages of online advertising