Integrated Marketing Communication Terms & Definitions Study Set

Promotions

Use communication to build relationships by informing and/or persuading one or more audiences

Integrated Marketing Communications

the intentional coordination of every communication from a firm to a target customer to convey a consistent and complete message

communications model

a framework specifying that a number of elements are necessary for communication to be achieved, including a source, message, medium, receivers, and feedback

source

a place, person, or thing from which something comes or can be obtained.

message

whatever a speaker communicates to someone else

encode

to put an idea into language or pictures

media

the various methods of communicating information

decoding

interpretation of the language and symbols sent by the source through a channel

noise

anything that interferes with, distorts, or slows down the transmission of information

One-to-Many Marketing

A marketing method that is considered to be indirect; a brand sends a message to a large audience rather than to an individual

Advertising

any paid form of non-personal presentation and promotion of ideas, goods, or services by an identified sponsor

product advertising

a form of advertising that touts the benefits of a specific good or service

institutional advertising

a form of advertising designed to enhance a company's image rather than promote a particular product

public service announcement

(PSA) Conveys an important message to the public (no specific audience); often instigates the public to take action or further educate themselves

advocacy advertising

a form of advertising in which an organization expresses its views on controversial issues or responds to media attacks

Ad Council

A nonprofit organization that helps produce public service advertising campaigns for government agencies and other qualified sponsors.

retail advertising

advertising by stores that sell goods or services directly to the consuming public

advantages of television advertising

-high reach

-high frequency potential

-low cost per contact

-high intrusion value

-quality creative opportunities

-segmentation through cable

disadvantages of television advertising

• High Production cost

• High airtime cost

• Brevity

• Clutter

• DVR's

radio advertising

inexpensive and reaches a target audience by purchasing time on appropriate stations

out-of-home advertising

short promotional messages on billboards, posters, signs, and transportation vehicles

OAAA

Outdoor Advertising Association of America

continuous advertising schedule

runs steadily throughout the year and therefore is suited to products and services that are consumed continually at relatively steady rates and that require a steady level of persuasive or reminder advertising

pulsing

combines the continuous and flighting schedules by maintaining a base level of advertising but increasing advertising intensity during certain periods

flighting

an advertising schedule implemented in spurts, with periods of heavy advertising followed by periods of no advertising

reach

the number of target consumers exposed to a commercial at least once during a specific period, usually four weeks

Frequency (advertising)

the average number of times a person in the target audience is exposed to a message or advertisement

GRP

gross rating points (reach X frequency)

CPM

cost per thousand

USP

Unique selling proposition. A theory to explain successful advertising campaigns. Suggests that such campaigns make unique lcaims that encourage consumers to switch brands.

comparative advertising

a form of advertising that compares two or more specifically named or shown competing brands on one or more specific attributes

emotional appeal (advertising)

The advertiser appeals to the consumer's fears, joys, sense of nostalgia and so on.

rational appeal (advertising)

appeal to logic and reasoning

slice of life advertising

A slice-of-life ad presents a (dramatized) scene from everyday life.

demonstration

a public display of a product or service

testimonial

attempts to persuade the reader by using a famous person to endorse a product or idea

lifestyle advertising

Lifestyle ads show a person(s), attractive to the target market, in an appealing setting with the advertised product as "part of the scene," implying that the person who buys it will attain the lifestyle.

slogan

a short, catchy phrase that conveys an important idea

jingle

A short, easily-remembered verse, or tune.

sales promotions

Special incentives or excitement-building programs that encourage the purchase of a product or service, such as coupons, rebates, contests, free samples, and point-of-purchase displays.

advantages of sales promotions

-Can be personalized & interactive

-High control over message & audience

-Can be used to collect customer data

disadvantages of sales promotions

•Short term

•Sales drop off when deals end

•Too many sales promotions can dilute brand image

•Advertising needed to convert customer who tried into loyal customer

You usually have to combine it with advertising

If people start to rely on it then → ex. Banana republic has coupon 40% (they always have sales promotions) → therefore you are changing the reference price (people see the price as the sales price now)

consumer sales promotion

promotion activities targeted to the ultimate consumer market

trade sales promotion

promotion activities directed to members of the marketing channel, such as wholesalers and retailers

coupon

a certificate that entitles consumers to an immediate price reduction when the product is purchased

rebate

Type of sales promotion whereby a customer can be reimbursed some money because they have bought a large amount of something.

refund

money that is given back

bonus pack

specially packaged item that gives the purchaser a larger quantity at the regular price

frequency programs

consumer sales promotion programs that offer a discount or free product for multiple purchases over time; also referred to as loyalty or continuity programs

contest

a brand-sponsored competition that requires some form of skill or effort

Sweepstakes

A form of sales promotion that offers prizes based on a chance drawing of entrants' names.

