MKT315 Final Exam Spring 2019 Study Guide (sections 5 to 8) 1. Profit equation 2. Pricing strategies (skimming, penetration, etc.) a. Penetration, Skimming, Competition 3. Wholesalers, retailers; a. Merchant wholesalers – buy and take title to merchandis

MKT315 Final Exam Spring 2019 Study Guide (sections 5 to 8) 1. Profit equation 2. Pricing strategies (skimming, penetration, etc.) a. Penetration, Skimming, Competition 3. Wholesalers, retailers; a. Merchant wholesalers – buy and take title to merchandise: b. General merchandise wholesalers – broad selection of products c. Specialty merchandise wholesalers – limited selection, often due to special handling needs (frozen foods) d. Retailers: is the process that enables the sale of products and services to end-user consumers, including business consumers and individuals at their homes. 4. Intermediary functions 5. Managing distribution channels a. the continuing conversation among distribution partners, often led by a channel captain, as the partners seek to improve efficiency and avoid conflict while servicing consumers with goods and services. 6. Types of retailers a. Levels of service b. Type of merchandise c. Breadth and depth of merchandise d. Ownership e. Retail concept 7. Pricing strategies 8. Pricing metrics: breakeven, ROI 9. Demand curves, price elasticity 10. Push and pull strategies a. The coordination of communication by retailers and manufactures to create the optimum conditions for the consumers to receive and act on promotional messages. 11. Integrated marketing communications a. Integrated marketing communications: the systematic collective effort of all marketing mechanisms within a business to reinforce and support one another in order to achieve the desired marketing goals. Consistency is key 12. Elements of the communications process a. Sales promotion, advertising, public relations, direct marketing, personal selling 13. Promotional mix and the uniqueness of each component a. Advertising (TV, radio, newspapers, & magazines), Sales promotion (consumers, distribution channel partners *immediate*), personal selling (sales person engages with possible customer), Public Relations (improve the image), Direct Marketing (communications that can be personalized *Data Base*) 14. Types of promotional budgets a. Percentage of Sales, Competitive parity, objectives and tasks, all-you-can-afford 15. Elements of the creative process 16. Types of sales promotions (rebates, coupons, contests, premiums, samples, etc.) a. Coupons, price discounts, contest or sweepstakes, premium, sample, rebate 17. Performance measures digital marketing 18. Elements of digital marketing a. SEO, PPC, Data Analysis, Websites, Smartphone & Tablet Application, Video Marketing, Content Marketing, Social Media, A/B Marketing, Email Marketing, Audience Development 19. Different types of personal selling a. Order taking, order getting, customer sales 20. Stages in the personal selling process a. Prospecting, pre-approach, approach, presentation, follow up 21. Major functions of sales management a. Sales plan formulation, sales plan implantation, evolution of the sales force 22. Milton Friedman’s famous maxim 23. Website metrics (time on page, bounce rate, website visits) This study source was downloaded by from CourseH on :35:44 GMT -06:00 MKT315 Final Exam Spring 2019 Study Guide (sections 5 to 8) A/B Testing- is the process of creating two or more versions of digital marketing assets, such as emails, web pages, and ads, in order to identify which version performs better Adaptive selling- A selling process that begins with a script or presentation and the sales person is taught to listen for questions, watch for signals from the prospect, and change the presentation to meet the prospect's needs. Advertising- is communications using media such as: TV, radio, newspaper and magazines Agent- businesses that do not take ownership of products but instead represent the interests of sellers or buyers. All-you-can-afford (promotional budget)- A method for creating a promotional budget that is often employed by small companies facing crash control issues that are not able to plan for promotional expenses, (startup companies). Appeal (advertising)- The central element of the message, including any promotional offer. Blog- A regularly updated website or web page, typically one run by an individual or small group, that is written in an informal or conversational style. Break-even analysis- The point where average revenue is equal to total average costs. Broker-Aggregates the sellers` offerings and represents them to larger buyers. Call to Action (CTA)- A line of content that incentivizes user to complete the desired action, such as to make a purchase or click a link. Close- A method of Confirming a sale Communication Process- The process of making business decisions that have both positive economic and social consequences. Competitive parity (promotional budget)- Method for creating promotional budget by comparing the promotional activities