14. Engaging Consumers and Comunicating Customer Value

Question 1

Promotion mix (marketing comunications mix)

Answer 1

The specific blend of promotion tools that the company uses to persuasively communicate customer value and build customer relationship.

Question 2

Advertising

Answer 2

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

Question 3

Sales promotion

Answer 3

Short-term incentives to encourage the purchase or sale of a product or a service. (coupons, contests, discounts, primius)

Question 4

Personal selling

Answer 4

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

Question 5

Public relations (PR)

Answer 5

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

Question 6

Direct and digital marketing

Answer 6

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

Question 7

Changes in the marketing communications model are made by:

Answer 7

Changes in consumers, in the marketing strategies and in the digital tech.

Question 8

Content marketing

Answer 8

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

Question 9

Integrated marketing communications (IMC)

Answer 9

Carefully integrating and coordinating the company’s many comunications channels to deliver a clear, consistent and compelling message about the organization and its products.

Question 10

9 elements of communication

Answer 10

Sender (the party sending the message), Encoding (putting thought into symbolic form), Message (the set of symbols ), Media (the communication channels), Decoding(the receiver assigns meaning to the symbols), Receiver (the party receiving the message), Response(reaction of the receiver), Feedback (part of the receiver’s response communicated back to the sender), Noise (unplanned static or distortion)

Question 11

Buyer-readiness stages

Answer 11

The stages customers normally pass on their way to a purchase: awareness, knowledge, liking, preference, conviction and the actual purchase.

Question 12

Steps in developing effective marketing communication

Answer 12

Identifying the target audience, Determening the Communication objectives, Designing a Message (Structure, content and format), Choosing Communication Channels and Media, Selecting the message source, Collecting Feedback

Question 13

Message content

Answer 13

The marketer has to figure out an appeal or theme that will produce the desired responce. Rational, emotional and moral appeal.

Question 14

Message structure

Answer 14

Three MS issues: whether to draw a conclusion or leave it to audience, whether to presetn the strongest arguments first or last, whether to present one-sided or a two-sided argument.

Question 15

Personal Communication Channels

Answer 15

Channels through which two or more people communicate directly with each other, including face-to-face, on the phone, via mail or email, or even through an internet “chat”.

Question 16

Word-of-mouth influence

Answer 16

The impact of the personal words and recommendations of trusted friends, family, associates, and other consumers on buying behaviour.

Question 17

Buzz marketing

Answer 17

Cultivating opinion leaders and getting them to spredad info about a product or a service to others in their communities.

Question 18

Nonpersonal Communication channels

Answer 18

Media that carry messages without personal contact or feedback, including major media, athmospheres (designed environments that create or reinforce the buyer’s leanings toward buying a product), and events (staged ocurrences that communicate messages to target audiences).

Question 19

Total Promotion Budget

Answer 19

Affordable method, Competitive-parity method and Objective-and-Task method.

Question 20

Afordable method

Answer 20

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

Question 21

Percentage-of-Sales method

Answer 21

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

Question 22

Competitive-parity method

Answer 22

Setting the promotion budget to match competitors’ outlays.

Question 23

Objective-and-task method

Answer 23

Deeloping the promotion budget by (1) defining specific promotion objectives, (2) determing the task needed to achieve these objectives, and (3) estimating the costs of performig these tasks. The sum of these costs is te proposed promotion budget.

Question 24

Promotion mix strategies

Answer 24

Pull and push

Question 25

Push strategy

Answer 25

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

Question 26

Pull strategy

Answer 26

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