Unit 4.5 Glossary of Key Terms - The Marketing Mix (7Ps)

These flashcards cover essential terms and definitions related to the marketing mix, providing key concepts for study.

Above the line promotion (ATL)

Form of promotion that refers to any form of paid-for promotional technique through independent consumer media.

Advertising

A form of visual and/or audio marketing communication used to inform and persuade people to buy a certain good or service.

After-sales care

Value-added services offered to customers subsequent to the sale of a product, e.g., guarantees and warranties.

Agents

Independent intermediaries that help to sell a vendor’s products in return for commission, e.g., real estate agents.

Below the line promotion (BTL)

Form of promotion that refers to all forms of advertising or promotion that do not use external media agents.

Brand

The registered name used to identify a product of a particular business organization.

Brand awareness

The degree of customer knowledge and recognition of a particular brand.

Brand development

Part of a firm’s marketing strategy in communicating the value of a brand.

Brand loyalty

The degree of customer devotion to a particular brand.

Brand value

The expected earning potential of a brand.

Competitive pricing

A pricing method that involves a business setting the price of its products at similar levels charged by competitors.

Consumer goods

Products bought for personal consumption rather than for business use.

Cost-plus pricing

Adds a profit margin to production costs to ensure profits on each unit sold.

Customer loyalty schemes

Marketing strategies used to attract customers to remain devoted by offering rewards for repeat purchases.

Direct marketing

Refers to a business communicating product information straight to customers.

Distribution channel

The path taken for a product to get from the producer to the consumer.

Dynamic pricing

Charging customers different prices based on changing demand.

Extension strategies

Marketing approaches used to prolong a product’s life cycle.

Global brands

Highly recognized brands in overseas markets.

Impulse buying

Unplanned purchases made by customers due to attractive promotional campaigns.

Intermediary

A third-party person or business that offers distribution services in a channel of distribution.

Logo

A visual symbol representing a business, brand, or product.

Loss leader pricing

Pricing a product below its cost to attract customers.

Marketing myopia

When a business becomes complacent about its product strategy, failing to keep up with market changes.

Merchandise

A retailer’s range of goods available for sale.

Multi-channel distribution strategy

A firm’s use of different distribution channels to get products to customers.

Penetration pricing

A pricing method that involves setting low prices to enter a new market.

Personal selling

The use of sales personnel to sell goods and services face-to-face.

Point of sale (POS)

Promotion of products in retail outlets where customers can purchase goods.

Price elasticity of demand

Measures how demand for a good or service responds to changes in price.

Price wars

The process of rival businesses competing by continually reducing prices.

Product differentiation

Marketing strategies used to make a product distinct from its rivals.

Product life cycle (PLC)

Marketing theory showing the different stages products go through from development to removal.

Public relations

Management overseeing public attitudes and opinions to gain public understanding and support.

Retailers

Commercial businesses that sell a manufacturer’s products directly to consumers.

Sales promotion

A short-term promotional tactic used to entice customers.

Social media marketing (SMM)

Use of online content that users can upload and share to promote a business.

Telemarketing

A direct promotional marketing strategy involving salespeople calling customers.

Test marketing

Part of the pre-launch stage when a business trials a new product with a small customer group.

Trademark

A form of legal protection for the intellectual property of a business.

Wholesalers

Intermediaries that buy products from a manufacturer and sell them in smaller quantities.

Zero-channel distribution network

A method of distribution that does not use any intermediaries.