of a company`s competitors. Consultative selling- starts with a discussion of the customer’s needs and wants. The sales person is in the role of a consultant and offers solutions that involve the products or services represented. Cost Per Thousand (CPM)- Decode (communications)-The act of interpreting a message. Demand curve- Direct Investment (global market entry)- Direct Marketing- is a form of promotion that can be personalized and highly targeted to a list or database for the purpose of eliciting a measurable response. Disintermediation- Elimination of intermediaries in a distribution channel Drip campaign- are a common style of email, wherein an organization sends out an automated series of emails for a specific number of days after an action Elasticity of demand- a measure of price sensitivity providing a relationship between adjustment in price and quantity demand of a good or service. Encode (communications)- The process of ensure that the message fits the media and conveys intended informati0on or motivation. Execution (advertising)- The method through which an appeal is presented in ways that will attract attention and hold interest of the receiver. Facilitating (intermediary function)- Specialized functions within a supply chain such as access to capital and credit and grading and categorizing goods Field of Experience- Significantly impacts how consumers will receive messages and includes receivers, attitudes, values, experiences, and perception Form (retailer utility)- Require the retailer make some physical changes in the goods. Frequency- analogous to the same concept in advertising and suggests that message repetition is important in causing action Hierarchy of Effects- Depicts the consumer passing through various steps in sequential order from initial product awareness to the actual purchase. Integrated Marketing Communications (IMC)- The Systematic collective effort of all marketing mechanisms within an organization to reinforce and support one another in order to achieve the desired marketing goal. Intermediary- A person or organization that provides value by offering warehouse, transportation, marketing and sales, financing, and other services that facilitate distribution. Intermediary functions- Landing page- A targeted page on a website that focuses specifically on product or service with inciting call to action Logistical (intermediary function)- Warehousing and transporting of goods between manufactures and intermediaries Loss-leader- An Item sold at less-than- market-price, often below cost in order to lure consumers into a store purchase other products. Multichannel distribution- is the use of a combination of two or more indirect channels and possibly a direct channel to reach target markets. Multichannel retailing Noise (communications)- Objectives and tasks (promotional budget)- A method marketers use when forming the promotional budget that takes into consideration all the marketing initiatives one might do within a certain time-frame, puts dollars into it, and provides bottom line amount that ultimately helps better manage the budget. Odd-even pricing- Price strategy where the price is just below the next round number Omni-channel distribution- occurs when a product is offered across all different types of retail outlets in order to saturate market coverage. Order Getters- Order Takers-Pip Penetration pricing- Strategy setting a lower-than-market price in order to promote the brand. Percentage of sales (promotional budget)- Method for creating a promotional budget that estimates future spending based on past percentage sales typically used by This study source was downloaded by from CourseH on :35:44 GMT -06:00 MKT315 Final Exam Spring 2019 Study Guide (sections 5 to 8) companies and products that have been on the market for many years. Performance Measures: Click-Through Rate- The percentage of how many people clicked on a link over the total number of people who saw the link. Performance Measures: Cost Per Click (CPC)- The amount an advertiser is charged each time a search ad is clicked on by a user, even if the user doesn’t take action. Performance Measures: Cost Per Thousand (CPM); Personal Selling Process- Place (retailer utility)- Satisfied through the placement of retailer location, designed for malls, store layout and website designs. Possession (retailer utility)- Achieved through a variety of payment methods. Pricing- Profit equation- Promotional Elements / Promotional Mix- Tools used to accomplish IMC , which include, sales promotion, personal selling, direct marketing, and public relations. Prospecting- The act of sales people generating leads for presentations. Pull strategy- Push strategy Reach- The portion of the target market that can possibly read, watch, hear, or view a particular advertisement based on the media vehicle chosen. Receiver (communications)- an individual who is a part of the target audience for messaging. Retail service levels- Retailer Sales Force Automation- Sales Management Process- The