Marketing - Chapter 12 Flashcards

Flashcards for key vocabulary terms from Chapter 12 of 'Marketing: An Introduction' focusing on advertising and public relations.

Promotion Mix

Specific blend of promotion tools, including advertising, sales promotion, personal selling, public relations, and direct/digital marketing.

Advertising

Any paid form of nonpersonal presentation and promotion of ideas, goods, or services by an identified sponsor.

Sales Promotion

Short-term incentives to encourage the purchase or sale of a product or service.

Personal Selling

Personal customer interactions by the firm’s sales force for the purpose of engaging customers, making sales, and building customer relationships.

Public Relations (PR)

Building good relations with the company’s various publics by obtaining favorable publicity, building up a good corporate image, and handling or heading off unfavorable rumors, stories, and events.

Direct and Digital Marketing

Engaging directly with carefully targeted individual consumers and customer communities to both obtain an immediate response and build lasting customer relationships.

Integrated Marketing Communications (IMC)

Integrating and coordinating the company’s many communications channels to deliver a clear, consistent, and compelling message about the organization and its brands.

Content Marketing

Creating, inspiring, and sharing brand messages and conversations with and among consumers across a fluid mix of paid, owned, earned, and shared channels.

Push Strategy

A promotion strategy that calls for using the sales force and trade promotion to push the product through channels. The producer promotes the product to channel members who in turn promote it to final consumers.

Pull Strategy

A promotion strategy that calls for spending a lot on consumer advertising and promotion to induce final consumers to buy the product, creating a demand vacuum that 'pulls' the product through the channel.

Advertising Objectives

Specific communication tasks to be accomplished with a specific target audience during a specific period of time.

Informative Advertising

Used heavily when introducing a new product category; objective is to build primary demand.

Persuasive Advertising

Becomes more important as competition increases; objective is to build selective demand.

Reminder Advertising

Important for mature products; helps to maintain customer relationships and keep consumers thinking about the product.

Advertising Budget

The dollars and other resources allocated to a product or a company advertising program.

Affordable Method

Setting the promotion budget at the level management thinks the company can afford.

Percentage-of-Sales Method

Setting the promotion budget at a certain percentage of current or forecasted sales or as a percentage of the unit sales price.

Competitive-Parity Method

Setting the promotion budget to match competitors’ outlays.

Objective-and-Task Method

Developing the promotion budget by (1) defining specific objectives, (2) determining the tasks that must be performed to achieve these objectives, and (3) estimating the costs of performing these tasks. The sum of these costs is the proposed promotion budget.

Advertising Strategy

The strategy by which the company accomplishes its advertising objectives. It consists of two major elements: creating advertising messages and selecting advertising media.

Advertising Media

The vehicles through which advertising messages are delivered to their intended audiences.

Return on Advertising Investment

The net return on advertising investment divided by the costs of the advertising investment.

Advertising Agency

A marketing services firm that assists companies in planning, preparing, implementing, and evaluating all or portions of their advertising programs.

Public Relations (PR)

Building good relations with the company’s various publics by obtaining favorable publicity, building up a good corporate image, and handling or heading off unfavorable rumors, stories, and events.

Press Relations

Creating and placing newsworthy information in the news media to attract attention to a person, product, or service.

Product Publicity

Publicizing specific products.

Public Affairs

Building and maintaining national or local community relationships.

Lobbying

Building and maintaining relationships with legislators and government officials to influence legislation and regulation.

Investor Relations

Maintaining relationships with shareholders and others in the financial community.

Development

Working with donors or members of nonprofit organizations to gain financial or volunteer support.

News

Generating favorable news about the company and its products or people.

Special Events

Arranging special events such as news conferences, press tours, grand openings, and product launches.

Written Materials

Reaching and influencing their target markets includes annual reports, brochures, articles, and company newsletters and magazines.

Audiovisual Materials

Such as DVDs and online videos, are increasingly used as communication tools.

Corporate Identity Materials

Help create a corporate identity that the public immediately recognizes, such as logos, stationery, brochures, signs, business forms, business cards, buildings, uniforms, and company cars and trucks.

Public Service Activities

Undertaking activities to improve goodwill by contributing money and time to good causes.

Advertainment

A form of advertising that seeks to entertain rather than intrude.

Brand entertainment

Involves creating or sponsoring branded content, such as web series or short films.

Communication effects

Indicates whether the message is being communicated effectively.

Sales and profit effects

Compares past sales and profits with past advertising expenditures