Premiums

Items offered free or at a minimal cost as a bonus for purchasing a product

sampling

a promotional program that allows the consumer the opportunity to try a product or service for free

cooperative advertising

an arrangement in which the manufacturer and the retailer split the costs of advertising the manufacturer's brand

trade shows

major events attended by buyers who choose to be exposed to products and services offered by potential suppliers in an industry

point of purchase displays

a merchandise display located at the point of purchase, such as at the checkout counter in a grocery store

Incentive programs

special pay programs designed to motivate high performance

push money

money offered to channel intermediaries to encourage them to "push" products - that is, to encourage other members of the channel to sell the products

public relations

the marketing function that evaluates public attitudes, identifies areas within the organization the public may be interested in, and executes a program of action to earn public understanding and acceptance

public

customers, potential customers, employees, vendors, educators, the community, governments, stockholders, and competition

public relations campaign

coordinated effort to communicate with the firm's public(s). Marketers create and manage publicity, which is unpaid media exposure about a company

crisis managment

a coordinated effort to handle all the effects of unfavorable publicity or another unexpected unfavorable event

press release

information that an organization distributes to the media intended to win publicity

internal public relations

maintaining good communication and relationships throughout the organization

investor relations

maintaining relationships with shareholders and others in the financial community

transactional selling

a form of personal selling that focuses on making an immediate sale with little or no attempt to develop a relationship with the customer

relationship selling

the practice of building ties to customers based on a salesperson's attention and commitment to customer needs over time

order taker

A salesperson whose primary responsibility is to process routine orders or reorders or rebuys for products

technical specialists

supporting salespeople who provide technical assistance to order-oriented salespeople

new-business salesperson

the person responsible for finding new customers and calling on them to present the company's products

missionary salesperson

A person who proactively contacts customers after a purchase has been made, in order to ensure customer satisfaction and foster goodwill, by asking if the customer has questions about the product, providing additional information, and checking to see if the customer's current needs have changed (and may present an opportunity for further sales).

order getter

a salesperson whose primary responsibilities are identifying potential customers and engaging those customers in discussions to attempt to make a sale

team selling

using teams of people from sales, marketing, engineering, finance, technical support, and even upper management to service large, complex accounts

Prospecting

the sales step in which a salesperson or company identifies qualified potential customers

qualifying

In the selling process, making sure that people have a need for the product, the authority to buy, and the willingness to listen to a sales message.

Preapproach

the sales step in which a salesperson learns as much as possible about a prospective customer before making a sales call

direct marketing

direct communication between a seller and an individual customer using a promotion method other than face-to-face personal selling

direct response television

the use of television commercials and longer-format infomercials that are designed to stimulate an immediate purchase response from viewers

infomercial

An advertising film which promotes a product in an informative and supposedly objective style.

mobile commerce

communicating with or selling to consumers through wireless handheld devices such as cellular phones

targeted databases

lists of qualified customers who are most likely to purchase the product

word of mouth communication

personal informal exchanges of communication that customers share with one another about products, brands, and companies

product review sites

social media sites that enable people to post stories about their experiences with products and services

viral marketing

the digital version of word-of-mouth marketing: videos, ads, and other marketing content that is so infectious that customers will seek it out or pass it along to friends

buzz marketing

cultivating opinion leaders and getting them to spread information about a product or a service to others in their communities

guerilla marketing

innovative, unconventional, and low-cost marketing techniques aimed at obtaining maximum exposure for a product.

target audience

the portion of the whole audience that the speaker most wants to persuade

push strategy

a marketing strategy that uses aggressive personal selling and trade advertising to convince a wholesaler or a retailer to carry and sell particular merchandise

pull strategy

a marketing strategy that stimulates consumer demand to obtain product distribution

hierarchy of effects

a series of steps prospective customers move through, from initial awareness of a product to brand loyalty

percentage of sales budgeting

allocating funds to promotion as a percentage of past or anticipated sales, in terms of either dollars or units sold

objective and task method

an IMC budgeting method that determines the cost required to undertake specific tasks to accomplish communication objectives; process entails setting objectives, choosing media, and determining costs

follow the competition

In marketing, competitive parity refers to the optimal expenditure needed for branding and advertising activities to stay equal, or on par with a competitor or competitor's brand. In other words, the budget is allocated based on careful examination of the optimal level of market competition. (competitive parity)

AIDA model

Attention, Interest, Desire, Action

unaided recall

a research technique conducted by telephone survey or personal interview that asks whether a person remembers seeing an ad during a specified period without giving the person the name of the brand

aided recall

occurs when consumers recognize a name that has been presented to them

account management

People and processes at an ad agency that facilitate the relationship between the agency and the client.

market research

The activity of gathering information about consumers' needs and preferences.

media planning

the series of decisions advertisers make regarding the selection and use of media, allowing the marketer to optimally and cost-effectively communicate the message to the target audience

ethics in advertisig

deceptive, manipulative, creates wants for bad things, in bad taste