MARK 3000 - Test 3 - UGA Grantham

Integrated Marketing Communications

Represents the promotion dimension of the four p's.

Encompasses a variety of communication disciplines; general advertisement, personal selling, sales promotion, public relations, direct marketing, and electronic media; in combination to provide clarity, consistency, and maximum communicative impact

Awareness

Interest

Desire

Action

What does the AIDA Model consist of?

Awareness

The sender first must gain the attention

The likelihood the message will be received

A multichannel approach increases....

Interest

The customer must want to further investigate the product/service

AIDA Model

A common model of the series of mental stages through which consumers move as a result of marketing communications.

Brand Awareness

Measures how many consumers in a market are familiar with the brand and what is stands for.

Created through repeated exposures of the various brand elements in the firms communication to consumers.

Aided Recall

Occurs when consumers recognize a name that has been presented to them.

Top-of-mind Awareness

A prominent place in people's memories that triggers a response without them having to put any thought into it.

Lagged effect

Advertising does not always have Immediate impact, Multiple exposures are needed, It is difficult to determine which exposure led to purchase

Advertising

A paid form of communication from an identifiable course, delivered through a communication channel, and designed to persuade the receiver to take some action, now or in the future

Public Relations

The organizational function that manages the firms communications to achieve a variety of objectives, including building and maintaining a positive image, handling or heading off unfavorable stories or events, and maintaining positive relationships with the media. PR becoming more important than marketing.

Sales Promotion

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. Used in conjunction with other forms of IMC. Can be used for short-term and long-term objectives

Personal Selling

The two-way flow of communication between a buyer and a seller that is designed to influence the buyer's purchase decision. Most expensive form.

Direct Marketing

Sales and promotional techniques that deliver promotional materials individually. Includes e-mail and m-commerce, good for multicultural groups

Most visible element of IMC and extremely effective at creating awareness and generating interest

Advertising is the ....

"Free" media attentions

Public relations is also know as?

Expensive

Personal selling is the more _______ forms of promotion

Websites

Blogs

Social Media

What falls under the category of online marketing?

Mobile Marketing

Marketing through wireless handheld devices

Blog

A web page that contains periodic posts

Social Media

Media content used for social interactions.

Youtube

Facebook

Twitter

What are the three most popular facilitators of social media?

Objective and Task Method

Specific tasks that come with a cost that help you reach your objective

Setting Objectives

Choosing Media

Determining Costs

Process of the Objective and task method?

Rule-of-thumb Method

Budgeting methods that base the IMC budget on either the firms share of the market in relation to competition, a fixed percentage of forecasted sales, or what is left after other operating costs and forecasted sales have been budgeted.

Competitive Parity

Percentage-of-sales

Available Budget

Three types of rule-of-thumb methods?

Competitive Parity

The communication budget is set so that the firm's share of communication expenses equals its share of the market Does not allow firms to emploit unique oppourtunities

Percentage-of-sales

The communication budget is a fixed percentage of forecasted sales - does not take into new plans into account

Available Budget

Marketers forecast their sales and expenses, excluding communication, during the budgeting period. Start-ups use this method

Frequency

Reach

Gross rating points

Web-tracking

Ways to measure success using marketing metrics?

Frequency

Measure of how often the audience is exposed to a communication within a specified period of time

Reach

Measure of consumers' exposure to marketing communications.

The percentage of the target population exposed to a specific marketing communication at least once

Gross Rating Points

(GRP)

Measure used for various media advertising REACH X FREQUENCY

Search Engine Marketing

A type of web advertising whereby companies pay for keywords that are used to catch consumers' attention while browsing a search engine

Impressions

The number of times an advertisement appears in front of the user

Click-through Rate

(CTR)

The number of times a user clicks on an online ad divided by the number of impressions

Relevance

A metric used to determine how useful an advertisement is to the consumer

Return On Investment

(ROI)

The amount of profit divided by the value of the investment.

(Sales revenue generated by an ad - the ad's cost) / the ad's cost

ROI equation in terms of advertisement

Steps in planning and executing an Ad campaign

Identify target audience

Set advertising objectives

Determine the advertising budget

Convey the message

Evaluate and select media

Create advertisements

Assess Impact

Advertising Plan

A section of the firm's overall marketing plan that explicitly outlines the objectives of the advertising campaign, how the campaign might accomplish those objectives, and how the firm can determine whether the campaign was successful.

Pull Strategy

Designed to get consumers to pull the product into the supply chain by demanding it.

Push Strategy

Designed to increase demand by motivating sellers (Wholesalers, distributors, or salespeople) to highlight the product, rather than the products of competitors, and thereby push the product onto consumers

Informative Advertising

Communication used to create and build brand awareness, with the ultimate goal of moving the consumer through the buying cycle to a purchase. Used in beginning stage of PLC

Persuasive Advertising

Communication used to motivate consumers to take action

Growth and early maturity stages of the product life cycle

When is persuasive advertising used?

Reminder Advertising

Communication used to remind consumers of a product or to prompt repurchases, especially for products that have gained market acceptance and are in the maturity stage of their life cycle. ex. Jif, Foldgers

Product-focused advertisements

Used to inform, persuade, or remind consumers about a specific product or service. Focuses on one brand. ex. dove

Institutional Advertisement

A type of advertisement that informs, persuades, or reminds consumers about issues related to places, politics, or an industry - focuses on a portfolio of brands, not just one. ex. PSAs, Master Card, Procter & Gamble

Public Service Advertisement

(PSA)

Advertising that focuses on public welfare and generally is sponsored by nonprofit institutions, civic groups, religious organizations, trade associates, or political groups

Considerations when determining the advertising budget

Role that advertising plays in their attempt to meet their overall promotional objectives

Expenditures vary over the course of the PLC

Nature of the market and the product influence the size of the budget

Unique Selling Proposition

(USP)

A strategy of differentiating a product by communicating its unique attributes.

Becomes the common theme or slogan in the entire advertising campaign

The unique selling proposition often....

Informational Appeal

Used in a promotion to help consumers make purchase decisions by offering factual information and strong arguments built around relevant issues that encourage them to evaluate the brand favorably on the basis of the key benefits it provides

Emotional Appeal

Aims to satisfy consumers' emotional desires rather than their utilitarian needs

Media Planning

The process of evaluating and selecting the media mix that will deliver a clear, consistent, compelling message to the intended audience

Media Mix

The combination of the media used and the frequency of advertising in each medium

Media Buy

The actual purchase of airtime or print pages

Mass Media

Channels that are ideal for reaching large numbers of anonymous audience members.

National newspapers, magazines, radio, and television

Examples of Mass Media?

Niche Media

Channels that are focused and generally used to reach narrow segments, often with unique demographic characteristics or interests

Advertising Schedule

The specification of the timing and duration of advertising

Continuous 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

Flighting

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

Pulsing

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

Brand Elements

Characteristics that identify the sponsor of a specific ad.

Pretesting

Assessments performed before an ad campaign is implemented to ensure that the various elements are working in an integrated fashion and doing what they are intended to do.

Tracking

Includes monitoring key indicators, such as daily and weekly sales volume, while the advertisement is running to shed light on any problems with the message or medium

Posttesting

The evaluation of an IMC Campaign's impact after it has been implemented

Puffery

The legal exaggeration of praise, stopping just short of deception, lavished on a product.

Cause-related Marketing

Commercial activity in which businesses and charities form a partnership to market an image, a product, or a service for their mutual benefit.

Coupons

Provides a stated discount to consumers on the final selling price of a specific item

Deal

A type of short-term price reduction that can take several forms.

Featured Price

Price lower than the regular price

Buy one get one free

Examples of a deal

Premium

An item offered for free or at a bargain price to reward some type of behavior, such as buying, sampling, or testing

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

Sampling

Offers potential customers the opportunity to try a product or service before they make a buying decision

Loyalty Programs

Specifically designed to retain customers by offering premiums or other incentives to customers who make multiple purchases over time

Point-of-purchase Display

(POP)

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

Rebates

A consumer discount in which a portion of the purchase price is returned to the buyer in cash

The Manufacturer issues the refund

Product Placement

Inclusion of a product in nontraditional situations, such as a scene in a television program or movie

Cross Promoting

Efforts of two or more firms joining together to reach a specific target market

ex. McDonalds and Hot wheel toys in their happy meals

Conduct research

Use the info to set the tone

Select the media

Process in identifying a target audience?

Inform

Persuade

Remind

What are the three advertising objectives?

Continous

Pulsing

Flighting

Three types of advertising schedules?

Relationship Selling

A sales philosophy and process that emphasizes a commitment to maintaining the relationship over the long term and investing in opportunities that are mutually beneficial to all parties

Leads

A list of potential customers

Qualify

The process of assessing the potential sales leads

Trade Shows

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

Cold Calls

A method of prospecting in which salespeople telephone or go to see potential customers without appointments

Telemarketing

A method of prospecting in which salespeople telephone potential customers

Pre-approach

Occurs prior to meeting the customer for the first time and extends the qualification of leads procedure.

In this step the salesperson conducts additional research and develops plans for meeting with the customer

Closing the sale

Obtaining a commitment from the customer to make a purchase

The steps of the Personal Selling Process

Generate and qualify leads

Pre-approach

Sales Presentation and overcoming reservations

Closing the sale

Follow-up

Reliability

Responsiveness

Assurance

Empathy

Tangibles

(RRATE)

What are the Five Service Quality Dimensions?

Price

The overall sacrifice a consumer is willing to make - money, time, energy - to acquire a specific product or service

Profit Orientation

A company objective that can be implemented by focusing on target profit pricing, maximizing profits, or target return pricing

Target Profit Pricing

A pricing strategy implemented by firms when they have a particular profit goal as their overriding concern.

Uses price to stimulate a certain level of sales at a certain profit per unit